PRACTICE,
PROBLEMS
AND
PROSPECTS
OF
SOCIALISM
Socialism as a Social System was written by an international team of scholars from Bulgaria, Czechoslovakia, the GDR, Hungary, Mongolia, Poland and the Soviet Union.
Drawing on a wealth of factual material, it highlights the achievements scored by the socialist community countries.
The authors discuss the main principles and goals of socialism. Much attention is devoted to the development of democracy, the moulding of man of the new type and the socialist way of life.
Translated from the Russian by Lenina Ilitskaya
CONTENTS
T. t- • /•»-•*
A Word from the Editorial Board......7
Editors-m Chief: T , .
_
Prof. T. M. Jaroszewski (PPR)
Introduction.............. 9
Prof. P. A. Ignatovsky (USSR) CHAPTER I. The Essence and Principles of Socialism ...............20
COUHJUIHCTJWECKHH CTPOH
l' The Emergence of Socialist Society ... 20
KAK OEIUECTBEHHA3 CHCTEMA
2. Socialism: Essence, Principal Features and
Aims...........40
Ha aneAuucKOM nabiKe
.
3. Socialism: Emergence and Stages of Devel-
<
opment..........53
CHAPTER II. The Economic Development of the
Socialist Community Countries.......65
1. Realisation of the Advantages of Socialism in the Economy: Its Essence and Main Features............65
2. Victory of the Socialist Relations of Production .............69
3. Improvement of Socialist Management Methods ...........76
4. Growth of Social Production.....88
5. Growth in the People's Well-Being ... 125
CHAPTER III. The Socio-Class Structure of Socialist Society.............138
1. The Fundamental Difference in the SocioClass Structures of the Antagonistic Society
and Socialist Society.......138
2. The Leading Role of the Working Class in Socialist Society.........146
,n_n
3. The Growing Homogeneity of the Socio-
© HsAHTejihCTBO «II<wiHTHqecKaH ^HTepaTypa», 1979 r.
cl^ Stmcture of Developed Socialist So.
English translation © Progress Publishers 1981
ciety..............169
. , . , TT . , - . . c . ,. . p . ,,-,,. CHAPTER IV. The Political System of Socialism and Pnnted m the Umon of Sonet Socrahst Repubhcs
^ Development of Democracy.....179
insn/i c;c7
1- The Class Character of the Socialist Polit-
10504-557 3Q_81
0302030101
ical System.........179
014(01)---81
'
6CONTENTS
2. The Democratic Character of the Socialist
System.............^^203^^
CHAPTER V. Socialist Humanism. Moulding the
New Man..............^^24^^°
1. Real Humanism: Prerequisites and Goals . 241
2. Principles of Socialist Morality. The Human
Ideal in the Age of Socialism ... . . 249
EDITORIAL BOARD
3. The Humanity of Real Socialism and the Emergence of the New Man.....259
The collective monograph Socialism as a Social System is
CHAPTER VI. Characteristics of the Socialist Mode
the product of multilateral cooperation among the fraternal
of Life...............
communist and workers' parties of socialist community coun-
1. Socialism and the Mode of Life .... 283
tries. It was prepared with the participation of research
2 Public Activity: a Typical Feature of the
teams representing the Bulgarian Communist Party, the
Socialist Mode of Life........299
Communist Party of Czechoslovakia, the Socialist Unity
3. The Socialist Mode of Life and Human
Party of Germany, the Hungarian Socialist Workers' Party, N eds .........^^3^^^
t'le Mongolian People's Revolutionary Party, the Polish
4. Working Time and Free Time, Marriage
United Workers' Party, and the Communist Party of the and the Family, Education and Culture
Soviet Union.
Under the Socialist Mode of Life ... 326
Work on the monograph as a whole was coordinated by
the Institute of Basic Problems of Marxism-Leninism of the
CHAPTER VII. The Historical Role of the Socialist
Central Committee of the Polish United Workers' Party.
Community.............^^3^^
Separate chapters were prepared by the following research
1. Emergence and Development of the World
teams: ,TTCOt>,
„ . f. . f, , 345
Introduction (USSR)
Socialist System........°^J
. r> • • , c c • ,- /AOOT^
2 Development of the World Socialist System:
I- The Essence and Principles of Socmhsm (CSSR).
, , Tendencies • • 364
H- The Economic Development of the Socialist Com-
3. ThT Socialist Community as a New Type
munity Countries (USSR).
of International Relations Among the So-
HI. The Socio-Class Structure of Socialist Society
cialist Countries.........^^381^^
<•?RB^' .
4 Socialist Economic Integration as a General
IV. The Political System of Socialism and the DevelopTendency of the Socialist Community's De-
™nt of Democracy (HPR).
lo ment .....^^3^^^^^8^^
Socialist Humanism. Moulding the New Man (PPR).
5 TheP Socialist Community and'World De-
VI- Characteristics of the Socialist Mode of Life (GDR).
, ,. 416
VII. The Historical Role of the Socialist Community
velopment............
(USSR).
Conclusion...............429
Conclusion (USSR).
INTRODUCTION
Human civilisation has gone through four socioeconomic formations which continued over millennia. Now it has entered a fifth, communist, formation, the first phase of which is socialism, the youngest social system of all, a little over sixty years old.
Until now human history had not known such a dynamically developing system as socialism, which has worked stupendous changes in the life of society over an unprecedentedly brief historical period.
Goaded on by its greed for pelf and profit, capital drove to the limit the social stratification of society, turning some people into lords of the poor, parasitically living on the exploitation of other people's strength and intelligence, and others into hired hands, labouring to multiply their masters' wealth. It was necessary, said the founders of Marxism, 'to arrange the empirical world in such a way that man experiences and becomes accustomed to what is truly human in it and that he becomes aware of himself as man'.^^1^^
~^^1^^ K. Marx and F. Engels, 'The Holy Family, or Critique of Critical Criticism', in: Karl Marx, Frederick Engels, Collected Works, Vol. 4, Moscow, 1975, p. 130. Here and
10INTRODUCTION
INTRODUCTION
11This had yet to be brought home to men who needed to be made to see that they must fight to win and build a new society. And the Marxists-Leninists did it. The Marxist-Leninist parties in the countries which today form the world of socialism, the fraternal socialist community, managed to rally their peoples for the effort to realise the ideals of socialism and communism, which Lenin expressed as follows: 'We shall work to inculcate in people's minds, turn into a habit, and bring into the day-by-day life of the masses, the rule: "All for each and each for all"; the rule: "From each according to his ability, to each according to his needs"; we shall work for the gradual but steady introduction of communist discioline and communist labour.'^^1^^
To make these ideals come true, to attain such lofty goals, it will yet take time and a good deal of effort for man to change himself. But the chief pledge of the realisation of the great communist ideals is that there has been formed even now a man free from the chains of exploitation, man the creator, master of his own destiny. This man is the embodiment of the highest achievements of socialism and its main asset.
He is socialism's principal gain, to which it owes its greatness, stability, and promise.
The victorious Great October Socialist Revolution---the pivotal event of the twentieth century, which radically changed the course of development of mankind---gave profound and comprehensive expression to the great worldwide liberating mission of the working class.
The heroic struggle of the workers and peasants of Russia, wholeheartedly and effectively supported by working people across the world, showed, in Lenin's words, 'to all countries something---and something highly significant---of their near and inevitable future'.^^1^^ The Great October Socialist Revolution ushered in a new epoch---the epoch of transition from capitalism to socialism.
The world socialist system created as a result of the victorious Great October Socialist Revolution, is the greatest achievement of the working class.
The victorious October Revolution imparted powerful revolutionary impulses to all contingents of the international working-class movement, opening fresh opportunities and prospects for the development of the national liberation struggles, which resulted in the disintegration of the colonial system of imperialism.
'The most important of the international consequences of the October Revolution, which have shaped
henceforth all quotes from Marx's and Engels's works refer to English translations brought out by Progress Publishers, Moscow, unless otherwise indicated.
~^^1^^ V. I. Lenin, 'From the First Subbotnik on the Moscow-Kazan Railway to the All-Russia May Day Subbotnik', Collected Works, Vol. 31, 1977, p. 124. All quotes from Lenin's works refer to the English translations put out by Progress Publishers, Moscow.
~^^1^^ V. I. Lenin, ' ``Left-Wing'' Communism---an Infantile Disorder', Collected Works, Vol. 31, Moscow, 1966, p. 22.
12INTRODUCTION
INTRODUCTION
13the face of our epoch, has been the emergence and development of the world socialist system,' noted Leonid Brezhnev in his speech on the sixtieth anniversary of the Great October Socialist Revolution.^^1^^
The October Revolution is a socio-political event, the greatness of which is disclosed ever more deeply and graphically with each new step made by mankind along the road of social progress. The world-historic significance of its victory and of the rich experience of real socialism consists in the fact that they have provided an example of the most just organisation of society in the interest of the working people, as well as of a new type of international union, the ever more close-knit community of the fraternal peoples of the socialist countries.
In recent years, the socialist countries' fraternal parties, developing the Marxist-Leninist theory of building a socialist society, have enriched the treasurehouse of Marxism-Leninism with new conclusions and propositions, which open further prospects for socialist development.
The conception of the developed socialist society, elaborated by the combined efforts of the GPSU and fraternal communist and workers' parties, is a great creative contribution to Marxist-Leninist theory.
Following the theory and practice of real socialism, the fraternal communist and workers' parties identify and consistently implement a realistic course
~^^1^^ L. I. Brezhnev, The Great October Revolution and Mankind's Progress, Novosti Press Agency Publishing House, Moscow, 1977, p. 18.
aimed at attaining both immediate and fundamental long-range goals, the supreme of which is the steady rise in the living standards and cultural level of the peoples in their countries.
Enriching the real experience of socialism, the socialist countries, united by the community of their state systems, their commitment to the cause of peace, socialism, democracy, and national independence, are voluntarily developing all-round cooperation with each other on the principles of Marxism-Leninism, international solidarity, respect for the equality and sovereignty of each country, non-interference in internal affairs, and friendly mutual assistance.
Together, these principles express the essence of an international alliance of a new type, the world socialist community.
Communists proceed from the general objective laws of the development of socialism, which are reflected in Marxist-Leninist theory and are borne out by practice. These laws are set out in the documents of the fraternal parties' international meetings, and are carried out with due regard for the concrete conditions prevailing in each country. This dialectical interrelation of the general and the particular provides for a fuller realisation of the advantages offered by socialism. For just as the historical processes of socialist development have general laws and particular concrete conditions governing their realisation, so are the advantages of socialism manifested in the general, realised with due regard for the particular. This book examines the general
14INTRODUCTION
INTRODUCTION
15advantages of the socialist system, which are manifested to some extent or another in different countries pursuing socialist and communist construction.
The experience of socialist development shows that its singleness of historical purpose objectively stems from the identity of interests of socialist society. This objectivity, however, is manifested only insofar as the working class and its Marxist-Leninist party are aware of the objective requirements of social development. But knowledge of these requirements, of objective laws, does not automatically provide, for instance, for the growth of production, serving merely as a guide to determining economic strategy and tactics, to identifying the central problem and the means of dealing with the tasks of a concrete period. In this is manifested the role of the subjective factor, the role of the policy of the Marxist-Leninist parties, of their organisational and ideological work among the working people. The connection between the objective laws of socialism and the advantages offered by it is characterised by the fact that conscious use of these laws in the interest of society as a whole is one of the most important---and the most general--- advantages of the new social system.
Singling out this, the most general, advantage of socialism, the authors have endeavoured to reduce to a system the main and most typical advantages of socialism, which have already been cognised and are being realised in social practice, both in the economic and the socio-political, ideological, cultural and intellectual fields.
The authors assign a special place to the description of the characteristics of the socialist mode of life.
In examining the essence of socialist humanism, they analyse the conditions created by society for the cultural and intellectual development of the individual, disclosing in this way the humane nature of socialism, of its social optimism, which is founded in the absolute confidence felt by every working man in his own and his children's future and security in old age.
The authors systematise the advantages of socialism with due regard for the fact that its progressive character is reflected not only in the rate at which the productive forces develop under it and in the amount of material goods made available to citizens, but also in the way in which the needs of the individual and society are met, in the character and pattern of these needs, and in the further prospects for the development of the individual. By altering the relationship between the worker and the means of production, socialism has created real opportunities for man's all-round creative growth and for the promotion of his social activity.
Lenin pointed out that with the triumph of socialism, a higher type of social Organisation of labour is established. This is what is important, this is the guarantee that the final triumph of communism is inevitable.^^1^^
~^^1^^ V. I. Lenin, 'A Great Beginning', Collected Works, Vol. 29, Moscow, 1977, p. 419.
