NOTES

INTRODUCTION

1.Leonid Abalkin, “Perestroika upravleniia ekonomiki—prodolzhenie dela ok- tiabr’skoi revoliutsii,” voprosy ekonomiki,, no. 12, 1987, p. 3.

2.Roger Munting, The Economic Development of the USSR, New York: St. Martin’s Press, 1982, p. 139.

3.William Moskoff, “The Soviet Urban Labor Supply,” in Henry W. Morton and Robert C. Stuart, editors, The Contemporary Soviet City, Armonk: M. E. Sharpe, 1984, pp. 70-71.

4.The second economy is also alternatively known as the underground economy, the shadow economy, and the black market.

5.Gur Ofer and Aaron Vinocur, “Private Sources of Income of the Soviet Urban Household,” Rand, R-23590-NA, Santa Monica, August 1980; Gregory Grossman, “Roots of Gorbachev’s Problem: Private Income and Outlay in the Late 1970s,” Gorbachev’s Economic Plans, vol. 1, Joint Economic Committee, Washington, D.C., November 23, 1987, pp. 213-229.

6.Current Digest of the Soviet Press (CDSP), vol. 41, no. 10, 1989, p. 6, from Izvestiia, March 9, 1989, p. 3.

7.Mikhail Gorbachev, Perestroika: New Thinking for Our Country and the World, New York: Harper & Row, 1987, p. 96.

8.See Paul R. Gregory and Robert C. Stuart, Soviet Economic Structure and Performance, Third Edition, New York: Harper 8c Row, 1986, p. 60.

9.Ibid., p. 63.

10.Izvestiia, March 10, 1989, p. 3.

11.Quoted in Alan M. Ball, Russia’s Last Capitalists: The nepmen, 1921-1929,Berkeley: University of California Press, 1987, p. 35.

12.Ibid., p. 162.

13.JPRS-UEA-88-028, July 14, 1988, pp. 3-7, from Ekonomicheskie nauki, no. 4, April 1988, pp. 25-32.

14.CDSP, vol. 41, no. 11, 1989, p. 12, from Izvestiia, March 10, 1989, p. 3.

15.Narodnoe khoziaistvo SSSR v 1960 godu, Moscow, 1961, p. 213.

16.Various issues of Narodnoe khoziaistvo.

1. FIRST STEPS

1.The following account relies on Elizabeth Teague, “A Greater Role for the Cooperative Sector,” Radio Liberty Research (Munich), RL 319/86, August 22, 1986.

2.Cited in Teague.

3.Ibid.

4.Current Digest of the Soviet Press (CDSP), vol. 38, no. 31, 1986, p. 4, from Pravda,August 2, 1986, pp. 1-2.

5.CDSP, vol. 38, no. 42, 1986, p. 26, from Izvestiia, October 21, 1986, p. 2.

6.CDSP, voi. 39, no. 18, 1987, p. 8, from Izvestiia, April 24, 1987, p. 3.

7.Pravda, August 19, 1986.

8.Izvestiia, June 2, 1986, p. 3. One activity that had received some negative publicity a few months earlier was the practice of renting out rooms and apartments at high prices, at two to four times the official rate. Trud, February 2, 1986.

9.Sergei Voronitsyn, “Prospects for the New Law on Individual Labor,” RL 1/87, December 19, 1986, p. 2.

10.Ibid., p. 3.

11.CDSP, vol. 38, no. 46, 1987, p. 4, from Izvestiia, November 20, 1987, p. 5.

12.Ibid., p. 5.

13.The summary is based on the law, found in Izvestiia, November 20, 1986, p. 5.

14.Izvestiia, May 10, 1987, p. 2.

15.Pravda, April 24, 1987, p. 3.

16.CDSP, vol. 38, no. 46, 1986, p. 5, from Izvestiia, November 20, 1986, p. 5.

17.Ibid., p. 6.

18.Izvestiia, April 30, 1987, p. 6.

19.Ibid.

20.CDSP, vol. 39, no. 27, 1987, p. 19, from Pravda, July 6, 1987, p. 2.

21.Pravda, April 24, 1987, p. 3.

22.CDSP, vol. 39, no. 41, 1987, p. 4, from Izvestiia, October 3, 1987, p. 3.

23.Ibid., p. 1.

24.CDSP, voi. 39, no. 41, 1987, p. 5, from Literatumaia gazeta, July 15, 1987, p. 11.

25.CDSP, vol. 39, no. 41, 1987, p. 3, from Izvestiia, October 3, 1987, p. 3.

26.CDSP, vol. 39, no. 48, 1987, p. 9, from Pravda, November 25, 1987, p. 1.

27.Pravda, November 25, 1987, p. 1.

28.CDSP, voi. 39, no. 18, 1987, p. 19, from Pravda, April 27, 1987, p. 4.

29.Ogonek, no. 36, September 1987, pp. 4-5.

30.Ibid.

31.Moscow News, December 6, 1987, p. 9.

32.CDSP, vol. 39, no. 36, 1987, p. 2, from Izvestiia, September 10, 1987, p. 3.

33.Ibid., p. 4.

34.Interview with Yuri Vorontsov, vice-president of the USSR Union of Amalgamated Cooperatives, September 21, 1990.

35.Ibid.

36.Izvestiia, May 1, 1987, p. 3.

37.Ibid.

38.CDSP, vol. 39, no. 41, 1987, p. 4, from Izvestiia, October 3, 1987, p. 3.

39.Ibid.

40.CDSP, vol. 38, no. 46, 1986, p. 5, from Izvestiia, November 20, 1986, p. 5.

41.pravda, December 1, 1987, p. 3.

42.Ibid.

43.Moscow News, no. 10, 1988, p. 13.

44.Izvestiia, October 3, 1988, p. 4. The same decree also abolished the ceiling on wages that had previously been in force, and which was very unpopular with the public.

45.CDSP, vol. 39, no. 48, 1987, p. 10, from Pravda, December 1, 1987, p. 3.

46.The following account draws on the very useful discussion of the law in Philip Hanson, “The Draft Law on Cooperatives: An Assessment,” RL 111/88, March 15, 1988.

47.There was still some ambiguity on this issue, however, for it is also stated that individuals working on a contractual basis for cooperatives (that is, hired labor) were to do so in their spare time. The absence of a clause forbidding people to work as hired labor in a cooperative on a full-time basis made this whole issue legally unclear. The reality, though, was that this was a well-established and widespread practice, and the advertisements for cooperative workers assumed that these were full-time positions, unless stated otherwise.

48.Taken from the draft law on cooperation in Soviet Labor Review, June 1988, pp. 6-7.

