Raising the interest rate (i.e. making loans more expensive) is the measure taken if there is a belief that there is too much demand for goods by the population (Keynesian inflation theory) or too much money in circulation (Monetarist inflation theory). It’s taken in the hope that reducing the purchasing power of the population will slow the price increase down with falling demand. Which is why you had mainstream economists talking of say the need to increase unemployment (i.e. take people’s incomes away) and how wage increases are bad due to the supposed theory of the wage-price spiral.
Wage-Price spiral
“Wage-price spirals, at least defined as a sustained acceleration of prices and wages, are hard to find in the recent historical record. Of the 79 episodes identified with accelerating prices and wages going back to the 1960s, only a minority of them saw further acceleration after eight quarters. Moreover, sustained wage-price acceleration is even harder to find when looking at episodes similar to today, where real wages have significantly fallen. In those cases, nominal wages tended to catch-up to inflation to partially recover real wage losses, and growth rates tended to stabilize at a higher level than before the initial acceleration happened. Wage growth rates were eventually consistent with inflation and labor market tightness observed. This mechanism did not appear to lead to persistent acceleration dynamics that can be characterized as a wage-price spiral” (IMF, Nov/2022)
Cutting taxes is a measure taken with the hope that with reduced costs, private enterprises will scale up production and increase the amount of goods’ supply as compared to demand, lowering or at least stopping the increase in prices, as orthodox economists hold the thesis that excessive demand (as supposedly caused by the 2020 Covid Crisis) is responsible for the currently high inflation.
Nowadays, it’s commonly accepted in many studies, such as this recent one from New Zealand that a significant cause in the inflation is the desire for even higher profits compared to what they already had in years prior.
Lowering taxes in response to a stagnant economy in this case is, as I understand it, unlikely to affect inflation, but is rewarding a private sector that used the fuel and energy price crisis caused by the war in Ukraine to enrich itself even as those prices fell again, with more riches. Especially considering the currently stagnant economy, it’s placing hope on a sector that has already failed to deliver out of an ideological belief that the state is unable to do what the private sector can, as well as the support it gets from and how many politicians have personal relationships with the private sector.
The only thing on foreign intervention in my reply is the reference to loans, which were taken by the Polish People’s Republic, and indeed the Romanian Socialist Republic - the 80s were a period of austerity to repay foreign debt to continue purchasing specialized goods from the west - that is undeniable.
“Stole a Piece of Land barely enough to Feed a Family”. Anecdotal evidence, one of which I have no evidence of being true or not, and is besides the point of “Communism bad, because they ‘stole’ my grandma’s land”.
“The State of Constant Fear” is also anecdotal reference, one which is even harder to verify and can be claimed just as easily as “a very large amount of people are supportive of revolution to overthrow the government because they don’t go and vote”
Aha, the classic. If “Russia” (you clearly mean the USSR, but probably think modern day Russia is the same thing) is so evil and despised across the former Warsaw Pact, why is it still popular in East Germany? In Bulgaria? In Serbia? Even, before 2014, in Ukraine? And besides, what does Russia matter? Does the viability of a political ideology depends on if a state is popular around the world or not? Were that the case, Kingdoms would have been abolished centuries before the French revolution and religion would be gone by now.
“context I avoided on Purpose” No, it’s nonsense you added, and a common tale told around these parts of the world. What do you think Donald Tusk, the Kaczyński brothers, Lech Wałęsa and Bronisław Komorowski, all major political figures of the post-1990 era in Poland all have in common? They were in the opposition to the PZPR. And nowadays the most common political ammunition between parties in Poland is to accuse each other of communism. This is moronic! “Oh he was in the communist party and that’s why he’s corrupt!” is fucking nonsense - and what’s communist about market reforms, joining the EU, befriending America, like the Alliance of the Democratic Left did in Poland in the early 2000s? (and lost 3/4 of their voters after that).
Blame all the problems on socialism all you want, and I know you will, but how long will this continue? 20 years? 50 years? And you want to dig further and uncover more and more “crimes”. All this’ll do is find out that to expand the “Crimes” of communism, you have to go “the fascists from WW2 are innocent victims, actually”