Lev Gatovsky


Lev Markovich Gatovsky was a Soviet economist, being one of the first who tried to create a theoretical framework in which to understand the nature of the socialist project taking place in the Soviet Union from a political economy perspective. He became director of the Institute of Economics of the Soviet Academy of Sciences, later renamed Russian Academy of Sciences, from 1965 to 1971. Apart from his general academic work, he contributed to several major economic developments such as the first two five-year economic plans and the 1965 Soviet Economic Reform, as well as editing the first Political Economy textbook of the USSR.

Biography

Lev Gatovsky was born into a Jewish family on 26 July 1903 in the city of Minsk, in the Russian Empire, later Soviet Union, and current Belarus. He died on 18 April 1997, in Moscow, current Russia.
His father, Mordukh Girshevich Gatovsky, worked as a doctor, becoming the head of a regional outpatient clinic after the 1917 revolution. When Gatovsky was seventeen, he joined the Komsomol and became one of the secretaries of the Minsk district and city Komsomol committee. During the decade of the 1920s he also conducted propagandistic lecture work.
In 1921, Gatovsky became one of the first students of the Belarusian State University in Minsk. During this time, he also lectured on political economy at the Central Party School of the Communist Party of Belarus. In September 1922 he moved to Moscow, where he entered the second year of the Plekhanov Russian University of Economics, graduating in 1925 with a degree in trade economics.
In 1927 he joined the All-Union Communist Party. Already while studying at the Institute of National Economy, he joined the Trade Inspectorate of the People's Commissariat of the Workers' and Peasants' Inspectorate of the USSR, first as an inspector, then as a senior inspector.
In 1928, after graduating from graduate school at the Russian Association of Scientific Institutes of Social Sciences, Gatovsky went to work at the USSR State Planning Committee as head of the price sector. He became also a member of the Central Planning Bureau and the Presidium of the Research Institute of the USSR State Planning Committee. He directly participated in the preparation of the first and second five-year plans, the first national economic annual plans, and participated in the preparation of all subsequent five-year plans.
From 1931 to 1936, Gatovsky worked at the Institute of Economics of the Communist Academy, where he headed the section of Soviet trade. From 1933 to 1937, Gatovsky was primarily active in the Central Directorate of National Economic Accounting of the USSR State Planning Committee. During this period, he served as the head of the trade turnover department, led the national economic balance department, and was a member of the TSUNKHU board. In 1934, he defended his doctoral dissertation, and in 1935 he was awarded the academic title of professor.
In 1936, after the liquidation of the Communist Academy he started working at the Institute of Economics of the Soviet Academy of Sciences, where he became head of the section, senior researcher as well as deputy director, until 1941.
During World War II, him and other 26 members of the Institute of Economics of the Soviet Academy of Sciences volunteered in the 21st Infantry Division. At this time, he was a member of the editorial board, head of the department and special war correspondent for the Krasnaya Zvezda newspaper. At the end of the war he was demobilized with the rank of colonel.
In 1960, Gatovsky was elected corresponding member of the USSR Academy of Sciences in the Department of Economic, Philosophical and Legal Sciences, specializing in the political economy of socialism. In 1965, he became director of the Institute of Economics of the USSR Academy of Sciences and held this post until 1971, after which he continued to work at the institute as chief researcher.
He died in Moscow on 18 April 1997, and was buried at the Vagankovo Cemetery.

Lectures

Apart from the academic positions he occupied, since 1924, he also gave lectures relating to political economy in several universities and institutions. The list include: the Workers' Faculty of the Institute of National Economy "G.V. Plekhanov"; the Moscow Planning Institute; the Moscow Planning Academy; Moscow State University; Moscow Communist University "Ya.M. Sverdlov"; the Economic Institute of the Red Professorship; and the Academy of Social Sciences under the CPSU Central Committee.

International lectures

In late October 1957, Gatovsky represented the Soviet Union at the "Week of Study of Soviet Economics" in Brussels, Belgium. The event, funded by the University of Brussels' Institute of Sociology and organized by A. Waters, brought together economists from both capitalist and Soviet countries.
Gatovsky presented "Development of Soviet Economics and its Motive Forces," addressing the mechanisms guiding the Soviet economy, material incentives, democratic centralism, planning innovations, wage policies, and economic accounting. His report highlighted the theoretical aspects of Soviet economic growth and management.
Upon returning, Gatovsky reported to the Academy of Sciences of the USSR, which acknowledged the value of Soviet participation in the seminar. They recommended increasing the study and critique of foreign literature on Soviet economics, publishing Soviet works in foreign languages, and enhancing international scientific contacts.
In October 1958, Gatovsky continued to disseminate Soviet economic theories by delivering two lectures in Paris, France. The first, "The Up-to-date Development of Planning in the USSR," was presented at the Paris Center for the Study of Foreign Policy. The second, "Methods of Management of the Economy of the USSR," was given at the Institute of Applied Economy of Paris. These lectures further reinforced Soviet economic principles and practices on an international platform.

