1979 Soviet economic reform

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Romanian communist leader Nicolae Ceaușescu
on 22 August 1974

The 1979 Soviet economic reform, or "Improving planning and reinforcing the effects of the economic mechanism on raising the effectiveness in production and improving the quality of work", was an

Soviet government
.

Intentions

The reform was initiated, and created, by Premier

state budget. All ministries were given a fixed budget even if the ministry did not fulfill the five-year plan. The reform supported giving enterprises more autonomy from the central government and extending the rights of the ministries by giving them new principles.[2] The reform tried to improve labor productivity by introducing new production indicators via the State Standards Committee,[3] and tried to solve some of the USSR's economic problems by reducing the effects of sectorial barriers set up by the ministries.[4] The reform succeeded in giving more power to the regional authorities and the Soviet Republics; this development was consolidated by a Central Committee decree in 1981.[5]

Implementation

The 1979 reform was an attempt to reform the existing economic system without any radical changes. The economic system was

centralised even more than previously. The effectiveness of the planned economy was improved in some sectors, but not enough to save the stagnation economy of the USSR. One of the major goals of the reform was to improve the distribution of resources and investment, which had long been neglected because of "sectorialism" and "regionalism". Another priority was the elimination of the influence "regionalism" had on the five-year plan.[6]

The

See also

References

  1. ^ ютуба, любитель (17 December 2010). "30 лет назад умер Алексей Косыгин" [A reformer before Yegor Gaidar? Kosygin died for 30 years ago]. Newsland (in Russian). Retrieved 29 December 2010.
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