ABSTRACT

The purpose of production in a socialist country is to satisfy the ever-increasing needs of the people. Since people's livelihood needs are constantly increasing, there is always the possible conflict of social production lagging behind social needs. Particularly with a country like ours which has a very low standard of living, this conflict is all the more noticeable. To resolve this conflict, we must develop production at high speed. Lenin thought that in order to expand reproduction on the basis of advanced technology, it was necessary to give priority to developing the production of producer goods. Therefore, Stalin placed special emphasis on the priority development of heavy industry in undertaking socialist economic construction. But if heavy industry develops too fast, it will inevitably hinder the development of agriculture and light industry because not only a lot of labor but also a lot of capital funds will be required to develop heavy industry. Overinvestment in heavy industry will inevitably squeeze agriculture and light industry. When agriculture and light industry are squeezed, they will develop too slowly. Not only will people's livelihood be threatened, but heavy industry will also be bogged down.