2. THE EVOLUTION OF THE COOPERATIVE MOVEMENT

1.Interview with Yuri Vorontsov, vice-president of the USSR Union of Amalgamated Cooperatives, September 21, 1990.

2.Argumentyi ,fakty no. 18, 1989, p. 6.

3.Current Digest of the Soviet Press (CDSP), vol. 39, no. 48, 1987, p. 9, from pravdaand Izvestiia, November 25, 1987, p. 1.

4.Kommersant, no. 5, February 1990, p. 10.

5.CDSP, vol. 39, no. 48, 1987, pp. 9-10, from Pravda and Izvestiia, November 25, 1987, p. 1.

6.Ekonomika i zhizn’, no. 12, March 1990, p. 5.

7.Sovetskaia torgovlia, July 22, 1989, p. 3.

8.Merkurii, no. 4, June 28, 1990, p. 2. None of the output figures appear to be adjusted for inflation.

9.Moscow News, no. 6, 1990, p. 10.

10.Izvestiia, February 12, 1988, p. 2.

11.Sotsialisticheskaia industriia, March 26, 1989, p. 2.

12.One of the suggestions put forward at the All-Union Congress of Cooperatives in June 1989 was that in order to break out of this circle of misinformation the union should set up a research union to compile accurate statistics. It was hoped that this would help the government assess more correctly the proper levels of taxation. Poli- ticheskoe obrazovanie, no. 15, 1989, pp. 55-57; Argumenty i fakty, no. 27, 1989, p. 1.

13.Argumenty i fakty, no. 18, 1989, p. 6.

14.Calculated from the Soviet GNP figure given in Plan Econ Report 6 (7-8), p. 13.

15.Sovetskaia torgovliia, March 29, 1990, p. 1.

16.Moscow News, no. 4, 1990, p. 3.

17.Moscow News, no. 27, 1990, p. 10.

18.Foreign Broadcast Information Service (FBIS), FBIS-SOV-89-248, December 28, 1989, p. 100, from Moscow Domestic News Service, December 27, 1989. On average, cooperative debt was not large, suggesting that the problem was concentrated in a relatively small number of cooperatives.

19.Letter of the Union of Amalgamated Cooperatives of the USSR to M. S. Gorbachev, January 1990. There is the possibility, of course, that we may simply have a statistical problem and Goskomstat’s counting was off the mark, either in the count of January 1, 1990, or in that of April 1, 1990.

20.Argumenty i fakty, no. 18, 1990, p. 6.

21.Moscow News, no. 6, 1990, p. 10; Merkurii, no. 4, 1990.

22.CDSP, vol. 39, no. 48, 1987, p. 10, from Pravda, December 1, 1987, p. 3.

23.Argumenty i fakty, no. 18, 1989, p. 6.

24.The 1987 and 1988 data are from ibid. In 1988, when they were still relatively important, a great deal of hostility was focused against the public catering cooperatives because they used scarce food and charged high prices. “Shashlik [shishkebob] vendor” became a venomous term in the public lexicon for a cooperative.

25.Calculated from the data in Merkurii, no. 4, 1990, p. 2.

26.FBIS-SOV-90-083, April 30, 1990, p. 104, from Moscow Television Service, April 27, 1990.

27.Sovetskaia torgovlia, August 24, 1989, p. 2.

28.Sovetskaia torgovlia, March 29, 1990, p. 1.

29.Ibid.

30.Trud, August 23, 1989, p. 3.

31.CDSP, vol. 39, no. 47, 1987, p. 27, from Izvestiia, November 22, 1987, p. 1. Insurance cost the typical Soviet cooperative 300-400 rubles a year.

32.CDSP, vol. 40, no. 27, 1988, p. 17, from Sovetskaia kul’tura, June 4, 1988, p. 5.

33.Sotsialisticheskaia industriia, June 3, 1989, p. 4. There were seventy-four such cooperatives operating at the time.

34.Izvestiia, June 22, 1989, p. 2.

35.Sotsialisticheskaia industriia, November 24, 1989, p. 3.

36.Trud, November 4, 1989, p. 4.

37.Izvestiia, August 14, 1989, p. 3.

38.Izvestiia, July 9, 1988, p. 3.

39.See, for example, Moscow News, no. 47, 1987, p. 14.

40.Ekonomika i zhizn’, no. 3, 1990, p. 18. This strikes Western social scientists as an excessive sample size. Goskomstat must have been collecting information for a far more important purpose.

41.The disposition of the rest of net income is unstated. The Goskomstat sample data do not agree with other sources on 1989 cooperative wages. According to another source, in the first three-quarters of 1989, wages were 39 percent, 41 percent, and 46 percent of total income. The 15 percent in the development fund was the same in both the sample data and the other source. See Sovetskaia torgovlia, February 3, 1990, p. 2.

42.Sovetskaia torgovlia, March 29, 1990, p. 1. Data for the first three months of 1990 showed wages as 41 percent of total cooperative stiles, about the same as in 1989. Merkurii, no. 4, June 28, 1990, p. 2.

43.Izvestiia, August 7, 1989, p. 2.

44.Argumenty i fakty, no. 18, 1989, p. 6.

45.Sovetskaia Rossiia, May 12, 1990, p. 2; Trud, May 31, 1990, p. 2.

46.Pravda, January 22, 1989, p. 3.

47.Ekonomicheskaia gazeta, no. 21, May 1989, p. 14.

48.Sovetskaia Rossiia, December 21, 1989, p. 1.

49.Ekonomika i zhizn’, no. 2, January 1990, p. 11.

50.Trud, July 13, 1989, p. 2. The loophole was that the factory claimed to be part of an amalgamation and therefore did not have the legal power to conclude a contract with anybody. Thus the contract with the cooperative became null and void.

51.Sotsialisticheskaia industriia, October 27, 1989, p. 3.

52.Dialog, no. 4, 1990, p. 66.

53.Ibid., pp. 65-67. A somewhat abridged version of the study’s results in English can be found in Moscow News, no. 52, 1989, p. 12.

54.There was a misprint in the Dialog article because the numbers for age distribution add to only 90 percent. Only in Tallinn was the proportion of women greater than that of men.

55.In Moscow and Leningrad, 83 percent and 62.3 of the cooperators, respectively, had a higher education. In Tallinn, the figure was 48.3 percent.

56.Trud, July 26, 1989, p. 4.

57.Dialog, p. 66.

58.Trud, January 23, 1990, p. 3.

59.Ekonomika i zhizn’, no. 2, January 1990, p. 11.

60.Ibid.

61.In the discussions surrounding the Law on Ownership in the spring of 1990, a debate raged on the question of whether Soviet workers were exploited by the state. See, for example, Ekonomika i zhizn’, no. 15, April 1990, pp. 5, 16. In the Marxist argument, the rate of exploitation is the ratio s/v. Surplus (s) consists of net profit, interest, and rent. It is the difference between net product and wages. V, or variable capital, is total wages. Thus, the greater is the disparity between the surplus and the wage bill, the higher is the rate of exploitation.

