The Effectiveness of Production and Economic Indicators

The existing system for planning, evaluating, and stimulating the activity of production links primarily orients them toward quantitative rather than qualitative indicators â an orientation that has a negative impact on the rate of technical progress. The fulfillment and overfulfillment of these indicators in the plan are often the result of factors that do not correspond to the interests of society. Indeed, the possibility of improving economic indicators through the use of costlier materials makes management less interested in new technology.