Did Eastern Europe and Russia abandon ****productivism, and did the people of their countries return to the days of deep water and hot water?

There are several reasons for this, complete and complete social transformation at a very high speed, leading to social unrest, coupled with the West's sneaky setups to undermine the foundations of the economies of these countries.

In fact, Russia is the most obvious, the famous "shock therapy". This one is also a setup by the West for countries like Russia. It required a massive injection of foreign investment to support it, but the West withdrew instead.

Briefly

By the end of 1991, the Soviet Union collapsed and the Russian Federation became independent, inheriting much of the former Soviet Union's wealth. The rich inheritance made Yeltsin happy, but the poor family is difficult to be, a large number of half-dead enterprises, plus 1 trillion rubles of domestic debt and 120 billion U.S. dollars of foreign debt, but also let the new president sleep from morning to night, restless. As the former Soviet **** opposition, Yeltsin believes that the reforms since the 1950s, piecemeal, tinkering, in vain, the Soviet Union's future. Painfully, Russia to avoid repeating the mistakes of the past, revitalize the great powers, can no longer be a small-footed old lady, should be bold, profound changes. At this time, only 35-year-old Gaidar cast his mind, in the Sachs point of view, concocted a set of radical economic reform program, Yeltsin, "discerning eye", promoted to the government as prime minister, in early 1992, a shock therapy as a model of reform, in the Russian Federation, a full-scale rollout. Shock therapy is the main event, but also the first move is to liberalize prices. The Russian government mandated that, as of January 2, 1992, 90 percent of consumer prices and 80 percent of the prices of means of production be liberalized. At the same time, restrictions on income growth were lifted, public salaries were raised by 90 percent, pensioners' benefits were raised to 900 rubles per month, and family allowances and unemployment benefits also rose. In the first three months of price liberalization, the results seemed to be immediate and obvious. Long shopping lines disappeared, the shelves are full of goods, accustomed to long queues of ticket supply Russians, as if to see the benefits of reform. But not long after, prices like a kite with broken strings rocketed, by April, the price of consumer goods than in December 1991 rose 65 times. The government wanted to suppress prices through state-run stores, but it was not expected that black-market traders, in collusion with the employees of state-run stores, would resell the commodities at exorbitant profits, so the government's plan fell through, and the market order was in a mess. Because of fuel, raw material prices premature liberalization, enterprise production costs increased suddenly, to June, wholesale prices of industrial products rose 14 times, so high prices make buyers afraid, the consumer market continued to slump, demand is not strong in turn inhibited the supply, enterprises have compressed production, market supply and demand into a dead cycle.

The failure of shock therapy reduced Russia's GDP by almost half, with a total GDP of only 1/10th that of the U.S. The structure of the economy also underwent major changes, with the fuel, power, and metallurgical industries becoming the key sectors of the national economy, with a share of about 15 percent of GDP, 50 percent of the total industrial product mix, and more than 70 percent of exports. Labor productivity in the real sector of the economy is extremely low, if the raw materials and energy sectors are close to the world's average indicators, the other sectors are far below the similar indicators of the U.S. by 20-24%. more than 70% of the production equipment has a service life of more than ten years, which is twice as long as that of the economically developed countries. This situation is a direct consequence of the significant decrease in domestic investment, especially in the real sector of the economy. Foreign investment is reluctant to enter Russia, and the total amount of foreign investment absorbed has accumulated to only $11.5 billion. The overall reduction in Russian spending on scientific and technological development, underinvestment and insufficient attention to innovation have resulted in fewer and fewer Russian products with competitive prices and quality on the international market, especially in the market for civilian scientific and technological products, which are crowded out by foreign competitors, and where Russian products account for less than 1% of the share.