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APPROVED FOR RELEASE: 2009106116: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 NATIONAL INTELLIGENCE SURVEY PUBLICATIONS The basic unit of the NIS is the General Survey, which is now published in a bound -by- chapter format so that topics of greater per- ishability can be updated on an individual basis. Theze chapters� Country Profile, The Soci -ity, Government and Politics, The Economy, Military Geog- raphy, Transportation and Telecommunications, Armed Forces, Science, and Intelligence and Security, provide the primary NIS coverage. Some chapters, particularly Science and Intelligence and Security, that are not pertinent to all countries, are produced selectively. For small countries requiring only minimal NIS treatment, the General Survey coverage may be bound into one volume. Supplementing the General Survey is the NIS Basic Intelligence Fact book, a ready reference publication that semiannually updates key sta- tistical data found in the Survey. An unclassified edition. of the factbook omits some details on the economy, the defense forces, and the intelligence and security organizations. Although detailed sections on many topics were part of the NIS Program, production of these sections has been phased out. Those pre- viously produced will continue to be available as long as the major portion of the study is considered valid. A quarterly listing of all active NIS units is published in the Inventory of Available NIS Publications, which is also bound into the concurrent classified Factbook. The Inventory lists all IAS units by area name and number and includes classification and date of issue; it thus facilitates the ordering of NIS units as well as their filing, cataloging, and utilization. Initial dissemination, additional copies of NIS units, or separate chapters of the General Surveys can be obtained directly or through liaison channels from the Central Intelligence Agency. The General Survey is prepared for the NIS by the Central Intelligence Agency and the Defense Intelligence Agency under the general direction of the NIS Committee. It is coordinated, edited, published, and dissemi- nated by the Central Intelligence Agency. WARNINC This document contains information affecting the national defense of the United States, within the meaning of title 19, sections 793 and 794 of the US code, as amended. Its transmission or revelation of its contents to or receipt by an unauthorised person is prohibited by law. CLASSIFIED BY 019641. EXEMPT FRCM GENERAL DECLASSIFI- CATION SCHEDULE OF E. O. 11632 EXEMPTION CATEGORIES SR (1), (2), (3). DECLASSIFIED ONLY ON APPROVAL OF THE DIRECTOR OF CENTRAL INTELLIC�ENCE. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 WARNING The NIS is National Intelligence and may not be re- leased or shown to representatives of any foreign govern- ment or international body except by specific authorization of the Director of Central Intelligence in accordance with the previsions of National Security Council Intelligence Di- rective No. 1. For NIS containing unclassified material, however, the portions so marked may be made available for official pur- poses to foreign nationals and nongovernment personnel provided no attribution is made to National Intelligence or the National Intelligence Survey. Subsections and graphics are individually classified according to content. Classification /control designa- tions are: (U /OU) Unclassified /For Official Use Only (C) Confidential (S) Secret APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 3. M and :petals a. Ferrous metallurgy b. Nonferrous metals c. Construction materials 4. Manufacturing and construction a. Machinery and equipment b. Chemicals c. Light industry d. Agricultural processing e. Construction C. Government finance and economic policy 1. National economic planning and policy Page 2. Government finance 21 a. Financial organization 22 b. Currency 22 c. Financial planning 22 3. Economic institutions 24 D Trade 25 Page 10 11 12 13 14 14 16 17 17 18 19 19 I. Domestic 2. Foreign a. Organization b. Growth and direction c. Commodity structure d. Problems e. Balance of payments FIGURES 4 1 Fig. 10 Selected light industry products (table) Page Fig. 1 Strategic supply position, 1972 table) 3 Fig. 2 Area, production, and yields of (table) principal crops table) 4 Fig. 3 Data on livestock and livestock Fig. 14 State budget, 1971 and 1972 table) products table) 5 Fig. 4 Energy position, 1972 table) 7 Fig. 5 Output of major fuels and power 1960 -1972 (table) Fig. 17 (table) I 7 Fig. 6 Production of selected minerals and metals (table) 11 Fig. 7 Production of selected construction materials table) 13 Fig. 8 Production of principal types of machinery and equipment (table). 