Incentives in the Soviet Economy

Abstract

It is a common knowledge that economic incentives under capitalist and socialist systems differ. These differences arise from the fact that, under the condition of privately owned means of production, incentives exist as the interests of each individual owner, but under socialism where the economy is based on public ownership of the means of production, social interests of the whole society are dominant. This community of interests, their final unity is the principal incentive of the socialist economic progress.