16INTRODUCTION
INTRODUCTION
17Analysing the historical changes in the organisation of labour, Lenin stressed that organisation of social labour under serfdom rested on the discipline of the stick, the toilers being extremely ignorant and downtrodden. The capitalist organisation of labour was maintained through the discipline of hunger.
The communist organisation of social labour, the first step of which is socialism, is based---and will continue to be based increasingly as time passes---on the free and conscious discipline of the working people themselves. It grows out of the new material conditions, the exponent of which is the working class, the labouring masses, i.e., socialist society, and is based on the gains of socialism and the absence of such social evils, inherent in capitalism, as hunger and poverty, unemployment and illiteracy, and social and national oppression.
A new attitude to work, the gradual turning of labour into a prime vital necessity, and a transformation in the motives of man's activity are a major advantage of socialism. It is accompanied by the allround development of workers' social and production activities and of diverse forms of public initiative in the sphere of production and other areas of the life of society, and by fuller satisfaction of men's material, cultural and intellectual needs.
The further development of real socialism and the building of a communist society in the USSR are accompanied by the strengthening and improvement of the socialist state system, and consistent extension of socialist democracy, all of which express and
safeguard the interests of the socialist nations. As it increasingly extends to the various spheres of life--- economic, political, cultural and intellectual---- socialist democracy provides real opportunities for the all-round flowering of the individual.
Socialist democracy embodies the unity of the rights and duties of citizens, their genuine freedom and public responsibility, and harmoniously combines the interests of society, the group, and the individual. The working people take an ever more active part in running production and society.
Socialist society is an association of working people which is developing on the basis of science and the scientific policy of the Marxist-Leninist parties, whose activities embody the interests of the working class and all working people.
The historical experience and achievements of the socialist countries convincingly demonstrate to all progressive mankind that the future belongs to socialism. The truth about socialism has an ever-increasing power of attraction for hundreds of millions of people in different corners of the earth. That is why the sum total of socialism's advantages has become the object of a tense ideological struggle. Bourgeois sociologists, diverse apologists of capitalism, and revisionists on the right and left attempt to minimise the successes achieved by the socialist community countries through the heroic efforts of their peoples, led by the Marxist-Leninist parties. Nevertheless, the world socialist system, in which the regular process of the gradual drawing together of the fraternal countries is
2---2637
18INTRODUCTION
INTRODUCTION
19intensifying, the common elements of their policy, economy, and social life are multiplying, economic integration is advancing, and levels of development are gradually becoming equalised, is exerting an immense influence on world development and the world revolutionary process. The peoples fighting for their freedom and independence find support in socialism. It opposes aggressors and the imperialist arms race, and rallies the peoples in their struggle for peace, international detente, freedom, and social progress.
Consistently dealing with the vital issues of today which affect the whole of mankind, socialism shows the rest of the world a clear way in the struggle for emancipation from imperialist oppression and exploitation.
Socialism is triumphing in the struggle for the minds and hearts of ever larger numbers of working people throughout the world.
The successes achieved by socialism bear out the profound soundness of Marxism-Leninism. Over the decades of socialism's consolidation and triumph, the experience accumulated in revolutionary battles and development has brought into being new, socialist traditions. The peoples of the socialist countries are aware that 'to safeguard these traditions means to creatively develop them'.^^1^^
Communist party congresses in the fraternal social-
ist countries, held in the latter half of the 1970s, subjected to all-round analysis the experience of building socialism and showed that socialism had achieved fresh successes by realising its advantages in the economic, social, political, cultural and intellectual fields, and in the anti-imperialist struggle. The communist and workers' parties can justly be proud of what has been accomplished. But at the same time, the fraternal parties, like the CPSU, the most experienced of them, realistically appraise what has been done, expose shortcomings and overcome obstacles in the path of their forward movement by constantly striving to do so. This is the line along which the Marxist-Leninist parties concentrate their efforts and the efforts of all working people in the socialist countries.
Thus, the advantages offered by the socialist system discussed in this book are questions of the prospects for society's development, of genuine humanism, of the avenues for promoting man's reasonable material, cultural and intellectual needs, and the means of satisfying them, and of the insuperability of the main trend of this age---the revolutionary replacement of the capitalist by the communist system.
~^^1^^ On the 60th Anniversary of the Great October Socialist Revolution, Resolution of the CPSU Central Committee of January 31, 1977, Novosti Press Agency Publishing House, Moscow, 1977, pp. 26-27.
CHAPTER I
ESSENCE AND PRINCIPLES OF SOCIALISM
21THE ESSENCE
AND PRINCIPLES
OF SOCIALISM
has outlived its usefulness, increasingly misapplies the advances of science and technology for anti-- humanitarian purposes, and provokes acute problems associated with the state of the environment and utilisation of natural resources.
Numerous sections of the working class, peasants, and progressive intelligentsia become convinced from their own experience that the solution of major vital problems is, in the end, connected with changes in the economic, social, political, cultural and intellectual spheres, effected on the basis of socialist principles.
No changes can be effected without conquest of power by the working class in alliance with all the working people. Revolution alone makes possible the resolving of the antagonistic contradictions inherent in capitalism. The means by which qualitative changes can be brought about is the dictatorship of the proletariat, which expresses the fundamental interests of the absolute majority of the people---the broad mass of the working people and all progressive people engaged in science and culture.
Employing the dictatorship of the proletariat, the working class together with all the working people opposes to the fierce armed, political, and ideological resistance of the reactionaries, to the disorganisation of the economy and counter-revolutionary sabotage and bourgeois terrorism, the greatest organisation and solidarity in defending the gains of the revolution and the interests of the working people emancipated from exploitation.
1. The Emergence of Socialist Society
The communist socio-economic formation and its first phase, socialism, emerge as a natural product of the development of the productive forces and the irreconcilable internal contradictions of capitalism, and as a result of the determined struggle of the revolutionary forces, whose nucleus is the working class, led by communist and workers' parties.
The founders of Marxism-Leninism proved, on the basis of a scientific conception of the process of history and analysis of capitalist society, that mankind's transition from capitalism to communism is determined by the profound and universal character of the antagonisms intensifying the exploitation and social, political, cultural and intellectual oppression of the working people, unemployment, racial and national discrimination, and the moral crisis and spiritual decay of bourgeois society. Imperialism intensifies social inequality and the uneven development of different regions, countries, and continents. Faced with the collapse of the colonial system, it breeds neocolonialism and increases the danger for mankind by the arms race, aggression, and wars. This system, which
22SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
23The historical experience of the struggle for the triumph of socialism attests that a revolution can consolidate its victory only provided that it can defend itself.
The Marxist-Leninist conception of the inevitability of the transition from capitalism to communism reveals that it is a process determined by many factors, and lays bare the chief source of social antagonisms---the capitalist mode of production. The objective inevitability of revolutionary socialist changes is predetermined by the economic laws of social development, by the economic law of the correspondence of the relations of production to the level and character of the productive forces, by the law of the uneven development of capitalism, and so on. 'The rule of capitalism is being undermined not because somebody is out to seize power,' Lenin wrote. ' ``Seizure'' of power would be senseless. It would be impossible to put an end to the rule of capitalism if the whole course of economic development in the capitalist countries did not lead up to it.,,. No power could destroy capitalism if it were not sapped and undermined by history.'^^1^^
A high level of productive forces and the social character of production objectively require that there should be social appropriation of the product, and social ownership of the means of production. The economic mechanism of the capitalist system eventual-
ly proves incapable of functioning smoothly under the weight of the productive forces created by it. Capitalism can no longer effectively use the accumulated mass of the means of production; this accounts for the existence of an unemployed industrial reserve force, although all the elements of general welfare are present in abundance and to an even greater extent than at the dawn of capitalism.
Thus, the economic development of capitalism, expressed in the increased concentration and centralisation of the means of production and instruments of labour, objectively provides the material and political conditions necessary for destroying the old capitalist relations of production. Thus, the revolutionary replacement of capitalism by socialism becomes a natural historical process in social development.
Socialist relations of production cannot emerge within the capitalist socio-economic system. Capitalism creates merely the material, and some subjective, prerequisites of the future socialist society. A working class takes shape and organises its revolutionary political vanguard, a Marxist-Leninist party, and a proletarian, Marxist-Leninist ideology develops. But first there appear the material and technical prerequisites of the new social system, namely, productive forces which already under capitalism are essentially social ones. Even so, it would be wrong to suppose that the working class in a developed capitalist country inherits, after its conquest of power, a material and technical foundation which it can use, without any restructuring, as the material and tech-
~^^1^^ V. I. Lenin, 'War and Revolution', Collected Works, Vol. 24, Moscow, 1964, p. 417.
24SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
25nical base of socialism. The political rule of the working class is called upon to abolish private ownership of the means of production so as to emancipate labour, give free scope to the initiative and creativity of the broad mass of the working people, organise production in accordance with a single national economic plan, get the management of the economy and all social processes smoothly running, and ensure efficient use of the advances of science and technology. Only given all these conditions can a material and technical foundations matching the new social system be built, in order to satisfy, as fully as possible at the existing level of the productive forces, the material and spiritual requirements of all working people. This means consideration of the interests of the working people, on the one hand, as consumers---by steadily raising their living standards---and, on the other, as producers---by developing socialist forms of the organisation of labour, by intellectualising and humanising it, and by improving diverse forms of participation in the management and rationalisation of production.
The working class, in alliance with the working peasants and other sections of the people, and under the guidance of the Marxist-Leninist party, reorganises the material productive forces created under capitalism into the material and technical foundations of socialism, building them on new principles as the material basis of socialist social relations.
With this purpose in mind, the working class and all working people must, after taking political power
into their own hands, build a complex network of socialist socio-economic relationships, form and train organisers of socialist production, develop the socialist cooperation of labour, introduce socialist methods of production and distribution, and learn to apply economic laws in establishing socialist relations of production, which do not originate under capitalist production. All these measures are carried out in the course of an acute class struggle against the bourgeoisie and its lackeys, who are out to obstruct and sabotage them.
The higher the technological level of capitalist production in a country, the higher its degree of socialisation, which is manifested in concentration and specialisation, and the more perfect the material prerequisites of socialism created by capitalism, the more efficiently must the working class provide for the socialist reorganisation of industry, transport, agriculture, and trade, and the greater is the responsibility of the Marxist-Leninist party, the working class and all contingents of the working people, of all forces remaking the political system so as to ensure effective utilisation of the available material prerequisites of socialism for further social progress and the comprehensive realisation of the advantages afforded by socialist methods of production and by social life as a whole.
'Anarchy in social production is replaced by systematic, definite organisation.... The whole sphere of the conditions of life which environ man, and which have hitherto ruled man, now comes under the
26SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
27dominion and control of man, who for the first time becomes the real, conscious lord of nature, because he has now become master of his own social organisation.'^^1^^
Contemporary apologists of capitalism, who preach that it can be improved through partial reforms, e.g., the advocates of different `industrial' and ' postindustrial' conceptions of society, lay stress on changing its material and technical foundations and reject revolutionary changes aimed at abolishing private ownership. Their arguments are borrowed by reformists, right-wing revisionists, and leftists' of every stripe. We know very well that the leaders of the Second International, in their day, also denied the need for revolutionary change in the socio-economic foundations of society, calling into question the revolutionary capabilities of the toiling masses embarking on the road of socialist development.
Lenin wrote of them: 'Those who try to solve the problems involved in the transition from capitalism to socialism on the basis of general talk about liberty, equality, democracy in general, equality of labour democracy, etc. (as Kautsky, Martov and other heroes of the Berne yellow International do), thereby only reveal their petty-bourgeois, philistine nature and ideologically slavishly follow in the wake of the bourgeoisie. The correct solution of this problem can be found only in a concrete study of the specific rela-
tions between the specific class which has conquered political power, namely, the proletariat, and the whole non-proletarian, and also semi-proletarian, mass of the working population---relations which do not take shape in fantastically harmonious, ``ideal'' conditions, but in the real conditions of the frantic resistance of the bourgeoisie which assumes many and diverse forms.'^^1^^
History confirmed this conclusion. Nobody can deny the fact that in the course of its establishment socialism is resisted tooth and nail by the old ruling exploiting classes and their adherents, and can only hold out as a result of cohesion on the part of the working class and all working people on the basis of the dictatorship of the proletariat, exercised under the leadership of a Marxist-Leninist party equipped with a scientific theory of the class struggle.
The conclusion to be drawn from the experience accumulated so far is a priceless lesson of modern and recent history, the essence of which is that in order for socialism to win and push ahead, definite social and political conditions are necessary. Namely, the working class, led by its vanguard, the revolutionary Marxist-Leninist party, must take over political power, break the old machinery of state, and establish the dictatorship of the proletariat. In view of its objective situation, the working class has an interest in building a society which rules out the exploitation of man
~^^1^^ Engels, Anti-Diihring, Progress Publishers, Moscow, 1977, p. 343,
~^^1^^ V. I. Lenin, 'A Great Beginning', Collected Works, Vol. 29, p. 422.
28SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
29by man. It employs the dictatorship of the proletariat so as to overcome the energetic resistance offered by the classes and forces which have been tumbled from the top of the social pyramid; to effect radical changes in the relations of production, distribution and exchange, and in the social structure; to build the material and technical foundations of socialism; and to involve the mass of the toiling peasantry and other sections of the working people in socialist construction.
For these ends, the dictatorship of the proletariat is established, without which the political power of the working class could not last for even an hour. This conclusion, following from the experience of the Paris Commune, is borne out by the entire history of the class struggle waged by the proletariat in the conditions of imperialism, and is confirmed by the real experience of socialist revolutions.
The system of the dictatorship of the proletariat intensifies and extends the results of the revolution, whether it develops in peaceful or armed form. The revolutionaries must, however, be prepared to effect a flexible and swift change from peaceful forms of ' revolution to armed action by the masses, depending ! upon the reaction of the bourgeoisie and the situa- ' tion arising therefrom. The dictatorship of the proletariat represents the power of the working class, the alliance of the working people, led by the working I class. It implies the leading role of the communist !• party; use of the socialist state as the major factor in ' building socialism; the influence of the public organi- '
sations of the working people on the masses; development of socialist democracy and scientific-political management of the economy, culture, and the entire life of society; and the extension of the working people's social and political freedoms, rights, and duties.
In establishing the dictatorship of the working class, the socialist revolution replaces the exploiting state machinery by one capable of ensuring real political power for the working people, with the working class in the lead. Bourgeois democratic institutions---e.g., the parliamentary system, general elections, and so on---may be employed in the interests of the revolution. To deal with the problems of socialist construction, however, it is necessary to fill the old forms with a new social and class content, creating new institutions and replacing bureaucratic centralism, typical of the bourgeois political system, with democratic centralism, inherent in the political system of socialism.
The dictatorship of the working class fulfils both internal and external functions. It suppresses the resistance of and isolates the exploiting classes; augments the friendly alliance and relations of cooperation and mutual assistance between the working class, peasantry and working intelligentsia; builds the foundations of socialist society; ensures protection of socialist construction from attacks by the imperialist powers; strengthens the international solidarity of the working class and all working people; supports the just struggle of the oppressed peoples and the revolutionary na-
30SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
31tional liberation movements; and promotes the development of economic and cultural relations on a world scale, and the struggle for peace.
Recognition of the natural and logical character of the dictatorship of the proletariat, irrespective of what form it may take, distinguishes consistent fighters for the interests of the working class from those who underestimate the revolutionary role of the proletarian state and violence in abolishing the bourgeois system, and overestimate bourgeois democracy, `Left' opportunism, too, rejects in effect the Marxist-Leninist essence of the dictatorship of the proletariat, putting in its place a bureaucratic-military dictatorship.
The dictatorship of the working class is the rule of the majority, i.e., of the mass of working people, over the minority, the former exploiters. Its main objective is building a new society, and performing economic, organisational-political, educational-cultural, and ideological functions. The dictatorship of the working class means real democracy for the broadest mass of the working people, whose interests it directly represents.
In considering the question of the dictatorship of the working class, one must say that one cannot speak about the advantages of socialism out of context with the real processes developing in the capitalist world, such as its growing contradictions, or without considering the intense forms of class struggle.
Proletarian democracy inherent in the dictatorship of the working class means limited democracy for a part of society, i.e., for the insignificant exploiting
minority, which does not exceed 2-4 per cent of the population in most countries. Bourgeois democracy, on the other hand, which is an expression of the dictatorship of the bourgeoisie, means limited democracy for the great majority of society, for the working class and other wage-earners. And although bourgeois democracy is historically progressive, compared with the middle ages, it necessarily remains, as Lenin stressed, a limited democracy, 'false and hypocritical, a paradise for the rich and a snare and deception for the exploited, the poor'.^^1^^
The state of the dictatorship of the working class is many times more democratic than the most democratic bourgeois republic, as it expresses the interests of and serves all working people. It provides conditions that make all material and cultural values the property of those who produce them---the working class and all working people. Its foundation is the rule of the working class led by the communist party, and the establishment and consolidation of public ownership of the means of production.
Under the dictatorship of the working class, the forms of socialist democracy are steadily improved, and it develops, employing such ways and means as make it possible to achieve the broadest involvement of working people in the solution of all cardinal problems of building socialism. Solution of these problems is guaranteed by the leading role of the working
~^^1^^ V. I. Lenin, 'The Proletarian Revolution and the Renegade Kautsky', Collected Works, Vol. 28, Moscow, 1965, p. 243.
32SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
33class, extension of the functions of scientific-political administration of society, and the greater role of Marxist-Leninist parties in advancing the functions of the state and mass organisations in developing the economy and carrying on cultural and educational work.
Socialist democracy grants working people real rights and freedoms, simultaneously demanding discipline and organisation, and a high sense of public responsibility. This is achieved through education and persuasion, supplemented by economic incentives connected with the socialist principle of distribution according to work performed or according to each individual's contribution to production, distribution being regulated by the socialist state in conformity with economic laws.
The role of the dictatorship of the proletariat is therefore not merely to apply revolutionary violence with respect to the bourgeoisie. It is 'a persistent struggle---bloody and bloodless, violent and peaceful, military and economic, educational and administrative---against the forces and traditions of the old society. The force of habit in millions and tens of millions is a most formidable force'.^^1^^
The relation between separate functions of the dictatorship of the proletariat is subject to change. With the abolition of the bourgeoisie and the disappearance of the capitalist sector in the economy, its democratic character becomes increasingly evident.
~^^1^^ V. I. Lenin, ' ``Left-Wing'' Communism---an Infantile Disorder', Collected Works, Vol. 31, p. 44.
The working people grow more organised and politically aware, and develop a socialist attitude to work.
The bourgeoisie, which does not lose all its economic positions and financial and other means overnight, retains its connections with unstable elements in the society and the bourgeoisie in other countries, does not resign itself to the successes of socialist construction, tries to sabotage it, and, in some circumstances, does not stop short at counter-revolutionary action and civil war.
The changed alignment of forces after the Second World War in favour of the forces of peace, democracy and socialism, the influence of the USSR---the first socialist state in human history; and the mutual solidarity of the socialist countries and the international communist and working-class movement are producing new conditions for the revolutionary struggle. The proletariat has always sought to make the change-over to the new social system as painless as possible. The acuteness of the class struggle has always depended on the conduct of the bourgeoisie.
In Soviet Russia, the bourgeoisie unleashed a civil war. In the popular democratic revolutions, e.g., in Czechoslovakia after 1945, the bourgeoisie spared no efforts to hinder the advance of the revolution, yet the decisive battle was won without bloodshed. In February 1948, the revolutionary forces suppressed the attempt of the counter-revolutionary bourgeoisie to reverse the course of events, and that was done wholly in keeping with the Constitution and laws. The programme of the National Front was approved
3---2637
34SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
35by the constitutional bodies, with the broad, unanimous support of the working class and all labouring sections of society, which staged mass demonstrations. The reactionaries had underestimated the maturity and organisation of the working people, the influence of the Communist Party, and the relation of internal and international forces. The working class, led by the Communist Party, could not be content with partial reforms of the old system and, relying on its alliance with the peasantry and progressive intelligentsia, and helped by its organs of government, carried out a far-reaching social revolution.
But such a development of the revolution does not mean that the defeated classes surrender their positions or leave the historical scene without resistance, without attempting to reverse the course of the revolutionary events, gain time, and strike at the working people's gains. The international working class will never forget the lessons of counter-revolution, of the White Terror, starting with the Paris Commune and ending with the fascist revolt in Chile and other tragic events of recent times.
Lenin wrote: 'As man's history-making activity grows broader and deeper, the size of that mass of the population which is the conscious maker of history is bound to increase'.^^1^^ The interests and requirements of the working class and the overwhelming majority of the people are defended by the MarxistLeninist parties, which wage an unremitting struggle
~^^1^^ V. I. Lenin, 'The Heritage We Renounce", Collected Works, Vol. 2, 1972, p. 524.
against petty-bourgeois and bourgeois ideology, and to enhance their influence on the working class, and protect its interests. In the absence of a party, it is impossible to draw the masses into the administration of society. The dictatorship of the proletariat can be exercised only if there is a steady increase in the leading role of the party. 'Parties,' Lenin stressed, 'may represent the interests of their class in one degree or another; they may undergo changes or modifications, but we do not yet know of any better form. The entire course of the struggle waged by Soviet Russia, which for three years has withstood the onslaught of world imperialism, is bound up with the fact that the Party has consciously set out to help the proletariat perform its function of educator, organiser and leader, without which the collapse of capitalism is impossible.''
Under concrete historical conditions, a multiparty system, that is, the Communists' cooperation with other socialist and democratic parties in building real socialism, while strengthening the power of the working class and all working people, is possible and desirable.
A multiparty political system exists in some socialist countries, for instance, Bulgaria, the GDR, and Hungary. It is based on the alliance of the vanguard of the working class---the Communist Party---and other political parties expressing the interests and aims of the other groups of working people, viz., the peasants,
~^^1^^ V. I. Lenin, 'Speech Delivered at an All-Russia Conference of Political Education Workers of Gubernia and Uyezd Education Departments, November 3, 1920', Collected Works, Vol. 31, 1966, p. 367.
36SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
37artisans, and working intelligentsia. All these parties support the prospect of building socialism and the leading role of the working class and of its party, and act jointly, fraternally combining and harmonising the interests of the different groups of working people so as to promote the progressive development of their countries. But in these countries there is no---nor can there be---'political pluralism' in the sense of the so-called free play of forces of progressive and counter-revolutionary parties.
The dictatorship of the proletariat also differs from the previous class dictatorships in that it promulgates and implements the programme of its own withering away. At the stage of the developed socialist society, simultaneously with the development of the socialist state system, the activities of the state become ever more closely and comprehensively integrated with those of the broadest sections of the people, giving rise to the socialist state of the whole people. The responsibility, significance and prestige of the communist and workers' parties, as well as of mass organisations, increase. Thus the key creative functions of the state of the dictatorship of the proletariat--- those of organising the economy and conducting cultural and educational work----extend, and democratic centralism, the real democratism of the socialist social system, develops.
The building of socialist and communist society is a profoundly internationalist matter, presupposing the responsibility and solidarity of the working class of different nations and peoples. The socialist sys-
tem is the historical service and property of the international working class. The successful implementation of socialist construction in the socialist community countries and more efficient utilisation of the advantages of socialism constitute a major contribution of their working class to the world revolutionary process.
The international working class constantly renders moral and political support to the socialist countries. The struggle for peace, democracy and socialism, the great scope of the national liberation movement, and the growing unity of the main forces in the world revolutionary process create favourable conditions for successful socialist development.
The world socialist system is forming and developing gradually. This is determined above all by the fact that the socialist countries are at different levels of development. While in the USSR a developed socialist society has been built, other socialist countries are either building it or still dealing with the problems of the transition period, i.e., those of building the foundations of socialism. In addition to this, there are specific conditions prevailing in each country as a result of the distinctive features of its previous historical development.
One important component of the establishment of the world socialist system is the building of the world socialist economic system. The advantages inherent in the organisation of the material and technical foundations of socialism and the socialist socialisation of labour and production can at present be utilised
38SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
39only given intensive, effective cooperation by all socialist countries, by the world socialist system as a whole. The socialist countries build their relations on the basis of the principles of equality, free will and socialist internationalism.
The distinctive features of socialist construction in different countries stem from the initial conditions, present in these countries from the difference in their levels of economic, political, and cultural development. Certain difficulties also effect it. In the countries where imperialism left the productive forces at a low level, where they had to develop from a comparatively low level of socialisation, the problems involved in building socialism are more complex. In other countries disproportions in the development of individual industries or in the utilisation of resources may spring up. An exceptional role in this process is played by the experience and maturity of the subjective factor, e.g., the leading public organisations and executive personnel.
The GPSU and other communist and workers' parties of the socialist community do not make an ideal of the experience of individual countries or of separate features of any society building socialism in which historical and national distinctiveness is manifested. Each country is affected by diverse empirical circumstances, specific natural, objective (initial) and internal conditions and the external influence of the international situation. The general objective laws governing socialist construction in different countries can be disclosed only by generalising from the sum
total of the processes and developments involved. Moreover, it is necessary to take into account certain new circumstances which may arise when making use of the material prerequisites and subjective conditions that have taken shape under capitalism, and to consider the growing role of the world socialist system and the first country of developed socialism, the USSR.
