In 1990, the Soviet government has practically lost all control over the economic conditions. Government spending skyrocketed since the company was profitable in need of assistance from the state is increasing, while subsidizing the prices of basic necessities continues. Tax income decreased, mainly due to the campaign antialkohol and decentralization. The central government is no longer able to make production policy, particularly in the industrial subsistence, causing the disappearance of the chain manufacturers with suppliers while the chain is not formed yet. Thus, instead of streamlining the system, Gorbachev's decentralization program actually causes the production process bottlenecks.
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