22. The economic situation in Ukraine was in the second half of the 80's (textbook)

§ 22                                                                                               ECONOMIC SITUATION IN UKRAINE in the second half 80 years

 

1. Increase economic crisis

The intentions of Gorbachev's leadership bringing the economy out of stagnation and accelerate its development has not brought success. More that intensified the negative trend in the price field: Soviet economy moved from stagnation to decline.

The economic crisis has hit hard and in Ukraine. In 1990 Gross National Product was 2.4% lower than previous year, national income fell by 3,6% respectively. For the first time post-war years in the republic there has been an absolute reduction of output of goods consumer.

Suggested ways of center economy were half-, they have dominated the traditional administrative approaches, they do not zachipaly property, the existing political system.

Management of the economy remained centralized, strictly limituvavsya division between the republics and regions in financial, labor and inputs.

The nature of planning and distribution Soviet system in 1990 Chairman of Planning Committee of Ukraine (then President of the Ministers) V. Fokin defined as: "With all the Union republics to come bowl-union, where all and sip ... Directiveallocated funds, foundations, limits consumption, in short, all that which ox depends on the economy, quality of life ... Admittedly, centralized distribution a carefully thought-out system maintenance republics leash. And sometimes decisive role in the allocation does not play results of the work, and the degree of commitment of a stolonachalnyka.

Launched the introduction of economic farm management practices was limited: the mechanisms of economic Recovery of both tax, credit, finance used superficially and inconsistently.

Limited rights enterprises to use funds allocated for the development of production, socio-cultural sphere.

Economy of Ukraine oderzhavlenoyu remained was a part-Union economic complex.

Central ministries and departments managed 95% of all property that was in the republic, 65% of all Federal enterprises were subordinated and their managers were appointed center.

75-80% of Ukrainian industry produced enterprises-monopolists. As a consequence many enterprises continued to produce low-quality products, narrow district range and unjustifiably raise her prices. Lack of forced choice consumers to buy low-quality products.

In placing the industry  prevailing structural and territorial dysproportsiynist. In Ukraine, the share of industries in which tools were made production was 70%, and industries that produce commodities. 30% whereas in advanced Western countries have been the opposite.

In 1990, in Ukraine agriculture economy employed 19,4% of the population, industrial production 53,8%. in Service 24,4% (in developed Western countries the majority of the population employed in services).

Economy of Ukraine focused not on people, their needs and on production for production. Serious disparities were in the territorial allocation of productive forces. The level of economic development center and west of Ukraine was almost twice lower than Dnieper and Donbas.

The policy of the central leadership led to that in Ukraine there was a very high potential of basic industries production. But they were focused on serving the needs of -union economy.

The basis of the Ukrainian economy were donation extractive industries Coal, iron ore, ferrous metallurgy etc.. Public investments were directed mainly to the accelerated development of nuclear Energy.

The main share of capital investment central office is directed at modernizing production, application High technology and the construction of new facilities.

In the mid-80's among the operating mines Donbass 280 is reconstructed almost 20 years, worked on the old equipment.

Much of the Ukrainian industry has been militarized, that is focused on the issue of military vehicles and weapons.

About 30% of military-industrial the Soviet Union fell to Ukraine, about 80% of engineering industries were involved in weapons production. These enterprises focused best equipment, highly skilled, stuff and more. Before firing up the Soviet Union for military purposes was spending about 35% of the Federal budget for this purpose is large enough share of the budget in the industry vkladalas Ukraine.

During the USSR Ukraine involved in foreign relations, it accounted for 20% -Union exports to go in 123 countries.

International trade connections were more than 1 400 Ukrainian enterprises. Closest economic Ukraine relations with European countries supported the "socialist Commonwealth.

The structure of exports dominated products heavy industry, electricity, cement, manganese and iron ore, pig iron, forging and pressing equipment etc..

In foreign relations Republic had inactive balances Products for Ukraine was primary and secondary stages of treatment, and valued so cheaply.

And yet, from Ukraine to foreign States exported products to tens of billions of rubles. However, Ukraine was deprived of their rightsоюin the distribution of income They settled in central Moscow banks.

Focused on the Ukrainian lands almost fourth of all-industrial and agricultural potential. Large concentration of metallurgical, chemical, power plants created a complex environmental situation.

Into a zone of ecological disaster gets 15% Ukraine. Unilateral economic policy center, limited costs nature conservation, ignoring environmental laws led to the biosphere pollution of ground and surface water, that it influenced atypiyu human health.

