Gaidar's Time Runs Out
26 October 1992
By Roy Medvedev
For Russia and the recent Soviet republics, as well as for Western observers, the main organizer of the unprecedented sharp turn in the country's economy has been Yegor Gaidar, the 36-year-old doctor of economics who was all but unheard of just one year ago. Boris Yeltsin, who decided, after some hesitation to take upon himself yet another post -- that of Prime Minister -- offered Gaidar not only the position of First Deputy Prime Minister, but also, in November 1991, the chance to decide the new composition of the Russian government.
Gaidar is far from the most important of the Yeltsin's team, and certainly not the closest to the president. In addition, he has not yet been confirmed by parliament as head of government and is still only "acting" prime minister. However it is Yegor Gaidar who has become for the whole world the symbol of reform and the "number two" man in the Russian administration. One of the Western papers dubbed him "the friendly face of Russia's reforms". The Moscow magazine "New Times" enthusiastically writes: "Gaidar has tipped over the hourglass. What he has begun can no longer be stopped". Gaidar's admirers see this as his great contribution, while his opponents are unsparing in their censure.
Although Gaidar was one of the last to join Yeltsin's circle, he might be one of the first to leave. The fruits of Gaidar's reforms are there for all to see: 10- and 100-fold increases in prices on goods-and services, a 20-25 percent fall in production in less than a year, hyperinflation, a cash deficit -- there's not enough money to pay even wages and pensions -- business debts numbering in the trillions, cuts in social programs, an unheard of fall of the ruble, concealment of many millions of dollars in Western banks by businessmen, shady financial dealings, general corruption in government and a rapid rise in the crime rate, a balance of trade deficit, a rise in internal and external debt, a decline in the standard of living by a factor of two or even three, a 50 percent decrease in internal trade, a fall in productivity, a disastrous situation in health care, education, science and culture.
And although Gaidar, according to journal-ists, works 18-20 hours a day trying to "bring capitalism to post-Bolshevik Russia" and "breathe a feeling of optimism into society", he himself is beginning to understand ever more clearly that the abstract postulates of Western economic theory he has accepted just do not work in Russia.
Ambition, excusable in an academic theorist, is unforgivable in a professional working politician. It was the precipitous reorientation towards the introduction of capitalist market mechanisms and adoption of Western expert's recommendations that were the main reasons for Gaidar's failures and gross miscalculations when he became de facto head of Yeltsin's new government. Many of Gaidar's individual proposals were reasonable and right, but the attempt to include them in a hastily concocted plan for the shift from socialism, to capitalism doomed them to failure.
Gaidar publicly professed his credo over two years ago. "In economics", he wrote in Pravda, "you have to pay for everything. The time when the economy could have been stabilized without severe and unpopular measures has passed. It is frightening to free prices given the present growth in the cash flow. But it can be done all at once. All you have to do is squeeze your eyes shut and leap into the great unknown".
Of course, anyone can shut his eyes and leap wherever he wants -- that's his own business. But if he takes his wife and children with him, without their consent, it's a crime. and if he pushes a great nation over the edge -- let the reader himself characterize that action.
The future of the Gaidar team is not difficult to predict, since, as Pravda so graphically put it: "If this government manages to keep afloat, the rest of us will drown". This prediction was clear a year ago. No matter how things develop, there are difficult times ahead for our country. It's not likely that any other team has a miracle cure. But at the very least we must open our eyes and stop throwing ourselves into one unknown after another. To paraphrase Gaidar: The time when we can still avoid a social cataclysm is disappearing rapidly. What will happen if we let that time run out is too frightening even to think about.
Gaidar is far from the most important of the Yeltsin's team, and certainly not the closest to the president. In addition, he has not yet been confirmed by parliament as head of government and is still only "acting" prime minister. However it is Yegor Gaidar who has become for the whole world the symbol of reform and the "number two" man in the Russian administration. One of the Western papers dubbed him "the friendly face of Russia's reforms". The Moscow magazine "New Times" enthusiastically writes: "Gaidar has tipped over the hourglass. What he has begun can no longer be stopped". Gaidar's admirers see this as his great contribution, while his opponents are unsparing in their censure.
