Industrial policies
- The sixth five year plan was abandoned in 1955 and instead a 7 year plan (focusing on consumer goods, chemicals and plastics was put into place
- Hoped to improve the standard of living for the Soviet people and gain more support at home
- However a lot of the Soviet’s money went towards the high military spending and the high spending in the Space Race
- Hoped to improve the standard of living for the Soviet people and gain more support at home
- However a lot of the Soviet’s money went towards the high military spending and the high spending in the Space Race
Decentralization:
Khrushchev believed that Stalin’s system have too many ministries in Moscow and were out of touch with different regions of the USSR and as a result in 1957 the central ministries broke up into regional economical councils (Sovnarkhozy). Which allowed local leaders to decide what goods they were goods they were going to produce
So what?
- Regional areas were not coordinated; industry area only met local needs but not national needs
- Regional Council did not work because managers did not believe that they had real power which caused confusion
- In general caused disturbance and inefficiency
Khrushchev believed that Stalin’s system have too many ministries in Moscow and were out of touch with different regions of the USSR and as a result in 1957 the central ministries broke up into regional economical councils (Sovnarkhozy). Which allowed local leaders to decide what goods they were goods they were going to produce
So what?
- Regional areas were not coordinated; industry area only met local needs but not national needs
- Regional Council did not work because managers did not believe that they had real power which caused confusion
- In general caused disturbance and inefficiency