62.Ekonomika i zhizn’, no. 17, April 1990, p. 19.

63.Ibid.

64.Trud, August 23, 1989, p. 3.

65.Ekonomika i zhizn’, no. 17, April 1990, p. 19.

66.Izvestiia, April 9, 1990, p. 1.

67.Based on a conversation by one of the authors with a cooperative worker in Moscow, January 1990. She stated that sharing in profits was a common practice.

68.The authors have the third issue, published in 1989 in Moscow. We do not know when the first issue came out.

69.The job listings of the cooperatives discriminate by U.S. standards, on the basis of both sex and age.

70.Sovetskaia torgovlia, March 29, 1990, p. 1; Interview of April 11, 1990 with Ernest Gordeev, chairman of the Leningrad cooperative Ekonomist, citing Goskomstatdata.

71.pravda, December 1, 1987, p. 3.

72.Trud, June 2, 1989, p. 4.

73.Moscow News, no. 33, 1988, p. 7. It is not obvious that all of the Moscow cooperatives asked for the right of involvement in foreign trade.

74.Izvestiia, April 2, 1989, p. 1.

75.Pravda, April 4, 1990, p. 2.

76.Izvestiia, April 4, 1990, p. 2.

77.Pravda, April 20, 1989, p. 3.

78.Izvestiia, April 4, 1990, p. 2.

79.Pravda, April 4, 1990, p. 2.

80.Sovetskaia torgovlia, December 2, 1989, p. 2.

81.Izvestiia, April 4, 1990, p. 2.

82.FBIS-SOV-90-062, March 30, 1990, p. 60, from Rabochaia tribuna, March 10, 1990, p. 2.

83.See, for example, Izvestiia, September 20, 1988, p. 3.

3. THE ECONOMIC ENVIRONMENT OF COOPERATIVES

1.Rukovodstvo dlia zhelaiushchikh sozdat’ kooperativ, Moscow, 1989, p. 52.

2.Izvestiia, November 19, 1988, p. 4.

3.Trud, October 21, 1989, p. 1.

4.Kommersant, no. 7, February 1990, p. 14.

5.Moscow News, no. 47, 1987, p. 14.

6.Moscow News, no. 50, 1989, p. 12.

7.Sel’skaia zhizn’, September 28, 1988, p. 2.

8.Current Digest of the Soviet Press (CDSP), voi. 40, no. 39, 1988, p. 13, from Izvestiia, September 20, 1988, p. 3.

9.Sovetskaia torgovlia, August 17, 1989, p. 2.

10.Sotsialisticheskaia industriia, June 23, 1989, p. 3.

11.Sovetskaia Rossiia, May 4, 1989, p. 2.

12.Novoe russkoe slovo, January 13-14, 1990, p. 8.

13.Moscow News, no. 43, 1988, p. 11.

14.Sovetskaia torgovlia, March 29, 1990, p. 1.

15.Ekmomika i zhizn’, no. 1, 1990, p. 17.

16.Sovetskaia torgovlia, October 12, 1989, p. 2.

17.Sovetskaia torgovlia, March 29, 1990, p. 1.

18.Moscow News, no. 47, 1987, p. 14.

19.Rabochaia tribuna, June 9, 1990, p. 2.

20.Trud, December 29, 1989, p. 2.

21.Sotsialisticheskaia industriia, November 26, 1988, p. 1.

22.Trud, January 4, 1990, p. 1.

23.Sovetskaia torgovlia, March 31, 1990, p. 1.

24.Sovetskaia torgovlia, February 22, 1990, p. 2.

25.Sotsialisticheskaia industriia, June 28, 1989, p. 4.

26.Joint Publications Research Service, JPRS-UEA-88-035, September 27, 1988, p. 95, from Ogonek, April 16-23, 1988, pp. 2-3.

27.V. F. Iakovlev, editor, Kooperativy segodnia i v budushchem, Moscow, 1989, p. 114. In an interview in September 1990, an official of the USSR Union of Amalgamated Cooperatives estimated that overall, cooperatives were three times more efficient than their state counterparts.

28.Argumenty i fakty, no. 9, March 1990, p. 6.

29.Ekonomicheskaia gazeta, no. 36, September 1988, p. 17.

30.Planovoe khoziaistvo, no. 10, October 1988, pp. 30-38.

31.Pravitel’stvennyi vestnik, no. 3, February 1989, p. 2.

32.Planovoe khoziaistvo, no. 10, October 1989, pp. 30-38.

33.Izvestiia, February 6, 1990, p. 2.

34.Ibid.

35.Moscow News, no. 43, 1987, pp. 8-9.

36.Moscow News, no. 20, 1988, p. 9.

37.Izvestiia, May 23, 1989, p. 1.

38.Ekonomicheskaia gazeta, no. 26, June 1989, p. 18.

39.Planovoe khoziaistvo, no. 10, October 1988, pp. 30-38.

40.Sovetskaia Rossiia, May 12, 1989, p. 1.

41.Sovetskaia torgovlia, May 18, 1989, p. 3.

42.Sotsialisticheskaia industriia, May 21, 1989, p. 1. It should be noted that, as a consequence, not only did he lose a lot of skilled workers who chose to work in cooperatives when they were given the ultimatum, but his order was overruled in an arbitration proceeding.

43.Iakovlev, p. 133.

44.Moscow News, no. 28, 1989, p. 8.

45.Ibid.

46.Kommersant, no. 7, February 1990, p. 14.

47.Politicheskoe obrazovanie, no. 1, 1989, p. 60.

48.Sotsialisticheskaia industriia, December 31, 1989, p. 2.

49.Sotsialisticheskaia industriia, June 23, 1989, p. 3.

50.Moscow News, no. 19, 1988, p. 14.

51.Sotsialisticheskaia industriia, June 28, 1989, p. 4.

52.CDSP, vol. 39, no. 41, 1987, pp. 5-6, from Literatumaia gazeta, no. 29, July 15, 1987, p. 11.

53.Moscow News, no. 47, 1987, p. 14.

54.Moscow News, no. 43, 1988, p. 8.

55.Sotsialisticheskaia industriia, July 8, 1989, p. 2.

56.Moscow News, no. 26, 1990, p. 10.

57.Moscow News, no. 43, 1987, p. 8.

58.Sotsialisticheskaia industriia, November 23, 1989, p. 4.

59.Izvestiia, August 26, 1988, p. 1.

60.See, for example, Trud, August 26, 1989, p. 6, and Pravda, August 29, 1989, p. 2.

