Socio-Economic Consequences of Soviet Modernization
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JOURNAL OF CRITICAL REVIEWS ISSN- 2394-5125 VOL 7, ISSUE 13, 2020 UZBEKISTAN IN THE LATE 1980 s AND EARLY 1990 s: SOCIO-ECONOMIC CONSEQUENCES OF SOVIET MODERNIZATION 1RakhmatullaevShavkatjonMuhammadalievich, 2SalimovSherzodYunusovich 1candidate of history, Senior research fellow Of the Institute of history of the Academy of Sciences of the Republic of Uzbekistan. E-mail: [email protected] 2Doctoral student of the Institute of history of the Academy of Sciences of the Republic of Uzbekistan. E-mail: sh- [email protected], +998935372706 Received: 22.04.2020 Revised: 24.05.2020 Accepted: 19.06.2020 Summary. The experience of practical implementation of structural changes in the economy and social sphere gradually implemented in modern Uzbekistan shows that the main trends in the development of the previous (Soviet) stage of socio-economic development significantly influenced the development of the strategy of its own model of reforms. The Soviet model of modernization (the so-called conservative model [1]) implemented in Uzbekistan, largely built to please the Russian Center, caused the main contradictions and shortcomings that had accumulated in the Republic by the early 1990s. The proposed article is an attempt to briefly outline the socio-economic problems of Uzbekistan at the turn of the 80-90 - ies of the XX century. It was at this time that the permanent crisis of Soviet society reached its critical point, and the shortcomings of command and administrative management methods were fully revealed at all levels. The arbitrary practice of building a fundamentally new state based on egalitarian principles and utopian ideas, which had no analogues in history, revealed the inability of the Soviet model of development to function effectively at almost all stages of its development. Just as a strategically unjustified leap from one system to a completely different one, experimental (so-called socialism) was carried out, relying on dogmatic beliefs in violation of socio-economic laws developed over thousands of years. At the same time, despite certain achievements in economic development and social development of the population, the country's outskirts, especially Uzbekistan, found themselves in extremely contradictory conditions. By the time Uzbekistan gained state sovereignty, the economy of the Republic had almost lost its ability to overcome acute crisis phenomena in the socio-demographic sphere, including the problems of reducing the standard of living of the population and increasing the level of poverty. This was especially evident in the most problematic region of Uzbekistan-the Ferghana valley. During the study period, socio-economic processes in the Republic, including in the regions of the Ferghana valley, were characterized by inconsistency between the growth of the population, the development of productive forces in General, and in relation to the specific conditions of the region. Ignoring the economic interests of the Republic, damage to the environment, and other economic, political, social, and ideological factors caused the tendency to increase the potential for social tension. Keywords: demography, one-sided development, production, industry, agriculture, socialism, social sphere, Uzbekistan, planned economy. I.INTRODUCTION The centralized systems of the "planned economy", artificially created and forcibly introduced in the Soviet era, were not worthy of effective activity at most stages of its development. Experiments on the basis of formational coexistence (without negating positive results), that is, the transition from feudalism to socialism without passing the path of capitalist development (jumping from one society to another), ended for thousands of years in the denial of the path and laws of evolution. The experience of the policy of war communism led to the fact that the system of economic behavior, which was solved from year to year, led to the adoption by the Central bodies of unlimited authorities of based methods of non-violent management, under its influence, contradictions accumulated in the national economy and gradually arose crisis situations in a society whose minimum needs were met and socially protected (mainly in the last years of the Soviet Union), was not only devoid of materialism, but also did not realize the deep state of degradation, what was happening in the country's economy. 