The second great war was looming on the horizon and Stalin's quick industrialization is credited with allowing the USSR to stand up to the Germans. By 1975, when the USSR reached its maximum, it had a higher GDP per capita than Mexico, Latin America, Colombia, South Korea, Taiwan, and Africa. The question would then be to explain why did it grow so fast, why did it stagnate, and why Cheremukhin, Golosov et al. The Soviet Union, officially the Union of Soviet Socialist Republics (USSR), was a federal socialist state in Northern Eurasia that existed from 1922 to 1991. post-fall economic trends. Annual Growth Rates of Gross Social Product, Labour Productivity, Industrial Output, etc. Former USSR countries GDP 1990 - 2019 GDP (gross domestic product) is the value of everything that is produced in the country. Online tool for visualization and analysis. What if we consider the USSR starting with Stalin (1928). And even compared to the Third World, its performance was remarkable. By this time abou… CSV XML EXCEL. To me at least, economic growth was not the eastern blocs selling point. So it's dubious that such growth rates could have continued indefinitely. Just thoughts, Im not dogmatically for anything apart from living, just questioning. By the end of 1991 (just before the fall), it had about the same GDP per capita as Mexico. "Soviet Economic Growth: 1928-1985,", This page was last edited on 7 December 2020, at 23:01. Online tool for visualization and analysis. While Stalin's industrialization was terribly cruel and not very efficient it was above all fast. Thematic data tables from WDI. Or maybe it is, if US policymakers required accurate information precisely to gauge their cold war rival accurately. Markup: Brian Baggins Online Version: Soviet History Archive (marxists.org) 2000 In Soviet statistics, 100% is the base, so if that is listed it means unchanged. GDP, PPP (constant 2017 international $) GDP (current LCU) GDP, PPP (current international $) GDP per capita growth (annual %) Download. We must also note that the FSU is recovering from a crisis, which makes easier to have larger growth rates. The Soviet Union had over 15 different countries under its rule but communism had to reach the entire world so the USSR invaded Afghanistan in the hope of spreading the communist regime. The boom which might have made the USSR the #1 economy today had it kept going at its pre-Khrushchev's pace. Next, I consider the period 1928-1989 and 1928-1991. We believe Stalin’s industrialisation should not be used as a success story in development economics, and should instead be studied as an example where brutal reallocation resulted in lower productivity and lower social welfare. To estimate, compare, distinguish, discuss, and trace to its principal sources everything, Cheremukhin, Golosov,Guriev, and Tsyvinski (2013), Three most interesting articles of the day (May 31) | BAIL: Bay Area International Link, The Soviet Union: Productive Efficiency | Nintil, Annual reviews and other Soviet business practices – Money, Power, and Culture, The Soviet Series: From farm to factory. Thematic data tables from WDI. (2013). The little red star is the USSR, of course. This could be read to mean that the USSR would have done even better had it spent less on the military. Selected Countries and … The USSR was the third fastest growing economy in the world in the 1928-1970 period (Including countries for which we have 1928 data). The analysis above may need some further reconsideration. List of former Soviet Republics by GDP (PPP) per capita Template:Rank order This is a list of former Soviet Republics by GDP per capita at Purchasing Power Parity . The Soviet Union was here the 61th out of 148 economies in growth. GDP, PPP (constant 2017 international $) GDP (current LCU) GDP, PPP (current international $) GDP per capita growth (annual %) Download. Here's how it's done find that it wasn't because of Stalin, while Allen finds the opposite (I'll write a followup post explaining that). [2] The government provides the required economic production that must be attained within the different sectors of a nation’s economic faculties such as a… Easterly, W., & Fischer, S. (1995). In your last paragraph you mention the counterfactual of pre vs post revolutionary Russia. [Part of the Soviet Union series]. When he became president of the Soviet Union in 1985, Gorbachev inherited both a moribund economy and a crumbling political system. The Economic Collapse of the Soviet Union: In the 1970's and 1980's the Soviet Union seemed to be one of the most stable political units in the world. As you can see in my other posts, healthcare, food consumption, and working conditions were not as good as this GDP comparison might […] negligible growth in con-sumption, and ~3! Soviet Union (Union of Soviet Socialist Republics; U.S.S.R.), former northern Eurasian empire (1917/22–1991) stretching from the Baltic and Black seas to the Pacific Ocean and, in its final years, consisting of 15 Soviet Socialist Republics. (1941-1989) Annual Per Capita Consumption of Sugar, Bakery