FOSTERING SELF INTEREST FOR LABOR COLLECTIVES IN A RESOURCE-SAVING ECONOMY

摘要

The overwhelming majority of publications dealing with the current state and the development of our economy contains numerous examples of negative consequences from cost driven mechanisms but provide no comprehensive recommendations for its radical reorganization. For decades now, in all sectors of the national economy, most production in the USSR required 15-25 percent higher outlays for raw material, fuel, electric power, and materials than similar indices for foreign firms producing products with similar and even higher quality. We use 2-3 times more metal and labor than foreign countries. o Unfortunately, even after the enterprises converted to new economic conditions, there has been only the slightest reduction in expenditures of resources. For example, according to the TsSU [Central Statistical Bureau] the metal content index for 1986-1988 was reduced by only 1.4 percent. The basic reason for the absence of active efforts to save resources is the monopoly in machine construction and light industry which, by establishing contractually - and essentially by dictating - excessive prices, have established a standardized profit for themselves, at the expense of consumers, and are not concerned about cutting costs.