Publications

Gatovsky actively participated in several publications. He became a member of the editorial board of the magazine "Planned Economy", executive editor of the magazine "Issues of Soviet Trade", and the newspaper "Soviet Trade". In 1939 he also became a member of the editorial office of the Bolshevik magazine until his removal in 1949. Finally, he became editor-in-chief of the journal Problems of Economics from 1957 to 1965 and member of the editorial board of the publication "Socialism and Communism".

Removal from "Bolshevik" magazine

In the summer of 1949, L.M. Gatovsky was criticized for his overly favorable review of N.A. Voznesensky's book "The Military Economy of the USSR during the Patriotic War." As a result, the Central Committee of the All-Union Communist Party of Bolsheviks decreed his removal from his roles in the "Bolshevik" magazine and the Higher Party School:
  • 26 May 1949; communication to the Secretary of the Central Committee of the All-Union Communist Party : P. Fedoseev, Editor-in-Chief of the "Bolshevik" magazine, reported to the Secretary Malenkov about the excessive praise for Voznesensky's book among economists at the magazine, particularly by Gatovsky. Despite editorial objections, Gatovsky's review was published with some modifications. According to him, Gatovsky had continued promoting the book as a significant Marxist–Leninist work, influencing other staff members like Koshelev and Kuzminov to include more quotes from the book in their articles. Fedoseev admitted his responsibility for allowing the proliferation of these quotes and suggested that the editorial board needed new, more qualified members to improve the magazine's quality.
  • Communication from M.A. Suslov to J.V. Stalin about the mistakes of the editors of the Bolshevik magazine: M.A. Suslov, member of the committee, also reported to Stalin that the "Bolshevik" magazine made a serious mistake by excessively praising Voznesensky's book, treating it as a significant scientific work without proper justification. Suslov also recommended restructuring the editorial board to transform the magazine into a robust theoretical organ for the party. He proposed removing Editor-in-Chief Fedoseev, along with editorial board members Alexandrov, Iovchuk, Gatovsky, and Koshelev.
  • 13 July 1949: Politburo Resolution for the "Bolshevik" magazine:
"The Central Committee of the All-Union Communist Party decides:
  1. For failure to provide proper management of the Bolshevik magazine and incorrect methods in work, remove Comrade P.N. Fedoseev. from his post as editor-in-chief of the Bolshevik magazine and reprimand him.
Remove t.t. from the membership of the editorial board of the magazine "Bolshevik". Alexandrova G.F. and Iovchuk M.T.
Release from work in the magazine "Bolshevik" t.t. Gatovsky and Koshelev... "

Academic work

Gatovsky was a prolific economist, publishing over 300 scientific works covering a broad range of topics, including the political economy of socialism, planning theory and methodology, economic mechanisms, economic statistics, trade economics, pricing, economic accounting, economic incentives, and the economics of scientific and technological progress, particularly the economics of science. He also delved into the efficiency theory of social production and military economics. Additionally, Gatovsky served as the editor for numerous significant economic and statistical works, including several major monographs and various methodological guides.
In 1929, Gatovsky published an in-depth analysis of the grain market, revealing significant supply imbalances of agricultural products caused by the "grain strike" that followed the war alarm of 1927.
During the 1940s and 1950s, he produced several works on the theory of the Soviet economy, offering a political and economic examination to the challenges faced during the transition period and the construction of socialism. His research focused on establishing and refining the planned economic mechanism, emphasizing the practical application of commodity-money relations and prices within the framework of planned economic development.
In the late 1950s, Gatovsky shifted his focus to a burgeoning area of economics: the economics of scientific and technological progress. He developed theoretical frameworks for this field, analyzing the laws governing economic and technical progress and proposing the creation of a new discipline, the economics of science. Gatovsky examined the role of science as a management object and its functions, formulating theories on the integration of science and production and the dynamics of scientific and production cycles. His suggestions and recommendations for managing scientific and technological progress were implemented in practical economic management, notably in the electrical industry's shift to end-to-end planning, which linked scientific research, technical development, production, and new technology application. He also advocated for the introduction of stepped pricing systems, combining scientific and technological planning with broader economic planning, developing scientific and technical programs, and promoting scientific and technical associations.
In 1963, Gatovsky presented a report to the Presidium of the USSR Academy of Sciences, the USSR State Planning Committee, and the USSR State Labor Committee, proposing improvements to the economic mechanism of self-financing. This report, based on research by the Scientific Council of the USSR Academy of Sciences, which Gatovsky chaired, was approved and adopted as a draft, influencing subsequent policy decisions and practices.
In 1964–1965, Gatovsky played a direct role in preparing the 1965 economic reform, which aimed to overhaul the planning and management of the Soviet Union's national economy.