1698 JOURNAL OF CRITICAL REVIEWS ISSN- 2394-5125 VOL 7, ISSUE 13, 2020 In particular, " in the 60s, the conflict in the economy began to manifest itself, the current mechanism of economic behavior began to demonstrate the impossibility of eliminating these contradictions. The pace of economic development has fallen sharply, and spending has increased. The lack of material goods and means became obvious. Economic tools and factors did not work in practice. In the technical development of production and the standard of living of the population began to lag far behind Western countries " [2]. One of the main reasons for this is that during the years of the domination of the socialist economy, a "system of economic protection" for the production of low-quality products was created. It is based on a disproportionate financial policy in the external and internal markets, that is, through administrative measures, unrealistic setting of the exchange rate of the currency, strict setting and holding prices without taking into account the state of the internal market, narrowly bureaucratic interpretation of the monopoly of foreign trade. The above was motivated by the implementation of measures aimed at ensuring that the country's leadership achieves a low level of economic growth, as well as maintaining the external economic balance [3]. At the same time, no matter how much effort was made to organize rational production, the economy, left in the grip of flatness and equal divisions of prints, was deprived of opportunities for self-development. As a result, the country's economy has undergone deep negative changes since the mid-1980s. The leadership of the Union understood that it was necessary to make some changes in order to save the endless spending, inefficient Soviet economy from collapse. Since the second half of the twentieth century, several attempts have been made to reform the economy, in particular, to eliminate voluptuous processes in socio-economic life. However, the fact that the ongoing reforms were incredibly limited, designed for short periods of time and aimed at solving secondary issues, led to a radical improvement in production, creating a stable basis for the relentless growth of its indicators. On the contrary, price action has become one of the most powerful factors that keep the level of monetary issuance on hold, shutting down the economy and prosperity. As a result of the situation that arose in the State price policy, it began to use speculative tools in the sale of industrial goods in the country, especially imported goods to the population. The main goal was to "patch up the holes" that appeared in the State budget. For example, the heads of the Ministry of Finance for such events (especially in the 1970s and 1980s) almost every year from the Council of Ministers for the purchase of consumer goods from abroad allocated 1-1.5 billion rubles. they demanded the allocation of dollars. The establishment of artificial prices for imported goods and their sale on the domestic market at an inflated price amounted to 10-15 billion UAH. rubles of profit in the State budget [4]. II. Results and Discussion For many years the problems that were hidden in all spheres of the economy and has not found its solution, appeared in the opening, major differences between production and consumption manifested in monetary growth of the population and payment of goods, violation of circulation of money and economic relations, as well as rising inflation," in the complete collapse of the economy has led to tremendous growth of the lack of material and financial resources " [5]. This condition can be seen from the following work [6]. Table 1 Indicators Unit of Years measurement 1969 1970 1980 1985 1988 1989 Population funds in the bank mln. rubl. 38,4 46,6 156,6 228,0 306,7 319,8 Wholesale and retail trade and mln. rubl. 42,3 42,3 67,1 98,0 82,1 80,0 industrial goods reserves Coefficient of commodity coating percent 90,7 90,7 233,2 232,6 361,4 399,4 of money mass According to Uzbek expert U. Rashidov, the negative economic principles that began in the 1980s exceeded 1985, and the situation in the domestic consumer market was rapidly deteriorating. The market is increasing the issue of monetary units that are not covered financially. For example, in the first half of 1989, the issue was 8.9 billion rubles. by the end of the year, when the volume of the ruble will increase by 2 times, it is expected to increase by 18 billion. reached the ruble. This was 56 percent more than in 1988. The current increase in prices for consumer goods and paid services is 2 percent compared to 1988. Taking into account the growth of unsatisfactory 1699 JOURNAL OF CRITICAL REVIEWS ISSN- 2394-5125 VOL 7, ISSUE 13, 2020 demand (hidden inflation), the scale of inflation in the consumer sector reached 7.5 percent. The situation is such that emissions were predicted in advance. For example, in 1990-10 billion rubles was planned to be issued. Naturally, all these processes and assumptions led to growth and eventually to gross inflation[7]. The socialist economic system, following the plan, came up with a "disease" that can show the achieved indicators of the revolution. The gross product index, which occupied the main place in the bun, did not give real information about the actual cost of the product produced. Because in the process of specialization and cooperation, the same raw materials and semi-finished products were repeatedly recorded in financial accounting documents [8]. This is what led to falsification in the calculations for the produced product, in some statistics, the volume of the product was reflected with different figures.