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/liberty/ - Liberty

Non-authoritarian Discussion of Politics, Society, News, and the Human Condition (Fun Allowed)
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WARNING! Free Speech Zone - all local trashcans will be targeted for destruction by Antifa.

File: 1467b1e837c4ca2⋯.gif (46.98 KB, 800x475, 32:19, Soviet_Union_GDP_per_capit….gif)

File: cdcc1662503f496⋯.jpg (151.9 KB, 480x360, 4:3, 804909286-640x640.jpg)

File: c4df8625e50eee0⋯.jpg (77 KB, 640x425, 128:85, IMG_20180807_115230.jpg)

File: c765e4e25792115⋯.jpg (83.31 KB, 850x400, 17:8, cc9f43f3f2987c6470ba426dde….jpg)

 No.89178

How does /liberty/ explain the catastrophic development of Russia after the deconstruction of socialism? Remember that during the early Yeltsin period, the free market in Russia was almost anarchic, state institutions almost collapsed, and private oligarchs appropriated most of the state's property, quickly establishing a new capitalist class in Russia. Yet it had negative consequences: Life expectancy sank so much it killed almost 6 million people, GDP collapsed beyond repair, infrastructure crumpled, employees were laid off everywhere, massive increase in alcoholism and domestic violence, end of the almost 100% literary rate, shortages, inflation, the loss of the super power status. Sure Putin's Russia alleviated some of the most urgent problems, but he did so through putting a stop to the privatizations and propping up some kind of state capitalism, but it's still far beyond what it had once been. There is still corruption, poverty and economically Russia is a gas station first and foremost.

I mean, what did the USSR provide? Steady economic growth (YES there was stagnation in the Brezhnev period but it is meant that economic growth wasn't as high as it was before, not actual stagnation), full employment, super power, development of nuclear fusion, no homelessness. Of course there were problems, such as the fact that the Soviet cybersin program was abandoned just like the "Soviet internet" as it threatened the power of some of the bureaucrats, which means yes, there were structural deficits, but that doesn't change that the Soviet economy put the people first. Read: https://en.m.wikipedia.org/wiki/OGAS

If that would have been implemented, USSR could have gone beyond money and a more cybernetic distribution of goods.

 No.89179

https://mises.org/library/russias-march-communism

QTDDTOT next time. Better yet, just search mises.org yourself.


 No.89180

Wrong flag


 No.89181

File: 7ded87e10d89cc9⋯.jpeg (127.01 KB, 700x471, 700:471, USSR in a nutshell.jpeg)

>>89178

> Life expectancy sank so much it killed almost 6 million people

That's not how life expectancy works, this statement doesn't really make much sense.

>GDP collapsed beyond repair

Is a meaningless statement and also blatantly false (as it did indeed recover). GDP is not exactly the best way of measuring economic growth, it's an interesting start but GDP (especially in a command economy) is a meaningless metric. Mind you this is also ignoring the opening of the Russian market to imports from much better products from abroad and the impact that would have. Also even if GDP was supposedly a good measurement for how an economy is doing, the very graph you display kind of shows that they have recovered after a massive market adjustment (which is of course healthy and kind of required after years of malinvestment as a matter of policy).

>employees were laid off everywhere

Assuming this is true (this most likely did happen but I'll explain why I say 'assuming), why would this be a surprise? If you have numerous people employed across the entire country doing work that isn't really that productive, efficient or even valuable to consumers (or employers for that matter) then yes, you will be relieved and you'd have to find work doing something people actually value. Not a big surprise.

The reason I also said "assuming" is because the Soviet Union didn't bother measuring unemployment as they had proclaimed to have gotten rid of unemployment in the 1930s so in reality we don't actually have realistic figures on what the employment situation was like under the Soviet Union (as is usual with many things in regards to statistics in the USSR).

>massive increase in alcoholism and domestic violence

Uhh no, that was there before. Russia has always had an alcoholism problem, even in the 1800s the government of Russia had made a good amount of revenue by producing Vodka, and even in the Soviet Union it had to be sold in state-run stores. Gorbachev had also mentioned that alcoholism had caused a good 8 billion dollar loss in production, so whether you take that with a pinch of salt or not is up to you, just know that it'd always been there and to act like the opposite is the case is odd. Just because alcoholic psychoses are up doesn't suddenly mean that Russia didn't have an alcoholism problem beforehand.

