Reasons for economic decline

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  • Created by: elle1999
  • Created on: 02-03-16 10:57
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  • Reasons for economic downfall in the Soviet union.
    • Legacy of Stalinist system
      • Industrialisation difficult to change.
    • No reforms
    • Problems in a command economy
      • Too centralised
      • Costs and prices et by government
      • Inflexible and rigid
      • Shortages
        • Women's bras
    • Social contract
      • Little grasp on inefficiency.
      • Not much productivity
        • We pretend to work and they pretend to pay us.
    • Lack of investment
      • Agriculture
      • Could not recover from Stalinist era.
    • Outdated technology
      • Successes were outdated
        • Oil
      • Deals with west.
    • Dominance of military-industrial complex
      • 18% resources
      • 30 million people employed.
      • Intervention in developing world
        • Afghanistan 1979.

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