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USSR: Measures of Economic Growth and Development, 1950-80

Central Intelligence Agency · 1982-12-08 · 399 pages · text from the file's own layer

This Joint Committee Print, dated December 8, 1982, gathers studies that the Central Intelligence Agency's Directorate of Intelligence prepared for the Joint Economic Committee of the US Congress. It gives estimates of Soviet gross national product for 1950 to 1980, with indexes of industrial production, agricultural production and consumption, and explains the methods and data behind them. The foreword says official Soviet statistics inflate growth and that the CIA measures offer a more accurate picture. The document contains no UFO material.

  • p. 36 …In the USSR the collective farm, or kolkhoz, is part state and part cooperative. The land…
  • p. 47 …0.66e_ Consumer cooperatives 1.283 i Retained profits of consumer cooperatives 0.821 Tax on…
  • p. 50 …Hill, The Measurement of Real Product, The Organization for Economic Cooperation and Development, Paris, 1971; R…
  • p. 103 …Net profits of consumer cooperatives were included with retail trade and public dining. Subsidies. This item…
  • p. 118 …and economic admin- istration, administrative organs of cooperative and social organizations,” for which employment and oth…
  • p. 119 …Social organi- zations include the administrative organs of the All- Union Society of Consumer Cooperatives, the…
  • p. 130 …The profits distributed to consumer cooperative members are now considered to be a transfer receipt rather…
  • p. 133 …Profits distributed to consumer cooperative members 0.027 9. Total income 217.206 Sources to this…
  • p. 134 …Profits distributed to consumer cooperative members. See CIA, GNP I970, p. 23. 9. Total income. This…
  • p. 135 …State, cooperative, and commission sales 141.096 (1)Fo0d 84.104 (2) Soft goods 42.734…
  • p. 137 …Charges paid by members of housing 0.075 cooperatives for maintenance lmputed gross rent on urban…
  • p. 138 …Taxes on land and buildings owned by individuals and cooperatives are from Gosb_vudzhet I972, p…
  • p. 139 …Retained profits of consumer cooperatives 0.821 d. Retained profits of other organizations 0.321 2…
  • p. 142 …Profits distributed to consumer 0.027 cooperative members 8.’C;solidate_d total outlays 215.841…
  • p. 147 …Consumer cooperatives 1.283 (1) Retained profits of consumer cooperatives 0.821 (2) Tax on income…
  • p. 160 …532) plus a share of the amortization deductions of consumer cooperatives. Altough consumer cooperatives are primarily…
  • p. 162 …532) and amortization deductions of consumer cooperatives on industrial capital (0.083 billion ru~ bles-—see…
  • p. 164 …retained profits and income taxes of consumer cooperatives and other organizations, respectively. 7. Total pra/its…
  • p. 257 …Other state purchasing orga- nizations are the Central Union of Consumer Cooper- atives, and the Ministries…
  • p. 286 …Review of I978 and Outlook for I97 9, Economics, Statistics, and Cooperatives Service, April 1979, p…
  • p. 330 …exceeded the prices paid in state and cooperative retail outlets by an average of ~59 percent…
  • p. 331 …index of retail prices in state and cooperative outlets. The index which shows almost no change…
  • p. 332 …In coverage, it differs from the CIA index of consumption, mainly by inclusion of cooperative housing…
  • p. 335 …purchases of these items in state and cooperative retail outlets and in collective farm markets, including…
  • p. 339 …The index implicitly covers all goods purchased in state and cooperative retail out- lets, except those…
Approved for Release: 2019/07/19 C05210421
Description and Evaluation
of the Consumption Index
The Index in Established Prices
General
The index of total consumptionwshown in summary
form in Table 3 and in detail in Appendix A—is a
weighted aggregate of separately constructed indexes
for three broad categories of goods—food, soft goods,
and durables and miscellaneous goods—six categories
of personal services—housing, utilities, transporta-
tion, communications, repair and personal care, and
recreation—and two communal services education
and health. The indexes for major categories, in turn,
are weighted aggregates of varying numbers of com-
ponent indexes.
The aggregate index is a sample index based to a
considerable extent on time series in physical units.
The sample is large and in one way or another »
represents more than 90 percent of all consumption
expenditures. 'All important foods, soft goods, and
durables are included, as are most personal services
and all education and health services. Both the sample
categories and the time series selected to represent
them were severely constrained by the availability of
published Soviet data. Ideally, one would like to have
suitable and detailed expenditure time series and
corresponding reliable price deflators. In general, the
Soviet government publishes neither. Data on retail
sales, regularly published in current prices with a
disaggregation of several dozen groups, are flawed by
the presence of sizeable residual groups of obscure
content and by inclusion of sales to enterprises and
sales of intermediate and investment goods that do not
reflect household consumption. Retail sales data also
include sales of so-called “productive” services, such
as shoe repair. The data with which to remove or
reclassify these various items are not available over
time. Official retail price indexes are seriously defec-
tive, as already noted, since they reflect official price
changes only on a fixed sample of basic products; the
index is, in essence, an index of prices on an official
price list and not an index of prices paid by consumers
for goods actually available for purchase. The Soviet
government publishes neither quantities nor values for
consumption in kind, a major element in total food
consumption. Neither expenditures nor price indexes
are available for most personal services. Official data
on government outlays for education and health are in
current prices, and include transfer payments and
some expenditures that belong to investment rather
than to consumption.
In general, the Soviet Union publishes only a small
fraction of the data that are required, ideally, to
construct a reliable consumption index; moreover the
definitions and methodologies underlying the pub-
lished data are seldom available in more than cursory
detail. As a result of these problems with the data, the
quality of the components of the CIA indexes is
uneven. Most satisfactory, perhaps, are those for food,
soft goods, transportation, and communications: least
satisfactory are those for durables and miscellaneous
goods and for recreation. The indexes for housing and
for communal services suffer from an inability to
reflect improvements in quality; this shortcoming is
not unique to the indexes constructed here for the
USSR, however. Each of the major component index-
es is evaluated below with respect to coverage and
quality of the time series data and internal weights
within major components.
Several sources of possible bias exist. The choice of
1970 as the base year may -impart some bias to the
index. In general, however, 1970 was a fairly
“normal” year for consumers, in the sense that no
major crop failure or other unusual event occurred.
The matter of the degree of overall equilibrium in
consumer goods markets is considered below. To test
the effect of the choice of base year, alternative
weights for major categories on a comparable basis
were constructed for 1960 and 1976. Rates of growth
shown by the three sets of weights do not differ much.
The use of 1960 weights speeds up the index some-
what, while the use of l976 weights instead of 1970
weights has a negligible impact on the index. Table 4
summarizes the growth rates given by alternative sets
of weights for major categories. i
The use of time series expressed in physical units may
bias the index downward because of the inability to
allow fully for improvements in quality. This source of
bias could be significant, probably, only for footwear,
hosiery, and knitwear and perhaps for education and
health services. On the other hand, those series that
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Approved for Release: 2019/07/19 C05210421

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FOIA release, from the cia-readingroom collection. The PDF is mirrored here; the original link is above. 399 pages are in the text index: search them above, or from the library's search.