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Eastern Europe

Eastern Europe. Sydney Wilson. Human Development Index. 1990- Eastern Europe’s just behind the HDIs of Western Europe and Anglo- America Has currently slipped to level of Latin America That’s the level of developing country. Communist Rule. Iron Curtain

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Eastern Europe

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  1. Eastern Europe Sydney Wilson

  2. Human Development Index • 1990- Eastern Europe’s just behind the HDIs of Western Europe and Anglo- America • Has currently slipped to level of Latin America • That’s the level of developing country

  3. Communist Rule • Iron Curtain • Bolshevik Revolution (1917)- Communist rule over Russia and Eastern Europe • Rapid development was achieved in 1950s & 60s under Communist rule • GDP increased

  4. Theories & Reality • Karl Marx & Freidrich Engels • Theories based on developed, industrialized countries • Eastern Europe had an agricultural economy

  5. Plans, Plans, Plans • Promoted development through economic activities produced by the government rather than private citizens • National planning committee (Gosplan) developed 5 year plans • Gave production goals for sectors of country • 1st plan: promoted heavy industry (iron, steel, locomotives, etc.) • 2nd plan: dispersed production facilities from Europe section of Soviet Union to Asian sections • 3rd plan: facilities near raw materials

  6. Problems with the PLAN • Scarce funds were used to meet production targets rather than for improvements • Eastern Europe had to import food from Western Europe • Orders were not implemented when sent • Targets impossible to hit • Environmental pollution • The PLANs focused on industry rather than necessities • Housing shortages

  7. Solutions • Czech Republic, Hungary, & Slovenia moved toward the Western European market economy • With the fall of Communism in East Europe, people are starting to move on and regain the comfort they once had. • But, closing the inefficient businesses from the Communist era has created unemployment in Russia.

  8. Not So Bad • Break-ups of the countries has led to poor conditions for some and great for others (the gangsters & people in large cities) • It’s all about connections and the change in the economies • The sharp economics that are shown today look worse due to the inflated economy of the Soviet Union

  9. Long Lasting Friction • The multiple countries are now free to bicker among themselves • But regardless, they are recovering and working towards a common goal.

  10. Question What is the reason behind Eastern Europe’s decline in the Human Development Index?

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