61.Pravda, September 29, 1989, p. 1.

62.CDSP, vol. 40, no. 39, 1988, pp. 12-14, from Izvestiia, September 30, 1988, p. 3.

63.Iakovlev, p. 227.

64.Sotsialisticheskaia industriia, July 11, 1989, p. 2. This cooperative, Pomoshchnik,had established ties with 30 cities by mid-1989, with seven people dealing with questions about the exchange of housing.

65.Trud, February 28, 1990, p. 2.

66.Ekonomika i zhizn’, no. 12, March 1990, p. 5.

67.Sovetskaia torgovlia, Special Issue, no. 4, March 1-15, 1990, p. 5.

68.The complete reform package was published in many Soviet newspapers on May 25, 1990.

69.For the draft law, “On Development of Competition and Limiting Monopoly Activity,” see Material’no-tekhnicheskoe snabzhenie, April 1990, no. 4, pp. 35-44.

70.Ekonomicheskaia gazeta, no. 31, July 1989, p. 9.

71.Sovetskaia Rossiia, July 30, 1989, p. 3.

72.In a speech before the Supreme Soviet in October 1989, Leonid Abalkin recognized that what he called “shortcomings . . . in the economic environment forced [cooperatives] to violate rules and laws.” Ekonomicheskaia gazeta, no. 41, October 1989, p. 9.

73.Argumenty i fakty, no. 18, 1989, p. 6.

74.Politicheskoe obrazovanie, no. 5, 1989, pp. 64-65.

75.Sotsialisticheskii trud, no. 9, 1989, p. 14.

4. OFFICIAL RESPONSES

1.The New York Times, June 14, 1990, p. 1.

2.Current Digest of the Soviet Press (CDSP), voi. 40, no. 46, 1988, p. 23, from Izvestiia, November 17, 1988, p. 3.

3.CDSP, vol. 41, no. 1, 1989, p. 10, from Izvestiia, December 31, 1988, p. 2.

4.The truth is that publishing of independent newspapers went on in spite of the ban. In fact, there were probably several hundred such publications operating in 1989 and 1990.

5.CDSP, vol. 41, no. 1, 1989, pp. 10-11, from Izvestiia, January 2, 1989, pp. 1-2.

6.See Izvestiia, April 30, 1987, p. 6.

7.Izvestiia, September 9, 1987, p. 3.

8.Izvestiia, April 30, 1987, p. 6.

9.Izvestiia, October 22, 1986, p. 3.

10.See David Powell, “Medical Cooperatives in the Soviet Union,” in G. Ajani, B. Dallago, and B. Grancelli, editors, Self-Employment and Entrepreneurship in the Socialist Countries, Macmillan, forthcoming.

11.Interview with Yuri Vorontsov, vice-president of the USSR Union of Amalgamated Cooperatives, September 21, 1990.

12.Sovetskaia Rossiia, April 26, 1987, p. 1.

13.Izvestiia, September 9, 1987, p. 3.

14.Interview with Vorontsov.

15.Pravda, October 26, 1989, p. 3.

16.Sovetskaia Rossiia, July 1989, p. 3.

17.Pravda, October 26, 1989, p. 3.

18.Interview with Yuri Vorontsov, vice-president of the USSR Union of Amalgamated Cooperatives, September 21, 1990.

19.Ibid.

20.Pravda, February 14, 1989, p. 2.

21.See Margot Jacobs, “Are the Restrictions on Medical Cooperatives Justified?” Report on the USSR, March 31, 1989, pp. 9-12.

22.Izvestiia, December 31, 1988, p. 2.

23.Argumenty i fakty, no. 2, 1989, p. 4.

24.Izvestiia, November 17, 1988, p. 3.

25.Argumenty i fakty, no. 2, 1989.

26.Izvestiia, November 17, 1988, p. 3.

27.Izvestiia, December 23, 1988, p. 4.

28.Izvestiia, November 17, 1988, p. 3.

29.See Jacobs, p. 11. The figures for the cost of a CAT-scan at Lik and the disbursement of the fee came from two different Soviet sources. This likely accounts for the fact that these numbers do not add to 107 rubles.

30.Ekonomicheskaia gazeta, no. 15, April 1989, pp. 13-14.

31.Sotsialisticheskaia industriia, July 28, 1989, p. 3. See also Sovetskaia Rossiia, July 30, 1989, p. 3.

32.Izvestiia, September 24, 1987, p. 3.; Izvestiia, September 29, 1987, p. 2.

33.JPRS-UEA-90-004, February 5, 1990, p. 28, from Komsomolets Uzbekistana, October 19, 1989, p. 6.

34.Literatumaia gazeta, no. 42, October 18, 1989, p. 1.

35.CDSP, vol. 41, no. 18, 1989, p. 27, from Izvestiia, May 3, 1989.

36.Ekonomika i zhizn’, no. 12, March 1990, p. 2.

37.Joint Publications Research Service, JPRS-UEA-90-004, February 5, 1990, p. 25, from Sel’skaia pravda (Tashkent), October 5, 1989, p. 2.

38.JPRS-UEA-90-004, February 5, 1990, p. 27, from Komsomolets Uzbekistana, October 19, 1989, p. 6.

39.Pravitel’stvennyi vestnik, no. 7, February 1990, p. 4.

40.CDSP, vol. 40, no. 46, 1988, p. 21, from Izvestiia, November 19, 1988, p. 4.

41.Ibid., pp. 21-22. What is unsaid here is that the cooperatives were reselling the food at much higher prices than those charged in the state stores.

42.CDSP, vol. 41, no. 18, 1989, p. 27.

43.Trud, October 21, 1989, p. 1.

44.Ibid.

45.Ibid.

46.Trud, October 19, 1989, p. 1.

47.Moscow News, no. 3, 1990, p. 4.

48.Ekonomicheskaia gazeta, no. 41, October 1989, p. 8.

49.Izvestiia, September 26, 1989, p. 6.

50.Moscow News, no. 1, 1990, p. 10.

51.Izvestiia, April 9, 1990, p. 1.

52.CDSP, vol. 39, no. 51, 1988, pp. 10 and 24, from Izvestiia, December 22, 1988, p. 3.

53.V. F. Iakovlev, editor, Kooperativy segodnia i v budushchem, Moscow, 1989, p. 227.

54.Sovetskaia Rossiia, May 4, 1989, p. 2.

55.CDSP, vol. 39, no. 51, 1988, from Izvestiia, December 22, 1988, p. 3.

56.Moscow News, no. 40, 1989, p. 14.

57.Ibid.

58.CDSP, vol. 40, no. 4, 1988, pp. 6-7, from Izvestiia, January 28, 1988, p. 2.

