chapter
■ Conclusion
WithMarie Lavigne
Pages 3

The Shatalin program wishes to get to a liberalization of prices. The clearest one is that it lacks political support. The Russian republic has rejected it by endorsing the Shatalin plan. Any overall acceptance of the October plan is thus excluded. Gorbachev himself acknowledged the fact in his presentation speech, after mentioning some measures taken by the Russian government: The Soviet government. The main threat to the stabilization program is thus uncontrolled development of hyperinflation, already visible in October. Some economists have already predicted three-digit inflation in 1991. The defective aspect of the program is the future of the public sector. Though admitting that the state sector will remain large for at least some time, the Shatalin program treats it basically in terms of its dismantling. Finally, though the program insists on its social component, the treatment of the "non-market" sector is remarkably vague.