Without scientific justification, without account of public opinion rapidly developing nuclear power.

In Ukraine in the late 80's was concentrated about 40% of the total nuclear power capacity of the USSR. From Because of this we can say that Ukraine has become a hostage Disaster the Chernobyl AESThat occurred April 26, 1986

The danger of radiation has explosion, population Sweden found out earlier than Ukraine. Scientists recognized that the Chernobyl disaster has become planetary measurements. Only in Ukraine affected by Chernobyl disaster 3,5 million inhabitants, 73 thousand people became disabled. Characteristically, М.Gorbachev visited areas Ukraine affected by the Chernobyl disaster, only three years after the explosion, and Belarus in five years.

The Chernobyl accident has forced people Ukraine to think about the economic consequences of the Federal Center Gorbachev's glasnost demonstrated illiteracy, urged Ukrainian community to intensify the fight for the right of independent economic policy.

 

Document

Evidence of the ecological situation in Ukraine / excerpt from the book /

If the first mistake of large perestroika era bыla antyalkoholnaya campaign of then Chernobyl became the first from the largest vzorvavshyhsya "Minutes", zalozhennыh in the foundation of society to the beginning of perestroika. ... And the first eё path to tragedy. On yavylsya of his nature of catalyst Public Policy processes in Ukraine. "There Founded considered a - notes A. Grabowicz- What is this uzhasnoe Sobytie was vazhneyshey from reason, which is finally stepping up efforts to tolknula people for Ukraine's independence.

K is also allowed the Chernobyl accident a new vzhlyanut on environmental conditions of the republic. The full picture of his soderzhat, in particular, preparatory materials, prednaznachavshyesya k Use of at DISCUSSED AT SESSION USSR Supreme Council in February 1990 Manuscript question "On the situation in the republic of environmental and indigenous measures to eё improve the ". Here lysh Some excerpts from them: in the USSR number of emissions vrednыh substances into the atmosphere from industrial sources in units of square of nearly 7 times higher than srednesoyuznыe figure. Of the 68 cities of the country with naybolshym atmosferы POLLUTION levels in Ukraine raspolozhenы 12 (ie 17,6%, while udelnom fun republic in the territory of the country less than 3%). Despite the restriction against all decisions of the largest growth industrial cities of the number of them for the past 30 years has risen from 12 to 25, and fate prozhyvayuscheho them in urban population - from 36% to 46%.

Inquiries to document

1. Read an excerpt. Do you agree with the view impact of the Chernobyl disaster on the social and political processes in Ukraine? Why / why.

2. Using documents and materials of the textbook, Prepare a report entitled: "The environmental situation in Ukraine in 80 years.

 

 

2. The situation in agriculture economy

In a difficult position and were agriculture, although at the highest party-state level varying extent tried to solve the problems of development.

The central leadership has recommended The following forms of management, as Brigadier, family succession, providing land lease, the organization cooperatives.

However, these suggestions do not materially supported by the state, there was no proper legal support for introduction of new forms.

Plus, these forms of management were not like the leaders of the agricultural sector, because they involved the reduction role and reduce bureaucracy. Therefore, the main forms of management remained in the village collective and state farms.

Agriculture in developing extensive basis. The increase in production in collective farms and farms was due to expansion of cultivated areas. As a result of erosion Soil vtrachalysya thousands of hectares of fertile black soil.

Still, Ukraine produced over 23 agricultural interests of the USSR.

Since the centralized function system for storage and the Ukrainian authorities had most of the products exported outside the republic, in Ukraine itself felt with food shortages.

Problems with food have despite the fact that Ukraine had about fourth of the world reserves of fertile black soil and 27% agricultural sphere land European continent and favorable natural climatic conditions.

There was an acute problem with the provision of meat and dairy and many agricultural products. After 80 years, compared with previous years, the amount of meat and butter that come in trade with public funds, is constantly decreasing. In those years, Ukraine consumed meat three times less than in the U.S., also lower quality.

Excessive chemicalization Agricultural production of food consumption has led to a significant number of harmful human organism.

Waif used land wealth of Ukraine. Unless the collective farmers large amounts of fertile land vidvodylysya under industrial building.

Misuse pesticides in agriculture has caused large areas zatruyennya, damaged Rivers, lakes, fauna and flora.

Because of mismanagement in Ukraine disappeared 20 thousand rivers in the reservoir annually thrown off from the fields of tons of toxic chemicals and chemical fertilizers. Industrial stationary sources and vehicles created critical situation in the air. The level of purification environment from hazardous wastes in Ukraine was far from international standards.