>end of the almost 100% literary rate

No? Where'd you get this from? They still have a literacy rate of around 95%.

>shortages

The only response I can say to this is top kek.

>inflation

Not really a problem of capitalism, but of state controlled currency.

> loss of super power status

Ever heard the phrase 'paper tiger'?

The rest as per usual is a bunch of nonsense or are essentially half-truths that seek to create a narrative that simply doesn't really exist in reality. We've seen this /leftypol/ shit before, it just doesn't hold up.


 No.89182

YouTube embed. Click thumbnail to play.

>>89178

1. In Russia we use the word "oligarchs" and not "billionaires" when referring to these people for a reason, because they didn't make their money through market means, Yeltsin's period was definitely not capitalist. By definition, an oligarch is a person who becomes rich with the help of the government - in contrast a capitalist is someone who doesn't make his money with the government's help, but who made his millions by actually providing a service to society with honest work. You wouldn't use the word "oligarch" when referring to someone like Bill Gates, or in Russia's example - Pavel Durov.

2. After WW2, the USSR/Russia's economic prosperity was always dependent on oil/gas prices and production, the Soviet Union (and its "superpower status") was, almost entirely funded by the capitalist west, and modern Russia still is. If the west really was at war with Russia and wanted to treat us as anything other than boogieman to limit their own citizens freedoms, then they will try to cripple the Russian economy and seize the assets that oligarchs keep in the west, instantly destroying Putin and his mafia, instead of threatening us with NATO expansion.

3. Putin's Russia is still run by oligarchs who extort the people more than they did in the 90s. No one can actually explain the economic miracle that Putin did besides "well, uhh… he nationalized some industries or something" because he didn't actually do anything. Putin just came at a time when oil prices were growing, and saying he did something to fix the economy would be as silly as saying he is the one responsible for video games getting progressively better graphics over the years.

>the Soviet economy put the people first

Back then the country was still a crypto-colony to Europe, but I agree that when not funding infrastructure projects and proxy wars in foreign countries, as corrupt as it was the Soviet government actually tried to fulfill its responsibilities to its people, but only as much as a farmer tends to his cattle to get the most profit out of them. At some point the people in the government realized that instead of giving you (the cattle) free shit paid for by westerners, they can just take it for themselves and blame everything else on capitalism, and that's why you still see the same cocksuckers (or their children) from the Soviet government in the Russian Federation's government today, they never went anywhere.

>cybernetic distribution of goods

Your god computer won't make communism work, don't even try to put us through the same nightmarish social experiments again.


 No.89183


 No.89185

>>89181

> Uhh no, that was there before. Russia has always had an alcoholism problem, even in the 1800s the government of Russia had made a good amount of revenue by producing Vodka, and even in the Soviet Union it had to be sold in state-run stores. Gorbachev had also mentioned that alcoholism had caused a good 8 billion dollar loss in production, so whether you take that with a pinch of salt or not is up to you, just know that it'd always been there and to act like the opposite is the case is odd. Just because alcoholic psychoses are up doesn't suddenly mean that Russia didn't have an alcoholism problem beforehand.

To add to this, the Russian government has a monopoly on alcohol and sells it at lower than market prices. With all the food prices rising, vodka was one of the few products that has only been getting cheaper and cheaper since the end of the 90s. According to an older statistic, around 40% of males die due to alcohol-related complications before they reach the age of pension, and this is no coincidence, the sooner people die, the less pensions the government has to pay to old people. People are literally drinking themselves to death out of depression, and it only benefits the government that both sells this poison and creates the horrible conditions that people live in, but apparently, this is all the fault of "capitalism".


 No.89186

>>89178

>Russia and the transformation from socialism to capitalism

you mean crony capitalism


 No.89195

>>89185

Yeah, lately pension age was raised so that average life expectancy is less that, btw.


 No.89196

>>89195

is lower that that*


 No.89208

>>89186

You know they refuse to make any distinction


 No.89267

>>89182

>Implying Microsoft's success isn't due to government intervention

Fun fact: Microsoft makes more money from each Android smartphone HTC sells than HTC does, due to patent licensing. Those patents are granted and enforced by the US government.

