Council of Ministers of East Germany in the context of "Volkseigener Betrieb"

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⭐ Core Definition: Council of Ministers of East Germany

The Council of Ministers (German: Ministerrat der Deutschen Demokratischen Republik, pronounced [miˈnɪstɐˌʁaːt deːɐ ˌdɔʏtʃn̩ demoˌkʁaːtɪʃn̩ ʁepuˈbliːk]) was the executive and administrative organ of the supreme organ of state power, the People's Chamber. It existed from November 1950 until the country was reunified on 3 October 1990. Originally formed as a body of 18 members, by 1989 the council consisted of 44 members.

Under the Constitution of East Germany, the Council of Ministers was formally defined as the government of East Germany. The same Constitution, however, officially confirmed the leading role of the Socialist Unity Party (SED). Hence, for most of the GDR's existence, the Council of Ministers was not the highest authority in the country, but was charged with implementing the SED's policies into practical administration. In particular, ministers were subordinate to the secretary of the Central Committee responsible for their portfolio, and, at least unofficially, to the General Secretary.

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👉 Council of Ministers of East Germany in the context of Volkseigener Betrieb

Volkseigener Betrieb (VEB; German for "Publicly Owned Enterprise") was the main legal form for state-owned enterprises in the planned economy of the German Democratic Republic (East Germany). VEBs constituted the majority of the economy of East Germany, including most industrial and service enterprises, and employed 79.9% of the East German workforce by 1989.

VEBs were organised by the State Planning Commission of the Council of Ministers, first into vertically integrated units called Associations of Publicly Owned Enterprises Vereinigung Volkseigener Betriebe (VVBs) until these were reformed into Kombinat by the 1980s. Production and investment were set by the State Planning Commission and ministry industries under the control of the Socialist Unity Party of Germany. VEBs struggled to compete in the market economy during German reunification due to outdated and labour intensive practices, which made many of them unprofitable and heavily in debt. Around 8,000 VEBs were transferred to the Treuhandanstalt for privatisation and most were liquidated from 1990 to 1994.

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Council of Ministers of East Germany in the context of East German government

The German Democratic Republic, commonly known in English as East Germany or the GDR, was a Marxist-Leninist communist state that existed from 7 October 1949 to 3 October 1990. Politics were dominated by the Socialist Unity Party of Germany (SED) which ruled the country as a one-party state for most of its existence. The Constitution of East Germany created a liberal democratic socialist republic from 1949 until 1968, when a new constitution formalised many of the Marxist-Leninist practices including the "leading role" of the SED.

East Germany was officially governed by a parliamentary system with power invested in the elected Volkskammer, the State Council (from 1960), the Council of Ministers, and the Supreme Court. The SED instituted a de facto Stalinist political system based on the Soviet Union where actual power was held by the SED's Politburo, maintaining a facade of democracy with rigged elections, and all political opposition was subjected to widespread repression.

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