The most complete statement of the general laws governing the building of socialism is contained in the Declaration of the Meeting of Representatives of the Communist and Workers' Parties of the Socialist Countries, held in Moscow in 1957. They are:
---guidance of the working masses by the working class, the core of which is the Marxist-Leninist party, in effecting proletarian revolution in one form or another and establishing one form or another of the dictatorship of the proletariat;
---the alliance of the working class and the bulk of the peasantry and other sections of the working people;
---the abolition of capitalist ownership and the establishment of public ownership of the basic means of production;
---gradual socialist reconstruction of agriculture;
---planned development of the national economy aimed at building socialism and communism, at raising the standard of living of the working people;
---the carrying out of the socialist revolution in the sphere of ideology and culture and the creation of a numerous intelligentsia devoted to the working class, the working people and the cause of socialism;
40SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
41---the abolition of national oppression and the establishment of equality and fraternal friendship among peoples;
---defence of the achievements of socialism against attacks by external and internal enemies;
---solidarity of the working class of the country concerned with the working class of other countries, that is, proletarian internationalism.
The general objective laws governing the building of socialism are creatively employed by the fraternal parties as a guide to building socialism in the concrete circumstances prevailing in a given country.
Lenin wrote: 'All nations will arrive at socialism--- this is inevitable, but all will do so in not exactly the same way, each ,will contribute something of its own to some form of democracy, to some variety of the dictatorship of the proletariat, to the varying rate of socialist transformations in the different aspects of social life.'^^1^^
2. Socialism: Essence, Principal Features and Aims
Socialism, which has become a reality in the USSR and many other countries of the world socialist system, is steadily growing stronger and developing, passing through a number of stages in the process. To disclose the advantages of socialism is to disclose its essence,
the objective laws of its functioning, its principles, and aims.
Socialism is a society of emancipated; socialised labour, based on socialist ownership of the means of production, and the political rule of the working class, of the working people. It is a highly organised society, developing according to plan and scientifically administered on the basis of democratic, centralism, a so^ ciety with qualitatively new forms of participation by the people in the economic, political, and cultural life. In this society, on the basis of public ownership of the means of production, relations of genuine collectivism, cooperation and comradely mutual assistance are firmly established; new and better opportunities for the development of production, administration and culture emerge; men's abilities and talents unfold; and their needs, especially the need for . creative work, increase. The working man, whose 'social activity and creative initiative are the decisive factor in building the new life, becomes the hub of society's development. Achievement of the aims of socialism is ensured as working people are drawn on a large scale into public activity and conditions are provided enabling each citizen to increase his personal contribution to the public welfare.
There are different factors testifying to the maturity of socialist society, the principal one of them being the level to which the productive forces and socio-economic relations, the real socialisation of labour and. production, and the socialist relations of property are developed, and the degree to which the objective
~^^1^^ V. I. Lenin, 'A Caricature of Marxism and Imperialist Economism', Collected Works, Vol, 23, Moscow, 1964, p. 70.
42SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
43laws of socialism are brought into play. A definite balance is achieved between relations of production and the character of the productive forces, and a material and technical foundation adequate to the new social system is built. A unity of social labour and social property emerges, i.e., the means of production turn into the proper objective conditions of the existence of labour, which, in its turn, appropriates these conditions as a collective force.'The unity of labour and property is manifested under socialism above all in the activity of the working class, whose leading role is based on socialist ownership of the means of production and on its being the main productive force, owing to its connection with the kinds of production which are the most advanced technically, technologically,
and economically.
The policy of socialist society is based on principles which follow from the objective laws governing the building of socialism and communism, such as, for example, the main principle of socialism, 'From each according to his ability, to each according to his work', the principles of democratic centralism, proletarian internationalism, and so on. Their implementation becomes increasingly consistent as the essence of socialism develops and deepens.
Simultaneously there occurs the process of moulding the harmonious individual.
Socialism is an independent, prolonged phase of development, which consists of stages following one another in a definite succession, and is governed by specific objective laws. Socialism will not grow over
into communism until every possibility of its own development has been exhausted. Mature socialism develops on its own foundations, on the basis of the economy, policy, social and class structure, culture and ideology adequate to it.
The objective laws of socialism also govern the development of socialism into communism.
In a developed socialist society, the creative abilities of the masses are displayed ever more broadly, and the objective laws of socialism are manifested and used in the interests of the working class and all working people ever more fully. The material, cultural and intellectual prerequisites of man's all-round development appear in society. In this lies the meaning of social progress, which attains its summit under communism.
The socialist countries now at the stage of building mature socialism are tackling the problems of further advancing the productive forces, perfecting social relations, and providing the conditions for the all-round development of the individual. The harmonious development of socialist society as an integral system implies taking into account the reciprocal multilateral relations of its separate parts, of such factors, above all, as the growth of labour productivity and the efficiency of production. It has been stressed at congresses of the fraternal parties that a developed socialist society, the building of which constitutes the current stage of development, is characterised above all by a joining of the advances of the scientific and technical revolution with the new so-
44
SOCIALISM AS A SOCIAL SYSTEM
cial relations, and by a comprehensive solution of political, socio-economic, cultural, and educationalideological problems, which makes it possible to satisfy people's ever-growing needs.
A Marxist-Leninist analysis of society implies a comprehensive approach, all conditions on which progress depends being studied and intrinsic distinctive features and contradictions revealed. Simultaneously this analysis is based on the singling out of essential relationships of social phenomena and key social processes. The latter, according to Marx, are the relations among men in the sphere of production. In the dialectics of relations of production and productive forces, he discovered the basic structure from which the entire network of complex social relationships develops. The level of development of productive forces and of maturity of social relations, the degree of utilisation of economic laws and socialism's internal organisation, social homogeneity and harmony, the proportionateness of the development of its individual spheres, their comprehensiveness and balance, the democratism of management, the amount of individual freedom, and the increased well-being of the working people may be considered as general criteria of the degree to which socialism has developed. The character of the changes and progress in all spheres of social life is determined by the fundamental changes in the mode of production, the high level of socialisation, the intensiveness and efficiency of production, the wealth of real opportunities for human development, the harmonious combination of social, collective and individual
ESSENCE AND PRINCIPLES OF SOCIALISM
45interests, and the social, political, moral, and ideological unity of society.
As has already been pointed out, the strategic aim of socialism and communism is to provide for the allround development of all members of society. This aim is objectively inherent in the main economic law of socialism, which essentially consists in making social production serve the satisfaction of the growing material, cultural and intellectual requirements and unhampered all-round development of all members of society, and in creating the material conditions necessary for it by advancing production.
The socio-economic conditions underlying the development of socialism are not static. The operation of the main economic law of socialism intensifies as the social system attains maturity. Speaking at the 24th GPSU Congress of the material possibilities of realising the economic laws of socialism, Leonid Ilyich Brezhnev said: Tn the early stages of building socialism, it will be recalled, we were compelled to concentrate on the top priorities, on which the very existence of the young Soviet state depended. Now the situation is changing. Not only do we wish to---for we have always wished it---but we can and must deal simultaneously with a broader set of problems.;... While breaking through in one sector or another, be it ever so important, we can no longer afford any drawn-out lag in any of the others.'^^1^^
~^^1^^ 24th Congress of the Communist Party of the Soviet Union, Novosti Press Agency Publishing House, Moscow, 1971, p. 48.
SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
47Coming to the fore at present is the integrity of the economic system, the comprehensive character of its economic and social development and the combining of long-term and current problems, of sectoral and territorial planning, which includes utilisation of natural resources and the accumulated technical potential, and efforts to make production more efficient and reduce production losses, on the one hand, and protection of the environment and its more rational adaptation to man's needs, on the other. Such combining of the principles of the socialist economy presupposes the presence of appropriate material conditions or it would be mere wishful thinking. For example, the problems of environmental protection are linked with definite requirements as to the organisation of social labour.
Where there are new problems, there must also be new means of dealing with them. The economic laws of socialism are utilised in the context of the scientific and technological revolution, which alters the technical-economic essence of the methods of production, promotes the creative growth of the working man, changes his attitude to nature, and requires new means of dealing with social problems. Society has to take into account not only the immediate conseqiiences of technical solutions in a given sphere, but also the consequences that will follow for other related areas of social life. Socialist socio-economic relations make it necessary to forecast the effect of man's influence on nature. These interrelationships are fully provided for under real socialism, this being
one of the distinctive characteristics of the development of mature socialism.
The scientific and technological revolution helps to a considerable extent to deal with the problems involved in building the material and technical foundations of communism, attain the stage of developed socialism, and also achieve success in the economic race with capitalism. In the documents of the communist parties of the socialist countries, making use of the scientific and technological revolution and combining its results with the advantages of the socialist system are defined as the main factors in building a material and technical base corresponding to developed socialism. One cannot, however, agree with the view that the scientific and technological revolution is by itself, quite apart from the relations of production, a criterion of the maturity of the socialist system. One essential distinctive feature of socialism Consists in the all-round, gradual development of man as the main productive force and the subject of socio-economic relations, and in his growing ability to avail himself of the opportunities offered by the socialist system. The level of the scientific and technological revolution is determined above all by the development of the main productive force, man. In order to serve this purpose well, the scientific and technological revolution must be a process consciously regulated and directed according to plan by society and the state.
Thus, we come again to the crux of the problem, i.e., the need to take into account the process of peo-
SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
49pie's all-round development and the character of the relations of production. What is required is a more detailed definition of the equality of men and classes with respect to the basic means of production under socialism and the still continuing inequality in the sphere of distribution according to work performed. The immediate relation of the owners of the means of production to the immediate producers, Marx wrote, is a relation each form of which corresponds to a definite stage in the development of production and is the hidden basis of the social system.
Under capitalism, labour is rapidly socialised through large-scale production, monopoly domination, and the rule of finance capital, which causes an unprecedented squandering of social energies, above all, those of the principal producer, the working class. The founders of Marxism-Leninism stressed, therefore, that the socialist revolution was the most thorough negation of traditional property relations, that it created new conditions for the socialisation of labour and production by establishing public ownership of the means of production and introducing planned, organised regulation of society's development.
Socialist property develops in a way which is far from simple, and which starts with the nationalisation of the basic means of production.
The development of socialist property is based on a harmonious and more or less simultaneous development of all the main spheres of society, including politics, ideology, culture and the processes of the emer-
gence of new forms of production and labour activity and the improvement of the political management of society. After nationalisation has been completed, the improvement of property relations in the course of building socialism, and then on socialism's own foundations, comes to the fore.
The problem of quality and efficiency of labour and production is closely bound up with their further socialisation and the consolidation of socialist property.
The development of technical and organisational factors^^1^^ is a highly important prerequisite of these processes. Lenin rightly pointed out that the socialisation and further improvement of socialist property was linked with the progress of science and technology and the mastering of new resources, and simultaneously with the development of methods of organisation and management, better research facilities, and an adequate supply of qualified personnel for the national economy.
An important way of advancing production in the course of building a developed socialist society is its intensification. This problem is not confined to the
~^^1^^ In this connection the following two extremes are encountered: while the `left' radicals (e.g., the 'New Left', Neo-Trotskyites, and the like) think little of the progreis of science and technology, the right-wing opportunists and advocates of capitalism believe that it can resolve all of mankind's crucial problems. In either instance, the technical and economic (technical and organisational) aspect is viewed in isolation from the socio-economic aspect.
4---2637
50
SOCIALISM AS A SOCIAL SYSTEM
use of new scientific discoveries, computerisation and introduction of the latest methods of production management. The achievements of science and technology which serve production lead to the further division of labour, accompanied by growing cooperation and enormous concentration of production. Therefore, the revolution performed by socialism in the sphere of production is largely concerned with its greater socialisation on the basis of public ownership. These processes are accompanied by the development of economic relationships in all aspects of production, at all stages of reproduction, i.e., production, distribution, exchange, and consumption. The internationalisation of economic ties between the countries in the socialist community becomes increasingly necessary. The significance of the socialisation of production transcends the limits of scientific and technological changes in the economy; the process is inseparable from economic growth at large. Socialisation not only presupposes certain technical and organisational forms, but has socio-economic significance above all. It is responsible for the greater importance of public ownership as a social and economic factor of social progress. Public ownership increases the work collective's social responsibility for properly using the means of production directly at its disposal, rationally utilising the achievements of science and technology, and natural resources, for ensuring the necessary balance in the development of production, and for making production more efficient.
It must be stressed that this real form of social re-
ESSENCE AND PRINCIPLES Of SOCIALISM
51lations is linked with the political sphere, which, by its due consideration of the objective economic laws of socialism, promotes the combination of the interests of society, the work collective, and the individual, thereby enhancing the responsibility of work collectives for the affairs of society.
Effective combination of economic requirements and social rules stimulating unhampered creative work, and concurrence of the interests of society, the collective and the individual are impossible in the conditions of capitalist market relations, with their corresponding methods of using the results of the scientific and technological revolution.