Products, Meat, etc. (2002, March). The Soviet Union: GDP growth | Nintil 2016-05-26T15:11:19Z […] to grow an economy oriented to produce T-72s and MiG-29s than consumer goods. - Economía y Libertad. - № 6", "Agricultural Surplus Models and Peasant Behavior: Soviet Agriculture in the 1920s", "Putting Agricultural History to Work: Global Action Today from a Communal Past", "The Soviet Union, the United States, and Industrial Agriculture", "Soviet Agriculture with and without Collectivization, 1928-1940", "A Comparison of the US and Soviet Economies: Evaluating the Performance of the Soviet System", Manufactured goods sector was worth 118 billion rubles in 1972, "The Economic Impact of Soviet Military Spending", The Myth of the Plan: Lessons of Soviet Planning Experience, "What Went Wrong in the 'Socialist' East? First, the chart many supporters of the USSR like. The Post-Soviet Union Russian Economy. It probably goes without saying, but I meant NMP per capita. Outside estimates of Soviet military spending ranged between 10 and 20 percent of GDP, and, even within the Soviet Union itself, it was difficult to produce an exact accounting because the military budget involved a variety of government ministries, each with its own competing interests. They ultimately explain this by what the dub the _extensive growth hypothesis: _Growth fueled by increasing the amount of available factors (Labour and Capital) rather than increasing productivity. Not the same as pre-war since there is no impending war in sight but still a steady pace. Nominally a union of multiple national Soviet republics, it was a one-party state (until 1990) governed by the Communist Party, with Moscow as its capital in its largest republic, the Russian SFSR. Allen, R. C. (2003). In 2012, Russia's Nominal GDP share was at 2.82% (highest point) and reached a nadir in 1998 (1.38%) before ending up at 1.9% in 2010. Against these charts, it could be argued that these measures of GDP don't really capture the welfare of the inhabitants of these countries. The World Bank Economic Review, 9(3), 341-371. SHOW ALL. Top 15 Former Soviet Union Countries by GDP Per Capita Ranking History [1995-2017] ... poland can into soviet union? Gradually but surely. Post-Soviet Union countries also knows as post-Soviet states. […] a previous post, I talked about Soviet GDP growth. But I still see that stagnation would have been hard to reverse. Some people go as far as saying that this slowdown caused the collapse of the USSR, but I would disagree with that, as I see the collapse as an evitable event, a result of Gorbachev's mishandling of the late USSR internal political crisis. What about Robert Allen's From Farm to Factory? thank you beforehand. That's why I included fewer countries, to make my life easier. The Soviet Union: GDP growth | Nintil 2016-05-26T15:11:19Z […] to grow an economy oriented to produce T-72s and MiG-29s than consumer goods. By this I mean that Soviet growth was propelled in great measure by increasing inputs (capital and labour), not productivity, and that is not a stable long-term run strategy. […] – where state planners didn’t massively push students towards STEM fields – was much more prosperous when the Soviet Empire crumbled. Finally, I believe that to truly illustrate the insane growth of the USSR (at least before the Khrushchevs) one should look at the state of non-USSR Russia at its peak (1913 I believe) and compare it to that which became of it. Richer countries grow at a slower pace. Let us now consider one final chart: 1950-1989. As the Gosplan, which had set up production chains to cross SSR lines, broke down, the inter-republic economic connections were also disrupted, leading to even more serious breakdown of the post-Soviet economies. Did Stalin help industrialise Russia? To verify this is why I ended up on this post btw, I was wondering how the extrapolation of those figures would translate into today's world economy. The Rea… After all, the Soviet Union, like today’s Russia, was a major oil and gas producer and tended (like today’s Russia) to do well whenever oil was expensive. I have a post about Cuba here, in Spanish. Also it would be interesting to see PPP graphs included in the article. Furthermore we would also have to examine other countries with central planning to see if the Soviet model was replicated, or if the performance of the Soviet economy was also due to specific factors present in Russia but not elsewhere. So Allen's chart is correct. Defense Budget for FY2003: Data Summary. 1 An analysis of the Soviet economic growth from the 1950’s to the collapse of USSR*. Even though we do not consider the human tragedy of famine, repression and terror, and focus on economic outcomes alone, and even when we make assumptions that are biased in Stalin’s favour, his economic policies underperform the counterfactual. The USSR could be seen as a long-term bubble economy: Initial fast-growth, then stagnation, and finally crisis, in comparison to the rest of the economies, that took longer to take off, but that growth was then sustained. Post-Stalin USSR dedicated more resources to consumption and less to capital goods. Gross Domestic Product (GDP) 1,789: Source. Allen stops at 1970 because until then 'the planning system was working well'. However, if we consider the Soviet Union starting with Stalin and ending in 1989, its performance was not as good. Introduction The Soviet Union is no more, but the comparative level and structure of its GDP retain historical interest. Therefore our answer to the ‘Was Stalin Necessary?’ question is a definite ‘no’. Surely this hardly counts as the last word on the matter, for it is plausible to suppose that the CIA is not the most ubiased source regarding Soviet matters. No, say economists Cheremukhin, Golosov,Guriev, and Tsyvinski (2013). ", Harrison, Mark. That appears to be the story told by actual Russian GDP statistics: You can see that the Soviet Union was, in fact, pretty dysfunctional by the fact that when the oil boom ended it pretty much flatlined. (1960-1986) Education of Higher & Secondary Education (1963-1987) Industrial Output of Electricity, Iron Ore, Mineral Fertilizers, etc. WDI Tables. This resulted in an economic crisis around the time of Gorbachev that fuelled the dissolution of the USSR. FACEBOOK TWITTER LINKEDIN By Matthew Johnston. Adding the 1940 GDP of the USSR to that of the UK shifted the Allies to Axis great power GDP ratio to 1.31, giving the Allies the economic advantage lost with the entry of Italy in 1940. It is almost as if STEM shortages are mostly made up to keep wages […], […] a previous entry in The Soviet Series, I made some remarks regarding GDP growth. DataBank. We can also take another year, like 1950, to avoid WWII effects, and use indexed data, but this doesn't change the picture much. The capital was … But it is hard to view the economics of a state in a vacuum affected only be economic policies of that state. WDI Tables. LESS Citation. (1940-1985) The Economic Statistics Branch of the United Nations Statistics Division (UNSD) maintains and annually updates the National Accounts Main Aggregates database. However, with French GDP included in the Axis tally, the ratio was 1.01. Life is reliable, stable and relatively comfortable; but not so comfortable that you start to live for comfort. […] definitiva, el crecimiento de la URSS no tuvo nada de excepcional ni comparado con las tendencias que ya se estaban experimentando internamente antes de la […]. Dobson, A. P. (2005). The Soviet economic decline. I also included the United States and Switzerland and Hong Kong. If one accepts that the slowdown in the USSR was due to decreasing returns to capital, or decreased productivity, etc, one can still ask why that happened, and indeed it could be that it was the decentralisation under Khruschev and Gorbachev. Both the Russian Soviet Federative Socialist Republic and later the Soviet Union were countries in the process of industrialization. The Republic of Georgia is at the crossroads of Eastern Europe and Western Asia. Princeton University Press. Both the Russian Soviet Federative Socialist Republic and later, the Union of Soviet Socialist Republics of the Soviet Union, were countries in the process of industrialization. (1941-1989) Annual Per Capita Consumption of Sugar, Bakery Products, Meat, etc. Yet its economy produced less than half of the real GDP of the US, despite a population of similar size, spread across a much larger territory. http://www.ggdc.net/maddison./ARTICLES/USSR,RIW,1998.pdf By 1990, the average income in the USSR matched that of Malaysia, below countries like Spain and Portugal. Some data on soviet GDP growth. CIA (1977) Estimated Soviet Defense Spending in Rubles Daggett, S., & Belasco, A. Price controls had an important impact on life in the USSR. Their accurate measurement is also basic to a proper understanding of the latest, i.e. title: a comparison of soviet and us gross national products, 1960-83 (sov 84-10114) keywords: soviet analysis, soviet economic analysis created date If you think about it, there is no reason to expect the industrialization of a country to ever be considered "done" until you have full automation of all work. Meaning that the economic system itself reduced growth in -2.34 points. So in a planned economy, which it was under Stalin, there is no reason to expect industrialization to end unless it's specifically decided by the people (or Stalin if you believe he decided everything), and why would they? Stalin’s Industrial Revolution | Nintil, ¿Fue la Revolución Rusa un éxito económico? For example below, in 1941, 105 is listed as the growth in the productivity of industrial laborers — which means a 5 percent increase. Chris Said", "Николай Петрович Шмелёв (Nikolay Shmelyov) "Авансы и долги (Avansy i dolgi)" ("Credits and debts"), Новый мир (Novyi Mir) – 1987. There's data for that. (1960-1986) Education of Higher & Secondary Education (1963-1987) Industrial Output of Electricity, Iron Ore, Mineral Fertilizers, etc. But then, at some point, one has to enjoy the fruits of that hard labor and long term investment. In international politics the Soviet Union was very strong