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Intensification of Production under Socialism
 

Intensification of Production under Socialism, a form of expanding production by which growth is achieved through the better use of natural, material, financial and manpower resources and through the employment of more sophisticated means of production. Intensification of the economy and its higher effectiveness mean above all that production expands more rapidly than expenditure for it and that comparatively fewer resources needed in production lead to better results. Production intensification is a higher form of expanded reproduction than the extensive expansion of production (see Reproduction), which is typified by a greater number of people employed and more means of production with an unchanged technical level. Intensification of production is based on the broad use of scientific and technical achievements, better production organisation, higher cultural and professional level of workers and an improvement in the quality of work throughout the economy. The main criterion of the intensification level is the degree to which improved techniques and technology are employed in production to economise on labour and material resources per unit of output. Intensification is the necessary condition for increasing the efficiency of social production. It finds its final reflection in production efficiency indices, such as the growth in labour productivity, a higher output-asset ratio, a drop in material intensity, and better quality of output. Production intensification is a characteristic feature of the economy of developed socialism in the USSR. The creation of the material and technical base of communism presupposes the transition to the broad intensification of production, and a comprehensive growth of its economic effectiveness, which is indispensable for achieving a dynamic and harmonious development of the economy which will help ensure the fuller satisfaction of the requirements of all members of society. In developed socialist society, there is a growing need for production intensification because of the reduced influx of manpower resources into production, which is primarily the consequence of a considerable increase in the number of able-bodied persons who leave work to study at higher and specialised secondary schools, and also the considerable increase in the non- production sphere of the economy because of the rapid development of science, culture and the services. There are two forms of intensive extended reproduction—- assetintensive, and asset-saving. With the first, labour productivity grows because of the increase in the expenditure of production assets per unit of output, while with the second, it is accompanied by a saving of assets per unit of output. The second form saves part of the means of production to 172 accelerate economic development rates and increase the volume of production given the same amount of capital investment and fixed and turnover assets, and natural resources. Under the asset-saving form of intensive expanded reproduction, the growth in labour productivity outstrips that of the asset-worker ratio, which improves the use of production assets and makes production more effective. Today, the principal methods of intensifying socialist production are: acceleration of scientific and technical progress, improvement of the economic structure, increased efficiency in employing labour resources, acceleration of the growth of labour productivity, as well as a considerable increase in the level of utilisation of fixed assets, more effective use of material resources, implementation of measures to protect the environment and rationally utilise and reproduce natural resources, and better economic management. Playing an important role in increasing production intensification are the socialist countries’ all-round cooperation and the development of socialist economic integration (see Integration, Economic Socialist).

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