Word: gaidar
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Dates: during 1992-1992
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Civic Union's avowed aim is to become a "constructive opposition," offering an "alternative program" to the free-market policies pursued by Acting Prime Minister Yegor Gaidar. In practice, though, its focus is on propping up the aging, inefficient steel mills, tractor works and other state- owned industrial dinosaurs. Gaidar and others insist that they must be allowed to go out of business, despite the immediate pain, if Russia is ever to have an efficient, modern economy. But Civic Union contends that the resulting mass unemployment would simply be too great, and that argument seems to be converting some reformers...
...Gaidar nonetheless is pressing ahead with his plan to put all small business and housing into private hands by 1994, and at least 60% of big business by 1995, initially through the voucher plan. Actually, some of Civic Union's supporters may not resist: they hope to buy up many of the vouchers and cement their control of businesses by becoming the official owners as well as the managers...
...core members of Yeltsin's Cabinet remain half a dozen young economists, many of whom speak English and know as much about the free-market views of the Chicago school of economics as the works of Karl Marx. Their common point of connection is Gaidar, who was once director of Moscow's Institute of Economic Policy and an economics editor of the party daily Pravda. Long before they had any possibility of entering the government, the group used to gather to discuss future economic models for Russia. Then, during the coup attempt, Gaidar and friends issued a public statement condemning...
...dismissive of the new crowd. When the decree appointing Golovkov to the rival post of government chief of staff was sent over to the Kremlin for the President to sign, it somehow got "lost" on the way. Now presidential staffers must be wondering what will happen to them if Gaidar and the government team should actually succeed. Petrov submitted his resignation, complaining about "unfounded accusations" that he and other members of the party's old nomenklatura were sabotaging the reforms. He also carped that a planned reorganization of the President's office would reduce his job to purely managerial functions...
...challenge for Yeltsin has been winning over a skeptical world, unwilling to believe that the Soviet Union and the Gorbachev era have really become part of history. "At first the West underestimated the radical nature of our reforms," says Konstantin Kagalovsky, a government counselor on international financial institutions. After Gaidar's team drafted a memorandum for the International Monetary Fund, initial doubts gave way to strong support for the Yeltsin government's tough fiscal policies. The latest compromise raises questions, once again, about what the West can do to bail out Russia. But it is Russians, feeling the bite...