Breznev Economy Flashcards
What area of the economy was neglected as a result of his focus on heavy industry ?
Consumer goods faced major shortages again
What was Brezhnevs stagnation period ?
An era that is associated with having no economic progress with little stability and lack of efficiency
What emerged as a result of the lack of food and consumer goods within Brezhnevs economy
A black market are items from state shops would be resold for x4 the original price
What did Brezhnevs grain shortages lead to ?
Making trade deals with America in which they’d buy grain to feed the population ( humiliating)
What area of Brezhnev’s focus’s severely impacted the economy ?
His focus on the arms race
What was the arms race ?
It was a battle against America in which both nations were focussed on building a more superior atomic weapon collection than the other
( During the Cold War )
Why was the arms race bad for the economy ?
Brezhnev attention on the atms race diverted money away from retoring the economy or boosting industrial production but towards arms production
How did Brezhnev promise to improve the economy ?
Keeping the prices of consumer goods low
Tolerating a black market economy
What and how much did breznevs increase spending on ?
Military : 11-13%
How did breznevs manage to get food prices down again ?
Importing grain from the US
What did breznev describe the black market as ?
“ a necessary evil “
Why did he allow a black market to emerge ?
Increased access to consumer goods and food which long term would increase the standard of living
What was the main negative aspect in the 70s soviet economy ?
Decline in standard of living as a result of lack of food and consumer goods like sop and shoes
What did historian robin bunce say about his economy ?
“Under Khrushchev is declined , under Brezhnev it stagnated and under Gorbachev it collapsed “
What were the three main aspects of Brezhnev’s economy ?
Stagnation era
Heavy industry
Black market / agriculture
