I read a book called “The Russian Economy” written by Steven Rosefielde in 2007. I have read the one chapter of all book, which was about reform communism in Russia from 1953 to 1991, a summary of which will be set forth below. It describes mainly the times of Gorbachev's board and the changes he brought to Russia.
The author at the beginning emphasizes that although in the Soviet economy demand was not taken into account when setting prices, the quality was poor and resources were distributed unevenly at will, prices were not subject to change and thus were stable, but most importantly-it contributed to economic growth at the beginning of Soviet industrialization, but of course failed in the long term.
The author begins with the fact that the process of reform communism which began with the coming to power of Nikita Khrushchev, because he arrested the head of the NKVD and began talking about easing repression, but after the 60s began stagnation which Gorbachev called “zastoi”. The author stresses that the 3 main features of the command of communism are: the terror, politics and planning which was changed to 1987. After Stalin's death, conditions in the Gulag, a penal camp, also began to be relaxed. More than 5 million people were released, but the repression did not completely disappear. Nikita Khrushchev was sure that Soviet communism would bury Western capitalism, but the growth of Soviet industry began to slow down. Soviet prices and wages were not dependent on demand, they remained fixed and the factors between the products were not divided according to the Pareto principle.
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