Introduction Letter

 Mass media broadcasts about wars, terrorist acts, strikes and sufferings.  Why is this happening on this unique planet of the Universe, where it is possible to ensure a decent life for EVERYONE?  How can the world be made better?  It turns out that there are answers to these questions.

 A professional economist, as a result of more than 20 years of analysis of the world experience in the field of economics and production relations, has developed a THEORY OF SOCIO-ECONOMIC FORMATIONS.  This Theory explains the history of the rise and demise of many states, the pre-determination of social revolutions, including the cause of the Soviet Union’s collapse, the post World War II jump in the economic development of the US and countries of Western Europe and East Asia, as well as the modern problems in these states.  Based on this Theory the author has also developed a CONCEPT FOR CONSTRUCTING THEORETICALLY OPTIMAL PRODUCTION RELATIONS IN THE STATE by means of monetary and taxation tools.

 This analysis of the Theory and Concept leads to believe that the experience of humankind and the modern level of development of the means of production can already provide everything necessary for constructing, in any country, the production relations of the highest level based on the parameters of economic effectiveness as well as public progress. The country which will build its economy with consideration to these conclusions will achieve the maximum of its abilities in terms of the growth of its national wealth and the well being of its population, with the optimum coexistence of interests of all the members of the society, their social protection and reliable pension provision.

 The constructive potential of the Theory and the Concept is enormous.  For example, by applying this knowledge it will be possible to make Iraq stable and grateful to the rest of the world, while currently it is being shaken by the explosions of bombs and the suffering of people and getting filled with hatred against the countries that are eager but not able to help it and are only adding to the problem with their good intentions.

 This Theory and Concept make it possible to define and solve the task of creating a worldwide (interstate) government with the goal of rationalizing the production relations on a global scale based on the principles of the scientifically substantiated fairness, with the liquidation of epidemics, hunger, poverty, drug-business and illiteracy in the world.

 The main provisions of the Theory, the theses of the Concept and information about the author and his economic works are published in Russian on the http://dovgel.com site.  Submitted here for your attention is the English translation of just the main provisions of the Theory.  This is an important, founding, work.  It will be interesting to those who would like to understand the reason of eternally arising public conflicts, strikes and revolutions, to root out the poverty and illiteracy in the world, and to exclude economic factors out of crime, drug business and wars.  It will appeal to the economists, but also all those, who debate the ethics of capitalism, socialism, communism, and other systems.  In addition, it will also interest the people who studied or experienced life under the Soviet regime.

 All new concepts, in any field of science, require unprejudiced initial consideration.  For example, the work of Nicolaus Copernicus (1473-1543) “On the Revolutions of the Celestial Spheres”, which is common knowledge today, has not been able to get through to public consciousness for centuries and at first even produced wild objections.  The first active follower of Copernicus theory, Giordano Bruno (who was born 5 years after Copernicus’s death!), was convicted of heresy and burnt at the stake of inquisition in 1600.  Only four hundred years later (during the papacy of John Paul II), there came the official expression of "profound sorrow" and acknowledgement of error at Bruno's condemnation to death.  The hope is that the current society, and especially the leaders (1^st subjects) of the states, will take due interest in the Theory and will put it to use in good time for the best interests of the people.

 This is NEW KNOWLEDGE of planetary importance.  It holds a key to a new era: without hunger, war, revolution, and crime.  The request to the readers is to help promote it for the public awareness and realization.

 Sincerely,

 Olga Dovgel

Interpreter, supporter and daughter of the author