Soviet economy → based on idea → state was in best position to make decisions about economy
- thus state decided which areas of economy should receive immediate investment and be developed
- controlled resources like oil, coal, energy.
- also controlled production, prices, wages, and all other vital aspects of economy
For much of USSR existence → command economy seemed to be achieving its main aims. in 1920s → USSR was relatively backward → mainly rural economy
- most of population lived in poverty and squalor
- education was rare, and there were high rates of death from disease and alcoholism
1928-1940: USSR transformed into modern industrial power with impressive growth rates. By 1940s: USSR was modern economy with industries, infrastructure like roads, railways, dams, and power stations and a developing public education system
- modernisation was tremendous achievement
As we have seen → USSR → also able to defeat NG in WWII → despite immense loss of life + damage to property. in 1950s + 1960s → it saw continued economic growth.
- soviets had guaranteed jobs, good healthcare, place to live, free education to university level