59.Ibid.

60.Moscow News, no. 47, 1987, p. 14.

61.JPRS-UEA-90-011, April 2, 1990, p. 10, from Pravitel’stvennyi vestnik, no. 5, January 1990, pp. 4-5.

62.CDSP, vol. 41, no. 12, 1989, pp. 27-28, from Izvestiia, March 20, 1989, p. 2.

63.Sovetskaia torgovlia, August 17, 1989, p. 2.

64.Moscow News, no. 6, 1990, p. 10. There are many more such cases. See, for example, Moscow News, no. 30, 1989, p. 12.

65.Sovetskaia torgovlia, January 27, 1990, p. 1. This constituted a substantial proportion of the new cooperatives operating within the old consumer cooperative system. At the beginning of 1990 there were 7,000 such cooperatives employing over 90,000 people.

66.Ibid.

67.CDSP, vol. 39, no. 51, 1988, pp. 9-10, from Izvestiia, December 12, 1988, p. 5.

68.Sotsialisticheskaia industriia, June 28, 1989, p. 4.

69.Izvestiia, February 20, 1990, p. 2.

70.Ibid.

71.Moscow News, no. 39, 1989, p. 5.

72.Ibid.

73.Rabochaia tribuna, April 4, 1990, p. 2.

74.Sotsialisticheskaia industriia, May 21, 1989, p. 1.

75.Rabochaia tribuna, April 13, 1990, p. 2.

76.Iakovlev, p. 179.

77.Trud, June 2, 1990, p. 2.

78.Izvestiia, August 14, 1989, p. 3.

79.Moscow News, no. 3, 1990, p. 4.

80.Letter from the USSR Union of Amalgamated Cooperatives to Gorbachev.

81.Moscow News, no. 17, 1989, p. 12.

82.Izvestiia, February 21, 1990, p. 2.

83.Ibid.

84.Izvestiia, February 19, 1990, p. 2.

85.JPRS-UEA-90-018, May 25, 1990, p. 88, from Kommersant, no. 5, February 1990, p. 5. When confronted with this possible consequence, the then mayor of Moscow, V. T. Saikin, cynically responded, “It will take at least 2 or 3 months to reverse our decision; who knows where I will be by then?”

86.JPRS-UEA-89-022, July 20, 1989, p. 96, from Material’no-tekhnicheskoe snabzhenie, no. 4, April 1989, pp. 20-23.

87.Izvestiia, July 3, 1988, p. 3.

88.CDSP, vol. 39, no. 48, 1987, p. 10, from Pravda, December 1, 1987, p. 3.

89.CDSP, vol. 39, no. 51, 1988, p. 10, from Izvestiia, December 12, 1988, p. 5.

90.Izvestiia, February 25, 1989, p. 3.

91.Izvestiia, July 30, 1988, p. 3.

92.Ekonomika i zhizn’, no. 23, June 1990, p. 6.

93.Izvestiia, July 15, 1988, p. 3.

94.Izvestiia, March 20, 1988, p. 2.

95.JPRS-UEA-88-038, October 5, 1988, p. 59, from Ogonek, no. 29, 1988, pp. 45. Gostev said that “superincome” was defined as anything more than 2.5 times the average monthly income of state workers, that is, 500 rubles.

96.Izvestiia, July 15, 1988, p. 3. One of the discontented voices can be found in a letter from the Stroitel’ cooperative in Karelia. See Izvestiia, April 3, 1988, p. 2.

97.Izvestiia, July 15, 1988, p. 3.

98.Izvestiia, July 3, 1988, p. 3.

99.Sovetskaia Rossiia, October 4, 1989, p. 1.

100.Ekonomicheskaia gazeta, no. 31, July 1989, p. 9; Izvestiia, February 23, 1989, p. 2.

101.Ekonomicheskaia gazeta, no. 31, July 1989, p. 9.

102.Izvestiia, February 25, 1989, p. 3.

103.gazeta, no. 31, July 1989, p. 9. If one of these cooperatives stops operating after three years, however, it will have to pay the full tax.

104.Izvestiia, February 23, 1989, p. 2.

105.The official instructions regarding these entitlements were so unclear and ambiguous that they allowed functionaries to extract huge bribes. See Novoe russkoe slavo, December 15, 1989, p. 6. The Ministry of Finance subsequently extended the list of contributions that were exempt from income tax payments to donations to the Soviet Children’s Fund and the Soviet Peace Fund, contributions to those who were victims of natural disasters, financial assistance to nursing homes and poor people, and also monies for building schools, hospitals, and cultural facilities. Ekonomika i zhizn’, no. 23, June 1990, p. 6.

106.Sotsialisticheskaia industriia, July 28, 1989, p. 3.

107.Ibid.

108.Letter from the USSR Union of Amalgamated Cooperatives to M. S. Gorbachev, January 1990.

109.Literatumaia gazeta, no. 25, June 21, 1989, p. 2.

110.Moscow News, no. 28, July 16-23, 1989, pp. 8-9. Those with a knowledge of Soviet history will recognize the intentional comparison of the predicted fate of cooperatives to that of the kulaks whom Stalin chose to unmercifully purge from Soviet villages in the winter of 1929-30 under the slogan “the liquidation of the kulaks as a class.”

111.Ekonomika i zhizn’, no. 7, February 1990, p. 17.

112.Ibid.

113.Ibid.

114.Izvestiia, November 27, 1989, p. 4. This appears to be in addition to the original cost of the purchase abroad.

115.State workers and employees used to pay 8.2 percent on the first 100 rubles of monthly income and 13 percent on income above that level. Misha Belkindas, “Privatization of the Soviet Economy under Gorbachev II: 1. The Campaign against Unearned Income. 2. The Development of Private Cooperatives,” Berkeley-Duke Occasional Papers on the Second Economy in the USSR, Paper no. 14, April 1989, Duke University, Durham, North Carolina, p. 46.

116.The tax law was published in several places, including Ekonomika i zhizn’, no. 20, May 1990, pp. 16-19.

117.See, for example, Sotsialisticheskaia industriia, June 23, 1989, p. 4.

118.Moscow News, no. 21, 1989, p. 9.

5. CRIME AND THE COOPERATIVE MOVEMENT

1.Sovetskaia Rossiia, May 5, 1989, p. 2.

2.Moscow News, no. 30, July 31-August 7, 1988, p. 8.

3.Sotsialisticheskaia industriia, September 12, 1989, p. 4.

4.Literatumaia gazeta, no. 35, August 30, 1989, p. 13.

5.Izvestiia, March 16, 1990, p. 4.

6.Sotsialisticheskaia industriia, July 26, 1989, p. 4.

7.Trud, July 26, 1989, p. 4.

