Issue 1 (90)
| OVERSPENDING WAGE FUNDS IN THE MID-1930S SOVIET INDUSTRY AND THE BAUMOL EFFECT (BASED ON THE MATERIALS OF THE CHELYABINSK TRACTOR PLANT) | |||
|---|---|---|---|
| Year | 2026 | Number | 1 (90) |
| Pages | 15-24 | Type | scientific article |
| UDC | 94(470.5)“1935“:331 | BBK | 63.3(235.55)61+65.9(2Ðîñ) |
| Authors | Bakanov Sergey A. |
Topic | SOVIET INDUSTRY: TECHNOLOGY AND SOCIETY |
| Summary | The article examines the problem of overspending wage funds, which emerged in the Soviet economy during the second five-year plan. Its aim is to study, in the context of the wage reforms carried out during the second five-year plan, the causes and mechanisms of exceeding the wage fund on the example of a specific industrial enterprise. The object of the study was the Chelyabinsk Tractor Plant, the most advanced enterprise in the mid-1930s industry. The sources of the study were the materials from inspections on the correctness of wage calculations at this enterprise conducted in 1934 and 1935. These materials are stored in the United State Archives of the Chelyabinsk Region. The over-all growth of wages in relation to the growth of labour productivity is described from the perspective of the cost growth concept known as the Baumol effect. This concept explains the growth of labour costs by the presence of external and internal competition. It is concluded that the excess of wage funds during the period under consideration could only be partially explained by government policies. The “Baumol effect” was a much more significant factor, as it led to an increase in wages for all workers when one category of workers received higher earnings. The article also examined the forms of wage increases, both legal and manipulative. | ||
| Keywords | Soviet economy, wages, workers, labour motivation, Chelyabinsk Tractor Plant, industrialization, Second Five-Year Plan, Baumol effect | ||
| References |
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