Eastern Europe. Is it now making money off of the original Soviet industry

Was Eastern Europe always behind Western Europe, or was it screwed over by the Soviet Union?

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Zhang Yichao

Eastern Europe, in fact, dipped into the light of the Soviet Union and socialism, and to a large extent became a burden to the Soviet Union, which had to supply them with a lot of raw materials, machinery, technology, food, milk, oil, etc., and the gap between the physical production capacity of Eastern Europe and Western Europe narrowed considerably during the socialist period. The Eastern European countries were supposedly screwed by Emperor Gorbachev because Gorbachev destroyed ****productivism and surrendered to the West, causing the West to fry the bottom of the Eastern camp.

(e.g., according to the Agreement on the Standardized System of Electronic Computers signed in the GDR on December 23, 1968, the USSR licensed Belarusian computer production lines and patents for transplantation to the GDR, Hungary, Bulgaria, etc., and a lot of people disparage the USSR on Knowledgebase, saying that the Soviet computer technology and production lines came from the GDR, but the truth is that it happened to be the other way around. These people did not even bother to check what the 1968 Agreement on the Standardized System of Electronic Computers was about the Soviet Union giving the production lines, patent licenses transplanted to East Germany, Hungary, Bulgaria and other Eastern European countries).

On the contrary after the evolution of the Soviet East, the Eastern European countries were speculated on the bottom by the Western capital and the national capital was almost completely deprived.

Beginnings and achievements of socialist construction in Eastern European countries

In the last three decades, while the achievements of the Soviet Union's economic construction have been obliterated, the socialist construction of the Eastern European countries has also been devalued. For example, on page 14 of Private Economy in China, it is written that "economies such as those of Czechoslovakia and Hungary, which were thriving before the war, have fallen behind those of other European countries." According to this statement, the economies of Czechoslovakia and Hungary were at the forefront of Europe before the war. However, the book does not provide statistical data to show that Czechoslovakia and Hungary were prosperous before the war and at the forefront of European countries, nor does it show how Czechoslovakia and Hungary lagged behind other countries during the period of socialism. The arguments of the "elite" are often not supported by arguments. Since "etc." denotes a category, a group, i.e., in addition to Czechoslovakia and Hungary, Poland, Russia, Bulgaria, etc., had "prosperous economies" before the war. But was this really the case?

Before World War II, 48% of Hungary's land was concentrated in the hands of 12,000 large landowners, while 1.2 million farmers occupied only 10% of the land, and 780,000 farmers had neither their own land nor leased land. Hungary was called "a country of 3 million beggars" (Faddeev, "The Economic Mutual Aid Committee", China Finance and Economy Publishing House, 1977, p. 19). At that time, Hungary's industry was also very backward: in 1938, in terms of per capita consumption of electricity, Hungary was 150 kWh, while neighboring Austria was 440 kWh; per capita production of cement was 35 kilograms in Hungary and 96 kilograms in Austria; and per capita production of steel was 71 kilograms in Hungary and 100 kilograms in Austria. (Institute of Economics of the Academy of Sciences of the USSR, "The World Socialist Economic System" (世界社会主义经济体系) (1960 edition, page 294 of the Triad Bookstore, hereafter "The World"). 1960 edition, p. 294). The low per capita consumption of electricity indicates that there are few electrical devices and appliances, indicating underdevelopment of industry and a low standard of living of the people; the low per capita production of cement indicates a low demand for construction. Consider also that Hungary, with a population of about 9 million, was known as "a country of 3 million beggars," how could the pre-war Hungarian economy have prospered?

Czechoslovakia was an industrially advanced country in Eastern Europe, but "in the period between the two world wars, Czechoslovakia's industrial development was extremely uneven. For example, in the period 1925-1929 production increased by 32 percent, while in the period 1930-1933 it was almost 40 percent lower than in 1929; production of the most important products did not increase much at all in comparison with 1913." (E&M, p. 24) Moreover, in terms of per capita production of industrial goods, Czechoslovakia still fell short of the Western European countries. For example, in 1938, per capita electricity consumption was 280 kWh in Czechoslovakia, which was lower than in neighboring Austria (440 kWh), France (450 kWh), Great Britain (540 kWh), and Germany (800 kWh). Per capita cement production in the Czech Republic was 88 kilograms, which was lower than Austria's 96 kilograms, France's 100 kilograms, Great Britain's 160-plus kilograms and Germany's 220-plus kilograms. Steel production per capita Czech 128 kilograms exceeds Austria's 100 kilograms, but is lower than France's 150 kilograms, Britain's 220 kilograms, and Germany's 330 kilograms. (The World, p. 294, and according to the Centennial Statistical Abstract of England, France, the United States, Germany and Japan.) How, therefore, can the Czech Republic claim to be a "prosperous economy" in Europe?