8.Trud, May 19, 1990, p. 2.

9.Sotsialisticheskaia industriia, November 23, 1989, p. 4.

10.Trud, May 19, 1990, p. 2.

11.Sotsialisticheskaia industriia, November 23, 1989, p. 4.

12.Trud, May 19, 1990, p. 2.

13.Sotsialisticheskaia industriia, November 23, 1989, p. 4.

14.Moscow News, nos. 8-9, 1990, p. 19.

15.Ekonomika i zhizn’, no. 19, May 1990, p. 18.

16.Trud, September 13, 1989, p. 1.

17.Sovetskaia Rossiia, May 28, 1990, p. 6. On the country’s soap shortage, see Sotsialisticheskaia industriia, May 18, 1989.

18.Trud, September 13, 1989, p. 1.

19.Ekonomika i zhizn’, no. 1, January 1990, p. 17.

20.Trud, September 10, 1989, p. 4.

21.Ibid.

22.Joint Publications Research Service, JPRS-UPA-90-033, June 12, 1990, p. 39, from Sovetskaia Rossiia, April 6, 1990, p. 2.

23.Sovetskaia Rossiia, May 12, 1989, p. 1.

24.Current Digest of the Soviet Press (CDSP), vol. 41, no. 16, 1989, p. 23, from Pravda, April 20, 1989, p. 3; Trud, June 1, 1989, p. 2.

25.The Wall Street Journal, June 20, 1990, p. A18. During the course of the conflict between the cooperative and the state, Tekhnika's staff went from 400 to 20 workers.

26.Trud, August 26, 1989, p. 6.

27.Trud, October 3, 1989, p. 1.

28.Sovetskaia Rossiia, May 28, 1989, p. 6. One of the most brazen operations involved one of the unregistered and therefore illegal soap cooperatives which had its offices in an annex of the building that houses police headquarters in Leningrad. Apparently, it got access to the space by bribing two police officials.

29.Sotsialisticheskaia industriia, November 23, 1989, p. 4.

30.Novoe russkoe slovo, December 15, 1989, p. 6.

31.Trud, May 19, 1990, p. 2.

32.Ibid.

33.Sel’skaia zhizn’, April 29, 1990, p. 2.

34.Sotsialisticheskaia industriia, November 23, 1989, p. 4.

35.Novoe russkoe slovo, December 15, 1989, p. 6.

36.Novoe russkoe slovo, January 13-14, 1990, p. 8.

37.Izvestiia, March 16, 1990, p. 4.

38.Ibid.

39.Novoe russkoe slovo, January 13-14, 1990, p. 8.

40.Izvestiia, March 5, 1990, p. 6.

41.Ekonomika i zhizn’, no. 1, January 1990, p. 17.

42.Trud, September 10, 1989, p. 4.

43.Ekonomicheskaia gazeta, no. 31, July 1989, p. 9. We do not know if there is a penalty for being caught the first time.

44.Trud, January 23, 1990, p. 3.

45.Sovetskaia Rossiia, July 7, 1989, p. 3.

46.Pravda, July 15, 1989, p. 2.

47.Trud, October 21, 1989, p. 1.

48.Izvestiia, March 16, 90, p. 4.

49.JPRS-UEA-90-011, April 2, 1990, p. 85.

50.Sel’skaia zhizn’, April 29, 1990, p. 2.

51.CDSP, vol. 41, no. 16, 1989, pp. 23-24.

52.Iu. Kozlov and O. Osipenko, “V teni ‘tenovoi ekonomiki,’ ” Molodoi kommunist,no. 10, 1989, p. 50.

53.Sel’skaia zhizn’, April 29, 1990, p. 2. See also Pravda, February 2, 1990, p. 2. There was an interim committee for combating crime in the USSR Supreme Soviet which met in October 1989 and on February 1, 1990, to discuss primarily how to deal with problems in trade and speculation. The committee’s general position was that because of the conditions of shortages, the cooperatives (and state trade as well) had become fertile ground for organized crime and state corruption.

54.Trad, November 26, 1989, p. 2. In one observer’s sanguine view, the state was better off when money was laundered through cooperatives, because otherwise the money either would just sit in savings banks or would be spent to buy narcotics, vodka, women, and gold. Literatumaia gazeta, no. 35, August 30, 1989, p. 13.

55.Sovetskaia lorgovlia, February 3, 1990, p. 2.

56.Novoe russkoe slovo, January 15, 1990, p. 15. This writer said that when a Moscow food cooperative earned 1,200 rubles after the first day of operation, 800 of which it accounted as profits, racketeers tried to extort a monthly fee of 1,000 rubles in protection money.

57.Trud, May 19, 1990, p. 2.

58.FBIS-SOV-90-066, April 5, 1990, p. 106, from Moscow TASS International Service, April 3, 1990. The criminal group was well prepared to ply its trade. The KGB said sidearms, fiares, tear gas cylinders, eight portable army radio units, the identification card of a police staff person, and a secret telephone communications unit were seized during the operation. The authorities do catch extortionists. Arrests of extortionists were reported in November 1989 in Donetsk and Nikolaev. See Pravda Ukrainy, November 17, 1989, p. 3.

59.JPRS-UEA-90-033, June 12, 1990, p. 39, from Sovetskaia Rossiia, April 6, 1990, p. 2.

60.CDSP, vol. 41, no. 40, 1989, p. 26. As it turns out, this enterprising cooperative had stolen the materials to make the vests from Moscow’s Scientific Research Institute for Steel.

61.FBIS-SOV-90-065, April 4, 1990, from Moscow TASS, April 3, 1990.

62.New Times, Moscow, no. 26, 1989.

63.Kommersant, no. 7, February 1990, p. 6. It should be noted that cooperatives are not alone in attempting to export illegally military materials from the USSR. In May 1990, the Soviet national television news program Vremia reported on a joint- stock company Toeral which had attempted to send about 3,000 tons of high- strength alloy steel through Kaliningrad to London. Foreign Broadcast Information Service, FBIS-SOV-90-093, May 14, 1990, p. 66, from Moscow Television Service, May 11, 1990.

64.Moscow News, no. 13, 1990, p. 10.

65.Sovetskaia Rossiia, May 4, 1990, p. 4.

66.The following sources have been used in piecing together the ANT affair: Pravda, February 1, 1990, p. 3; Pravda, March 19, 1990, p. 6; Izvestiia, March 27, 1990, p. 3; Izvestiia, April 23, 1990, p. 6; Sovetskaia Rossiia, May 4, 1990, p. 4; Kommersant, no. 5, February 1990, pp. 1—2; Kommersant, no. 6, February 1990, p. 6; Kommersant, no. 7, February 7, 1990, p. 6; Moscow News, no. 13, 1990; FBIS-SOV-90- 024, February 5, 1990, p. 112, from Moscow Domestic Service in Russian, February 3, 1990; FBIS-SOV-90-061, March 29, 1990, p. 39, from Moscow Television Service in Russian, March 28, 1990; FBIS-SOV-90-093, May 14, 1990, p. 66, from Moscow Television Service in Russian, May 11, 1990.

