History of The Comecon - A Lull and Subsequent Revitalization in The Late 1960s

A Lull and Subsequent Revitalization in The Late 1960s

After the fall of Khrushchev in 1964, the new Soviet leadership was preoccupied with internal matters, and the East European countries were themselves busy with programs of economic reform. A comparative lull in Comecon activities ensued, which lasted until well after the 1968 Soviet-led intervention in Czechoslovakia. By the end of the 1960s, Eastern Europe had been shaken by the 1968 events, and there was an obvious need to revitalize programs that would strengthen regional cohesion.

In the late 1960s, the question of how to proceed with plans for economic integration received considerable discussion in specialized journals and at international meetings of experts. Disillusioned by traditional instruments and concerned with the need to decentralize planning and management in their domestic economies, the reformers argued for the strengthening of market relations among Comecon states. The conservatives continued to stress the importance of planned approaches. If carried to a logical extreme, the latter would involve supranational planning of major aspects of members' economies and the inevitable loss of national autonomy over domestic investment policy. The old conflict between planned approaches to regional specialization and the principle of sovereign equality could not be avoided in any discussion of the mechanism for future cooperation.