A Brief historical review sLenin's Trade Decree of 1918 Formalized the Soviet foreign trade system as a state-controlled monopoly The system was subsequently adopted by ° Centra/ European sate∥ tes of the USSR People's Republic of china Centralized economic control (five-year plans Unlinked the market forces of demand and supply The lack of competition resulted in inefficiencies and the misallocation of resources Distribution channels were poorly developed Copyright 2001 by Harcourt, Inc, All rights reserved