USSR topic 5 - fall of the USSR Flashcards
What was the Novosibirsk report of 1983?
Report by economic sociologist Tatyana Zaslavskaya, drew attention to agricultural crisis caused by inflexibility and inefficiency. Distributed to Politburo who generally ignored its findings but Gorbachev realised need for reform.
When did Gorbachev become General Secretary?
1985
Who was brought into the Politburo and Central Committee under Gorbachev?
Yegor Ligachev and Nikolai Ryzhnov. Boris Yeltsin and Alexander Yakovlev were promoted to the Central Committe in 1986.
When was Yeltsin promoted to Central Committee & what was his position?
1986, First Secretary of the Party in Moscow.
How did Gorbachev try to reduce alcoholism in Russia and why?
“We can’t build Communism on vodka”, 15% of all household spending was on alcohol by mid 1980s. The drinking age was raised to 21, alcohol selling licenses limited, vineyards & distilleries closed, cost of vodka tripled.
What were the results of the campaign against alcoholism?
Tax revenues that the government gained from alcohol fell significantly leaving a serious shortfall in the budget. Illegal moonshine was also mass produced.
What were the key issues with the 12th 5YP and what was the gov’s main method?
Key issue was how to improve the level of growth in the economy. The gov fell back on the traditional Soviet method of increasing invesment, controlled by central planning, to push the economy to greater production
Key weaknesses of the 12th 5YP? (5)
- Skewed investment to new factory construction rather than improving existing problems- led to overspending/ sucked in far more investments
- out of date equipments meant old factories became increasingly unproductive
- USSR slow to develop new technology so foreign technology imports drained foreign exchange needed for food
- vast investment in agriculture was not improving productivity
- focus remained on quantity over quality.
What were the main aims of the 12th 5YP?
Aimed to streamline state apparatus to avoid waste and cut rivalry for available resources. Attempted to do so through ‘superministries’ rather than decentralise economic decision-making
What were ‘superministries’ and why did they fail?
Set up to coordinate economic activity and reduce waste but they failed to do so as the implementation of the reforms were by people whose privileged position would be reduced (from the reforms) (they didn’t want to disadvantage themselves)
Which powerful sector opposed changes to investment priorities?
The military kept pushing for new investment in military technology but this posed a threat to the govts ability to maintain consumer goods production. The alternative was to go into deficit, a short-term remedy that could not be sustained.
Between 1985-86, by how much did the defecit of the USSR increase?
From 2.4% of GDP to 6.2%
What were Gorbachev’s economic plans for 1985-6?
“Acceleration” of economic development; crackdown on alcoholism; streamline economic decision making.
Which international issues exacerbated economic problems like the defiict?
The Afghanistan war and increased defence spending in response to the USA’s Strategic Defence Initiative (star wars).
When and where did Gorbachev realise that he needed to use methods outside of the state to reform the economy?
At Jan 1987 Plenum of the Central Committee, he launched his proposal for economic perestroika (restructuring). He hoped that by introducing market mechanisms and allowing an element of private enterprise the economy could be revitalised.
When is economic perestroika introduced and what is it?
January 1987, economic restructuring e.g. introducing market mechanisms and allowing some private enterprise to incentivize production and give greater flexibility than command economy.
When were joint venture encouraged and what did this lead to?
January 1987, govt allowed foreign firms to establish businesses in the USSR, usually joint enterprises with the state, in the hopes that it would introduce more modern technology. Moscow got its first McDonalds in 1990.
When is the Law on State Enterprises introduced and what is it?
June 1987, loosened state controls of wages & prices, weakening Gosplan authority. Also allowed element of election in the choice of managers and factories were given right to produce what they like once state targets were met
When are Cooperative enterprises legalized and what are they?
January 1988, people were able to set up small scale private businesses that could set their own prices. This sector quickly flourished i.e cafes and small shops.
By how much did food production increase 1986-87 as a result of perestroika?
1% to 2% BUT still inadequate and 1/5 of SU food imported
Why were enterprises still subject to state interference after economic perestroika?
The state allocated materials and many bureaucrats preferred to keep tight control rather than devolving power to managers.
How did cooperatives (result of perestroika) lead to inflation?
Products were diverted from state shops (which charged low prices) to cooperatives which often made deals with richer city authorities who would pay higher prices for goods. This stripped state shops of supplies & caused inflation.
