Re: [Marxism] Soviet economic model

2017-07-31 Thread Joseph Green via Marxism
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> 
> On 7/29/17 5:54 PM, Louis Proyect via Marxism wrote:
> 
> I cite Moshe Lewin:
> 
> https://louisproyect.org/2009/09/14/joseph-stalin-nostalgia/
> 
> Stalin´s rule was marked mostly by a lack of planning. Despite the 
> announcement of 5-year plans, the economy had more in common with 
> bureaucratic fiat than scientific planning. All this is discussed in 
> chapter 5 entitled "The Disappearance of Planning in the Plan" in Moshe 
> Lewin´s  "Russia USSR Russia".
> 

The material cited by Proyect is quite useful. At the same time, it is should 
be understood that Soviet state-capitalism had *both* planning and anarchy of 
production. Clearly the state apparatus sent vast resources into industry 
through a decision, not the spontaneous operation of market forces, while the 
way the enterprises operated, and the precise allocation of various 
resources, displayed the vast anarchy of production in the Soviet economy. 
The unrealistic or even absurd nature of various features of the plan, 
discussed in the material cited by Proyect, was part of this anarchy of 
production. 

The anarchy of Soviet production was noted by all serious economic 
commentators, but they differ on its significance. I discussed the Stalinist 
anarchy of production, and how it existed alongside planning, and why it 
existed alongside planning, in the following article, which was based on 
material from a number of different careful studies of the Soviet economy:

"The anarchy of production beneath the veneer of Soviet revisionist 
planning", March 1, 1997, by Joseph Green

http://www.communistvoice.org/12cSovAnarchy.html

Earlier in this thread, Walter Daum posted a chapter from his book on 
statified capitalism. I think that his book comes the closest of any major 
Trotskyist work to a correct assessment of the Stalinist economy. For 
example, unlike Tony Cliff, Daum pays attention to the *internal* sources of 
anarchy (which he calls decentralization) in the Soviet economy, rather than 
simply blaming the anarchy on the connection of the Soviet Union to the 
surrounding capitalist world economy. But at the same Daum's attempt to put 
everything into a Trotskyist framework and defend Trotsky's statements about 
the Soviet economy involved him in a number of crying contradictions; it 
sometimes seems that Daum strongly asserts things only for the sake of 
denying them later in his book. In this sense, Daum not only discusses the 
life and death of Stalinism, but gives an illustration of the life and death 
of Trotskyist theorizing.

See my review of Daum's book:

"On Walter Daum's 'The Life and Death of Stalinism': 
Competition among Soviet enterprises and ministries, and
the collapse of the Soviet Union"
by Joseph Green, Dec. 1998

http://www.communistvoice.org/19cDaum.html 

The basic features of state-capitalism appeared not just in the Soviet 
economy, but in other state-capitalist economies as the well.This includes 
the Cuban economy. Mark Williams of the Detroit Workers' Voice has written a 
series of articles on different time periods of the Castroist economy. This 
includes:

Cuba in the 1960s: Bureaucrats head to 'communism' without the workers"
by Mark Williams, April 1998

http://www.communistvoice.org/17cCuba60s.html

and

"Did Castro steer Cuba towards socialism in the late 1980s?"
by Mark Williams, December 1996

http://www.communistvoice.org/11cCuba1980s.html

For more on Cuba, see

http://www.communistvoice.org/00Cuba.html.


---
Joseph Green
m...@communistvoice.org




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Re: [Marxism] Soviet economic model

2017-07-30 Thread Louis Proyect via Marxism

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On 7/29/17 5:54 PM, Louis Proyect via Marxism wrote:



  I also have high regard for anything written by Moshe Lewin, who 
started off as a blast furnace operator in a Polish factory during WWII 
and then became a major figure in academic Sovietology. I read his 
Russia — USSR — Russia: The Drive and Drift of a Superstate and 
recommend it highly.




I cite Moshe Lewin:

https://louisproyect.org/2009/09/14/joseph-stalin-nostalgia/

Stalin’s rule was marked mostly by a lack of planning. Despite the 
announcement of 5-year plans, the economy had more in common with 
bureaucratic fiat than scientific planning. All this is discussed in 
chapter 5 entitled “The Disappearance of Planning in the Plan” in Moshe 
Lewin’s  “Russia USSR Russia”.


The Soviet government announced the first five year plan in 1928. Stalin 
loyalists, like Krzhizanovksy and Strumlin, who headed Gosplan, the 
minister of planning, worried about the excess rigidity of this plan. 
They noted that the success of the plan was based on 4 factors: 1) five 
good consecutive crops, 2) more external trade and help than in 1928, 3) 
a “sharp improvement” in overall economic indicators, and 4) a smaller 
ration than before of military expenditures in the state’s total 
expenditures.


How could anybody predict five consecutive good crops in the USSR? The 
plan assumed the most optimistic conditions and nobody had a contingency 
plan to allow for failure of any of the necessary conditions.


Bazarov, another Stalin loyalist in Gosplan, pointed to another area of 
risk: the lack of political cadres. He warned the Gosplan presidium in 
1929, “If you plan simultaneously a series of undertakings on such a 
gigantic scale without knowing in advance the organizational forms, 
without having cadres and without knowing what they should be taught, 
then you get a chaos guaranteed in advance; difficulties will arise 
which will not only slow down the execution of the five-year plan, which 
will take seven if not ten years to achieve, but results even worse may 
occur; here such a blatantly squandering of means could happen which 
would discredit the whole idea of industrialization.”


