The economy under Khrushchev Flashcards
The Virgin Lands Scheme (1954) - What was it?
Economic policy to increase agricultural production.
Attempted to cultivate 6 million acres of previously uncultivated land in Kazakhstan, Wester Siberia and norther Caucasus.
Used large amounts of fertiliser.
Utilised the youth - they volunteered to go off to the sometimes remote regions and cultivate the land for free.
Why was the Virgin Lands Scheme largely unsuccessful?
Most of the land they were attempting to cultivate was infertile - demonstrated by the fact that increased grain production could not be sustained despite a 40% increase in the availability of fertilisers and 30% increase in number of tractors available.
Expensive - land not very fertile - large amounts of fertiliser needed - fertiliser = expensive.
Led to grain shortages.
Using youth to work land - homesickness, less fear than under Stalin, no incentive to work - many returned home.
The Corn Campaign - What was it?
Aimed to increase the production of corn for animal fodder and thereby increase the production of meat and dairy products.
Based of the US model for growing corn.
Why was the Corn Campaign largely unsuccessful?
Russia had a completely different climate and terrain to the USA.
not enough animal fodder produced - animals starving - shortages of meat and dairy products.
Khrushchev and light industry?
Focus on light industry - ‘What use is it if everyone has the right ideology if they have to walk about without trousers’ - increased production of synthetic fibres to produce low cost clothes.
Khrushchev and military spending?
1955-58 - cut military spending.
1958-62 - nuclear stand offs with USA - military spending reinstated.
The Seven Year Plan (January 1959) - main features?
Focus on chemical production - fertilisers - used in farming - helping to improve both agriculture and industry.
Successes of the SYP?
Production of chemicals and consumer goods increased significantly.
Failures of the SYP?
Production of chemicals and consumer goods short of K’s targets.
Factors that hindered the SYP?
K’s constant meddling - 1957 - decentralising planning (Sovnarkhoz reforms) and re - centralising it in 1958 and 1964.
1962 - K split the party in two - one half focussed on agriculture, the other on industry.
Soviet economy wasn’t designed for production of light goods. - Targets set by weight - factories produced thick sheet metal when what was required was thin sheet metal to make lamps and watches. Light fixtures produced = too heavy to hang on walls.
What did the Sovnarkhoz reforms involve?
Decentralising economic decision making to goats of the individual republics and regional economic councils - 105 regional economic councils set up.
Managers given more control over their factories - allowed to keep 40% profits and invest as they wished in their enterprise.
