Commentaria

28/10/2014

War production and investment spending: how many divisions has Putin?

Filed under: riflessioni — Paolo Porsia @ 5:59 PM

Churls Gone Wild

For a brief period in the 1920s, compelled by circumstance amid the daunting wreckage of Civil War, the new Soviet state became the world centre of development economics.

In swift order arrived Preobrazhensky’s model of surplus mobilization from agriculture (1926), Feldman’s theory of capital accumulation (1928) and Chayanov’s model of the peasant household (1925).

While the Soviet Union has since received its traumatic quietus, the topic at stake in these discussions — industrialization of a largely rural, middle-income economy, in a territory subject to repeated military incursions — never quite vanished.

Today’s reduced circumstances — notwithstanding recent short-lived bubbles of energy, real estate and stock market — grant it renewed relevance.

With the Tsarist state shattered by blows from the Hohenzollern Empire, harsh lessons were absorbed by its Bolshevik successors. One result was the theoretical flourishing described above.

With the Stalinist bureaucracy having since succumbed in no less catastrophic fashion…

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