Which among the following statements that describe the nature of the Soviet economy is incorrect?
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → People enjoyed economic freedom
Option (1) Socialism was the dominant ideology — True. The Soviet Union came into being after a revolution inspired by the ideals of socialism, as opposed to capitalism; it was perhaps the biggest attempt in human history to abolish private property and build a society based on equality.
Option (2) State ownership/control existed over the factors of production — True. State ownership was the dominant form of ownership: land and productive assets were owned and controlled by the Soviet state.
Option (3) People enjoyed economic freedom — False. With private property abolished and the whole economy planned and controlled by the state, people could not freely own property, start enterprises or decide what to produce. The system became very bureaucratic and authoritarian, making life very difficult for its citizens.
Option (4) Every aspect of the economy was planned & controlled by the state — True. The Soviet political system centred around the communist party, and the economy was planned and controlled by the state.
NCERT (2026-27): “What was the Soviet System? … The Union of Soviet Socialist Republics (USSR) came into being after the socialist revolution in Russia in 1917. The revolution was inspired by the ideals of socialism, as opposed to capitalism, and the need for an egalitarian society. This was perhaps the biggest attempt in human history to abolish the institution of private property and consciously design a society based on principles of equality. In doing so, the makers of the Soviet system gave primacy to the state and the institution of the party. The Soviet political system centred around the communist party, and no other political party or opposition was allowed. The economy was planned and controlled by the state.… What was the Soviet System? … The Soviet state ensured a minimum standard of living for all citizens, and the government subsidised basic necessities including health, education, childcare and other welfare schemes. State ownership was the dominant form of ownership: land and productive assets were owned and controlled by the Soviet state. The Soviet system, however, became very bureaucratic and authoritarian, making life very difficult for its citizens.…” |