Going West: Socialist flexibility in the long 1970s

This article analyses some of the transformations in economic vocabularies, practices, and institutions that accompanied the turn towards high value-added and technology-driven industrialization in late socialist Romania. It investigates the challenges posed by increasing integration of the country’s commodity production into the world market in the 1960–70s and assesses the measures adopted by its economic executives as a response to these challenges: the reorganization of production; the reconfiguration of planning mechanisms; and the strategies of keeping labour cheap. This article shows that planners behind the Iron Curtain wrestled with similar problems to their Western counterparts. It demonstrates that the solutions of the socialist economic executives not only mirrored, imitated, and translated Western managerial ideologies and practices but also represented creative local responses to the challenges of the world market. I argue this constellation of solutions constituted a fully fledged form of ‘socialist flexibility’. Analysing how these flexible solutions paralleled the neoliberal deregulation in the capitalist core helps us question the analytical separation between centrally planned and market economies and the still powerful narrative of 1989 as a historical fracture.