Strumlin admitted that the planners preferred to “stand for higher 
tempos rather than sit in prison for lower ones.” Strumlin and 
Krzhizanovksy had been expressing doubts about the plan for some time 
and Stalin removed these acolytes from Gosplan in 1930.


In order for the planners, who were operating under terrible political 
pressure, to make sense of the plan, they had to play all kinds of 
games. They had to falsify productivity and yield goals in order to 
allow the input and output portions of the plan to balance. V.V. 
Kuibyshev, another high-level planner and one of Stalin’s proteges, 
confessed in a letter to his wife how he had finessed the industrial 
plan he had developing. “Here is what worried me yesterday and today; I 
am unable to tie up the balance, and as I cannot go for contracting the 
capital outlays–contracting the tempo–there will be no other way but to 
take upon myself an almost unmanageable task in the realm of lowering 
costs.”


Eventually Kuibyshev swallowed any doubts he may have had and began 
cooking the books in such a way as to make the five-year plan, risky as 
it was, totally unrealizable.


Real life proved how senseless the plan was. Kuibyshev had recklessly 
predicted that costs would go down, meanwhile they went up: although the 
plan allocated 22 billion rubles for industry, transportation and 
building, the Soviets spent 41.6 billion. The money in circulation, 
which planners limited to a growth of only 1.25 billion rubles, 
consequently grew to 5.7 billion in 1933.


Now we get to the real problem for those who speak about “planning” 
during this period. As madcap and as utopian as the original plan was, 
Stalin tossed it into the garbage can immediately after the planners 
submitted it to him. He commanded new goals in 1929-30 that disregarded 
any economic criteria. For example, instead of a goal of producing 10 
million tons of pig iron in 1933, the Soviets now targeted 17 million. 
All this scientific “planning” was taking place when a bloody war 
against the Kulaks was turning the Russian countryside into chaos. 
Molotov declared that to talk about a 5-year plan during this period was 
“nonsense.”


Stalin told Gosplan to forget about coming up with a new plan that made 
sense. The main driving force now was speed. The slogan “tempos decide 
everything” became policy. The overwhelming majority of Gosplan, 
hand-picked by Stalin, viewed the new policy with shock. Molotov said 
this was too bad, and cleaned 

Re: [Marxism] Soviet economic model

2017-07-30 Thread Ralph Johansen via Marxism

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Michael Lebowitz  wrote

Impossible not to respond to Andrew Stewart's query: "Does anyone have a 
decent, understandable brief that explains the operation of the Soviet 
economy at its best moment (what that is probably is going tobe a whole 
other debate)?"


Here was my entry: "Contradictions of 'Real Socialism': the Conductor 
and the Conducted", published by Monthly Review Press in 2012 (with a 
Cuban edition in 2015 and revised Spanish translations forthcoming in 
Chile, Ecuador and Spain) and reviewed nicely by Louis at 
http://www.counterpunch.org/2012/10/03/the-contradictions-of-real-socialism/


and

Walter Daum wrote

I offer a chapter of my book, The Life and Death of Stalinism, published 
in 1990:


http://lrp-cofi.org/book/chapter5_stalinistcapitalism.pdf.

Since then Soviet archives have been opened to scholars, and I believe 
that the broad ideas in this chapter are illustrated in, for example, 
the book The Political Economy of Stalinism by Paul R. Gregory, which 
might be available online. t.



I have recently read Michael's fine book and just finished reading 
Walter Daum's, both for an online discussion group, and I found both 
enlightening, informative and helpful. Michael's book is the more recent 
(2012?), containing much food for thought - lessons to be learned, as 
has been true of all of his books.  Walter's was written in the period 
from 1985-1989 and therefore is kind of prescient. It's exhaustively 
researched and closely reasoned on the principles of Marxism and on the 
topic of the rise and fall of Stalinism and the breakup of the Soviet 
Union. So readem both; they offer somewhat differing views, both worth 
considering. Walter's is even online yet, and Michael's is very 
accessible in paperback.



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Re: [Marxism] Soviet economic model

2017-07-30 Thread RKOB via Marxism

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Obviously there are many books on this issue. Concerning Stalinism and 
the Cuban economy I would add:


Michael Pröbsting: Cuba‘s Revolution Sold Out? The Road from Revolution 
to the Restoration of Capitalism


The book can be downloaded as a pdf 
here:https://www.thecommunists.net/theory/cuba-s-revolution-sold-out/




Am 29.07.2017 um 23:32 schrieb Andrew Stewart via Marxism:

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Does anyone have a decent, understandable brief that explains the operation
of the Soviet economy at its best moment (what that is probably is going to
be a whole other debate)?



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Re: [Marxism] Soviet economic model

2017-07-29 Thread Vladimiro Giacche' via Marxism
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quite interesting on the matter: Cohen, Farm to factory : 
http://press.princeton.edu/titles/7611.html
> 
> 
> 
> On 7/29/17 5:32 PM, Andrew Stewart via Marxism wrote:
>> Does anyone have a decent, understandable brief that explains the operation
>> of the Soviet economy at its best moment (what that is probably is going to
>> be a whole other debate)?
> 

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Re: [Marxism] Soviet economic model

2017-07-29 Thread Louis Proyect via Marxism

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On 7/29/17 5:32 PM, Andrew Stewart via Marxism wrote:

Does anyone have a decent, understandable brief that explains the operation
of the Soviet economy at its best moment (what that is probably is going to
be a whole other debate)?


 I also have high regard for anything written by Moshe Lewin, who 
started off as a blast furnace operator in a Polish factory during WWII 
and then became a major figure in academic Sovietology. I read his 
Russia — USSR — Russia: The Drive and Drift of a Superstate and 
recommend it highly.



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