Technological Change in the German Democratic Republic by Raymond Bentley

Author:Raymond Bentley [Bentley, Raymond]
Language: eng
Format: epub
Tags: Political Science, General
ISBN: 9781000242164
Google: SmQPEAAAQBAJ
Goodreads: 49238359
Publisher: Routledge
Published: 2019-07-11T00:00:00+00:00

Concentration in Industry

“Fragmentation” of research and production had long been an issue for criticism in the GDR, and up to 1967 a certain amount of industrial concentration had taken place, both via enterprise fusion and the formation of VVBs. From 1968, however, an intensive drive was made to concentrate production and research. Three types of enterprise concentration were promoted: the fusion of enterprises into larger ones; the formation of combines; and an increased division of labour and specialisation through cooperation relations between enterprises. Integral to these types was the creation of socialist “large-scale research”.

Table 6.2 contains a formal comparison of industrial concentration in the two Germanies from 1963 to 1975, the measure being the proportion of the country’s employed persons working in enterprises having more than 1,000 employees.31 Several points may be noted. Firstly, even before the increased concentration drive beginning in 1968, industrial production in the GDR appears to have been more concentrated than in the FRG. Secondly, whereas the level of concentration in the GDR continually increased over the period 1963–1975, in the FRG it remained roughly constant. And thirdly, dividing the development in the GDR into four-year periods, the greatest increase in the level of concentration occurred between 1968 and 1971: 8.9 %. Between 1964 and 1967, there was an increase of 2.6 %, and between 1972 and 1975 a slight increase of 0.6 %. Although this comparison must remain a tentative one, particularly in view of possible differences in definitions,32 it does serve to illustrate the policy pursued in the GDR of actively promoting the concentration of production as compared with the rather static situation in the FRG.

Table 6.2 Percentage of Total Employeesa in Large Industrial Enterprisesb in GDR and FRG

GDR FRG

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