Impact Of Perestroika Flashcards
The results of perestroika were
Not always as intended
Often exacerbated existing problems in the economy
Food production? (Impact of perestroika)
Showed a small increase in its growth rate from one to two percent during 1986-87
BUT
still inadequate to feed the growing needs of the population
1/5 of the Soviet Union’s foodstuffs was jmported
Perestroika impact: how much of the Soviet Union’s foodstuffs were imported?
1/5
IMPACT OF PERESTROIKA enterprises were still subject to
The principle of devolving some power to managers often depended on
State interference
The attitude of state bureaucrats
Many of whom preferred to keep tight control to ensure targets were met
IMPACT OF PERESTROIKA
State shops etc
Products (esp food)
was diverted from state shops (prices low)
to co-operatives (that charged a much higher price)
INFLATION
STRIPPED STATE SHOPS OF MANY SUPPLIES
BAD IMPACT ON PENSIONERS/FIXED INCOME
IMPACT OF PERESTOIKA Co-operatives were able to shop around for a
Buyer who would offer the a good price for their goods
SO deals concluded with richer city authorities— poorer cities devoid of adequate food/basic products
IMPACT OF PERESTROIKA
Co-operatives proved to be more productive than the state sector and the potential for profits did not go unnoticed
They attracted the attention of corrupt government officials who reminded bribes for permission to continue to operate
Criminal gangs— exact money through extortion rackets: powerful due to illegal alcohol under gorbachevs campaign: now add to their wealth
IMPACT OF PERESTROIKA uncertainty over supplies encouraged
A wave of hoarding by the population
Shops were quickly emptied of goods as they arrived
Food rationing introduced in some cities to try and erase the situation — 1988, meat was rationed in 26/55 regions in Russia
In 1988, mean was rationed in
26/55 regions of Russia
IMPACT OF PERESTROIKA
The implementation of the principle of electing managers resulted in
A steep wise in ages
Urban wages rose by 9% in 1988 and 13% in 1989
Urban wages rose by ______ in 1988 and _______ in 1989
9%
13%
IMPACT OF PERESTROIKA
foreign companies keen to invest in the USSR were
Faced with endless bureaucracy that made progress slow
Sometimes it put off potential investors completely
By the end of 1990, there were nearly 3,000 joint foreign ventures in the USSR but most of these were small-scale operations that had little impact on the economy
By the end of 1990 how many foreign ventures were there in the USSR?
3,000 bro
Little impact on the economy tho
Small scale operations mostly
IMPACT OF PERESTROIKA the reforms were often undermined by
In some cities…
Officials
In some cities, the reforms were ignored, in others sabotaged
In Leningrad, the city administration withdrew all sausages from the shops and warehouses and buried them
In some cities, the perestroika reforms were ignored, in some they were sabotaged.
In Leningrad?
The city administration withdrew all sausages from shops and warehouses and buried them