chapter-01-the-end-of-bipolarity

The Soviet Union, or USSR, was established in 1917 after the socialist revolution in Russia, aiming to create an egalitarian society based on the abolition of private property.
The political system was centered around the communist party, with a state-controlled planned economy. Leaders like Vladimir Lenin played a crucial role in establishing and shaping the USSR.
Post World War II, the USSR controlled and modeled the political and economic systems of liberated east European countries, creating the Second World or socialist bloc, led by the Soviet Union.
The Soviet Union became a great power with a developed economy, vast energy resources, and a complex communications network. However, it became bureaucratic, authoritarian, and lagged behind the West in technology, infrastructure, and fulfilling citizens’ aspirations.
The Soviet system faced various issues, including a lack of democracy, absence of freedom of speech, regional neglect, and economic stagnation. This led to shortages in consumer goods, increased food imports, and an eventual faltering economy.

Mikhail Gorbachev, General Secretary of the USSR (1985-1991), attempted to reform the Soviet system to keep up with Western technological advancements.
Gorbachev’s reforms and decision not to intervene in East European protests led to the collapse of Soviet control and communist regimes in the region.
Within the USSR, Gorbachev’s reforms faced opposition from Communist Party leaders, resulting in a power shift from the Soviet center to republics.
In 1991, Boris Yeltsin emerged as a national hero in opposing a coup by Communist hardliners, leading to the Russian Republic’s shake-off of centralized control.
The USSR was disbanded in December 1991, with Russia, Ukraine, and Belarus declaring the Soviet Union dissolved; the Communist Party was banned, and the post-Soviet republics adopted capitalism and democracy.

Equations or formulae were not provided in the text. Examples and their solutions were also not included in the summary.

The collapse of the Soviet Union was primarily due to the internal weaknesses of its political and economic institutions.
Economic stagnation for many years led to severe consumer shortages and a large section of Soviet society began to doubt and question the system.
The Soviet economy used much of its resources in maintaining a nuclear and military arsenal and the development of satellite states, leading to a huge economic burden.
Ordinary citizens became more knowledgeable about the economic advance of the West and could see the disparities between their system and the systems of the West.
The rise of nationalism and the desire for sovereignty within various republics, including Russia and the Baltic Republics, Ukraine, Georgia, and others proved to be the final and most immediate cause for the disintegration of the USSR.

The collapse of the Soviet Union and socialist systems in eastern Europe marked the end of Cold War confrontations, resolving the ideological dispute between socialism and capitalism.
The end of the Cold War resulted in a shift in power relations, with the US becoming the sole superpower and capitalist economy becoming the dominant international system.
Institutions like the World Bank and IMF gained influence, advising countries on transitions to capitalism and providing loans.
Politically, liberal democracy emerged as the preferred way to organize political life.
The collapse led to the emergence of many new countries, each with their own aspirations, interests, and economic and political challenges.
The possibility of socialism persisting after the end of the Soviet Union is open to debate.

Shock therapy was a model of transition from authoritarian socialism to democratic capitalism, followed by Russia, Central Asia, and Eastern Europe.
It required total shift to capitalism, involving privatization of state assets, corporate ownership patterns, and collective farms. This transition ruled out any alternate systems.
Shock therapy involved drastic change in external orientation of these economies, including sudden and complete switch to free trade, openness to foreign investment, financial deregulation, and currency convertibility.
It led to break up of existing trade alliances among countries of the Soviet bloc, leading to direct linkages with the West and gradual absorption into the Western economic system.
Western capitalist states became leaders, guiding and controlling the development of the region through various agencies and organizations.

Shock therapy in the 1990s, implemented primarily through market forces, led to the collapse of about 90% of state-controlled industries in Russia.
This restructuring resulted in the disappearance of entire industries, loss of savings due to high inflation, and increased food imports, causing a decline in Russia’s real GDP in 1999 compared to 1989.
The therapy led to widespread poverty, as the old social welfare system was destroyed, and government subsidies were withdrawn, disproportionately affecting large sections of the population.
The process of privatization resulted in significant economic inequality and the emergence of a mafia controlling many economic activities in post-Soviet states.
Around half of Russia’s 1,500 banks and financial institutions went bankrupt, causing the loss of money for thousands of corporate and private shareholders and customers.

Many former Soviet Republics, particularly in Central Asia and the Caucasus, have experienced conflicts, civil wars, and insurgencies, often complicated by the involvement of outside powers.
Examples include Chechnya and Dagestan in Russia, Tajikistan, Azerbaijan’s Nagorno-Karabakh province, and Georgia, all of which have had secessionist movements or civil wars.
The Central Asian Republics, rich in hydrocarbon resources, have seen competition from oil companies and great powers, including Russia, China, and the US, particularly after 9/11.
The Balkan republics, particularly Yugoslavia, experienced severe conflicts, including ethnic massacres and the NATO intervention, following the breakup of Yugoslavia and declarations of independence by several provinces.
The conflicts and instability in these regions have significantly impacted the lives of ordinary citizens, making life difficult for them.

India and Russia share a strong bond, with historical trust and common interests forming the basis of their relationship.
This relationship is characterized by popular perceptions, with Indian cinema and culture being well-received in Russia and other post-Soviet countries.
During the Cold War era, India and the USSR had a multidimensional relationship, with cooperation in economic, political, military, and cultural aspects.
The USSR supported India’s positions on various issues, and provided assistance to India’s public sector companies. India, in turn, supported Soviet foreign policy.
Post the collapse of the Soviet Union, India and Russia have continued their relationship, with more than 80 bilateral agreements being signed as part of the Indo-Russian Strategic Agreement of 2001. This relationship benefits both countries in areas such as energy supplies, information sharing on international terrorism, and nuclear energy plans.