On May 31, 1990, the Soviet Unions economy experienced a severe crisis due to years of inefficiency, corruption, and mismanagement. The countrys planned economy was on the brink of collapse, and citizens faced severe shortages of basic goods. Economic reforms implemented by Mikhail Gorbachev were unsuccessful, leading to mass protests and a growing sense of unrest. The economic decline was one of the key factors contributing to the dissolution of the Soviet Union in 1991. The fall of the Soviet economy led to widespread poverty and social instability across the former republics.