Socialist Accumulation

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the expansion of the material foundation of socialist production, necessary for the increasingly complete satisfaction of the constantly growing needs of society (seeFUNDAMENTAL ECONOMIC LAW OF SOCIALISM).

The law of socialist accumulation is the expression of the objective process of socialist accumulation, which is carried out through the planned utilization of part of the national income, the accumulation fund. The source of socialist accumulation is the surplus product, part of which is channeled, in the form of capital investments, into creating and replenishing the fixed capital stock and into increasing reserves. The factors affecting socialist accumulation are technological progress, increased labor productivity and efficiency in social production, and the profitability of enterprises.

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