67.The fact is that the aviation industry received a very taut plan from the government for the production of consumer goods and agricultural machinery. The ministry hoped that through ANT it would be able to import the equipment necessary to produce these goods.

68.Since this person is identified only as “Belousov,” without either his initials or his position, and there are several Belousovs in the Soviet hierarchy, it is impossible to tell precisely who he is.

69.Argumenty i fakty, no. 29, 1989, p. 7; Pravda, March 29, 1990, p. 2.

70.FBIS-SOV-90-067, April 6, 1990, p. 100, from Moscow Domestic News Service, March 11, 1990.

71.Sovetskaia Rossiia, March 2, 1990, p. 1.

72.Izvestiia, March 28, 1990, p. 2.

73.Literatumaia gazeta, no. 3, January 17, 1990.

74.The Wall Street Journal, August 31, 1989, p. A8.

75.Ekonomicheskaia gazeta, no. 44, October 1989, p. 23. The idea for this was spawned earlier in the year by none other than MVD Chief Bakatin who suggested that cooperatives of police be created which could offer their services for a fee. See Aaron Trehub, “Hard Times for Soviet Policemen,” Report on the USSR, vol. 1, no. 23, June 9, 1989, p. 21.

76.Sotsialisticheskaia induslriia, November 23, 1989, p. 4.

77.Trehub, p. 21.

78.See, for example, Literatumaia gazeta, no. 3, January 17, 1990.

79.Sovetskaia torgovlia, March 29, 1990, p. 1.

80.Izvestiia, March 5, 1990, p. 6.

6. THE SOCIAL AND IDEOLOGICAL ENVIRONMENT OF COOPERATIVES

1.M. N. Rutkevich, “Sblizhenie rabochego klassa i inzhenemo-tekhnicheskoi intel- ligentsii,” Sotsiologicheskoe issledovanie, no. 4, 1980, pp. 25-34.

2.Current Digest of the Soviet Press (CDSP), vol. 36, no. 44, 1984, p. 1, from Sovetskaia kul'tura, September 29, 1984, p. 6.

3.Ibid.

4.Ibid.

5.CDSP, vol. 39, no. 44, 1984, p. 4, from Sovetskaia Rossiia, October 10, 1984, p. 3.

6.CDSP, vol. 38, no. 19, 1986, p. 6, from Izvestiia, April 15, 1986, p. 3.

7.CDSP, vol. 38, no. 21, 1986, p. 3, from Izvestiia, June 2, 1986, p. 3.

8.Ibid.

9.V. Z. Rogovin, “Sotsial’naia spravedlivost’ i sotsialisticheskoe raspredelenie zhiznennykh blag,” Voprosy filosofii, no. 9, p. 19.

10.Problems of Economics, Summer 1986, p. 35.

11.Pravda, February 13, 1986, p. 3.

12.B. G. Proshkin and I. p. Povarich, “On the Issue of Material, Non-monetary Work Incentives,” Soviet Sociology, Spring 1987, pp. 77-90.

13.Ibid.

14.CDSP, vol. 36, no. 44, 1984, p. 2, from Sovetskaia kul'tura, September 29, 1984, p. 6.

15.CDSP, vol. 39, no. 16, 1987, p. 6, from Argumenty i fakty, March 21-27, 1987, pp. 1-2.

16.Philip Hanson, “ ‘Non-labor Incomes’ in the USSR,” Radio Liberty/Radio Free Europe, Radio Liberty Research, RL 172/86, April 24, 1986, p. 3.

17.Sovetskaia Rossiia, July 24, 1987, p. 3.

18.Moscow News, no. 13, 1988, p. 9.

19.Ogonek, no. 43, 1989, p. 5.

20.Sovetskaia Rossiia, October 20, 1989, p. 2.

21.The data in this section come from Voprosy ekonomiki, no. 11, 1989, pp. 129134.

22.The results of this study were published in T. V. Avdeenko et al., “Novaia sovetskaia kooperatsiia i naselenie,” Izvestiia Sibirskogo otdeleniia Akademii nauk SSSR,Seriia ekonomika i prikladnaia sotsiologiia, no. 1, 1990, pp. 15-19.

23.Reported in Kommersant, no. 5, February 1990, p. 10.

24.Sovetskaia torgovlia, July 28, 1990, p. 2.

25.Ibid.

26.See the commentary by Sergei Shpilko in Kommersant, no. 5, February 1990, p. 10.

27.Sotsialisticheskaia industriia, July 28, 1989.

28.Sovetskaia torgovlia, August 5, 1989; hvestiia, July 10, 1989, p. 2.

29.Shpilko, Kommersant, no. 5, February 1990, p. 5.

30.Joint Publications Research Service-USSR Economic Analysis, JPRS-UEA-90- 005, February 9, 1990, p. 89, from Ogonek, no. 44, 1989, p. 4.

7. THE POLITICIZATION OF PRIVATE ENTERPRISE

1.Sovetskaia torgovlia, May 16, 1989, p. 3.

2.Ibid.

3.Pravda, July 7, 1988, p. 2.

4.Izvestiia, November 4, 1988, p. 2.

5.Sotsialisticheskaia industriia, March 26, 1989, p. 2.

6.Foreign Broadcast Information Service, FBIS-SOV-88-236, December 8, 1988, p. 74, from Moscow TASS, November 23, 1988.

7.Moscow News, no. 5, 1989, p. 13.

8.Moscow News, no. 31, 1989, p. 2.

9.Ekonomicheskaia gazeta, no. 27, July 1989, p. 2.

10.V. M. Rutgaizer et al., “Sostoianie i perspektivy razvitiia ‘novoi’ kooperatsii: mneniia raznykh storon,” Izvestiia Sibirskogo otdeleniia akademii SSSR, Seriia ekonomika i prikladnaia sotsiologiia, no. 3, 1989, p. 52.

11.Pravda, July 2, 1989, p. 2.

12.Interview with Yuri Vorontsov, vice-president of the USSR Union of Amalgamated Cooperatives, September 21, 1990.

13.Current Digest of the Soviet Press (CDSP), vol. 41, no. 28, 1989, p. 27, from Izvestiia, July 10, 1989, p. 2.

14.Kommersant, no. 5, February 1990, p. 5.

15.Letter of the USSR Union of Amalgamated Cooperatives, January 1990, distributed in mimeo at the congress.

