How successful was Leonid Brezhnev in dealing with the economic problems of the USSR after 1973? •
During the 1970's, the Soviet economy started to slow down despite efforts to increase production, especially in consumer goods. (Not a effective model for producing consumer goods because production levels and prices were not determined by the forces of supply and demand. •
The Five Year plan remained the model for economic.
Despite all this, the Five Year Plans remained the model for economic planning. (Prime Minister Kosygin was responsible) •
Eighth Five-Year Plan was successful. (Kosygin wanted to increase production of goods) •
Some increase in production in the 8th Five-Year Plan, but the 9th and 10th were very disappointing. •
The Oil Crisis of 1973- USSR benefited from increased oil and gold prices. this meant that badly needed reforms became less important and so could be postponed. •
Brezhnev restored central control over agricultural planning but retained the larger collective farms set up by Khrushchev. •
He also increased the size of private plots.
Brezhnev believed that bigger kolkhozi would mean more efficient farming. •
By the last 1970's collective farms received 27% of all state investment. •
1980, gross agricultural output was 21% higher than average for 1966-70. •
Prices paid for Kolkhozi for their production was increased. •
Life under collective farming improved under him.
Workers were paid more! (regular wages)
There were some problems though:
The collective farms were too big and inefficient.
The labour supply was shrinking.
Maintaining farm machinery was problem and so tractors, for instance, were often out of service. 4.
It was difficult to store food and transport it to the cities.
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