Under socialism, public ownership forms the basis of the economic system and simultaneously of every aspect of social development. Owing to the predominance of public ownership and the improvement of its forms, developed socialism has become a society in which powerful productive forces and a progressive science and culture have been created, in which the people's living standards are constantly rising, and more and more favourable conditions are being provided for the all-round development of the individual. It is a society of high organisational capacity, ideological commitment, and awareness of the working people, characterised by high discipline, initiative, by devotion to the cause of socialism, patriotism and internationalism. Thanks to the relations of public ownership, socialism is developing into a socially homogeneous society as all social strata, classes, nations and nationalities draw together. Thus
ESSENCE AND PRINCIPLES OF SOCIALISM
5352
SOCIALISM AS A SOCIAL SYSTEM
the idea of the fraternal solidarity of all working people is being realised in practice as the supreme expression of their growing freedom and equality.
The processes of socialism's development express the unity of the objective and the subjective factors. The communist parties of the socialist countries have elaborated a conception of the developed socialist society which forms the basis of any realistic political line of action.
During the building of developed socialism and communism, greater significance attaches to the subjective factor. This implies, above all, the consolidation of the leading role of the working class and its Marxist-Leninist party, which concerns itself with the rational use of society's material and cultural resources, constantly keeps account of the needs and interests of the working people, regulates social processes, and fosters new forms of social activity by citizens.
The masses grow more and more educated, better trained, and more organised. The ideological and organisational unity of the masses makes it possible to solve intricate problems which emerge in the course of socialist and communist construction.
Collective moral and organisational stimuli and voluntary observance of the principles of collectivity gradually come to play a greater and greater part. It becomes increasingly possible for society as a whole to exert a comprehensive influence on the development of all areas of public life and conservation of the environment.
3. Socialism: Emergence and Stages of Development
'The bourgeois relations of production,' Marx wrote, 'are the last antagonistic form of the social process of production---antagonistic not in the sense of individual antagonism, but of one arising from the social conditions of life of the individuals; at the same time the productive forces developing in the womb of bourgeois society create the material conditions for the solution of that antagonism. This social formation brings, therefore, the prehistory of human society to a close.'^^1^^
Removing social antagonisms from the life of society, socialism leads out into the social arena the great mass of the working people, the real makers of history. In this sense, socialism begins the real history of human society, reflecting the constructive work of the masses, of the working class and its vanguard, the Marxist-Leninist party, a political party of a new type.
Thus, socialism's place in history is determined by the fact that it opens the real history of human society, when it is free from social antagonisms. In socialist society there is no exploitation of man by man, no economic compulsion, no clashing of class interests, economic crises, unemployment, no economic or social backwardness of peoples and regions. ~^^1^^ Karl Marx, 'Preface tp a Contribution to the Critique of Political Economy', in: Karl Marx and Frederick Engels, Selected Works, in three volumes, Vol. 1, Progress Publishers, Moscow, 1976, p. 504.
54SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
55This demonstrates the advantages of socialism as a young, dynamically developing social system.
Bourgeois sociologists contend that the role of socialism in history is similar to that of state-monopoly capitalism, as both, according to them, pave the way for the so-called postindustrial society. The unsoundness of this assertion is obvious. It is aimed at confusing and disorganising the workers in the capitalist countries and persuading them that it is possible to go over to a new social system without any social revolution, class struggle or the dictatorship of the
proletariat.
The question of the historical place of socialism is of great importance to the strategy of the international communist and working-class movement, the development of the anti-imperialist struggle, and the further progress of the world socialist system. Another important question is the correlation of socialism and communism, the correlation of the individual stages in the development of socialism, and the common features of the two phases of the communist formation and their development. The solution of these problems is facilitated by the concrete realisation of the strategy of the building of socialism and communism.
The problems of the historical place and developmental dynamics of socialism and communism were treated in broad outline in the works of Marx, Engels, and Lenin. Marx and Engels constantly specified their conception of the main features of the future society and of the phases of its development.
Lenin developed their postulates further, simultaneously making some points more concrete, with due account of the international and domestic conditions induced by the emergence of imperialism---the highest stage of capitalism. In view of the further accumulation of revolutionary experience and the building of socialist "society in other countries, these conclusions were developed further in the documents of the CPSU and the fraternal communist and workers' parties of the socialist countries, in the documents of the international communist and working-class movement and in theoretical discussions held by MarxistsLeninists. The socialist countries and the international working-class movement take a creative approach to the conclusions' drawn by the founders of MarxismLeninism, in the spirit of their revolutionary legacy. Considering the question" of the historical place of socialism, Marx substantiated, in his Critique of the Gotha Programme, the conception of the two phases of communism, pointing out that 'between capitalist and communist society lies the period of the revolutionary transformation of the one into the other. Corresponding to this is also a political transition period in which the state can be nothing but the revolutionary dictatorship of the proletariat'.^^1^^ Developing and enriching the Marxist propositions, Lenin arrived at the conclusion that communism, in the early
~^^1^^ Karl Marx and Frederick Engels, Selected Works, in three volumes, Vol. 3, Progress Publishers, Moscow, 1976, p. 26.
56SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
57stages of the first phase, cannot be fully mature economically, completely free from the traditions or vestiges of capitalism. Distribution still accords with the amount of work performed, strict account must be kept of the measure of labour and of consumption, and individual material incentives within the framework of society's responsibility for each worker, and each worker's responsibility for the welfare of society, are still necessary.
Describing the first phase of development, Marx wrote: 'What we have to deal with here is a communist society, not as it has developed on its own foundations, but, on the contrary, just as it emerges from capitalist society; which is thus in every respect, economically, morally and intellectually, still stamped with the birthmarks of the old society from whose womb it emerges.'^^1^^ Socialism is not yet complete communism, but even so, it has features that are common to the communist formation as a whole. The natural features of this formation are manifested under it in less developed form. Lenin stressed that 'insofar as the means of production become common property, the word ``communism'' is also applicable here, providing we do not forget that this is not complete communism',^^2^^ The common aim of socialism and communism is to create the conditions for the all-round development of the individual and
the satisfaction of his needs by attaining a high level of productive forces and relations of production.
The discussions of Marxists-Leninists, which draw on the experience of socialist construction, help to develop the concepts of socialism, especially the relation between the essence of socialism and the birthmarks of capitalism, the development of socialism on its own foundations, and so on. Their conclusions promote a better understanding of the process whereby socialism grows over into communism. The theoreticians, moreover, proceed from the premise that socialism is a qualitatively definite, relatively long phase in the development of communist society, during which both general features of the formation as a whole, and the specific laws and features of socialism as an integral system operate. The experience of building socialism shows that the inevitable historical period between capitalism and socialism, which starts with the launching of the dictatorship of the proletariat (after the victorious socialist revolution) and terminates in the inauguration of the socialist phase of the communist socio-economic formation, is determined by the complexity of the class struggle, pluralistic pattern of the economy and by the need to abolish private ownership of the means of production, to convert small-scale production into largescale socialist production, to perform a cultural revolution, and to lay the foundations of socialism in all areas of social life.
The transition period is not determined by any--- even the most important---single aspect of the social
~^^1^^ Ibid., p. 17.
- V. I. Lenin, 'The State and Revolution, Collected Works, Vol. 25, Moscow, 1964, p. 471.
58SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
59process. It paves the way for victorious socialism, yet it does not form a part of its first stage, which begins with the building of its foundations, since it does not correspond to the qualitative characteristics of socialism. It gives expression to the specific developmental features of individual countries, but it has objective, general natural features of its own.
During the transition period, a fierce class struggle goes on between the advancing forces of socialism and the forces representing the capitalist or precapitalist system. The pluralistic pattern of the economy still exists, but socialisation of the means of production on the principles of socialist ownership steadily gains in importance. The country becomes industrialised, agriculture is organised along cooperative lines, and the basis of comprehensive and unified national planning is laid.
One essential condition for the triumph of the socialist mode of production is the socialisation of farm production by drawing individual peasant households in various ways into collective ( cooperative) production.
During the transition period, a twofold social process takes place. The economy, based in the past on labour exploitation and private ownership of the means of production, is reorganised and the old class pattern is abolished, and a new social class structure, represented by friendly classes, social groups and sections of the working people, is formed.
Simultaneously, an acute class struggle continues. The remnants of the overthrown classes try to enlist
the support of vacillators, to be found particularly among the peasants. Therefore, the victorious working class must strengthen its class alliance with the working peasants, stamp out the rural bourgeoisie as a class, draw the average peasant into the struggle for socialism, firmly rely on the poor peasants, and speed up socialist change in the countryside. And although the bourgeoisie as, a class cannot reconcile itself to the dictatorship of the proletariat, its separate groups may nevertheless cooperate for some time economically and politically with the new social force.
The dictatorship of the proletariat takes resolute steps to overcome the antithesis, inherited from capitalism, between town and country and between mental and physical labour, it ends national oppression and promotes cooperation and mutual assistance among the peoples that have embarked on the road to socialism.
During the transition period, the tendency towards consolidating the positions of socialism becomes stronger. As a result of the class struggle, which proceeds in various forms, the old world keeps losing its positions one after another. Notwithstanding this, it can rally its forces so as to retard the revolutionary process or restore capitalism. That is why the revolution, as Lenin taught, must consolidate its defences. It can carry out its tasks only given broad proletarian solidarity and implementation of the principles of proletarian internationalism.
Thus, the transition period is an objective natural process which cannot be underestimated without
60SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
61harming the interests of the revolution. It ends with the elimination of capitalist production and bourgeois social relations in every shape and form, and the creation of economic, social and political conditions making the restoration of capitalism impossible. Historical experience of the development of socialism shows that after the transition period is over---after the foundations of socialism have been built, as this boundary is defined in the USSR---- socialism enters the stage of its firm establishment in all spheres of the life of society, i.e., the stage of consistently building developed socialist society. The creation of the material and technical foundations of socialism means that the new social system has acquired a material basis of its own, having changed its social nature, the organisation of the productive forces, and that it has firmly established new relations of production, based on two forms of public property, i.e., state (belonging to all the people) and collective-farm-cooperative property which presupposes a planned development of the entire socialist economy. Even at this stage, the socialist economy is developing at a rate which demonstrates the advantages of socialism, labour productivity being higher than under the old bourgeois system or during the period of transition from capitalism to socialism.
The second stage is developed socialism, a new historical landmark on the road to communism. Its distinctive feature is that, scientific and technological progress having been combined with the advantages of socialism, highly developed productive forces
have been created and a drastic turn has been effected towards intensive economic development. The organisation of social production at large has changed, becoming the key element of socialism's own foundations, and satisfying more fully than before the qualitatively greater requirements of society and man. Relations of production and the character of labour have been perfected. Developed socialism is the stage of maturity of the new society at which all social relations are completely and finally reorganised on the basis of the collectivist principles inherent in socialism. Hence it provides the free scope for the operation of the laws of socialism and manifestation of its advantages in every field. Hence the organic integrity and dynamism of the social system, its political stability, and its unbreakable internal unity. In the political sphere, developed socialism implies the further broad development of democracy.
The building of developed socialist society, however, far from exhausts the potentialities of socialism.
What is the perspective for socialist development? As history testifies, it is impossible to pass from the transition period, after a relatively brief interval, directly to communism. 'Until the ``higher'' phase of communism arrives,' Lenin wrote, 'the socialists demand the strictest control by society and by the state over the measure of labour and the measure of consumption'.^^1^^
Socialism should not be seen as some sort of tran-
~^^1^^ V. I. Lenin, 'The State and Revolution', Collected Works, Vol. 25, p. 470.
62SOCIALISM AS A SOCIAL SYSTEM
ESSENCE AND PRINCIPLES OF SOCIALISM
63sitional stage on the road to communism, without any qualitative basis of its own.
We have already noted that the essence of socialism differs from that of communism, that it has its own features. But basically this essence is the same, being the promotion of man's all-round development, and thus of conditions in which his abilities will flower and his needs will be satisfied. Yet this goal is not realised in the same degree at different stages of communism, and even at different stages of socialism. It would therefore be no less wrong, and actually metaphysical, to regard socialism and socialist relations as something immutable. Lenin noted in this connection: '.. .how infinitely mendacious is the ordinary bourgeois conception of socialism as something lifeless, rigid, fixed once and for all.. .n The developed socialist society solves the problems of building the material and technical foundations of communism as the conditions for passing on to communist relations.