Conducted in 1986 certification production in the agricultural sector showed that in the collective farms Republic of manual labor share averaged 75%. Yet these were higher performance in vegetable production, horticulture, sugar beet, cattle breeding.

 

3. Crisis social services

The economic crisis has adversely affected and the social sphere.

Analysis of wage workers and employees, collective farmers cash compensation, total retail turnover state and cooperative trade shows that in 1988 level Life Ukraine had a significantly lower not only compared with Russia, but also in the Union general.

The level of fertility in 1990 Republic ranked 15 seats, with mortality shared with Estonia second place in the USSR. Natural population growth during the 1980-1990 biennium fell nearly 5 times.

The Chernobyl disaster more complicated situation with the state of health, and life expectancy at early 90 years, Ukraine ranked 32 places in the world and the level of child mortality one of the first.

In the social sphere of village and town in the late 80 years accumulated many unresolved problems.

Pretty sharp there was a problem quality of rural housing. Measures for streamlining and improvement of many rural settlements are not extended beyond peasant. Extremely slow held gasification villages. Lagged medical, cultural and educational service.

Unfavorable conditions for satisfying vital needs of the rural population compared to urban migration caused Confidence in the most rural residents, especially young people.

There was intense irreversible migration rural residents to cities which led to znelyudnennyaand the desolation of many Ukrainian villages. For 15 years (from 1975 to 1990) number of rural population decreased by 3,5 million people. Especially threatening situation in areas such as Chernihiv, Sumy, Khmelnytsky, Cherkasy, Vinnytsia.

Significant outflow of rural population in cities has led to what in the villages began to dominate the elderly, retired. So the authorities villages navishuvala label "Wasted". They closed schools, limited trade, zhortalasya social sphere.

Unsatisfactory was condition the provision of public demand for essential goods.

The reasons for that cities were carried primarily in the weakened attention to work light industry and trade organization. Abandoned and was services sector.

Untiringly increased prices on goods and services both in the cooperative, and public sectors of commerce and everyday life. Endless queues і Stores became a sign of life.

The obstacles to delivering food and industrial products to consumers began to arise all sorts of mediators which bypassing the state system of trade, nazhyvalysya to "black market". In circulation ever entered such a thing as "Deficit".

Scarce goods could be bought mostly speculators. In November 1990 Soviets introduced the sale of food and industrial goods by Consumer cards with coupons, citing the need to limit the event of criminal groups th consumer market. This event is partially restricted, but did not stop fraud в trade and created more inconvenience to customers.

In the late 80's - early 90's There was a dramatic deregulation of the consumer market.

This was coupled with the fact that the Soviet Government has in 1987 passed a resolution to increase wages, but without any compensation in output.

Within two years monetary income population increased by 23%. In Ukraine, provision of goods without the money supply increased by 10 billion rubles. It without taking into account the savings of money that kept directly to the public.

All that stimulating speculation impetus for export goods outside the country. Painful crisis in trade hit the interests of most consumers, especially for disadvantaged September-stkah population.

Negative processes in society pohlyblyuvalysya campaign against drunkenness and alcoholism, which was federal character.

In Ukraine in 1985 target areas and declared area "Zones of sobriety" where prohibited, any liquor. For two years, Ukraine has been cut 60 thousand hectares of vineyards.

This approach was only temporary effect he abolished the drinking, but stimulated other negative social phenomenon. Increased sharply samohonovarinnya, speculation alcohol. Spread phenomena such as Drug addiction and Substance Abuse. At the beginning of 1986 were registered in Ukraine 18.4 thousand drug addicts, then by mid 1987 registered already were about 28 thousand The prevalence of the disease in Ukraine exceeded serednosoyuznyyindex in 1,5 times, and morbidity in 2,4 times.

Although all regions of Ukraine raportovalo Moscow on reducing by half or more of alcohol, drinking still flourished, especially in manufacturing, increased injuries and crimes committed drunk.

In a society growing dissatisfaction policy of "perestroika". Party-state leadership of Ukraine under pressure case tried independently solve economic problems, made some steps in this direction.

The authorities began to Ukraine gradually take control of the republic's economy, bypassing central departments. In addition, late 80's left in Ukraine only 5% of republican subordination.

In March 1990, Parliament Ukraine adopted a resolution "On the economic situation in the republic and measures for its radical improvement. However, decisions were of limited character and were focused on the management of resolving the situation.