16.Ibid.

17.Vestnik kooperatora, no. 6, 1990, p. 1; Kommersant, no. 5, February 1990, p. 5.

18.Izvestiia, February 19, 1990, p. 2.

19.The political platform of the movement “For Free Labor,” February 19, 1990, distributed in mimeo form at the congress.

20.Izvestiia, February 21, 1990, p. 2.

21.Letter of the USSR Union of Amalgamated Cooperatives, January 1990, distributed in mimeo at the congress.

22.Sotsialisticheskaia industriia, December 10, 1989, p. 4.

23.Kommersant, no. 5, February 1990, p. 11.

24.Izvestiia, July 10, 1989, p. 2.

25.Kommersant, no. 5, February 1990, p. 5.

26.FBIS-SOV-90-042, March 2, 1990, pp. 98-99, from Izvestiia, February 22, 1990, p. 1.

27.Pravda, April 4, 1990, p. 2.

28.Izvestiia, February 21, 1990, p. 2.

29.Sovetskaia Rossiia, February 25, 1990, p. 2. The paper even went so far as to suggest that the Soviet Union adopt anti-lobbying legislation similar to that of the United States.

30.Literatumaia gazeta, no. 48, 1989, p. 2. This was made possible by the government concession to allow coal miners to sell 20 percent of production that was in excess of the plan.

31.FBIS-SOV-90-113, June 12, 1990, pp. 61-62, from Moscow Television Service, June 1, 1990.

32.FBIS-SOV-90-113, June 12,1990, p. 62, from Moscow Television Service, June 3, 1990.

33.FBIS-SOV-90-113, June 12, 1990, pp. 61-62, from Moscow Television Service, June 1, 1990.

34.FBIS-SOV-90-111, June 8, 1990, p. 38, from Izvestiia, June 3, 1990, p. 3.

35.Sovetskaia torgovlia, May 16, 1989, p. 3; Argumenty i fakty, no. 5, 1990, p. 1.

36.Sovetskaia torgovlia, September 7, 1989, p. 3.

37.FBIS-SOV-89-153, August 10, 1989, p. 80, from Moscow TASS Service, August 4, 1989.

38.Ibid.

39.Sovetskaia torgovlia, May 1, 1989, p. 1.

40.Trud, October 1, 1989, p. 1.

41.Argumenty i fakty, no. 5, 1990, p. 1.

42.Sovetskaia Rossiia, July 7, 1989, p. 6.

43.FBIS-SOV-90-106, June 1, 1990, p. 44, from Moscow World Service, May 31, 1990.

44.Sovetskaia torgovlia, July 13, 1989, p. 3.

45.Sotsialisticheskaia industriia, June 28, 1989, p. 4.

46.This story is taken from Bill Keller, “Weary of Party’s Sniping, Soviet Cooperatives Rebel,” The New York Times, March 2, 1990, pp. Al and A4.

47.This account is based on an interview with Yuri Vorontsov, vice-president of the USSR Union of Amalgamated Cooperatives, September 21, 1990.

8. ENTREPRENEURSHIP AND THE TRANSITION TO A MARKET ECONOMY

1.Argumenty i fakty, no. 10, 1990, p. 1.

2.Merkurii, no. 5, 1990, p. 3.

3.Izvestiia, May 27, 1990, p. 3.

4.Izvestiia, June 30, 1990, p. 6.

5.Foreign Broadcast Information Service, FBIS-SOV-90-132, July 10, 1990, p. 35, from Pravitel’stvennyi vestnik, June 1990, pp. 10-11.

6.Izvestiia, February 25, 1990, p. 2.

7.Izvestiia, May 27, 1990, p. 3.

8.Ibid.

9.The New York Times, June 10, 1990, p. Al.

10.FBIS-SOV-90-129, July 5, 1990, p. 55, from BBC Television Network, July 2, 1990.

11.Joint Publications Research Service, JPRS-UEA-90-020, June 14, 1990, p. 24, from Izvestiia, May 26, 1990, p. 4.

12.Ibid.

13.Ekonomika i zhizri, no. 31, July 31, 1990, p. 14.

14.Izvestiia, June 22, 1990, p. 2.

15.FBIS-SOV-90-119, June 20, 1990, p. 105, from Moscow Domestic Service, June 19, 1990.

16.Izvestiia, January 3, 1990, p. 3.

17.FBIS-SOV-90-086, May 3, 1990, p. 57, from Izvestiia, April 26, 1990, p.5.

18.Izvestiia, February 16, 1990, pp. 1-2.

19.FBIS-SOV-90-100, May 23, 1990, p. 62, from Izvestiia, May 20, 1990, p. 2.

20.Moscow News, no. 2, 1990, p. 9.

21.FBIS-SOV-90-129, July 5, 1990, pp. 54-55, from Izvestiia, July 3, 1990, p. 2.

22.Leningradskaia pravda, June 8, 1990, p. 2.

23.Moscow News, no. 20, 1990.

24.Moskovskie novosti, May 13, 1990, p. 10.

25.Ibid.

26.Sovetskaia kul'tura, no. 2, January 13, 1990, p. 5.

27.D. J. Peterson, “New Data Published on Employment and Unemployment in the USSR,” Report on the USSR, January 5, 1990, p. 4.

28.Moskovskie novosti, May 13, 1990, p. 10.

29.See, for example, Moscow News, no. 47, 1987, p. 14; Izvestiia, September 20, 1988, p. 3.

30.FBIS-SOV-90-104, May 30, 1990, p. 68, from Moscow Service in English, May 24, 1990. There was much less inclination to blame black marketeers for high prices than to blame cooperators. Why was there such a difference in the popular assessment of these two activities? One possible explanation is that exchange on the black market is viewed as a victimless crime, an act in which buyer and seller collude to engage in a forbidden act. When dealing with a cooperative, on the other hand, there is no collusion; and hence for the buyer, the belief is that there is no need to pay a premium for the good.

31.Ogonek, no. 6, 1990, pp. 17-18.

32.Sovetskaia Rossiia, May 15, 1990, p. 3.

33.FBIS-SOV-90-073, April 16, 1990, from Moscow Television Service, April 14, 1990.

34.Ibid.

35.Argumenty i fakty, no. 14, 1990, p. 8.

36.Izvestiia, August 20, 1990, p. 2.

37.Moscow News, no. 38, 1990, p. 11.

38.See a discussion of this in Ekonomicheskie nauki, no. 5, May 1988, pp. 58-64.

39.Ekonomika i zhizn’, no. 23, June 1990, pp. 3-5.

40.Joint Publications Research Service, JPRS-UEA-89-024, July 25, 1989, p. 19, from Izvestiia, May 12, 1989, p. 2.