Now, explain to me once again how Bill Gates isn't an oligarch?


 No.89268

>>89267

Technically, oligarchs earn their money through illegal means, illegal even from their counties' standpoint. Copyright is a legal form of monopoly, while oligarchs do corrupt schemes, blackmail, murder and rob. You have a point about this thing, though.


 No.89286

>>89267

You have a point, a very good one, but I think it's more accurate to say that Microsoft's continued success is due to intervention—to get there they had to compete in the market.


 No.89316

> Life expectancy sank so much it killed almost 6 million people, GDP collapsed beyond repair, infrastructure crumpled, employees were laid off everywhere, massive increase in alcoholism and domestic violence, end of the almost 100% literary rate, shortages, inflation, the loss of the super power status.

Gee, it almost makes you wonder, was Soviet Russia systematically lying about many important statistics in the immediately prior years? It's almost like they were infamous for doing so or something.


 No.89320

>>89316

OP should have brought up Cuba's statistics about their healthcare and life expectancy. Statistics entirely and only provided by their own reports about themselves.


 No.89351

>>89181

Basically sums it up.

>>89182

>the Soviet Union (and its "superpower status") was, almost entirely funded by the capitalist west

There's an excellent story in one of the Koch autobiographies explaining exactly why his father hated the USSR after he invested millions into their economy only for the soviets to nationalize his mines/oilrigs and declare his contract he had with the Soviet government null. And how they proceeded to fuck up/break half the equipment afterwards because they didn't know what they were doing.


 No.89352

>tie GDP to primary resources like coal, timber & steel

>ship product all around the USSR without using it to inflate stats

>claim post war reconstruction as glorious communism

>ignore things like shoes and brushes

WOWZA LOOK AT THOSE NUMBAHS!

A good doco on the insanity of Soviet economics is Adam Curits' The Engineers' Plot

https://archive.org/details/PandorasBoxE1TheEngineersPlot

The charade got exposed, the end of the USSR is the ultimate in bubble bursting.


 No.89390

>>89316

The Soviet system incentivized lying as a means of self-preservation. Even if a bureaucrat wanted to do the right thing and give accurate reports all of his information was tainted by lies and coverups elsewhere throughout. This was particularly bad in East Germany and why the economic output of the Western half of modern Germany is still being transfused into the East to unfuck it decades later.


 No.89401

>>89390

Curious, then how did Eastern Germany have a higher economic growth than Western Germany?

almost as if the West disassembled all industrial capital of the GDR after reunification because it wasn't "profitable" to the service economy


 No.89416

File: e2ba81f58c7190a⋯.jpg (592.23 KB, 1344x905, 1344:905, Trabant_1.1.jpg)

>>89401

Growth relative to what? Your claim seems dubious.


 No.89453

File: 4b3b577dea4fd55⋯.mp4 (1.71 MB, 852x480, 71:40, anime.mp4)

>>89401

>Curious, then how did Eastern Germany have a higher economic growth than Western Germany?

Easy answers for easy questions! It didn't. Western Germany experienced an economic miracle during the 1950s, a rather rapid reconstruction and revitalization of the general economy referred to by "Wirtschaftswunde", this surprised even the general western German population themselves. Eastern Germany on the other hand was of course under Soviet control and by consequence never really saw any genuine growth, certainly not in the same respect as West Germany.

>almost as if the West disassembled all industrial capital of the GDR after reunification because it wasn't "profitable" to the service economy

Just like the previous point you made, you reference things that just simply never happened, but on this front it seems to be somewhat based on a half-truth. There was indeed some de industrialization in the east but that was due to various factors such as the big monetary fiasco (which I'll talk about shortly) and the fact that Eastern Germans were fleeing their part of the country in droves. In fact West Germany had to spend a few billion (if not trillion) euros trying to revitalize Eastern Germany's capital. This also included directly sending money and even trying to exchange currencies 1 to 1, which as slightly touched on before turned out to be massive disaster, the ostmark didn't really hold up in value to the deutschmark, along with this was the inability of the East to compete with the West which caused a massive rise in prices, and a whole host of other problems. So this wasn't some massive sabotage attempt by Western Germany (once again, it was the complete opposite) and to this day (although the situation is far better than it used to be) Eastern Germany still needs quite a bit of investment to catch up to it's western counter part.


