Industry

Aims

• Modernise
• Increase light industry production (high tech stuff)
• improve living conditions by cutting government spending

Policies

• 1955 - Cuts to military expenditure
• =>12.1 in 1955 9.1 in 1958
• =>1958 and 1962 series of standoffs with US - increase 1962 1962 11%
• Seven Year Plan - Jan 1959 - Focused on light industry
• Factory managers given incentive - got 40% of profits

Successes

• Increased production of chemicals and consumer goods (1959-1965) although not as much as hoped
• 60% increase in consumer products produced - although this was 5% under Khrushchev's target

Failures

• Decentralisation - lack of coordination
• Gosplan tried to do stuff but local councils resisted
• Division of party - unpopular - happened in the middle of the Seven Year Plan
• 1962 - new and more ambitious targets
• Production by weight
• Production by value