ABSTRACT

The contract relations sew the system of longitudinal, vertical, centralized planning by branches with transversal, horizontal threads, as it were, thereby giving strength to the whole fabric of economic management. The resolutions of the Plenary Meeting provide a basis for transition to a higher type of planned economy. The producer will be interested in disposing of his output and in profitable operation. The system of direct ties should ensure the normal supply of raw and other materials, fuel, and instruments of labor to each enterprise. The ministry approves the plan target on the volume of products to be sold on the basis of the portfolio of orders prepared by the enterprise and previously agreed upon with the suppliers and customers. The planned assortment will largely consist of what the enterprise and the customers agree to be profitable products under their conditions.