09 Collapse of the USSR Flashcards
Did the USSR collapse because of long term economic problems? - Failed to create incentives for hard work
-Soviet Union was becoming increasingly egalitarian from 1945 to 1980 and followed an ideology of communism which was fundamentally against inequality
-The richest 10% were only 3x richer than Russia’s poorest 10% whereas in the US the richest 10% were 7x richer than the poorest 10%
Therefore, less incentive for workers to improve
Did the USSR collapse because of long term economic problems? - Waste
-Although large amounts of goods were produced, they were often wasted
-This was because Gosplan only measured and rewarded production, regardless of the quality or the proportion being used
-e.g. By early 1980s Gosplan demanded the production of 400,000 tractors every year, however, at least 20% were never used, due to a shortage of tractor drivers
Did the USSR collapse because of long term economic problems? - Economy was never fully modernised
-Particularly problems in agriculture as while there were too many tractors, there was a lack of more sophisticated machinery
-This meant that Soviet agriculture required far more labour than American farming e.g. Under Khrushchev at least 25% of the population of the USSR worked on farms, compared to just 5% in the US, despite the US producing 2x as much food
Did the USSR collapse because of long term economic problems? - Arms race
-The Soviet economy also struggled due to the arms race with the US and the west
-From 1945, the USSR produced ever more expensive missiles, nuclear bombs, tanks, and fighter planes
-By 1980, the USSR was spending more on defence than the USA, despite the fact that its economy was 1/3 the size
-This starved other areas of the economy from much needed funds and economic growth would be faster were it not for the burden of defence expenditure which was generally maintained above 10% of GDP
Did the USSR collapse because of long term economic problems? - Centralisation
-The economy was controlled by government administrators e.g. In farming the government set the timetable for planting and harvesting meaning farmers could not use their expertise to adjust the timetable to local weather conditions
-Central planners set the schedules for the delivery of fertilisers on farms, however, fertilisers often arrived at the wrong time or were for the wrong crops grown
-This centralisation was a significant issue as it meant production could not be maximised
Did the USSR collapse because of short-term economic failures? - Initial economic reform - Acceleration
-Acceleration 1985-86
-Aimed to improve the command economy through government investment
-Acceleration actually created a huge economic crisis as by 1986 the debt of the USSR was over 80 billion rubles
Did the USSR collapse because of short-term economic failures? - Initial economic reform - Anti-Alcohol Campaign
-Beginning 1985
-Aimed to improve the productivity of the Soviet workforce
-The number of outlets, distilleries, and vineyards was reduced, the cost of vodka tripled
-The campaign saw some benefits, but vodka production was a large part of the Soviet economy, and it dropped by almost 10% causing a shortfall in the government budget
Did the USSR collapse because of short-term economic failures? - Partial market reform - date & list of laws
-1986-90
-Law on Individual Economic Activity 1986 individuals are allowed to earn money through individual enterprise
-Law on State Enterprises 1987 which allowed factories to sell to free market if the production was beyond quota (failed because Gosplan maintains control in other ways)
-Law on Co-operatives 1988 let collectives set up big private businesses in the USSR
-Gosplan finally abolished in 1990 so no longer a centrally controlled economy
Did the USSR collapse because of short-term economic failures? - Partial market reform - problems
-Uncertainty over supplies encouraged a wave of hoarding and shops were quickly emptied, in 1988 meat was rationed in half of the regions of Russia
-The electing of managers led to a steep rise in wages, urban wages rose by 10% in 1988
Did the USSR collapse because of short-term economic failures? - Full market reform
-1990-91
-Aimed to dismantle the command economy and introduce a market economy
-Privatization of Land and property in January 1991
-Trading in stocks and shares allowed in April 1991
-By the summer of 1991 the Soviet Government was bankrupt
-Situation made worse by the fall in the price of oil as the USSR had become more reliant on oil exports as a source of income, by 1984 oil and gas accounted for 50% of Soviet exports
Did the USSR collapse because of short-term economic failures? - Full market reform - What did the 500 day programme propose to do and why did Gorbachev not adopt it?
-Stanislav Shatalin and Grigorii Iavlinskii propose the 500-day program, transition from the planned economy to the market economy within two years, but this is rejected by hardliners
-Gorbachev wanted to maintain unity in the Party Leadership
-The plan was rejected by the Soviet government but accepted by the Russian Parliament causing the economy to collapse into chaos
Did the Soviet Union collapse because of Gorbachev’s political reforms? - Glasnost
-Easing restrictions on information around the party
-Started as a method of getting new ideas to revitalise the Communist Party and to re-engage the people with the Party but it descended into an open attack on its corrupt practices
-Freedom of Speech was attained in 1989
Did the Soviet Union collapse because of Gorbachev’s political reforms? - Issues caused by Glasnost
-The April 1986 Chernobyl Nuclear Disaster provided anti-Party sentiment as the Soviet government delayed admission of the incident, therefore delaying evacuations and increasing the number of cases of leukaemia
-Revelations about the economic problems facing the USSR meant that many Soviet citizens lost faith in the Communist system
-Revelations about the extent of Stalin’s terror, especially towards minorities, encouraged nationalist sentiment
-A freer media undermined Communism by publishing criticism, even Marx and Lenin were criticised
-Being able to read foreign papers and listen to foreign radio made people aware of the higher living standards in the West, which undermined support for Communism
Did the Soviet Union collapse because of Gorbachev’s political reforms? - Multi-Candidate Elections - Multi-candidate Elections for the Congress of People’s Deputies of the Soviet Union
-1989
-New Parliament of the Soviet Union known as the Congress of People’s Deputies which signified rapid change as it was first proposed in 1988
-The people had a choice of candidates in the elections (all were Communist but they could pick between reformers, conservatives, moderates, etc.
-Gorbachev hoped to create a separate power base with himself as the chairman, giving himself more democratic legitimacy, however, this dramatically weakens the power of the Party, as it publicly displays divisions within the Party
Did the Soviet Union collapse because of Gorbachev’s political reforms? - Multi-Candidate Elections - Parliamentary election for each Soviet Republic
-1990
-Different parties are allowed to stand in these elections, undermines the concept of a one-party state
-Naturally encourages republics to break away with different parties being elected in the republics
-Impact in Lithuania - Re-established the State of Lithuania and abolished the Soviet constitution, essentially declaring independence
-Impact in Russia - Yeltsin was elected chairman of the Russian Parliament, even though Gorbachev pleaded with the Russian deputies not to, and then the Russian Parliament declared sovereignty of Russian laws over Soviet laws