THE EUROPEAN SATELLITE POWER COMPLEX PART II THE ECONOMIC SIGNIFICANCE OF THE SATELLITE COUNTRIES TO THE USSR

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP84-00022R000200050019-8
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 22
• Document Creation Date: November 16, 2016
• Document Release Date: May 5, 2000
• Sequence Number: 19
• Publication Date: July 24, 1951
• Content Type: REPORT

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~COIMIC S~~I~'~C.t~~ OF Z`A~ ~~TEiG~-~TE IIt`I`~~
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partielarly d g to Poland, ch is obtaining some Such ie fth a d
equipment it needs through its substantial coal expWeste r pe.
Interference with emperts also would be somewhat damaging to Czeaho&1ankla
because of its exports of ss &lur g goods to the same area,, In these
Mses, some wate of productive facilities and ttemporar7 unt, would
result, but for the most part surpluses f ly exported to the West
p tly be reallocated within the Bloc, although to less advantage Could
is
gained trade with the West,' dial aa.etions d have a very
limit' d effect the B:oa,o be =use Satellite assets in the Wort, other than
bank balances, as not l ea Pimnalal controls Would,, h erg ussful
to . supplement embargoes.
General vulnerabilities COMM to the eemomiecof the o Include sub..
stautial i titutional veaknesses amd rigidity of operations o The lac of
ethnic homogeneity ad the astence of national antipathies utkg em c
Integration difficult. Imposition of Soviet ply a and control methods
reduces flexibility and the ability to adjust 'both to the vicissitudes of
nomal economic activity and to Western economic werfaze mea s? There a
the further disadvantages of stifled Initiative and lrigemdty ass ated with
Soviet-tYpe regimentation of the econmw.
Vulnerability of the Bloc as a whole, on the other hand, is limitod in
time and extent. Since currently undeveloped natural re es In the USSR
sm~e adequate for a substantiasl enlargement of the Soviet productive hine,
the effectiveneag of Western economic warfare depends to a considerable extent
on the rate at Bch the Bloc can develop as an integrated economic quit,
The ability to adjust to changing, ci tanees such as a Feat embargo Would
be a part of this development. ermore,,, eentr zasd titan a ?d control
a the ability to carry out industrial developmt with comparative disregard
for civilian co tion levels are advantages that, at least for the sort
rung may compensate for the weaknesses and rigidities Characteristic of the
system.
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