Communism is a society where there is single national ownership of the means of production and complete social equality of citizens, where, along with man's all-round development, the productive forces will grow on the basis of major advances in science and technology, labour will change in character and become a prime vital necessity, classes will disappear, as will the essential differences between town and country and between mental and physical work. The old division of labour will be end^^1^^ Ibid., p. 472.
ed; manual workers will rise to the same cultural and technical level as brain workers. Society will attain the highest stage of balanced organisation of social production as a whole, ensuring the greatest productivity of labour and the most effective utilisation of material and manpower resources for the fullest possible satisfaction of the reasonable needs of its members. Lenin wrote: 'There will then be no need for society, in distributing products, to regulate the quantity to be received by each; each will take freely "according to his needs".' But this higher phase of communism 'presupposes not the present productivity of labour and not the present ordinary run of people who ... are capable of damaging the stocks of public wealth "just for fun", and of demanding the impossible'.^^1^^
Communism is a highly organised society of free, politically aware working people, in which public self-gevernment will be established, and whose material and technical base, highly efficient labour, and communist social relations will ensure the realisation of the principle 'from each according to his ability, to each according to his needs'. . The establishment of communism represents a degree of continuity with those characteristics of socialism expressing the uniform essence of socialism and communism and simultaneously an achievement of a higher level. The specific features inherent to socialism will necessarily disappear.
~^^1^^ Ibid., pp. 469-70. Lenin wrote these lines before the Great October Socialist Revolution.---Ed.
64SOCIALISM AS A SOCIAL SYSTEM
CHAPTER II
The period of the further development of mature socialism and its transformation into communism will take a relatively long time. During this period, social relations and the moral and political standards and attitude to labour of all working people will approach, as nearly as possible, the level at which the working class and its foremost contingents can fulfil their social role. Simultaneously, the working class itself will develop, rising, as a whole, to the level which, in the future, will invest it with the qualities of the worker of the communist type. Thus, on the basis of new, more mature material and social conditions, society will overcome the contradictions of socialism still remaining in the material and technical base, in the character of labour, in the relations of production, in people's requirements and the possibility of satisfying them, and in the method of distribution. The gradual development of socialism into communism is an objective law. The creation of the material prerequisites of the establishment of communism is ensured by the constructive work of the peoples of the socialist community countries in the course of their movement towards a developed socialist society. This lofty historic goal has now become an immediate practical task for the working people of the Soviet Union, who, under the guidance of the GPSU, have achieved the stage of developed socialism.
THE ECONOMIC DEVELOPMENT OF THE SOCIALIST COMMUNITY COUNTRIES
1. Realisation of the Advantages of Socialism
in the Economy: Its Essence and Main Features
At the basis of the advantages of socialism as a whole, which are becoming increasingly evident in every area of social life in the socialist community countries, are its advantages in the economic sphere. Socialism, which liberates the main productive force of society, production workers, from exploitation and every other form of social oppression, thereby also liberating the whole society from class antagonisms, gives rise to a fundamentally new social organisation of production, with humane aims and powerful driving forces, such as cannot be attained under capitalism, underlying the development of production. A system of objective socialist economic laws, expressing the aims, criteria, and trends of the development of socialist social production, takes shape. These laws are more and more deeply understood by Marxist-Leninist science. Using the latter as their theoretical foundation, the communist and workers' parties of the socialist community deal with the socioeconomic tasks following from the objective laws. On this basis, socialism ensures the steady growth of the productive forces, gearing the development of
5---2637
66SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
67production, ever more closely and consistently, to the growth of the people's material and cultural standards, and gradually providing the socio-economic prerequisites of the transition to the higher phase of the communist formation.
The advantages of socialist production manifest themselves in its every aspect. They include the superiority of the socialist relations of production, on the basis of which the exploitation of man by man is eliminated and the social aims and criteria of production activity typical of socialism take shape; the advantages of the mechanism of socialist managing, the aim of which is to ensure a development of production adequate to these aims and criteria; the advantages of the socialist economy with respect to the rate of growth of the productive forces and to economic proportions (their dynamic and stable development, increasingly better utilisation of resources, improvement of the pattern of production, and so on). In addition to this, one must say that all these advantages are merely a means towards the main goal of socialist production, which is to raise the people's living standards and gradually to provide the conditions for the all-round development of the individual. The presence of this goal and the steady advance towards it, the uninterrupted progress in man's social, material, and cultural and intellectual life in its indissoluble unity express most completely the historical purpose of the new social system and are the supreme criterion of the superiority of socialism over capitalism.
For the first time in human history, the development of society has been illuminated by the scientific Marxist-Leninist theory, which has discovered the objective laws of social progress. In the course of socialist construction, Marxist-Leninist theory, linked with practice, arms society with a more definite and deeper knowledge of these laws and the methods of their application. This augments the scientific soundness of the guidance of social development by communist and workers' parties, and makes this guidance more efficient.
Another characteristic of the process whereby the advantages of socialist production are realised is that this process is based on the social-production activity of the broad mass of the working people. The advantages of socialism become tangible only insofar as the working people get to know the laws of social development and the principles of socialism, and follow them in their daily practice. Therefore, the realisation of the advantages of socialism depends ever so much on the educational and organisational activities of the Marxist-Leninist parties, which set out to ensure the growth of the masses' political understanding and direct their energies towards building and improving the socialist society.
The third feature characterising the realisation of the economic advantages of socialism is that they are realised gradually, stage by stage. Even as socialist changes are being effected in the economy, such principles begin to be put into practice as having workers combine production functions proper and the
68SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
69functions of production management and the management of public affairs in general, subordinating economic development to the long-term and current interests of the working people, fundamentally reorganising the distribution of the social product and national income in the interests of the working people, and so on.
These initial gains spell the creation of very important social conditions basic to the life of the working people under socialism.
We know that socialist society inherits one kind of productive forces or another and must then build its own material and technical foundations adequate to its essence and social aims. Creating the aforementioned social conditions is the first step in this direction. The building of socialism's own material and technical foundations is the next stage in the process of realising the advantages of the new system. In the countries which inherited a backward or lopsided economy when they took the socialist path, the material and technical foundations of socialism were built by industrialising the country or large areas of it. That often required a special effort to mobilise the national economic accumulations. Nevertheless, at this stage, too, the upsurge of production went hand in hand with the new social achievements of the socialist system, viz., the elimination of unemployment, establishment of an advanced, modern system of public education, health protection and social insurance, greater consumption of material and cultural goods by the population, and so on. Eventually,
in the course of building and improving the developed socialist society, it becomes possible to combine more closely the growth of production and of living standards. Concentrating their attention in the sphere of production on efficiency and quality, the communist and workers' parties gear their socio-- economic policy entirely to new long-range objectives. The latter consist in ensuring the complete satisfaction of all social groups' basic material requirements, in conformity with scientifically substantiated, rational standards, even while distribution according to labour performed still prevails; ensuring better working conditions and enhancing the creative character of labour; accelerating the growth of citizens' cultural and intellectual requirements and providing for their ever fuller satisfaction.
To estimate correctly how the advantages of socialist production are realised, one must exercise a historical approach. One must take into account, first, the objective possibilities of the given historical stage and, second, the trends of socio-economic development that have emerged during the given period.
2. Victory of the Socialist Relations of Production
The advantages of the socialist economy signify its fundamental historical superiority over the capitalist economy, above all with respect to its social nature, the way in which the worker is connected with the means of production, and the type of relations bet-
70SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
71ween people in production. The basic distinctive feature of the socialist economy lies in the worker's fundamentally different socio-economic situation, which rests on public ownership of the means of production. Socialising the means of production, the workers are simultaneously associated owners of the means of production. They control production and use its results in the interests of society'as a whole and of each of its members. In this \vay socialism abolishes the division of society into the exploiters and the exploited, ends the exploiters' class monopoly of the management of production, and rules out the sale and purchase of labour, and appropriation by owners of capital of the surplus value produced by the labour of workers.
It must be stressed that socialist socialisation of i the means of production corresponds to an objective need for the development of the productive forces and for social progress as a whole. Concentration of the means of production on the basis of public ownership above all, ownership of the whole people--- makes it socially possible to regulate social production on a national scale, in accordance with a single national plan. From this follows yet another essen- I tial feature of socialist production, namely, that it ' eliminates anarchy, typical of the capitalist economy , generally; excludes cut-throat competition between economic units; and puts an end to the spontaneous | formation of national economic proportions and distribution of the productive forces, thereby creating conditions for a more rational utilisation of resources.
Establishment of socialist ownership of the means of production ensures a radical change in the goals of production and in the principles of distribution of its products in the interest of the working people. It creates the prerequisites of qualitative changes in the social division and character of labour, and of the development of truly democratic forms of production management. In close connection with this, a qualitatively new system of work incentives is formed, and not only material, but also ideological, moral, and intellectual ones.
The equal relation of the members of society to the means of production as socially-owned property puts their legal and actual equality on a solid foundation. It drastically limits the distinctions in people's standards of living, putting such distinctions within the boundaries determined by distribution according to work performed. Socialism sets up and expands a system of socio-economic guarantees of an existence compatible with human dignity. This system, which serves the implementation of the principle of social justice, includes the right to guaranteed employment and pay in accordance with the amount and quality of work performed; the right to rest and leisure, health protection, and maintenance in old age, in sickness, and in the event of complete or partial disability or loss of the breadwinner; the right to housing; and the right to education. These guarantees form the foundation of the political and individual rights and freedoms of the citizens, and are the condition of their implementation. With the ad-
72SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
73
apprentices), the number of hired workers at such enterprises amounts to an insignificant proportion of the total force of industrial and office workers engaged in the national economy. In most of the socialist countries practically all peasants have gone over to the socialist form of economy, joining producers' cooperatives.
Far-reaching social changes have occurred also in those socialist countries where the pluralistic pattern of the economy has not yet been overcome and where there are more or less numerous social strata (mainly the peasants) based on small-commodity production. In these countries, too, socialism, which holds key positions, completely determines the path of society's development. In those countries where the smallcommodity mode of production predominates, the successes scored by socialist construction, make it possible today to ensure the leading role of the socialist sector with respect to the small-commodity sector, and increasingly to draw individual peasants into the farm produce production and sales system organised and controlled by the socialist state.
By socialising the means of production, socialism solves the cardinal problems of social progress.
First of all, as a result of socialisation of the means of production, the relations of production are in principle brought into keeping with the requirements of the development of the productive forces. The new production relations determine the new aims and criteria of the expansion of production and of its economic efficiency. This helps to strengthen
vance of socialist society, these guarantees are extended, as can be seen from the new Soviet Constitution.
In the majority of the socialist countries, all branches of the national economy are founded on socialist ownership of the means of production, while the share of the population involved in the socialist sector is close to 100 per cent.
This conclusion can be confirmed by concrete indicators. Thus, in 1976^^1^^ 99.8 per cent of all basic production assets were socially owned in Bulgaria, 99.1 per cent in Czechoslovakia, 99 per cent in the GDR, 99.5 per cent in Hungary, 99.99 per cent in Mongolia, 85.4 per cent in Poland, 99.3 per cent in Romania, and 100 per cent in the USSR. The share of the socialist sector in the aggregate industrial output of all the socialist countries amounts to 99 per
cent.
All branches of the national economy of the Democratic People's Republic of Korea are based entirely on socialist property. In the Socialist Republic of Vietnam, the socialist sector dominating the economy of the North of the country is being strengthened, while the economy of South Vietnam is undergoing socialist transformation.
In most of the socialist countries nobody works for hire for private employers. Where there are still a few very small enterprises using hired labour (or keeping
~^^1^^ The figures quoted by the authors refer mainly to the period up to 1977, i.e., before the monograph was completed.---Ed.
74SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
75the community of fundamental interests of society, its classes, work collectives, and individual workers. There emerge workers of a new type, increasingly combining the functions of producers and masters of production, and regarding labour more and more as a duty and vital requirement.
Favourable social conditions for a more effective utilisation of national economic resources are established. It becomes possible to speed up the progress of science and technology and further the scientific and technological revolution, systematically regulating its social effects in the interest of man; the social conditions become favourable for environmental protection.
Lastly, the socialist socialisation of the means of production results in the emergence of international economic relations of a new type, expressive of the socialist countries' cooperation and mutual assistance.
As socio-economic development proceeds in the socialist countries, the socialist relations of production, the socialist social organisation of production, are further improved. The state sector and the cooperative form of economy becoming interconnected and drawn together, the working people are given a greater part in the management of production, the socialist relations of distribution are perfected, and so on. The solution of these problems leads to a higher maturity of the socialist relations of production and a fuller realisation of their essence.
Thus, as socialist social ownership of the means of production is firmly established, it becomes possible
to subordinate the development of production to the aims of raising the people's living standards and promoting the gradual emergence of the requisite conditions for the free and all-round development of the individual. Such is the objective, the supreme goal of socialist production, which society has perceived and taken as its guide to action. In pursuing this goal, socialist society rules out methods of expanding production and making it more effective that are incompatible with its social tasks and principles, social justice, social security, and the welfare of its citizens. This is a permanent factor in social development under socialism and one of the manifestations of its humanitarian essence. This factor puts definite limits to the growth of current profitability of production as socialism rejects the capitalist methods of `stimulating' workers (above all, unemployment as a means of pressuring workers), as well as excessive intensity of labour, which undermines workers' health. This factor is of great importance to man as it serves to create a special social atmosphere in society, marked by an attitude towards workers which sees them not only as the main productive force, but also as individuals whose welfare and development in the broad sense of the word are the main yardstick of social development. It is, in fact, one of the fundamental principles of socialism, which must always be taken into consideration when comparing the indicators of economic efficiency of socialist and capitalist production.
