The ban on price increases, as Lukashenko believes in Belarus, shows that he does not know the basic mechanisms of the economy or even economic history, especially since he had an almost similar situation near him in Russia, which ended badly, from 5-7 millions of people died. Reason? This is what Stalin understood from the economy.

Bread in the storePhoto: Niloo138 | Dreamstime.com

*The text below is largely based on the book: Our Long Road to Economic Freedom: Lessons from 100,000 Years of Human History by Johann Fourier.

Long story short, after Lenin’s death, Stalin took control of the party and turned to wealthy farmers (also called kulaks) who had previously increased production and “profited” from the free market previously created by Lenin (who made the decision because there was a great famine 2 years later after the Communist Party came to power).

In short, Stalin sent the Red Army to those peasants whose produce was confiscated and those who objected were arrested. In July 1930, more than 300,000 kulaks were forced to leave or sent to camps in Siberia, a period known as the “Policy of De-Kurkul”. Many died on the way.

What happened? Peasants joined “voluntarily” (due to fear of punishment) or moved to cities. In 1929-1931, 1.4 million peasants left their farms. Finally: hunger. In 1932-1933, a great famine began, as a result of which 5-7 million people died.

Another area on which Stalin focused attention in the five-year plan was the development of heavy industry, which went better. The problem is that this has not led to an increase in living standards. Stalin’s apparent success in transforming the Soviet economy came at a high price. To strengthen his position, he executed 700,000 people between 1936 and 1938, including members of the Communist Party.

Industrial production did not lead to an increase in consumption. The goods were limited to a small elite and were of low quality. This was a consequence of the fact that firms did not make a profit, and therefore had no incentive to compete for customers, to invest in new products that would improve the lives of consumers.

Although urban wages rose, the things these workers could buy were limited to what the government deemed necessary for survival.

Since the collapse of the Soviet Union, data show that life expectancy in former communist states, including Romania, has increased significantly.

A film about American poverty, banned by Stalin, and a novel

Back to Stalin, perhaps the funniest thing is that there was a movie made in the USA based on the book “The Grapes of Wrath” starring Henry Fonda, which the US government did not like, calling him a socialist. and a Marxist.

Well, in 1948, Stalin said that it would be a good idea to show this film to the Soviet Union as well. The public reaction was the opposite of what was expected. The public was shocked that the poorest sections of the US population could afford a car. Seeing the reaction, he took off the film.

why What was considered poverty in America meant something completely different in the USSR.

And returning to Lukashenka and the fact that he does not understand how the economy works, I read a story in the book, I am telling it by heart (I do not remember the author’s name and title). book – if you know it, please tell me in the comments).

A delegation of officials from the Soviet Union went to England to exchange experiences and boast of communist economic superiority.

They pass several bakeries and then ask the Englishmen who were with them: can we meet the farmer? The English did not know what they meant, so they said: Do you want to speak to the baker?

No, they actually wanted to speak to the official responsible for explaining bread production, because they didn’t understand how they managed to produce so many different products.

They didn’t understand how capitalism worked, that production decisions weren’t made by bureaucrats who had to think about the entire production chain, and because of that, it caused disruptions in supply chains. Communists had a central brain that controlled everything, while in capitalism each entrepreneur is his own brain. Many brains are better than one big one, that’s why communism doesn’t work.

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