What were the cooperatives able to shop around for?
They were able to shop around for a buyer who would offer them a high price for their goods, which meant that deals were concluded w richer city authorities, leaving the poor devoid of adequate food and necessities
Whar was the result of cooperatives being proven more productive than the state sector?
- They attracted the attention of corrupt gov officials, so due to perestroika, corruption increased like bribes for permission to operate from gov officials.
- Gangs became powerful through illegal alcohol production and began to exact money through extortion rackets.
- Many government officials also demanded bribes from cooperatives for permission to continue operating.
- There was also hoarding of supplies
When was food rationing introduced (to ease the situation) and in how many of the 55 regions was meat rationed?
1988, 26
By how much did urban wages rise in 1988 and then in 1989?
Due to electing managers wages steeply rose. 9% then 13%
How many joint foreign ventures were there in the USSR by 1990?
Only 3,000, mainly small-scale due to endless bureaucracy foreign investors faced.
Were the reforms always implemented?
No. They were often undermined by the officials. They were ignored or sabotaged. In Leningrad, the city admin withdrew all sausages from shops and buried them.
By 1984, what percentage of Soviet exports were oil and gas? What happened to the price of oil at this time?
54%, the price fell. This made situation worse, because the USSR was reliant on oil exports for foreign exchange
What was the fundamental problem with the economic reforms?
They had weakened the apparatus of state planning but provided little to replace it, leaving the economy in debt and reaching crisis by 1989.
What happened in the Don Basin in late 1980s?
Workers went on strike over unpaid wages & food shortages. The gov’s response was to quickly increase wages, but this was only a ST measure. There was little point in having more money if the shops were empty of things to buy (hoarding by population due to uncertainty)
When was the State Commission on Economic Reform’s report and what did it cause?
July 1989, issued a report that called for a move to a market-led economy (‘500 Days Programme’). Led to splits in the Party between conservatives and reformers.
What unfavourable international climate did Gorbachev face? (4)
A war in Afghanistan, falling oil prices, a US embargo on imports of technology to the USSR and the collapse of Communist regumes in Eastern Europe during 1989.
What was the 500 Days Programme and who accepted/rejected it?
- A plan to move to a market economy. 2. Accepted the institutions of private property, market pricing, enterprise independence, competition as regulator, transformation of the banking system, and the need to open the economy to the world market. 3. It specified a timetable of steps to be taken and provided draft legislation to undergird the changes. 4. Too fast too soon. Rejected by the Soviet government but accepted by the Russian Parliament.
How much did Soviet production decline 1990-91?
By 1/5 which led to catastroika.
What were the key issues with the Party apparatus?
It was huge and there were too many competing branches of administration which led to corruption, nepotism, vested interests, & inefficiency.
What were some of the key criticisms which came out due to Glasnost?
Complaints over poor housing, investigations into Soviet history revealed Stalin’s mass terror & Katyn massacre, myth of Great Patriotic War undermined by revelations of waste of human life, environmental concerns over irrigation schemes, criticisms against Gorbachev for weak reforms.
Which event convinced Gorbachev that glasnost was essential & why?
Was difficult to halt once in Chernobyl nuclear accident April 1986 as the govt’s delayed admission of the accident had disastrous impacts on the people (evacuation delayed so cases of leukaemia & birth deformities increased). Revealed many of the USSR’s weaknesses e.g. bad factory management, corruption & secrecy & it damaged international reputation.
By 1989, how many informal groups and clubs existed?
60,000. It became more politicised due to Glasnot. Instead of producing support for Gorbachev, glasnot resulted in a war of critcism against the Party, much of it directed towards Gorbachev for his weaknesses in pursuing reform.
Why had the state and Party become so intertwined?
Nomenklatura system meant that promotions within the state relied on loyalty to the Party. Personnel of one organisation held equivalent roles in the other e.g. Gorbachev was President of the USSR & General Secretary of the Party.
When did Gorbachev attempt to separate Party & state?
19th Party Conference, 1988
How was power shifted from the Party to Soviets?
More finance allocated to Soviets to support their role, deputies of Soviets elected for 5 years rather than 2.
How was the Party streamlined?
Central Committee departments reduced from 20 to 9 & 6 new commissions created. Nov 1985 = ‘Superministries’ also created to streamline economic planning (5 ministries merged to create one ‘superministry’ for agriculture)