This in no sense implies any underestimation of the struggle for high economic efficiency of production,
76SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
77which is accompanied by a harmonious combination of the principles of humanism and of rational economic management. The struggle for economic efficiency is being given more and more attention, socially acceptable methods for carrying on this struggle being carefully selected. Socialism cannot, nevertheless, exempt the worker from some, often burdensome, circumstances, such as, for instance, the need to learn a new trade, attendant on the changing type of production, reduction of the labour force at one enterprise or another, and so on. In such cases, however, everything is done to make it easier for the worker to adjust to these changes and to give him a stake in them.
talist economic mechanism is incapable of removing the contradiction between the efficient running of capitalist enterprises and anarchy in production on a national scale, the socialist economic mechanism translates into practice the opportunities for balanced development of the socialist economy as a whole. Whereas the capitalist economic mechanism keeps reproducing the contradictions of the capitalist economy and is unable to prevent their aggravation, which increasingly disrupts the capitalist economic system, the socialist economic mechanism is aimed at a conscious resolution of the non-antagonistic contradictions of the growth of the socialist economy, at its all-round consolidation.
The economic mechanism of socialist managing includes as its principal elements planning, regulation and promotion of the development of production. It is characterised above all by the following principles: ---the scientific character of the planning and management of the national economy, consideration of the objective laws governing the development of nature and society;
---the unity of politics and economics, a party approach to solving economic problems, which implies orientation towards social goals and criteria in running the economy;
---implementation of national economic plans through plan assignments fixed by central state bodies and obligatory for enterprises and economic agencies, and through the use of economic levers; ---democratic centralism in running the national eco-
3. Improvement of Socialist Management Methods
Whereas the capitalist economic mechanism serves the reproduction of capital, i.e., the process of the exploitation of workers, the socialist economic mechanism works for the implementation of the main economic law of socialism, i.e., expresses the interests of society as a whole. Whereas the functioning of the capitalist economic mechanism is based on pursuit of profit by each capitalist enterprise, a situation which systematically conflicts with the interests of national economic development at large, the functioning of the socialist economic mechanism serves the interests of the national economy as a whole. Whereas the capi-
78SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
79nomy, combining centralised management and the initiative of local bodies and enterprises.
In the course of the improvement of the economic mechanism in the socialist countries, these basic principles are, as a rule, translated into practice more and more consistently. Simultaneously one should remember that the improvement of planning and management is a complicated process which involves finding the most rational solutions. As it is not always the case that such solutions can be found at once, experiments often have to be staged to test different variants of possible solutions. The solutions which prove inadequate have to be given up and more expedient ones found instead.
In improving national economic planning and management, the socialist countries deal with the problems of (1) making the state plans and the entire system of the organisation of production give a more adequate expression to the interests---both current and especially long-term---of the further socio-- economic development of society and the individual; (2) achieving a more effective material and moral stimulation of production; and (3) more closely and consistently coordinating the interests of society, the work collective, and each worker by perfecting the criteria of both collective and individual performance, still further orientating the economy towards the satisfaction of citizens' needs, and so on.
Although the forms and methods of planning, management and stimulation of production in socialist countries are not uniform, the general major lines of
the process are already clear today. The first point is raising the scientific standards of centralised state planning. This implies a more detailed elaboration of the goals and targets of national economic development, a more complete appreciation of socio-economic as well as technical-economic problems, and scientific grounding of the optimal rates and proportions of national economic growth, such as would ensure the comprehensive development of the economy, its balanced character, and thorough coordination of the growth of production and the growth of consumption.
This simultaneously serves to improve all aspects of planning, better account being taken of real social needs. It helps to make planning more flexible and responsive to changing conditions.
Essential importance attaches to extending the time horizon of planning. Long-range plans of social and economic development up to 1990-2000 are being prepared in the GMEA countries at present. Planning based on special-purpose programmes is becoming widespread. It consists in the drafting of integrated programmes for dealing with major national economic problems.
Simultaneously the task is posed of ensuring continuity of planning, so that after each year of the current five-year plan, the planned period be extended accordingly. A special role in making the plans better substantiated is assigned to scientific forecasting.
Improvement in planning also includes the working out and introduction of new plan indicators orientating enterprises to a greater extent towards making
80SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
81production more efficient and improving quality. The GMEA countries, for example, no longer use gross output as the yardstick of performance, having replaced it with indicators which more exactly show the results of production (output sold and net output) and which they continue to improve.
The second point is improvement of the methods of fulfilling plans and mobilising additional reserves for the growth of production. The socialist countries consider it necessary to ensure a more consistent and organic combination of methods of planned centralised management and methods based on the use of material incentives and cost levers. The task set in this connection at the present stage is to put more enterprises on a self-supporting basis and to use more material incentives---combining them with moral stimuli---for greater labour productivity, raw material saving, and so on. These tasks are dealt with by (a) increasing the role of economic efficiency criteria in the planning and management of production, and in appraising the performance of individual and amalgamated enterprises; (b) promoting self-supporting enterprises, substantially raising, in particular, the proportion of their own assets and credit in financing investments; (c) bringing into closer relation the profit (or gross income) and the different funds ( especially the incentive bonus fund) of an enterprise; (d) introducing different forms of payment to be made by enterprises, such as payment for production assets, for the use of land, and so on; (e) improving the system of prices by bringing them closer to value
and achieving greater flexibility of price formation; (f) improving the wage and bonus systems.
On this basis, the material and moral incentives to perform good work become more effective, which is conducive to the growth of the social and production activity of the working people. The system of economic incentive levers becomes more effective.
The third point is that of improving the organisational pattern of production. The aim here is to achieve a rational concentration of resources, bring management closer to production, and implement integrated programmes of socio-economic development. The main way in which the organisational pattern of production is improved is, at the present stage, by setting up production amalgamations as the main self-supporting units of social production, and agrarian-industrial complexes.
The fourth point is the utilisation of moral and political factors for the advancement of the socialist economy. The climate of social optimism and labour enthusiasm at socialist enterprises is ensured by the development of socialist emulation, the movement for producing output over and above the plan, and other patriotic initiatives.
The fifth point consists in applying mathematicaleconomical methods and electronic computers in planning and management. Thanks to mathematical-- economical methods and computers, the GMEA countries are putting the implementation of the principles of socialist organisation of social labour (planning, accounting, control, etc.) on a new scientific and
6---2637
82SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
83technological foundation. This helps more fully to put into practice the advantages stemming from the socialisation of production on a national scale.
The communist and workers' parties in the socialist countries attach particular significance to the elaboration and implementation of the strategic conceptions of economic development, which ensure that the objective requirements of economic growth are met in good time.
The elaboration of a strategy of social and economic development has acquired exceptional significance in ensuring the further upsurge of the socialist economies. The long-term aims of their socio-- economic policy determine the character of the measures they undertake to improve the mechanism of socialist economic management. As for the aims themselves, they are determined on the basis of a more detailed analysis of the available possibilities and urgent requirements of social and economic development. At the same time, great significance attaches to the employment of such forms and methods of economic management which are the most efficacious with respect to the tasks at hand and in the concrete circumstances of each country. From this follows combined improvement of the economic mechanism and elaboration of strategic objectives.
The comprehensive measures taken to improve national economic planning and management preclude imbalances in the economy in the course of carrying out economic manoeuvres and conducting an active and flexible economic policy.
These measures show the growing role of the creative efforts of the communist and workers' parties of the socialist countries to enrich and perfect the forms and methods of guiding social development and realise more fully the advantages of the socialist economic system.
New forms and methods of economic planning and management are elaborated and applied differently in different countries. This is due to their concrete conditions and national experience and appraisal of the advisability of these various forms and methods.
At present, one can note, in the main, the following differences in the scope, forms and methods of the work being done to improve socialist managing in different countries, viz., differences in the correlation of methods of centralised planned management of the economy and methods based on the use of economic levers; differences in the number of plan indicators fixed for enterprises on a centralised basis, in the number of central plan balances drawn up, and so on; differences in the concrete indicators on which the use of economic levers is based.
The prerequisites of greater uniformity in dealing with these concrete issues of planning and management are shaping up gradually as the conditions of economic management in different Countries grow more similar, in the first place owing to the levelling up of the economic and social development of individual countries, and differences in the appraisal of certain forms and methods are eliminated as the lat-
SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
85ter are tested in practice. This does not obviate, of course, the need to take into account the distinctiveness of the socio-economic situation in each individual country, which will persist for a long time yet. The rather broad range of economic experiments under way in the GMEA countries serves, in the final analysis, to find the most expedient forms and methods of implementing the general laws of socialist economic management.
Today we can draw the conclusion that the socialist community countries have an increasingly common approach not only to the key problems of socialist economic management, but also to concrete matters of economic-political practice. This convergence of practice in individual countries is fully in order and will be an important feature of their long-term development, certainly in step with the degree which the most rational forms and methods are elicited.
At the present stage, conditions in no CMEA country are so distinctive as to objectively call for a sharp difference in the forms of realisation of the common principles of socialist economic management. And with the accumulation and mutual exchange of experience, the most rational forms and methods---still with due account, of course, of each country's specific conditions---will be internationalised. This is the general developmental trend, but naturally it does not mean that there is no longer any need to go on looking together for such methods and forms.
Restructuring the system of economic planning and management is a long and difficult process. Neverthe-
less, current practice suggests the following conclusions:
---sufficient experience has been accumulated to enable us to judge whether certain economic levers are acceptable and to what extent they are effective, as well as to see what conditions must be present for their rational use;
---a better adjustment of the pattern of production to the real requirements of society is being ensured (especially by extending the selection of goods and improving their quality); sales of output have become faster, and some sectors of the economy are in a fair way to eliminate shortages and ensure the most rational use of reserves;
---more is being done to raise the efficiency of investment and labour productivity, and so on.
The communist and workers' parties of the CMEA countries appreciate the complexity of the problems arising in the course of the improvement of the mechanism of socialist economic management. It was found, for instance, that some economic levers, which had been expected to promote efficiency, were not so very effective. In a number of instances, the system of material incentives failed to ensure a good enough ratio between the growth rates of labour productivity and of wages.
In view of this, some countries in recent years have increased the role of national economic balances, physical indicators of the performance of enterprises, etc. Simultaneously work is being continued on elaborating a more perfect system of economic norms
SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
87and levers of material encouragement. Particular attention is being paid to evolving more effective methods of speeding up the progress of science and technology, encouraging enterprises to draw up intensive plans, and stimulating efforts to increase efficiency and save labour. Proceeding from the general principles underlying the functioning of the socialist economy, the CMEA countries are trying to make economic management more effective, developing the economic functions of the socialist state on the basis of democratic centralism, economic planning, and broader use of profit-and-loss levers.
In this connection it is highly important to determine the place and role of profit in the system of objectives and levers of socialist management. Profit under socialism is not an end in itself, as the economy is oriented towards the solution of social problems. While it is an essential indicator of the performance of an enterprise and of how efficiently productive resources are used, profit plays second fiddle to considerations of economic expediency and the requirements of long-term social development. It is also important, if the advantages of socialism are to be brought into play, that the conditions under which profit can be secured be so regulated by the central bodies as to make profit reflect the authentic and economically justifiable efforts of an enterprise to make the most of the resources placed at its disposal by society.
One comes across allegations in the bourgeois press that the improvement of the mechanism of economic management in th» socialist countries means
that they are borrowing capitalist economic methods, and that this is to be seen as `convergence' of the two opposite socio-economic systems. This interpretation results from a lack of understanding on the part of some bourgeois writers and the desire of others to garble the essence of the changes occurring in the mechanism of economic management in the socialist countries. These changes are aimed at raising, by socialist methods, the efficiency of planned management of the economy and at making fuller use of the reserves of production.
Bourgeois ideologists also allege that centralised regulation of the economy by the state restricts the initiative of enterprises and makes it more difficult to raise the efficiency of production. Experience shows, however, that nothing but centralised management can meet society's interests in the economy, link them with the interests of enterprises and workers, and observe the criteria of economic expediency. Based on the principle of democratic centralism, socialist economic management provides conditions for the development of enterprises' initiative, which manifests itself in their participation in drawing up plans and bringing to light reserves for perfecting production, in social planning of the development of their work force, and so on.
Building the mechanism of socialist economic integration occupies a special place in the CMEA countries' efforts to improve methods of socialist economic management.^^1^^
' See Chapter VII.
88SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
A wealth of collective experience in the improvement of the socialist economic mechanism is being accumulated. Its study and creative application promote the further development of social relations and productive forces in the socialist countries.
4. Growth of Social Production
Socialist organisation of social production and the development of the socialist economies are typified by high and stable growth rates in production and the latter's increasing contribution to the improvement of the people's living standards.
Socialism has proved its ability to overcome, within the span of one generation, the centuries-old historical backwardness inherited from the old social system and solve many vital social problems which remain unsolved under capitalism. Furthermore, socialism has proved its ability to transform, in a historically brief time, the face even of those countries which never entered the age of capitalist development.
To assess correctly the scope of the changes that took place in the course of building socialism, one must remember that some countries in which the socialist revolution triumphed were economically backward. Their salient characteristics were high mortality, high unemployment, agrarian overpopulation, illiteracy, and forced emigration of working people in search of jobs elsewhere. Although there were among the countries which have embarked on a socialist path also such as had attained under capitalism a re-
latively high economic level, they too had to cope with considerable difficulties associated with the consequences of the Second World War, lopsided economic development inherited from capitalism, and social problems.
What made it still more difficult to embark on the path of social progress was that the socialist countries, besides the consequences of the war, also had to cope with imperialist economic blockade and cold war, and were obliged to devote means and efforts to strengthening their defences in the face of the military threat from imperialist reaction. Countries which have begun building a socialist society bypassing the capitalist stage have particularly complicated problems to cope with.
Overcoming all these obstacles, socialism has ensured the rapid development of social production. The strides made, for instance, by the Soviet economy over the years of socialist construction are convincingly illustrated by the following figures. Per capita industrial output in pre-revolutionary Russia amounted to a little more than 40 per cent of the world average, and in 1922, as a result of the civil war and foreign armed intervention, it dropped to ten per cent of the world average. At present, however, per capita industrial output in the USSR is more than three times the world average. The scope of the economic tasks currently being dealt with in the USSR is evident from the fact that the increase alone in industrial output obtained in the USSR during the ninth five-year period (1971-75) equalled the total indu-
90SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
91strial output produced in 1970 by Britain, France, the Netherlands, Belgium and Sweden put together.
The Soviet economy is distinguished by much higher growth rates than the industrialised capitalist countries. Cited below are data on the average annual rates of increase of the main indicators of economic growth in the Soviet Union and the United States between 1951 and 1976 (in per cent):
(continued from p. 90)
Electric-power generation
1976 over
1913*
1965 1970 19761913*
80 8 41 43 51 27 63 74
130 15 75 95
121Oil production
(including gas condensate) 1965 1970 1976
Steel production
1913*
1965 1970 1976
National income Industrial output
USSR
89.4
3.4
USA
3.4 4.2 1.6
* On the territory of the former Russian Empire.
Table 1 contains data on the growth of production in some socialist countries as compared with the prewar period.
Table 1
Growth of Production in Some Socialist Countries in 1976 as Compared with the Prewar Period* (in per cent)
Agricultural output Freight turnover by all
kinds of transport
8.1
2.2
Capital investment
9
2.6
Efficiency of social labour
6.8
2.3
Efficiency of labour in
industry
6.1
3.5
Thanks to the faster growth rates of the Soviet economy, the correlation between the volume of production in the Soviet Union and that in the United States is steadily changing in favour of the Soviet Union. The changing relation between the economic potentials of the USSR and the USA for various indicators may be illustrated by the following data:
Country
Industrial .
output
Agricultural output
National
income
Bulgaria
5,940
287 820Czechoslovakia
950 135 410GDR
750.
Hungary
1,080
157 420•Poland
2,680
188. . .
Romania
3,360
2531,030
USSR
1,680
2361,100
National income
1950 1965 1970 1976 1913* 1950 1965 1970
USSR relative USA (per cent)
31 59 over 65 67 12.5 under 30 62 over 75
Industrial output
~^^1^^ Bulgaria as compared with 1939 (agricultural output as compared with the average annual figure over the period from 1932 to 1938); Czechoslovakia and the GDR as compared with 1937 and 1936 respectively; Hungary as compared with the annual average for the period from 1934 to 1938; Poland and Romania as compared with 1938; the USSR as compared with 1940.
92SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
93It is worth noting that the socialist economy had demonstrated its dynamism and vitality not only in formerly backward countries, but also in those which had achieved a relatively high level of economic development under capitalism.
The industrial output of all socialist countries in 1976 was roughly 20 times that produced on their territory in 1937, as against a 5.5-fold growth in the capitalist countries. Between 1951 and 1976 industrial output increased 11.5-fold in the socialist countries, and merely 3.4-fold in the developed capitalist countries.
Owing to their faster growth rates, the socialist countries have come to account for a larger share of world output. In 1913, pre-revolutionary Russia accounted for just over four per cent of world industrial output, and now the Soviet Union accounts for onefifth of it.
Whereas in 1950 the socialist countries accounted for about 20 per cent of world industrial output, in 1976 they accounted for over 40 per cent, the CMEA countries among them accounting for roughly one-third of world industrial output. The industrial output of the CMEA countries surpasses that of the EEC roughly twice, and of the USA, roughly by one-third.
Tables 2 and 3 contain data on the rates of growth of industrial output and national income in some socialist and capitalist countries since 1950.
Compared with 1948, the aggregate national income of the CMEA countries in 1976 increased 9.5-
Table 2
Growth of Industrial Output (1950=100 per cent)
Country
Total
Per capita
1965 1970 1976 19651970 |
1976Bulgaria
6911,100.
1,800
611 9901,500
Czechoslovakia
364 505 734 318 437 610GDR
392 537 775 422 578 849Hungary
386 523 742 355 472 654Mongolia
446 7141,100
313 438 609Poland
475 7081,200
375 538 935Romania
6491,000
2,200
556 9171,700
USSR
458 689 900 357 511 726DPRK*
1,100
2,000
5,200
9001,4003
,100
SRV**
850 9001,400
677 560822***
Yugoslavia
435 586 893 366 470 677Great Britain
160 177 180 148 160 161Prance
228296 ,
367 195 243 287FRG
319 426 480 271 348 386Italy
328 465 555 295 405 462USA
200 240 289 157 178 205* 1949=100 per cent
** 1955=100 per cent on the territory of North Vietnam *** In 1975
fold, and in the developed capitalist countries, merely 3.3-fold.
Table 4 contains combined data on the dynamics of industrial output in the socialist and other countries.
Noting the superiority of the socialist over the capitalist countries in economic growth rates, we must bear in mind the following two points.
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
95tant here is that socialism, as opposed to capitalism, can use the available possibilities and sources of economic growth more fully and efficiently, and can
Total Per capita
Table 4
Growth of Industrial Output in the Socialist Countries and the Rest of the World (1950=100 per cent)
Country ^ | ^ J ^ ^ j im J ig^
Bulgaria 391 593 926 346 506 766 Czechoslovakia 228 318 436 199 275 362 GDR 310 400 541 335 431 592 Hungary 216 300 418 199 271 368 Poland ' 280 374 635 220 283 459 Romania 413 599 1,000 354 482 858 USSR 364 528 732 284 392 513 Yugoslavia* 272 359 494 235 296 384
Pi-eat Britain 152 171 190 141 155 170 Se 206 271 343 176 222 269 FRxT 278 350 403 232 286 324 IMv 225 300 348 202 261 290 USA 174 202 237 135 149 167
including
The social- the devel„---,_,,.,. The other . Year The World ist coun- . oped cacountries . „ tries pitahst
countries
.1950 100 100 100 100 ,1955 147 191 135 132 1960 206 354 167 162 1965 285 501 227 218 1970 388 723 298 284 1976 534 1,050 370 332 Annual average rate of growth from 1951 to 1976 (per cent) 6.6 9.8 5.2 4.7
* 1952=100 per cent
First, a simple comparison of growth rates is not enough to estimate the possibilities of the two economic systems. It is necessary to take into account the social goals and analyse the prospects of economic development, different factors of economic growth, and the degree to which they are utilised. The rates of growth of the socialist economies inevitably change under the impact of changes in the manpower balance, in the course of passing from one stage of the restructuring of the economy and scientific and technological progress to another. What is very impor-
maintain growth at a rate corresponding to these objective possibilities. It is equally significant that socialism invariably---for such is its inherent tendency--- concerns itself with the solution of social problems, with raising the people's living standards as the material conditions are provided for this. Capitalism is characterised not only by underutilisation of the national economic resources. Under capitalism, econom-
96SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
97ic growth is achieved at the cost of aggravating social problems, and violating the rights and interests of the working people.
Second, it must be stressed that, thanks to the new social relations and a better utilisation of resources, thanks to the observance of the principles of social justice in the distribution of goods, socialism has proved able---even with a smaller national income and per capita national wealth than in developed capitalist countries---to ensure better living conditions for the -broadest mass of the people by more evenly distributing material goods, according such social guarantees to citizens as are impossible under capitalism, and establishing new social relations that are pervaded with humanism and make people socially and psychologically satisfied with their position in society.
At the present stage Cjf,development of the socialist community countries in which a mature socialist society is being built and perfected, specific type of expanded socialist reproduction adequate to this society is being formed.
The process of reproduction in the developed socialist economy is socially uniform, for the socialist economic system becomes all-comprehensive and, in fact, the only one. Simultaneously, such features become clearly evident as the substantial approximation to each other of enterprises associated with two different kinds of socialist property, and the gradual interlacing of these two kinds of property, especially in agrarian-industrial complexes, as well as a high
degree of socialisation of social production as a whole and a corresponding enhancement of the immediately social character of labour and of the balanced development of social production.
The character of reproduction is also determined by the productive potential of society, which increased many times over in the course of building socialism. The upsurge of the productive forces makes it possible to tackle the problems of social and economic development more comprehensively.
In most of the socialist economies at the present stage the emphasis is being shifted to intensive growth factors. The economic policy is to intensify reproduction, i. e., to expand the scale of production above all through a more efficient utilisation of material factors, rather than through their quantitative growth. This is expressed in the increased share of national income obtained through more efficient expenditure of social labour. The policy of intensifying reproduction certainly does not mean that no additional resources are involved in production within reasonable limits, but presupposes an accelerated growth in the efficiency of production.
It must be stressed that intensification under socialism has nothing in common with the capitalist methods of `rationalising' production and intensifying labour, which are accompanied by growing unemployment.
One salient feature of the CMEA economies is that they provide full employment. Full employment is an immense advantage offered by socialism. It has
7-2637
SOCIALISM AS A SOCIAL SYSTEM
ECONOMIC DEVELOPMENT OF SOCIALIST COUNTRIES
become part of the way of life in the countries which have built socialism. Where nobody can live on the exploitation of others, and labour is both a right and a duty, all able-bodied members of society work. This is not to say that absolutely all able-bodied men and women work at enterprises and other establishments. Engaged in social production is the whole of the able-bodied population except those who are studying or engaged in housekeeping or maintaining subsidiary small holdings (mainly on account of rearing children in the family). Thus, the notion of full employment implies that all able-bodied persons take part in socially useful work, but this participation may be of different kinds. Currently, in the CMEA countries taken as a whole, more than 85 per cent of the working-age population is engaged in social production, and, counting students, this proportion amounts to upwards of 90 per cent. The rest of the working-age population---less than 10 per cent--- is engaged in socially useful work outside of the socially organised sphere, in their homes or subsidiary small holdings. They are almost exclusively women, usually with children to look after. In the countries which have built socialism, there have long been no persons who do not work because society cannot provide jobs for them, and who cannot earn their living on that account. Socialism has proved in practice that it is capable of providing as many jobs as there are able-bodied citizens who must find application for their energies in the national economy.
The socialist countries have attained notable su-
periority over the developed capitalist countries in the extent to which employment in production is provided for the population.
Bourgeois economists do not really attempt to dispute the fact that there is full employment in the socialist countries, a fact all the more significant now that life has dispelled the illusion, which was widespread in the capitalist world in the 1960s, that full employment was possible there. Nevertheless, bourgeois economists often try to find fault with the guaranteed right to work in the socialist countries, artificially opposing full employment and effectual employment. This is an attempt to reprove socialism for failing to use unemployment as a means of putting pressure on workers, for not excluding a part of society's labour force from production so as to boost the efficiency of those engaged in it.
However that may be, it does not make sense to oppose full and effectual employment. Socialist society proceeds from the premise that full employment is the key to the expedient utilisation of the national manpower potential, indispensable to realising every possibility of economic growth.
One of the main principles and objectives of socialist planned economic management is the systematic `reproduction' of full employment. This concern is fully in order. Society never stands still: the demographic situation changes, the sectoral pattern of production undergoes improvement, mechanisation of labour increases, the territorial distribution of the productive forces alters. It would therefore be wrong
7*