Poland's industrial production in the late 1930s, before World War II, was at 1913 levels. Of the country's 35 million people, only 800,000 were employed in industry.

Poland's population was the sixth largest in Europe after the Soviet Union, Germany, Britain, France and Italy, but the total industrial output was only the 16th largest in Europe, so the per capita industrial output was very low. 1937, per capita steel production in Poland was only equal to 1/5 of that of France and 1/10 of that of Germany. the per capita level of Poland's industrial production was much lower than the world's per capita level of industrial production. For example, per capita electricity generation in Poland amounted to 115 kWh, while the world per capita level amounted to 250 kWh (pages 22 and 23 of the MET).

Romania was "18th in Europe" before the Second World War in terms of industrial consumption per capita ...... According to the League of Nations materials, in 1928 Romania produced 0.3% of the world's total industrial output, and production per capita was half of the world's average, and 1.2% of the world's average, according to the League of Nations materials. half of the world average, and 1/3 lower than that of Greece" ("ECOSOC", p. 24)

Bulgaria was the most backward agrarian country in the Balkan Peninsula before the war, and its per capita production of electricity in 1939 was 42 kWh (only 1/20th of that of Germany); the metallurgical industry produced only 6,000 tons of steel, and relative to the population of more than 6 million people, the per capita production of steel was only nearly 1 kilogram, which is about 1/330th of the per capita production of steel of Germany (1/330th of the per capita production of steel in Germany). The metallurgical industry produced only 6,000 tons of steel, and in relation to a population of more than 6 million, the per capita steel output was only nearly 1 kilogram, which was about 1/330 of the German per capita steel output (ECOCAP, p. 18). At the same time, the light industry was also very backward, "the textile production per capita was only 1/45th of Germany, 1/25th of Britain, and 1/18th of France" (Zhang Dexiu, "Introduction to the Economy of Eastern Europe", p. 16, Peking University Press, 1986 edition). Therefore, the claim that the Eastern European countries had prosperous economies before the war and then fell behind other European countries as if they were ahead of other European countries (Britain, France, Germany, Italy, etc.) before the war has no basis in fact at all.

After 1945, the countries of Eastern Europe successively embarked on the road of socialism, and since then their economies have been developing more rapidly. If the pre-war industrial production in 1938 is 100, in 1980, Hungary is 1330, Czechoslovakia is 1235, Poland is 3430, East Germany is 1020, Bulgaria is 6880, Romania is 4530, the Soviet Union is 1970, Britain is 255, France is 475, West Germany is 500, Italy is 825, Austria is 740, Ireland is 600 ("1982"), the United Kingdom is 255, France is 475, West Germany is 500, Italy is 825, Austria is 740. Ireland was 600 (calculated in 1982, pp. 72, 73 and 1978, pp. 99, 80). From the above, we can see that by 1980, the industrial production of the socialist countries in Europe had increased by more than 9 times to more than 60 times compared with the pre-war year 1938, while the industry of the capitalist countries in Europe, with the fastest growth in Italy (there is no information on the year 1938 in the above mentioned book for the countries of Grecian, Portuguese, Western and Swiss), had increased by only more than 7 times. Therefore, it is a hard fact that the industrial development of socialist countries was faster.

The main industrial products. According to the United Nations information published on page 116 of 1982, the per capita consumption of electricity in 1979 was 4098 degrees in Bulgaria, 4674 degrees in Czechoslovakia, 2864 degrees in Hungary, 5974 degrees in East Germany, 3324 degrees in Poland, 2882 degrees in Romania, 4653 degrees in the USSR, 6103 degrees in West Germany, 5368 degrees in Britain, 4617 degrees in France, 4867 degrees in Austria, 2882 degrees in Italy, 4867 degrees in the USSR, 6103 degrees in West Germany, 4617 degrees in France, 4867 degrees in Austria, 4867 degrees in Italy. 4867 kWh in Austria and 3267 kWh in Italy. All Eastern European socialist countries per capita consumption of electricity exceeded the 1979 world per capita electricity consumption of 1849 degrees (while before the war, in addition to Czechoslovakia exceeded the world per capita consumption of electricity, the other Eastern European countries are still far below the world per capita consumption of electricity), and the average level of the gap with the countries of Western Europe has been greatly narrowed.

