From Proto-Capitalism to Post-Socialism: The Case of the Hungarian Film Industry

Abstract

The post-socialist transformation of the Hungarian film industry is usually discussed in the context of state-run studios and state funding. These explanations focused on the role and importance of regulation and institutional aspects of change, highlighting the changes in the production system (the development of independent production companies) and the transition from direct state control and funding to public funding (the setup of a new institution, the Motion Picture Foundation of Hungary). The transformation, as in the case of other Eastern European film industries, is usually interpreted as a crisis and a major break. This article will nuance this mainstream interpretation of the transformation of the Hungarian film industry with the examination of features that connect the two eras (i.e. late socialist and early post-socialist periods). Instead of the linear logic of succession and transition, it will focus on the ambiguities of change and continuity, showing that although the changes were fundamental, many things connect late socialist years and early post- socialist period. The article claims that the transformation could not be described as a simple one-way shift from a centralized state-socialist system to the market-oriented film industry and the system of public funding. Considering the trends of marketization and ‘proto- capitalization’ of the late 1980s in the Hungarian film industry and the post-socialist survival of the state socialist studio system, the article will show the double-face of the transformation.