and seemed only to be getting stronger. The new state, called the Russian Federation, set off on the road to democracy and a market economy without any clear conception of how to complete such a transformation in the world’s largest country. Because of World War I (1914–1918), the Russian Revolution of 1917 and the ensuing Russian Civil War(1917–1922), industrial production had only managed to barely recover its 1913 level by 1926. Both the Russian Soviet Federative Socialist Republic and later, the Union of Soviet Socialist Republics of the Soviet Union, were countries in the process of industrialization. post-fall economic trends. When extended to 1991, the USSR is also overtaken by Spain, Jamaica, and Singapore. Farm to factory: a reinterpretation of the Soviet industrial revolution. Thematic data tables from WDI. In 1964, new Soviet President Leonid Brezhnev allowed industries to emphasize profit over production. Source: Slavic Research Center Library (citing Narkhoz.) From what I recall, didn't the Eastern Bloc use net material product (NMP; basically GDP minus "non-productive" services) instead of GDP to estimate national income? Ukraine - Ukraine - Economy: Ukraine’s modern economy was developed as an integral part of the larger economy of the Soviet Union. In academic work, please cite this essay as: Ricón, José Luis, “The Soviet Union: GDP growth”, Nintil (2016-03-26), available at https://nintil.com/the-soviet-union-gdp-growth/. Very interesting. By this time abou… This is not necessarily bad: it means people can enjoy more things, but it means they will enjoy less things in the future than otherwise they would have. Armenia The country located at region of Eurasia in the South Caucasus. CSV XML EXCEL. Allen uses Maddison (1995) data for his charts. ), Grain and other agricultural products, machinery and equipment, steel products (including large-diameter pipe), consumer manufactures, {{cite lecture|last=Skinner|first=Barbra|year=2019, Autio-Sarasmo, Sari. By the 1970s, on that measure, the Soviet Union became the world’s leading power. […] The Soviet Union: GDP growth (Nintil) […]. I see the Brezhnevian stagnation (Under Brezhnev, Andropov, Chernenko and Gorbachev, as the Perestroika did little to change the trend) as a followup from previous policies to Stalin-Khrushchev. Especially one where the economy is more in the hands of the executive rather than less. The economy of the Soviet Union was based on state ownership of the means of production, collective farming, and industrial manufacturing.The highly centralized Soviet-type economic planning was managed by the administrative-command system.The Soviet economy was characterized by state control of investment, a dependence on natural resources, shortages, public ownership of industrial … An analysis of Allen's book can be found here. Thematic data tables from WDI. Russia - Russia - Post-Soviet Russia: The U.S.S.R. legally ceased to exist on December 31, 1991. The first source we will examine is aCIA reportfrom 1985, released in 1999 to the public. For example below, in 1941, 105 is listed as the growth in the productivity of industrial laborers — which means a 5 percent increase. Title: THE ECONOMIC IMPACT OF SOVIET MILITARY SPENDING (ER IR 75-3) Keywords: SOVIET ECONOMIC ANALYSIS, tgdnotsu Created Date: 8/31/2010 1:49:19 AM title: a comparison of soviet and us gross national products, 1960-83 (sov 84-10114) keywords: soviet analysis, soviet economic analysis created date National Accounts Estimates of Main Aggregates Source: United Nations Statistics Division. NEP was the most successful period for the Soviet economy Average annual rates of economic growth in the USSR, % 16.2-6.9-4.3 14.6 11.3 9.4 6.3 7.8 5.6 4.3 3.6 17.7-15.3 3.4-0.6 9.3 4.4 4.1 3.2 1 0.6-20-15-10-5 0 5 10 15 20 1913 1917 1921 1928 1932 1937 1940 1945 1950 1955 1960 1965 1970 1975 1980 1985 Official Statistics Alternative Estimate Initially it did better than many countries, but by the 70s it was being outpaced by the rest. 55. But it has to be granted that by this measure, the best (argueably) centrally planned economy did not outperform the best free market economies. 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Can then say that the economic system itself reduced growth in -2.34.... With a GDP Estimated at about 60 % that of Malaysia, below countries like Spain and Portugal Output etc!, with a GDP Estimated at about 60 % that of the executive rather than less Allen! Singapore: that you can be really soviet union gdp and grow rich with adequate institutions and capitalism con España y.! Comes as second region covers an area of 27,000 square miles cars, potatoes, sewing machines etc..., ~2 same story as Singapore: that you have to decide to allocate resources consumption. All fast Allen uses Maddison ( 1995 ) data for far more countries, but I still see stagnation... Appear in the article information precisely to gauge their cold war rival accurately how sharply technological advancement is soviet union gdp! ) Estimated Soviet Defense Spending in Rubles Daggett, S. ( 1995 ) 's not bad!