14 Fig. 9 Principal products of the chemical industry (table) 16 4 1 Fig. 10 Selected light industry products 25 26 26 28 28 29 30 Page 17 18 20 21 24 27 28 29 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 (table) Fig. 11 Selected products of agricultural processing industry table) Fig. 12 Structure of investment, 1948 -1972 (table) Fig. 13 Investments by branch of the economy (table) I.. Fig. 14 State budget, 1971 and 1972 table) Fig. 15 Trade and trade balances, 1948 -1972 (table) Fig. 16 Volume of trade with major partners, 1960 -1972 (table) Fig. 17 Commodity structure of foreign trade (table) 25 26 26 28 28 29 30 Page 17 18 20 21 24 27 28 29 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 The Economy A. Economic appraisal (C) Czechoslovakia includes, in Bohemia and Moravia, one of the oldest and most highly developed industrial areas of Europe and, in Slovakia, one of the more backward areas. This contrast is reflected in the disproportionate share of Bohemia and Moravia �the Czech Lands �in the country's economic activity, an advantage that has persisted despite attempts since 1968 to upgrade Slovakia's level of development. With about 62% of the area and 68% of the population, the Czech Lands account for three- four!ns of industrial output and two- thirds of agricultural output. Under the postwar Communist regime, the country embarked on an ambitious policy of extensiv- economic development, which concentrated on heavy industry at the expense of the traditional consumer oriented industries and agriculture. The unbalanced economic development which followed led tc a period of rapid growth in the late 1950's but then contributed to a period of economic stagnation in the early 1960's. This stagnation reflected serious economic difficulties. In 1965 the regime of Party General Secretary Antonin Novotny reluctantly adopted an economic reform program designed to deemphasize heavy industry and decen.ralize economic decisionmaking. Progress in implementing reform, however, was only half hearted until January 1968, when the more liberal group of leaders headed b% Alexander Dubcek took power. Dubcek, primarily concerned with political reform, enacted some of the economic measures promised by Novotny but in effect set the economy adrift. Gustav Husak, Dubeek's successor, has scrapped the reform program, relying on tight domestic controls, moderate economic goals, and close relations with the U.S.S.R He has made some concessions to the consumer but the Fifth Five Year Plan (1971 -75) focuses on heavy industrial development. I. Size and level of economic activity In both size and population Czechoslovakia is somewhat smaller than the average for the countries of Communist Eastern Europe. Its total output of goods and services (the gross national product or GNP), estimated at US$36.7 billion for 1972, yields a per capita figure of about $2,540, noticeably larger than that of the U.S.S.R. or the other Eastern European Communist countries except East Germany. The relatively large output per capita is directly related to the high level of industrialization. Industry employs 38% of the labor force and accounts for about one -half of GNP. These shares are close to the proportions for East Germany and well above those for other Communist countries. Manufacturing is the largest branch of industry. For its size, Czechoslovakia has the most comprehensive machine building industry in the world, developed largely since World War H. Sever. I branches of light industry are traditional, including those engaged in the production of textiles, shoes, g!z.,s, and ceramics, but these branches have been much neglected since World War 11. Agricultural output covers a large share of domestic food consumption and provides for export of some specialty food products, such as malt, hops, and beet sugar. Per capita output of heavy industrial products, such as steel, is one of the highest in the world, but the economy is grossly inefficient by Western standards. It was not always so. Czechoslovakia emerged virtually undamaged from World War II with an industrial capacity matching that of West Germany, on a per capita basis. In 1948, the year of the Communist takeover, Czechoslovakia undoubtedly was better off than West Germany. Per capita industrial production 25 years later, however, is less than three fourths of the West German level. Investment has received a larger share of GNP in Czechoslovakia than in West European countries, and personal consumption it smaller share. Investment has accounted for more than 40% of GNP in recent years, almost as large a share as personal consumption. Defense expenditures have been estimated at abort 5% to 6% of GNP, and government administration and welfare, about 9% to 10 Because the share of personal consumption is smaller than in Western Europe, Czechoslovakia compares even less favorably with Western Europe in consumption than in output. APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 APPROVED FOR RELEASE: 2009/06/16: CIA- RDP01- 00707R000200110014 -8 Nevertheless, the Husak regime has made consumer goods more available, and by Eastern European standards the Czechoslovaks live well. Most amenities arid luxuries remain scarce arid expensive, however. 2. Economic growth and reform Communist control has been more costly to Czechoslovakia than to other, less developed economies in Eastern Europe. Since, 19.50, GNP has increased at an average annual rate of less than V"(", the lowesi in Eastern Europe. Throughout the 1550's the regime found it easy to force the development of heavy industry as the chief objective of economic policy, and the results were in a %vay impressive. From 1950 to 1960, industrial employment increased by 105i and catput rose by 92i. The ease of increasing exports to the U.S.S.R., the availability ci surplus agricultural labor, and the� popular ac�ceptanev of it very slow improvement in living conditions made it ease for the regime to expand output. As it result, the leaders were hardly aware of the lag in efficiency output per unit of input grew by only 1 1,