Search results

IN THE USSR, CONDITIONS FOR PRIVATE UNDERGROUND ACTIVITY HAVE BEEN HIGHLY PROPITIOUS, DUE TO THE PROHIBITIONS ON LEGITIMATE PRIVATE BUSINESS, THE CHRONIC EXCESS DEMAND, FIXED PRICES, HIGH EXCISE TAXES, OPPRESSIVE BUREAUCRATIC REGULATION, AND WIDESPREAD CORRUPTION. STATE PROPERTY IS VASTLY MISAPPROPRIATED AND EXPLOITED, PARTICULARLY BY CAMOUFLAGED CRYPTO-PRIVATE FIRMS. THE UNDERGROUND, GENERALLY EMPLOYING CURRENCY AS THE MAIN MEDIUM OF EXCHANGE AND FUNCTIONING THROUGH MARKETS, TOUCHES MANY AND PROVIDES LARGE SUPPLEMENTS OF GOODS AND INCOME TO THE PUBLIC, ALONG WITH BRIBES, THEFT, AND FRAUD. IN THE LARGER UNDERGROUND OPERATIONS, ILLICIT MONEY FLOWS UPWARDS, OFTEN TO VERY HIGH GOVERNMENT OFFICIALS. THIS UNDERGROUND MONEY AND ABOVEGROUND POLITICAL AND ADMINISTRATIVE POWER TEND TO FUSE AND TO SPAWN, OR EXPLOIT, ORGANIZED CRIME. THESE VESTED INTERESTS ARE A SIGNIFICANT ASPECT OF THE CONSERVATIVE OPPOSITION TO PERESTROIKA. UNDER GORBACHEV, THE UNDERGROUND ECONOMY HAS GROWN MARKEDLY, DESPITE EFFORTS BOTH TO SUPPRESS AND TO LEGALIZE IT.

Outlines the basic components of a new 'model' of economic management in the USSR, e.g., new forms of private and cooperative activity, increased flexibility in production, relationships in state enterprises, election of directors, to be in place by the early 1990s. Also presented is the rationale for the current timetable of the reform. (Abstract amended)

Considers differences between a distinguished American specialist and two eminent Soviet economists participating in the first joint 'Soviet Economy' roundtable. Discusses obsolescence in Soviet consumer goods industries, technology transfers to China, a former emphasis on new construction at the expense of existing capacity, and contradictory aspects and tangible advances in Soviet technology during postwar reconstruction. Includes Abalkin's comment on technological progress in the context of economic history from the 1920s through the postwar period and perestroyka. (Abstract amended)

Outlines 3 basic directions, (social orientation, uskoreniye of technological readjustment, and restructuring of management in enterprises). Includes questions and comments by American participants. A rejoinder covering such issues as priorities, price formation, adaptation to change, allocation of resources and comparison with the Hungarian and other models, is followed by a concluding exchange of views on competition. (Abstract amended)

Outlines the social aspects of the ongoing process of the restructuring of the economy and of its management, as well as some indirect consequences that 'perestroyka' may produce. Discusses unemployment, living standards, inequality of income, workers' attitudes, territorial differentiation, the shadow economy, public opinion and adjustments to the prospective change and democratization of management and organizational behaviour in Soviet society. (Abstract amended)