Administrative-command system
Centralized economic planning and distribution under state socialism / From Wikipedia, the free encyclopedia
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The administrative-command system (Russian: Административно-командная система, romanized: Administrativno-komandnaya sistema), also known as the command-administrative system, is the system of management of an economy of a state characterized by the rigid centralization of economic planning and distribution of goods, based on the state ownership of the means of production and carried out by the governmental and communist party bureaucracies ("nomenklatura") in the absence of a market economy.
The term is used to describe the economy of the Soviet Union and the economies of the Soviet Bloc which closely followed the Soviet model.[1][2] In his 2004 book The Political Economy of Stalinism: Evidence from the Soviet Secret Archives, Paul Roderick Gregory argues that the collapse of the Soviet Union was due to the inherent drawbacks of the system, namely poor planning, low expertise of planners, unreliable supply lines, conflict between planners and producers and the dictatorial chain of command. Gregory writes that "the system was managed by thousands of 'Stalins' in a nested dictatorship".
Historian Robert Vincent Daniels regarded the Stalinist period to represent an abrupt break with Lenin's government in terms of economic planning in which a deliberated, scientific system of planning that featured former Menshevik economists at Gosplan had been replaced with a hasty version of planning with unrealistic targets, bureaucratic waste, bottlenecks and shortages. Stalin's formulations of national plans in terms of physical quantity of output was also attributed by Daniels as a source for the stagnant levels of efficiency and quality.[3]