Word: libermanism
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Ukrainian Contribution. Russia's growing community of pragmatic, highly professional economists and engineers understands very clearly what has happened, and is sure that it has the cure-even if much of it has to be borrowed from the capitalists. Among the foremost is Kharkov Economics Professor Evsei Liberman, 67, whose quizzical smile masks an imperious and demanding intelligence, and who as much as any other Russian is credited by the West with initiating Russia's great debate. A stocky Ukrainian with a quick and witty command of English, Liberman is typical of Russia's new breed that...
Some two years ago, Kharkov Professor of Economics Evsei Liberman startled the Soviet establishment with a Pravda piece urging a switch from rigid, centralized Marxist planning to Western-style profit guidelines for factories. As Liberman saw it, factories would produce only what retail stores could sell. The proposal was more pre-revolutionary than revolutionary, and it touched off a storm of protest from orthodox Marxists...
...unveiling the 1965 Soviet budget last month, Premier Aleksei Kosygin-himself a savvy economist-announced that by the end of the year one-third of Russia's consumer-goods factories were to switch to the Liberman system. Then, three weeks ago, Moscow disclosed an "area" trial of Libermanism in Lvov where, significantly, not only the town's consumer industries but also its heavy industries, including a coal mine, were to go on a supply-and-demand basis...
...addition, 76 textile mills, 20 leather factories and a number of other suppliers of raw materials will switch to producing to the demand of the converted consumer-goods factories. Though Liberman is not likely to replace Lenin in the hierarchy of Communist saints, and though both the professor and Moscow protest too much that Libermanism is not capitalism, Russia is clearly looking backward in its most important economic experiment in several decades...
...Liberman is also pushing for more decision making by plant managers instead of central planners, has been successful enough to announce that his ideas "will be extended next year over the whole of Soviet light industry." But his voice is only one in a rising chorus of criticism directed at classic Marxist economics. Lately Pravda and other Soviet publications have carried articles by economists branding the Soviet system "obsolete" and advocating a more or less free market system. Sergei Afanasyev, a deputy premier of one of the Soviet republics, fortnight ago came out for "material stimuli" as a necessary mainspring...