Before World War II, the Eastern European countries per capita steel production is far lower than that of Germany, Britain and France in any of the three countries. In 1980, however, per capita steel production in Eastern Europe was 452 kilograms, lower than West Germany's 712 kilograms but higher than France's 431 kilograms and Britain's 202 kilograms (1982, p. 45)

In the face of the figures for the high economic growth of socialist countries, some people who seek to erase the superiority of socialism and the achievements of the planned economy will say: because socialism was originally The economy is backward (and when these people say that the socialist economy is not as developed as the Western capitalist economy, thus inferring that socialism is inferior to capitalism, they never talk about the fact that the socialist economy started from a much worse place than the West. Even the author of the book "Private Economy in China" implies that Eastern Europe was ahead of Western Europe before the war), so the physical growth rate was much higher than that of the West. It seems that the high speed of development in socialism has nothing to do with the social system, but only with the degree of economic development, and the more backward the economy, the higher the speed of development. However, this argument does not stand the test of practice at all. A United Nations statistic divides the vast majority of the world's countries (excluding China, Vietnam and the Democratic People's Republic of Korea) into three major groups: developed market economies, developing market economies, and the Soviet Union and the countries of Eastern Europe. It also gives the average annual growth in the volume of most physical products of industrial production from 1960 to 1980 as follows:

(1982, pp. 76, 77)

In order to preserve the abominable system of production for profit, the bourgeoisie is bound to make use of the resources under their control and of the academics they keep in their employ to spread a great deal of misrepresentation in order to deceive the masses. It is a fact that, contrary to what the capitalist apologists are saying about the failure of the socialist planned economy and the superiority of the capitalist market economy in the Soviet Union and Eastern Europe, the industrial development of the countries of the Soviet Union and Eastern Europe and the speed of their physical production were much higher than in the countries of the two types of market economies (the developed market economies are the United States, Japan, Western Europe, Canada, and Australia, etc., and the rest of the non-socialist countries are categorized by the United Nations as the countries of the developing market economies). The developing market economies have not been able to achieve higher rates of industrial growth because their economies are far more backward than those of the Soviet Union and Eastern Europe. On the contrary, more than a decade after the countries of the former Soviet Union and Eastern Europe accepted the privatization and liberalization of the economy recommended by the West as a way to "enhance economic vitality" and "improve economic efficiency", the average annual growth rate of industry and agriculture was the lowest in the post-war period, and many of them had a negative growth rate. In many countries, the growth rate was negative. The growth rate of industry and agriculture in the region after capitalization was much slower than that during the socialist period. Therefore, socialism and capitalism, which economic system is superior, is very obvious.

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The fact that the so-called Eastern camp is lagging behind is not that the Eastern camp's physical production capacity, science and technology, and other real economic power Slow development, but the end of the Cold War according to the West's pricing power to speculate on the bottom of the Eastern camp, according to speculation on the bottom of the price, exchange rate and other exchange ratio to determine the value of production.

Thus the so-called GDP (output value or money) gap between the eastern and western camps is meaningless for the cold war. During the Cold War, it was all physical production capacity comparisons between the U.S. and the U.S.S.R. in the U.S.S.R. Power Comparisons published by the Western camp or in the Handbook of the Soviet Economy!

Western camp at the time of the Cold War could not mobilize the vast majority of resources and labor force of the Eastern camp at the desired price or exchange rate, to the so-called while GDP that the Eastern camp is poorly developed, which is actually not the truth, but the truth of the bottom of the speculation. And now that globalization has been re-reversed, then this so-called GDP is bullshit!

Nationalists and socialists in the middle and lower countries in fact want to destroy the capitalist world system! Once globalization is reversed, GDP counts for national power and standard of living is bullshit!

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Also with the collapse of the Soviet Union and the dramatic changes in Eastern Europe, many people say that planned economies have no ability to innovate, and look at all the patents that are in the West. But we do not know, the West to take advantage of the collapse of the Soviet Union after the Russian economic difficulties, from Russia there Academy of Sciences, design institutes buy out how many patents, in the field of lathe only Switzerland a country from Russia to buy out more than 300 patents, such as the magnetic motor spindle was originally the results of the Soviet Union lathe design institutes, was bought by the Swiss, today's Russian companies want to use, and also to pay the production of high-priced special allow fee.

Russia launched the war in Ukraine and the West fell out, Putin does not want to pay royalties, is trying to rebuild industrial production capacity, because a large number of research results were originally the Soviet Union, the collapse of the Soviet Union by the West after the cheap buyout of patents, and the Russian government does have a large amount of technical information on the patents back up. Russia is trying to use the Ukraine crisis to smash this intellectual property stranglehold