 No.89470

>>89453

Wasn't Eastern Bloc industry equipment years out of date in general and therefore uncompetitive in a market economy?


 No.89489

File: 69004f25d05e6a9⋯.pdf (81.79 KB, m3309.pdf)

>>89416

>>89453

Economic growth in East Germany was higher than in West Germany. pdf related. It's in Germany but you can read the numbers, GDR had a less GDP than FRG in 1949 and grew more in relation than the FRG till 1991. The guy who computed the numbers was employed by the West German government as well, and his numbers are widely accepted.

I'll answer to the rest later.


 No.89491

File: 7f2f259452364f2⋯.png (287.9 KB, 838x954, 419:477, West vs East Germany reali….png)

File: 7a47d62f3037005⋯.jpg (102.62 KB, 838x954, 419:477, West vs East Germany.jpg)

>>89489

>Economic growth in East Germany was higher than in West Germany

Well first of all, we'll amuse GDP as a good measurement of economy because this is a rather funny argument. As one can imagine I can't be fucked to read all of it, but luckily I did indeed find a graph that tries to make your argument for you (as far as I can tell it's been made by a commie). The problem of course is also that it's also self detonating within that very graph but I've decided to make it's failing graces a little more obvious so I made my own image, I hope you like it!

Both East Germany and West Germany were absolutely destroyed by the war, we can safely say that GDP probably dropped to 0. I mean the war had just finished. So a comparison of the two shows that by 1950, West Germany had 5.2 GDP per capita whereas East had 2.0. So already we see a failure from East Germany to catch up. But then what of the economic growth?! Afterall East increase 6.25X whereas West only increased 4.34%, right?

Well I think my image pretty much sort of shows the problem with that line of thinking. It's like saying because an obscure crypto currency like XRB had growth of like 10% in one day and went from being valued at $1.00 to $1.10 that some how it's more valuable than BTC because it only had 6.7% growth in one day. Except, I'd argue this is even more damning.

See at least BTC existed longer than XRB so you can argue that it's simply a matter of time but both West and East Germany started at the same line, both were destroyed in the end of ww2 and had to start from fucking scratch to rebuild anything remotely resembling civilization and not a fucking fallout game. The East was under the rule of a more communist system whereas the West went with a more market oriented capitalist economy. Right from the outset, West Germany succeeded, it rose from the ashes and by 1970, had living standards that Eastern Germans could only dream of, even in 1989. Eastern Germany had failed, just as every single attempt at a socialist or communist system usually does.

Tl:dr, East Germany failed. The myth of a greater economic growth is a laughable one for very obvious reasons.

>>89470

>Wasn't Eastern Bloc industry equipment years out of date in general and therefore uncompetitive in a market economy?

Yes, hence why I mentioned revitalizing capital by the West as an attempt to catch them up, but this also included investment in infrastructure, raods, etc. The East was not in the best state of affairs as one can imagine.


 No.89492

>>89491

>raods

kek, meant roads.


 No.89495

kek, notice how this filthy commie changed the subject from Russia, to East Germany?


 No.89498

File: cf5d54456da4166⋯.png (75.49 KB, 812x734, 406:367, Volkswirtschaftliche Gesam….png)


 No.89654

>>89178

>Country collapses

>Economy collapses with it

Wow, it's not that hard to understand.


 No.89655

>>89491

>Both East Germany and West Germany were absolutely destroyed by the war, we can safely say that GDP probably dropped to 0. I mean the war had just finished. So a comparison of the two shows that by 1950, West Germany had 5.2 GDP per capita whereas East had 2.0. So already we see a failure from East Germany to catch up. But then what of the economic growth?! Afterall East increase 6.25X whereas West only increased 4.34%, right?

I'd like to follow up this comment and say that I have two close family members who got mathematics degrees specializing in statistics, and both of them agree that measuring percentage of growth is inherently disingenuous.


 No.89667

>>89654

Nothing really collapsed, it was all intentional. The same ministers who were in the Soviet Union are still in Putin's government.


 No.89756

>>89489

economic growth is bad for environment


 No.89770

>>89316

/thread

Seriously, why isn't the answer this simple?


 No.89798


 No.89815

>>89798

stfu animeposter




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