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The history of the world economy - Polyak GB

30.2. Economic development of the socialist countries in the second phase (1950-1960)

Business processes in the countries of Eastern Europe

After the nationalization of the vast majority of the industry received the first plans for national economic development, the main task - industrialization.

Agrarian reforms is to limit the size and the rights of private land ownership, land allotment land-poor. To carry out co-operation of the peasantry, which was completed in most countries of Eastern Europe to the beginning of the 60s. The exceptions were Poland and Yugoslavia, where the public way in the agricultural sector does not become crucial.

Industry in the 50s experienced a rapid development, its growth rate was about 10% per year. Eastern European countries have evolved from agricultural (excluding East Germany and Czechoslovakia) in the industrial and agricultural. Methods of accelerated industrialization determined the formation of a monopolistic structure of the national economy, indifferent to the peculiarities of particular countries (in a market economy is expressed by the prices of factors of production), administrative management system. Nevertheless, in spite of the predominantly extensive type of development, the economic results of the decade have been favorable in most countries in Eastern Europe.

China

In the Asian part of the socialist camp were the most noticeable transformation in China. From 1956 to 1958. China carried out the policy of "Great Leap Forward", the essence of which was to try to dramatically raise the level of socialization of the means of production and property. This period was characteristic setting unrealistic economic problems and excessive production targets, the construction of an absolute revolutionary enthusiasm of the masses as the main factor of economic growth. The principle of material interest was entirely rejected - he was condemned as a manifestation of revisionism.

Critical to China - an agrarian country - have always been the transformation in agriculture. In 1958, across the country were created by the people's communes. Commune consisted of several teams, each of which, in turn, included several small production teams. Commune acted as the primary economic unit. During this period, not only to socialize the means of production, but farmers are also prohibited from engaging in subsistence fishing. In addition, to introduce "supply system", which ignored the commodity exchange and led to an absolute allocation of resources among rural communities. Continued strengthening of the socialist economic system.

CMEA

During this period unfolded CMEA activities. The new international economic organization was created for political reasons and united state with the same type of social and social systems. It should be borne in mind that for those Eastern European countries that went along with the Soviet Union among the founders of the CMEA, reciprocal links were not previously leading foreign trade direction. Up to 90% of their turnover was realized outside of the emerging new economic region. Even on a smaller scale was carried out in these countries trade with the Soviet Union (it accounts on average accounted for just over 1%). There was in the past and developed economic contacts either on the interstate, or at the level of enterprises and companies.

So initially it was possible to rely mainly on the ideological factor. The reorientation of trade and economic relations with the help of CMEA was carried out in a short time. This favorable external conditions. The situation of "cold war" deprived partners an alternative choice. Cooperation within the framework of the CMEA helped the participants not just to survive, to restore the economy after the war, but also to achieve at that time a very impressive progress.

At the initial stage of the CMEA activity was mainly focused on the development of commodity exchange, coordination and development of foreign trade, on the provision of scientific and technical documentation and information. From 1956-1957,. The CMEA member countries have moved toward specialization and co-production, the harmonization of national economic plans, the creation of joint research centers, and business organizations. coordination practice was introduced economic plans on 1956-1960 (hereinafter - up to 1976 - 1980.). In 1964, it was created by the International Bank for Economic Co - body for regulation of international payments.