[136] Increasing income in order to ensure sales of certain products in a crowd-“elitist” society can lead to an increase in nominal prices on other products and not to ensuring sales of desired products regardless of their usefulness. For example, high standards of education and health care cannot be provided by means of increasing nominal income of large groups of population because on a self-regulated market such increase in income will result in price growth on products of mass everyday demand.
Therefore paid high standard health care and education on the basis of free self-regulated market is always the privilege enjoyed by the richest social strata whose representatives are more or less parasitic on the life of others. But in the planned economy of the USSR by the middle of 1950-s high standard (judging by world standards of the time) education and health care was practically available for the majority of the country’s population. This became possible due to targeted subsidies of socially useful activities that could not be developed on the self-repaying principle.
[137] In other words the price-list on final products within the demographically grounded range is the financial expression of the error vector for society’s self-control because ideal control is characterized by zero values of control errors and its deviations are characterized by non-zero values of control errors.
That such interpretation of the price-list’s role in modeling the processes of controlling production and consumption is a consistent one has been proved in the works by Internal Predictor of the USSR “The Brief Course…” and «Dead Water” in editions starting from the 1998 edition.
[138] This way a structural transformation of economy was undertaken in the USSR between 1920 and the 1950-s though it contradicted the law of value. In this period the system of general and higher special education was created which was world’s best for that time.
But as soon as this superior profitability which exists in the systemic integrity of economy was forgotten (after the reforms were started in the 1990-s), was no more felt and maintained everything became a mess in science, education, health care, army, industry and regions.
[139] The first one is changes in the planned range of production which occur due to changes in demographic grounding, changes in the tasks of state policy and changes in prices and price ratios caused by the society’s needs being satisfied.
The second one is development of the production and consumption system treated as a technological and organizational integrity proper. This leads to changes in the system’s own characteristics including profitability characteristics for production in industries and in supporting infrastructures.
[140] The Sufficiently common theory of control is described in the works by Internal Predictor of the USSR: “Dead Water” (all editions) and in a separate edition «The sufficiently common theory of control» (study aids for the lecture course given to students of the Applied mathematics and control processes faculty at St. Petersburg state university between 1997 and 1999), published in St. Petersburg in 2000.
[141] Which means that one of the crucial errors made by the Soviet society was in its systemic treatment of a «plan» as an unattainably high target. The result was twisting state reports, which led to absence of resources and means to carry out the plans that were developed. This made the plans unrealizable from the very start as all the efforts to fulfill them inevitably led to violating inter-industry proportions. This approach was retained throughout many five-year plans and the situation inevitably became worse and worse.
Yet this is only one crucial error out of many.
[142] “Great Schemer” was a nickname of Ostap Bender – the main hero of the previous mentioned novel by I. Ilf and E. Petrov “12 chairs” (known in the West as “Diamonds to sit on”). (The translation of this nickname may be made in another way in the English variant).
[143] The scientific, theoretical and partially practical basis for the approach to the problem solution did already exist. It was founded by a Russian scientist Vassily Vassilievich Dokuchaev (1846 — 1903) whose works were not put into practice during the pre-Revolutionary years. In his work “Our Steppes: Their Past and Present” (1892) he formulated a plan to fight the draughts in the black earth region of the European part of Russia. After the Great Patriotic War in the USSR on the basis and in development of his works under Stalin's personal support a state program for the improvement of natural conditions of steppe and forest zone was launched. It was designed to create shelter belts for snow-retention, artificial ponds, etc that were supposed to change the regional water balance and, as a result, of the natural conditions on general. After the Stalin removal the program was partly dropped and partly turned into a project of partial derivation of northern rivers to the south. Nevertheless what had been realized in the years of Stalin bolshevism significantly reduce the damage from the hot winds in the agriculture of the European steppe area.
[144] Another architectural expression of a degrading parasitic way of life is a lodgment or a household which is too large for the family to manage on their own during their free time. As a result a necessity arises to engage a servant or this responsibility rests on the “poor relatives” or dependent acquaintances. It corrupts the morality of the children in the family and of society in general.
[145] Vivarium is a place where small laboratory animals (mice, rats) are kept. A kind of cabinet divided into multiple cells.
[146] Which was created artificially because unqualified working force migrated to towns from the country. In the 1960 — 1970-s this on the one hand depleted the agriculture and on the other hand prevented town industry from undergoing technical re-equipment in due time.
[147] “Six hundred square meters” — a family garden out of the city and a very little house there.
[148] Normally they should service not only the military forces, but also other industries, the country's infrastructure and family life.
It is wasteful to produce stainless steel razor blades or glass and throw them away unutilized. The vast junkyards contain all kinds of stuff and therefore are ecologically harmful. Yet while the junkyards are localized and their places are known, a lot of dangerous stuff is simply thrown away into the biosphere wherever it is possible without control and specification of its level of danger due to carelessness and irresponsibility.
[149] A sort of grapes and of red dry vine produced out of it.
[150] Equilibrium prices ensure the planned profitability of branches under the condition that they implement the planned range of full capacities and of final output. They are the known values in the system of equilibrium price equations, which are included into the system of inter-industry balance equations. The variables in these equations are the proportions of «surplus value» in the product price (wages, taxes, rents, amount of credit and insurance balance, etc in the gross output per unit). The indices are the same as in the indices of direct expenses in the inter-branch balance equations. The matrix of an equilibrium prices equation system is a transposed matrix of an inter-branch balance equation system (i.e. the indices in the columns of one matrix are equal to the indices in the corresponding columns of the other). For more information see specialized literature and the work by Internal Predictor of the USSR “The Brief Course…”
[151] This is a substantiation of the objection addressed to A. Livshits in section 4.2 that H. Ford’s business (and not «commercial» meaning «buy — sell but for a higher price») talent in Stalin’s times was more befitting to a Director of State Planning Committee than to a prisoner in a detention camp.
In Stalin’s times people with such world understanding could become prisoners only through the efforts of open and disguised Trotskyites carrying out the policy of depleting trained personnel of the Bolshevist state. While in post-Stalin times the crowds of those like A. Aganbegyan, A. Livshits and E. Gaidar trammeled the effort to build socialism, which was morally unacceptable for them. They climbed their scientific and political ladders treading down those few with such outlook in a competitive struggle.