Although Gaidar was one of the last to join Yeltsin's circle, he might be one of the first to leave. The fruits of Gaidar's reforms are there for all to see: 10- and 100-fold increases in prices on goods-and services, a 20-25 percent fall in production in less than a year, hyperinflation, a cash deficit -- there's not enough money to pay even wages and pensions -- business debts numbering in the trillions, cuts in social programs, an unheard of fall of the ruble, concealment of many millions of dollars in Western banks by businessmen, shady financial dealings, general corruption in government and a rapid rise in the crime rate, a balance of trade deficit, a rise in internal and external debt, a decline in the standard of living by a factor of two or even three, a 50 percent decrease in internal trade, a fall in productivity, a disastrous situation in health care, education, science and culture.
And although Gaidar, according to journal-ists, works 18-20 hours a day trying to "bring capitalism to post-Bolshevik Russia" and "breathe a feeling of optimism into society", he himself is beginning to understand ever more clearly that the abstract postulates of Western economic theory he has accepted just do not work in Russia.
Ambition, excusable in an academic theorist, is unforgivable in a professional working politician. It was the precipitous reorientation towards the introduction of capitalist market mechanisms and adoption of Western expert's recommendations that were the main reasons for Gaidar's failures and gross miscalculations when he became de facto head of Yeltsin's new government. Many of Gaidar's individual proposals were reasonable and right, but the attempt to include them in a hastily concocted plan for the shift from socialism, to capitalism doomed them to failure.
Gaidar publicly professed his credo over two years ago. "In economics", he wrote in Pravda, "you have to pay for everything. The time when the economy could have been stabilized without severe and unpopular measures has passed. It is frightening to free prices given the present growth in the cash flow. But it can be done all at once. All you have to do is squeeze your eyes shut and leap into the great unknown".
Of course, anyone can shut his eyes and leap wherever he wants -- that's his own business. But if he takes his wife and children with him, without their consent, it's a crime. and if he pushes a great nation over the edge -- let the reader himself characterize that action.
The future of the Gaidar team is not difficult to predict, since, as Pravda so graphically put it: "If this government manages to keep afloat, the rest of us will drown". This prediction was clear a year ago. No matter how things develop, there are difficult times ahead for our country. It's not likely that any other team has a miracle cure. But at the very least we must open our eyes and stop throwing ourselves into one unknown after another. To paraphrase Gaidar: The time when we can still avoid a social cataclysm is disappearing rapidly. What will happen if we let that time run out is too frightening even to think about.
|
|
Tweet |
|
This article has no comments. Be the first to leave a comment |
Discussion
Comments
To post comments you must be registered
Comments via Facebook
Most Read
1.
McFaul Faces Kremlin Scorn Once Again
The Foreign Ministry assailed U.S. Ambassador Michael McFaul for comments the ministry said went "far beyond the bounds of diplomatic etiquette."
2.
Radio Journalist Stabbed Outside Apartment Building
A journalist for Mayak radio was clinging to life Tuesday after being stabbed outside his apartment building by an unknown attacker.
3.
Berezovsky Investigated for Inciting 'Mass Disorder'
The Investigative Committee has opened an inquiry against self-exiled businessman Boris Berezovsky, who recently pledged a $1.5 million bounty for the arrest of Vladimir Putin.
4.
Chernobyl Horror Film Called Disrespectful, A Joke
Horror film "Chernobyl Diaries," with its ghostly tale of terror near the infamous, abandoned nuclear plant hits theaters after protests that it sensationalizes a disaster that had tragic human consequences.
5.
Suspect Detained in Killing of Furniture Magnate
An alleged organizer of a murder of Russian furniture magnate Mikhail Kravchenko has been detained in the Moscow region.
6.
The Nixon Option for Iran
Boldness of the sort displayed by U.S. President Richard Nixon in opening discussions with China is needed now in the negotiations over Iran's nuclear program.
7.
Ukraine's Behavior in WTO Has Negotiators Scratching Their Heads
Laos, a small nation dependent on aid and rice farming, wants to join the World Trade Organization. WTO powers including the United States, China and the European Union want it to.
8.
$13.4Bln Football Bill Puts Ukraine in the Hole
Ukraine may never recover all of the billions of dollars it has spent to co-host next month's European football championship, and the outlay might complicate its chances of servicing its debt.
9.
Rockets to Disperse Euro Rain Clouds
Ukraine is planning to fire rockets to break up rain clouds if bad weather threatens to upset football matches during next month's Euro 2012 tournament.
10.
Russky Island Getting Posh on Schedule
After global leaders conclude the annual Asia-Pacific Economic Cooperation forum in September, the purpose-built $2.3 billion conference center on a remote island off the coast of Vladivostok will become a university.
1.
