PREFACE This report on the comparison of employment in Industry in the United States and the Soviet Union is an outgrowth of previous studies of Soviet manpower and employment conducted by the Foreign Demographic Analysis Division (formerly the Foreign Manpower Research Office) of the Bureau of the Census. It represents the Bureau's initial effort in comparing employment for a specific area of economic activity for the two countries. As such, the report also serves as a pilot study for the ultimate objective of preparing a detailed reconciliation of U. S. and U.S.S.R. employment estimates for all branches of the two national economies. Specifically, it explores the conceptual, institutional, and statistical problems connected with international employment comparisons; it surveys U.S. and U.S.S.R. source materials relevant to Industry employment and its comparisons; and it presents the analytic procedures used in preparing the comparisons. The report also includes recommendations as to an employment standard and summary tables that can serve in preparing comparative employment profiles for all branches of the two national economies. Mr. Thanks are due to my colleagues at the Foreign Demographic Analysis Division, especially Mr. Murray Feshbach and Miss Lydia Kulchycka. The contributions of other U.S. Government personnel in providing materials and in answering specific questions questions are gratefully acknowledged. In particular, thanks are due to Mrs. Evelyn Colburn, Mr. Murray Dessel, Louis Greenberg, Mr. Harold Goldstein, Mr. Maurice Haven, Dr. Edward Robinson, and Dr. Vivian Spencer of the Bureau of the Census; Miss Sophia Cooper, Mr. Sheldon Luskin, the late Mr. Samuel Schechter, Mr. Robert Stein, Mr. Sol Swerdloff, Mr. John P. Wymer, and Mr. Bernard Yabroff of the Bureau of Labor Statistics; Dr. Sidney Goldstein of the Bureau of Public Roads; Mr. Martin Bloom of the Internal Revenue Service, formerly of the Bureau of the Census; and Dr. Howard Rosen of the Office of Manpower Automation and Training, formerly of the Bureau of Labor Statistics. Chapter CONTENTS Page 37 37 39 II. Summary of components used in establishing alternative comparisons of U.S. and U.S.S.R. employment in Industry: selected years, 9 Summary of alternative C comparison of total employment and employ- ment of production workers and equivalents in Industry in the United States and the U.S.S.R.: selected years, 1939-1958.... Average number of days worked by industrial wage workers in the U.S.S.R.: selected years, 1928-1959..... V. Employment in class I line-haul railroads in the United States: VI. Total U.S. employed wage and salary workers in nonagricultural U.S.S.R. segment of comparisons of U.S. and U.S.S.R. employment in Industry, by sector and class of worker: selected years, United States segment of comparisons of U.S. and U.S.S.R. employment in Industry, by major activity area: selected years, 1939-1958..... United States segment of Alternative C comparison of U.S. and U.S.S.R. employment in Industry, by source of information and X. Comparison of U.S. and U.S.S.R. employment in Industry and total civilian employment: selected years, 1939-1958.. XI. Distribution of Industry employment in the United States, according A model for classifying U.S. employment by major branches of the APPENDIX TABLES 2. Total employment and employment of production workers and equiva- lents in Industry in the United States, by major activity area, for comparison with alternative C Industry counterparts in the Survey of U.S. economic groups largely comparable to U.S.S.R. Industry, or which contain some U.S.S.R. Industry-type employ- Civilian employment in the United States, by major employment 65 Employment occupies an important place in the growing volume of economic literature on U.S. and U.S.S.R. economic comparisons. It is used when describing relative levels of economic development, resource allocations, and comparative changes in the structures of the two economies. In conjunction with output data, employment serves in measuring labor productivity levels and their relative changes. The pronounced Soviet emphasis on industrialization as a key to economic development has catapulted the industrial sector into the stellar role in studies relating to U.S. and U.S.S.R. economic comparisons. Since for the United States no specific statistical grouping exists to cover the industrial sector of the economy as in the U.S.S.R., three major statistical classification categories are frequently combined to form the core of this sector. These are mining, manufacturing, and electric and gas utilities, and to which fishing is sometimes added. However, U.S. Industry when defined in these terms falls short by more than 10 percent of its actual employment and output levels as measured against the Soviet definition of "Industry." (Henceforth in this report, "Industry" will be referred to simply as Industry, i.e., without qoutation marks.) Meaningful employment comparisons between nations require standardized definitions, coverage, and measurement procedures. In the absence of such requisites, an effort must be made to minimize differences and thus increase whatever meaning may be attached to such comparisons. This study compares U.S. and U.S.S.R. employment in Industry on the basis of the frequently cited standard of comparison and presents the adjustments made to U.S. data in order to increase comparability. These adjustments are covered in two additional standards of comparison. Important areas of difference between the two countries for which adjustments are attempted include scope or definition of Industry, actual coverage of economic units, measurement standards used to compute employment, and composition of Industry employment. The last is affected both by differences in statistical practice and institutional orientation in both countries. Althougn employment comparisons are presented for 1939, 1940, 1950, 1956, and 1958, the adjustments which are described primarily relate to 1958 in order to minimize the complexity of exposition. For a more meaningful presentation of the employment adjustments made in this study, that part of Soviet statistical methodology is outlined which relates to employment data. Sources of information on employment in the United States also are surveyed. Comparative employment estimates for Industry in the United States and the U.S.S.R. are limited by necessity to the adjustment of specific segments of U.S. employment data except for the expansion of the U.S.S.R. wage worker category to the U.S. production and related worker category. (See table III.) However, as advocated by Soviet economists in their discussions of the |