Resolution ordered Offices republic stop new industrial construction in major cities and areas where environmental environment was already so polluted. Supposed to withdraw from the operation Chernobyl nuclear power plant by 2000, stop the dumping in waters contaminated waste water, etc..

However, to overcome the economic crisis by through traditional administrative-command methods was difficult.

Parliament of the Republic August 2, 1990 received Law on the economic independence of the Ukrainian SSR. This Act involved the following.

                   Ukraine had independently determine Strategy socio-economic development, the structure of the economy, priority areas of economic activity.

                   All are located in Ukraine enterprise institutions and Organization declarative its narodnohosponomic complex.

                   Under the laws of Ukraine dozvolyalasya economic independence and freedom of entrepreneurship Legal and individuals expected introduction of national currency unit National Customs and Ukraine's accession to the international economic and financial organizations.

 

Document

With memories W. Wroblewski - Assistant to the First Secretary of Central Committee of Communist Party V. Shcherbytskyi.

ECONOMY Ukraine, and as all soyuznыh republics, in a unique razvyvalas narodnohozyaystvennom complex. Centralizing management pozvolyala dostych neobhodymыh of results in эkstremalnыh Situations such as War and restoration...

However sided emphasis on centralization and neyzmenno neyzbezhno porozhdal perekosы, obuslovlennыe operation of unitary state. In the interest of the center, zachastuyu syyumynutnыh, yhnoryrovalys interests republics ... Diktat center narastal, neredko pryobretal bezdumnoy form, blyzorukoy Policy.

Priority vneshnepolytycheskoy doktrynы s Race vooruzhenyy yzmatыvaly economy, podrыvaly stanovoy kostyak country. She did not could odnovremenno reshat эty two more tasks. As a result, the country's razvyvalys Two parallel economy - hrazhdanskaya and Defense, between kotorыmy prolehla "Chinese Stan. Neither with something nesravnymaya mylytaryzatsyya neyzbezhno led K disparities, imbalances k stahnatsyy in general.

Yndustryalnaya mosch Ukraine, sozdannaya obschymy The efforts in the country's 30th Years, and Then the vosstanovlennaya in poslevoennыy period, in end, okazalas otstaloy, especially EE bazovыe industry. As a result the investment Policy Center yznos fixed assets 50-60% ripe. Preobladanye group A led K is that only 29% industry worked on potrebytelskyy market for. Tyazhёlaya industry is prevraschalas bigger in chudovyschnoho monster pozhyrayuscheho kapytalovlozhenyya s rabotayuscheho, above all by themselves.

Эkstensyvnыe factors of production yscherpыvalys. And, despite all The efforts, economic tempы growth were fall. Tyazheleyshymy Kandal skovыvaly economy of dolhostroy, nezavershenka, sverhlymytnыe zapasы neustanovlennoho equipment, Including the Volume in ymportnoho. Everything this is at Volume svydetelstvovalo that the reserves and the possibility of administrative and komandnoy system were yscherpanы ...

Questions for document

1. What Mr. Wroblewski attributed the economic crisis second half of the 80's? Do you agree with his arguments?

2. With passage of the textbook and materials, prepare a report on the topic: "Causes and consequences of economic crisis in Ukraine second half of the 80's.

 

Questions and Tasks

1. What economic crisis has manifested itself in second half of the 80's?

2. Provide examples that demonstrate worsening environmental problems in the second half of the 80's.

3. What were the main problems of agriculture Ukraine in the second half of the 80's?

4. Identify the features of economic development in Ukraine period of perestroika.

5. What caused the worsening demographic situation in Ukraine in the second half of the 80's?

6. Testified to the high level of militarization of the economy Ukraine?

7. When adopted the Law "On economic independence Ukrainian Soviet Socialist Republic "?

8. Identify the main causes of economic recession in the second half 80 years.

9. Describe the situation in agriculture second half of the 80's

10. What the crisis revealed the social sphere?

11. Identify the causes of food problems in Ukraine in 1989-1990 he

12. It is believed that the Chernobyl disaster was a result of depends Ukraine's economy from the central Soviet authorities. Do you agree with It? Why / why.

13. What do you think it was necessary to make management country to overcome the economic crisis?

14. Why, in your opinion, anti-alcohol campaign was grave social consequences? Find analogues in world history and compare them with the campaign that held in USSR. Can such campaigns be successful?

15. Is there, on What do you think the possibility of economic changes in the times of "perestroika" without the liberalization of social and political life? Is it always changes in the economy must be accompanied by political changes? Why / why.