Socialism in the Soviet Union

The following research is on the subject of developed socialism in the Soviet Union. In the now almost two-year old Carter Administration we have witnessed a renewed interest in the more competitive aspects of the relationship between the United Stats and the Soviet Union. The rather crude utilization of the carrot-and-stick philosophy of relations with an adversary has focused attention on the relative strengths and weaknesses of both our respective military and economic systems. Those who seek to know the "bottom line" - and tend to oversimplify in getting there - are again asking, "Who is the stronger?"

It has been said of the development of our two nations that the United Stats is gradually becoming more socialistic and the Soviet Union more capitalistic; and some speculate that the two nations will, at some unspecified future date, meet, their differences lost in a kind of corporate sameness. The purpose of this paper is to examine the theory and development of socialism as it is practiced in the Soviet Union. We shall examine the underlying premise of Marxist economic thought as it was adapted in the Russia of the early twentieth century, the premise of a planned and centrally-directed national economy. And we shall see that such a system has both significant theoretical merits, as well as considerable drawbacks. Further, we shall see how necessity - both economic and political - has forced the leadership of the Soviet Union to modify original Marxist thought i

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red a low rate of investment in state-owned industries to avoid hampering other sectors of the economy. The other school of thought held for a priority on heavy industry, and an economy geared to the rapid realization of self-sufficiency. Those within the first group advocated a sound monetary system, accurate accounting methods, and a meaningful pricing system. Many within the second group felt that prices could be manipulated by the central planners and even advocated a "wartime economy." The second group won. Interestingly, it was assumed in the 1920's that planning and centralized management were synonymous, and political life was wrapped up as well. Stalin saw political and economic centralization as interconnected. The situation in his time was one of "socialism in one country" faced with "capitalist encirclement." The mobilization of resources toward specific goals which central planning permits can lead to rapid growth, but such mobilization is not possible with a very comprehensive socialization. The rapid takeover and central direction of the economy and politics of the nation was, therefore, not only justified, it was essential. Paradoxically, the Soviet Union is the world's most tightly controlled and ce

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