Unit 2 - Soviet Economy (Post War Stalin - Chernenko) Flashcards
Features (Aims) of Stalin’s Recovery After War
WW2 had destroyed all progress made in the Five Year Plans. The fourth five year plan 1945-50: focused on growing soviet industry after WWII.
Extreme high levels of industrial growth - 88% of investment went into heavy industry
The plan also focused on military spending just like the previous plans. This was due to the emergence of the Cold war in 1946
The Fourth five year plan focused on reconstruction of infrastructure; mainly factories were rebuilt.
Successes of Stalin’s Recovery After War
Industrial output grew by 80% from 1945 - 1950
Although still scarce, production of consumer goods doubled
after the war.
Between 1945 and 1950 the soviet economy was the fastest growing economy in the world.
Some factories and mines in Ukraine and Siberia were able to exceed or achieve pre-war production rates.
Failures of Stalin’s Recovery After War
The Cold War emerged to high levels of military spending. By 1952, the total military expenditure was almost a quarter of the government’s budget
25 million people were homeless
Wages for workers were low and reconstruction rather than homes
Agriculture suffered severe shortages of resources and workers from 1946 - 1949
Private farms were ended leading to production dropping.
Only 12% of investment went into food production and consumer goods.
Features (Aims) of Stalin’s Collectivisation
Collectivisation was introduced to help aid with industrial growth
It also gave tighter control for the government
Success of Stalin’s Collectivisation
Achieved its aim as collectivisation released much more money to fund industrialisation
Centralised power for Stalin and his government
Failures of Stalin’s Collectivisation
Crops, machinery and animals were destroyed as a consequence of collectivisation
There was a reduction of agricultural production due to:
- The execution or deportation of kulaks who were often the most experienced farmers.
- the absence of incentives as farmers were unable to make profits
Collective farms were less productive causing low harvests. They produced 320 kilos per hectare whereas private farms produced 410 kilos per hectare
Collectivisation led to famine in the Ukraine. The famine was orchestrated by the government as an answer to the resistance to collectivisation by farmers
The famine lasted from 1932 - 1933
5 million deaths were caused by the famine
Features (Aims) of Khrushchev’s Seven Year Plan
Aimed to focus on light industry instead of heavy industry and boost agricultural production and the production of consumer goods
He wanted to improve the standard of living for the soviet people
He wanted to overtake the USA by 1970
Successes of Khrushchev’s Seven Year Plan
Jan 1959 - There was a 60% increase of consumer goods
Fertiliser / Chemical production grew by 19 million tons
Synthetic fibre production increased by 241,000 tons
Failures of Khrushchev’s Seven Year Plans
The reforms were counterproductive due to the constant change of plans and additions of new reforms
Soviet economy wasn’t built to produce in light industry / consumer goods e.g. factories produced thick sheet steel but light industry required thin sheet steel.
Industries produced a small number of expensive goods rather than large amounts of cheap goods to meet targets. This meant that they produced goods consumers couldn’t afford.
Khrushchev continually introduced economic reform / reorganisation
Feb 1957 reforms decentralised power from Gosplan which destroyed central coordination of the Plan.
1958-64 Khrushchev increased centralisation - showed confusion
Feb 1962 Khrushchev divided the party into agriculture and industry - making him unpopular with the party and unorganised.
Features (Aims) of Khrushchev’s Investment in Agriculture
He wanted to improve incentives, productivity and standard of living.
He wanted to invest more in agricultural resources
He wanted to increase soviet agricultural production by turning unfarmed lands into new farms. (Virgin land scheme launched in Sep 1953 as investment grew from under 3% a year to 12.8%)
He wanted to produce similar amounts as the USA
Success of Khrushchev’s Investment in Agriculture
30% increase in the number of tractors
40% increase in fertiliser
Greater availability of food in Soviet shops
Better standard of living
400% rise in the income of farm workers
Significant increase in farmed land, 18.2 million hectares in 1953 to 97.4 million hectares in 1964
Agriculture production increased by 35.3%
Consolidated Khrushchev’s position
Failures of Khrushchev’s Investment in Agriculture
Virgin land scheme was expensive due to the need of irrigation systems which were expensive to run and maintain
Soviet agriculture was labour intensive. During the 1950s and 60s, between 54 and 44% of the soviet population worked on farms
Harvests in 1959 and 1960 were slightly below the levels in 1958
Khrushchev cut investment in agriculture from 13% a year from 1954 to 1959 to 2% a year in 1960
Corn Campaign: From Sep 1958 encouraged farmers in the Ukraine to grow maize in order to read animals and shift wheat production to Virgin lands.
- Failed Soviet farms only able to produce 50% of the corn per hectare that US farms managed due to climate and resources, animal feed down to 30%
- Inefficient systems: Inadequate storage facilities
Why was there limited reform of the economy under Brezhnev?
Due to Khrushchev’s numerous past reforms and their failures, the idea of reform was discredited at least until the end of the 1970s
What (limited) reforms were there after 1964? - Kosygin reforms
The kosygin reforms were designed to cut investments in the most inefficient collective farms and divert the money to light industry. Additionally he proposed giving power over production to factory managers and judging their success not by production levels, but by the profit they made.
What (limited) reforms were there after 1964? - Andropov’s reforms
Andropov’s reforms focused on improving productivity. These reforms included the Anti-corruption campaign Nov 1982, Anti-alcohol campaign and Operation trawl which was an anti-drunkenness and anti-absenteeism campaign