Tabloid: Superjet Downed by U.S. Industrial Sabotage
A tabloid claims that Russian intelligence agencies are investigating the possibility that the U.S. military may have brought down the Sukhoi Superjet that crashed in Indonesia.
2.
Red Square Flyboy Regrets Air Stunt
When Mathias Rust landed his white Cessna on Red Square on May 28, 1987, he had placed all his hopes for world peace in Mikhail Gorbachev.
3.
Sweden Wins Eurovision; Grannies Take Second
Sweden’s Loreen won the Eurovision Song Contest in Azerbaijan on Sunday before an international TV audience of 100 million, days after angering Azeri authorities by meeting rights activists critical of the host country’s human rights record.
4.
Village Grannies Make It to Eurovision Finals
Russia's group Buranovskiye Babushki has made it into the finals of the Eurovision Song Contest in Baku, Azerbaijan, bringing the elderly folk singers from a far-off Russian village to the attention of more than 100 million viewers around the world.
5.
McFaul Faces Kremlin Scorn Once Again
The Foreign Ministry assailed U.S. Ambassador Michael McFaul for comments the ministry said went "far beyond the bounds of diplomatic etiquette."
6.
Protest and Chaos Seen in Kudrin-Ordered Study
Continued protests in Russia will likely lead to violence or chaotic change, according to a new study ordered by the former finance minister.
7.
Ukraine in Uproar Over Status of Russian Language
Ukraine's ruling party has triggered violent protests with a move to upgrade the official role of Russian, a sensitive issue opponents say will split the country.
8.
150 Detained at Anti-Kremlin Rallies
About 150 people were detained Sunday as scores of people gathered for a series of anti-government demonstrations in Moscow and St. Petersburg.
9.
Tensions Rise as Opposition Leaders are Freed
Sergei Udaltsov and Alexei Navalny emerged from prison Thursday, while a dramatic standoff erupted at a State Duma hearing over a bill that would hike fines for illegal demonstrations.
10.
More Public Figures Accused of Flouting Road Rules
Following the president's order to cut the number of officials entitled to use flashing lights to skirt through traffic, several incidents of alleged abuse involving high-profile figures have come to light.
1.
Hundreds of Arrests Set Grim Backdrop for Victory Day Celebrations
As Moscow gears up to celebrate its victory in World War II, 67 years ago Wednesday, the shadow of political conflict shrouds the capital as hundreds of arrests cloud Victory Day festivities.
2.
Russian Satellite Takes Highest-Ever Resolution Picture of Earth
A stunning 121-megapixel snapshot of the Earth was taken by a Russian weather satellite in what is thought to be the highest resolution picture of the planet ever taken from space.
3.
Bodies, No Survivors Spotted at Superjet Crash
Search and rescue helicopters and volunteers struggling through thick forest and mountainous terrain spotted bodies but no survivors on the Indonesian mountainside where a Sukhoi Superjet 100 crashed by the time darkness forced an end to the search Thursday night.
4.
Mysterious Photos Reveal an Unseen WWII
After the end of World War II, Paul Sadler returned home to Chicago with three German books and a photo album from the Dachau concentration camp.
5.
Tabloid: Superjet Downed by U.S. Industrial Sabotage
A tabloid claims that Russian intelligence agencies are investigating the possibility that the U.S. military may have brought down the Sukhoi Superjet that crashed in Indonesia.
6.
Furniture Magnate Shot Dead in Mercedes in Moscow Region
A 46-year-old furniture magnate was killed with six gunshot wounds to the head and chest early Sunday as he arrived in his Mercedes at his home in the Moscow region.
7.
Vladivostok Bridge Climbers Fined 300 Rubles Each
Three thrill-seekers who climbed two Vladivostok bridges earlier this week and took photos from the top were fined 300 rubles ($10) each for trespassing.
8.
New Cabinet Has Familiar Cast of Characters
President Vladimir Putin on Monday announced the makeup of the new Cabinet answering to Putin and Prime Minister Dmitry Medvedev, with three-fourths of the members having been replaced.
9.
Superjet Missing in Indonesia With 50 on Board
A dark cloud was cast Wednesday on the revival of Russia’s aviation industry when a Sukhoi-built Superjet 100 with 50 people on board disappeared from the radar screens of Indonesian flight controllers.
10.
Why Putin's Days Are Numbered
On Monday, Vladimir Putin will take the presidential oath of office for the third time. After 12 years in power, Putin has increased his control over the country's major institutions, the siloviki and state bureaucracy.


