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Inconsistencies in the economic mechanisms of Western countries and the USSR

In the scope of economic mechanisms, differences in systems are most obvious and fundamental, and they have a decisive influence on the behavior of economic entities. The basis of incompatibility in this link is a whole set of reasons. The main one is the differences in forms and property rights. This implies the difference in the goals, driving forces and motives of managing, as well as the way to satisfy and protect economic interests, differences in the characteristics and structures of the market, in the behavior of leading economic institutions, in the legislation and specific practice of functioning of economic agents, in the degree of mobility of production factors, in servicing the business process and others. A multistructure market economy of the capitalist countries with the functioning of various equal subjects of their own Our economy is opposed by the property protected by law and all the power of state power, with vertically subordinate economic entities still deprived of legislative protection, with an absolute predominance of state (really departmental) property.



This leads to a number of fundamental inconsistencies. The first is the lack of real opportunities for our enterprises, firms, cooperatives for economic choice and full-fledged entrepreneurial behavior (mobilizing capital and resources, organizing production and marketing, creativity and risk, economic maneuver and long-term vision). It is clear that no alliance of a free Western entrepreneur with a tangled plan, many restrictions and prohibitions by a Soviet business executive, who is also within the framework of a tough sectoral, that is, fundamentally different, structure, can truly work and be successful in the long run according to the criteria of the world market .



Indeed, many of our business executives, as it turned out, are not ready for a market economy, they are afraid of a market struggle, because for the most part they act But with other criteria of our inner life, under the tutelage of ministries and departments. Therefore, all attempts to combine enterprises located in different coordinate systems and playing according to different rules will not lead to a positive result. In our opinion, there can only be one way out - the creation of a common regime for the development of free enterprise in a variety of forms.



The second reason is the inconsistency of pricing systems in the West and in the USSR. There is a significant gap between domestic Soviet prices and world average prices used in foreign trade. It is determined, of course, by a number of historically developed circumstances, including the absence in the USSR of payments for land rent, and relatively low (in comparison with the world average) wage rates, as well as low domestic prices for mineral and fuel resources, and electricity. upfanz.com/ buy instagram likes


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