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Explanation:
The Soviet Union was very powerful for most of the 20th century. From political to military and economic strength.But the economy of the Soviet Union would eventually collapse, due to certain reforms to decentralise the economy.
The Soviet Union's economy was controlled totally by the government. The communist party coordinated the planning of production, distribution and institution of regulations and economic targets. The economy had a rapid growth at first but as the economy became increasingly complex, the average GNP growth started slowing.
Reforms like the sovnarkhoz, implemented in the late 1950s attempted to decentralise economic control. Restructuring reforms called the porestroika were also implemented but these could not compete at the global stage and therefore failed.
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A company with a pure monopoly means that a company is the only seller in a market with no other close substitutes. ... Also, with pure monopolies, there are high barriers to entry, such as significant start-up costs preventing competitors from entering the market.
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