Restructuring the Soviet Economic Bureaucracy by Paul R. Gregory download in iPad, ePub, pdf
Functional committees study engineering and financial relationships to advise the planning commission on ministry input requests and the feasibility of planned outputs. Metodicheskie ukazaniia gives literally thousands of exact instructions concerning what organization is to approve what decisions. In fact, some reform economists identify the bureaucracy as the major source of economic inefficiency.
The intent of the system The Soviet political leadership wants a bureaucracy that faithfully interprets and implements its instructions. Their principals wish them to perform well but have no way to measure their performance. The Soviet economic bureaucracy operates according to rules and practices that have proved resistant to change. If net output is the indicator, subordinate units use too much labor. When the latest ideal indicator is found to have faults, reformers move on to a new indicator in a never-ending quest.
Information would flow smoothly without distortion among the various levels of the socialist bureaucracy. Opportunistic behavior can be reduced by a reduction in the principal's information disadvantage. Bureaucratic utility can be defined broadly to encompass both private and social goals. This allows to link your profile to this item. The restructuring program calls for more decisions to be made by the production units themselves and fewer by higher bureaucratic bodies.
In their other activities, agents have discretion and are in a position to act contrary to the interests of the principals. Oskar Lange's well-known model of market socialism was conceived as an answer to the informational and computational problems of planned socialism.
If the interests of the subordinate organization differ from those of the superior, the subordinate organization can take advantage of its greater information. The agent has more detailed knowledge of local circumstances. Modern organization theory combines formal hierarchies with informal organization, human motivations, and information.
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