The aim of this article is to answer the question of what fundamental modernization and
developmental challenges Poland currently faces. The author argues that the developmental
model that has been in place in Poland for the last 25 years — and generally worked quite
well, which is evidenced by many major achievements and several economic and social indices
— is just exhausting its potential. Simultaneously, we are observing intensification and aggra-
vation of several problems — either as yet unresolved or new ones — which jointly constitute
something we may call a social deficit. The main message of the paper can be summarized
in a nutshell as a thesis that under current situation and circumstances, it becomes necessary
to proceed to new generation of competitiveness, launch different developmental leverages,
which — speaking in most general terms — are to be found mainly in the social realm.
The article consists of three parts. The first one is dedicated to the characteristics of
strengths and weaknesses of Polish modernization after 1989 against the background of the
situation in other CEE countries. The second one defines five key developmental challenges
currently faced by Poland. The third part predominantly features the fundamental difference
between the previous, post-transformational developmental policy and the new, pro-
innovative modernization strategy, which places social policy in the very centre of its focus.
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