Perestroika and the Soviet Union

This paragraph succinctly summarizes the debate now exploding across Russia as to the appropriate strategy and direction of economic reform. On the one side are the proponents of "shock therapy," often associated by its critics with a missionary, dogmatic view of the economic changes necessary to introduce market reforms. On the other side are the institutionalists, or pragmatists, who are often seen by their critics as apologists for the status quo unwilling to institute the inevitable policy choices, which will, in the short run, increase tremendously the economic burdens on the average Russian.

The analysis which follows will identify the most important individuals associated with each perspective as well as describe the major dimensions and assumptions of their respective economic strategies. The end result will hopefully be a more complete understanding of the political and economic conflict now swirlin

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ists The economists and political scientists in the United States who are associated with this strategy take an extremely critical view of "shock therapy." They see the marketization process as going forward but not towards the type of "free-market capitalism" endorsed by Jeffrey Sachs. One prominent proponent of this perspective is Stephen F. Cohen, professor of politics and director of Russian Studies at Princeton University. Cohen argues that the leap to capitalism "shock therapy" that has thus far been inflicted on Russian society by Yeltsin and Gaidar at the urging of Western governments and banks and spearheaded by the IMF has predictably failed to fulfill any of its promises. Instead, he holds this strategy responsible for skyrocketing consumer prices, a further collapse of the ruble, the impoverishment of most Russian families, plummeting industrial production and a continuing decline in popular support for liberal economic and political reform.[9] Cohen believes that most economic thinking about Russia today, in the U.S., is based on the missionary premise that the U.S. can and should help convert that historically very different society into a market replica of America. Cohen is adamant that of all Russian future
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Some common words found in the essay are:
Soviet Union, Sachs Gaidar, Central Bank, Milton Friedman, Soviet Union3, Cohen Wachtel, North Pole17, Yeltsin Gaidar, America Cohen, Overview Economy, shock therapy, former soviet, jeffrey sachs, 1992 pp, military-industrial complex, soviet union, shock therapy school, pp 46-48, oil gas, wachtel common, common sense, former soviet union, wachtel common sense, lipton russia brink, sept 12-18 1992,
Approximate Word count = 2588
Approximate Pages = 10 (250 words per page)

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