Abstract
In Central and Eastern Europe, we can observe and analyze an ongoing social experiment euphemized as "the process of the transformation of totalitarian countries with centrally planned economies into democratic countries with market economies." This article offers an analysis of what has been happening in the Czech Republic in this regard. Attention is given to the impact of political philosophies (those represented by names of Václav Havel and Václav Klaus) upon legal and institutional changes.
Key terms for better understanding of these processes are the free market, civil society, civic sector, and participation of citizens in public affairs. Channels, developmental threats, and opportunities for public policy formation and implementation are studied as well.