Q. 1. Highlight any one major distinction between the Soviet economy and the Capitalist economy.
Ans. The Soviet economy was planned and controlled by the state only whereas the capitalist economy was enjoyed by the people or group of people as well as by the state.
Q. 2. Why did the one-party system, represented by the Communist Party, become a source of dissent and dissatisfaction among the Soviet people?
(i) Lack of democracy and absence of freedom of speech.
(ii) The Soviet System became very bureaucratic and authoritarian.
(iii) Strict control over all institutions.
(iv) Technology became outdated and productivity reduced.
Q. 3. Mention any three features that distinguish the Soviet economy from that of a capitalist country like the US.
Ans. The following three features distinguish the Soviet economy from that of a capitalist country like US:
(i) The economy was based on the ideals of socialism.
(ii) There was no place for the institution of private property under the Soviet economy.(iii) State ownership was the dominant form, land and private assets were owned and controlled by the Soviet State.
Q. 3. How was US benefitted by the Soviet disintegration?
Ans. (i) Cold War ended and US became the sole superpower.
(ii) The capitalist economy became the dominant economic system internationally.
(iii) It signifies collapse of the ideological conflict between the Socialists and the Capitalists.
Q. 5. Assess the major consequences of disintegration of USSR on India.
Ans. The major consequences of disintegration of USSR on India are –
(i) After the disintegration of USSR, the world order became Unipolar in nature. India lost support of USSR at the international level.
(ii) Now India had to make deliberate efforts to improve its ties with US in the Unipolar world order.
(iii) India was not sure, initially, about Russia, the successor state of USSR about its willingness to support India on Kashmir issue and render military and economic support.(iv) India had to concentrate more on improving its economic and military strength to overcome the challenges posed by the emergence of the Unipolar world order.
Q. 6. Explain two reasons for the disintegration of the USSR.
Ans. Causes of disintegration:
(i) The Soviet System became very bureaucratic resulting lack of democracy.
(ii) Although Russia was only one of the fifteen republics that together constituted the USSR but Russia dominated everything and people from other regions felt neglected and suppressed.
(iii) It lagged behind the West in technology and infrastructure and also in fulfilling the political or economic aspiration of citizens.
Q. 7. Highlight any one consequence of ‘Shock Therapy.’
Ans. (i) In Russia, the large state-controlled industrial complex almost collapsed, as about 90 percent of its industries were put up for sale to private individuals and companies at throw away prices called as –“the largest garage sale in history.”
(ii) The value of ruble declined dramatically and the inflation rate was so high that people lost their savings.
(iii) The Russian old system of social welfare was systematically destroyed and the withdrawal of government subsidies pushed large sections of the people into poverty.
(iv) Post-Soviet states, especially Russia were divided between rich and poor regions resulting into great economic inequality.
Q. 7. How far can Shock Therapy be called the best way to make the transition from communism to capitalism?
Ans. It was considered to be the best way because privatisation of state owned assets, replacements of collective farms by private agriculture, introduction of free trade and Foreign Direct Investments, etc. had to be introduced in place of the features of communist economy.
Q. 9. What is meant by “Shock Therapy”?
Ans. The model of transition in Russia, Central Asia and East Europe, which was influenced by the World Bank and the IMF, came to be known as ‘Shock Therapy’. In it the transition was from authoritarian socialist system to a democratic socialist system.
Q. 10. What was the main reason for the revival of economies of the most of the former Soviet Republics?
Ans. The reason for the revival of the economies of the most of the former Soviet Republics was the export of natural resources like oil, natural gas and minerals. Azerbaijan, Kazakhstan, Russia, Tukrmenistan and Uzbekistan are major oil and gas producers.
Other countries have gained because of the oil pipelines that cross their territories for which they get rent. Some amount of manufacturing has also started.
Q. 11. Highlight any two consequences of ‘Shock Therapy.’
Mention any two consequences of Shock Therapy.
Ans. Following are the two consequences of ‘Shock Therapy’:
(i) It led to the virtual disappearance of entire industries.
(ii) The old system of social welfare was destroyed over.
Q. 12. What is meant by a multipolar world order as visualised by India and Russia?
Ans. They meant by a multipolar world order that the co-existence of several powers in the international system, collective security, greater regionalism, negotiated settlements of international conflicts, an independent foreign policy for all countries and decision making through bodies like the UN that should be strengthened, democratised and empowered.
Q. 13. Mention any two benefits to India from its relationship with Russia.
Ans. India stands to benefit from its relationship with Russia on issues like Kashmir, energy supplies, sharing information on international terrorism, access to Central Asia and balancing its relations with China.