2A: Towards a Command Economy, 1917-28.

Question 1

What were the early economic challenges and changes seen by Russia under Lenin?

Answer 1

• There was no clear blueprint as to what a communist economy should be, except advanced.
• Traditionally Russia boosted an unsophisticated, backwards economy; at the time this was worsened by the destruction of WW1.
• Lenin believed Russia’s economy should be based on modern technology, efficiency, educated, dedicated and well treated workers.
• State Capitalism: involved nationalising industry, which was placed under the guidance of the Vesenkha and well paid specialists. Small industries were allowed to remain to encourage economic growth at first, though the policy remained unpopular compared to Land Reform.

Question 2

Outline the key features of War Communism.

Answer 2

• Aims: ensure communist victory in the Civil War, produce high levels of industrial materials, efficiently allocate workers and resources such as food to strengthen the army and civilian population.
• Food dictatorship: namely grain requisitioning by the Cheka and rationing (prioritised military and proletariat masses).
• Labour discipline: including the extension of the working day, compulsory employment for those aged 16-50, and harsh punishments.
• Abolition of the market: forced hyperinflation to abolish money, the ban of private trade, conscription.
• Ultimately led to economic collapse, growth of the black market, mass poverty and political crisis.

Question 3

Outline the key features of the New Economic Policy.

Answer 3

• Aims/causes: retention of political power, revival of the economy and independent building of socialism.
• Mixed economy: free market, tax in kind, denationalisation of small industries only, reintroduction of money; more focus on profit.
• More popular with peasants, who seized the opportunity to earn off their own land = government stability.
• Industrial growth as a result of free trade and investment of taxation; eventually this plateaued.
• Scissors crisis: agricultural prices dropped radically whilst industrial prices rose at a similar rate = uneven growth and distribution of goods.
• Inequality and corruption, mainly through NEPmen became rife.

Question 4

Describe the disagreements over control of industry and agriculture.

Answer 4

• The N.E.P. sparked great debate; on the left, Trotsky and his followers advocated the radical Dictatorship of Industry, while on the right Bukharin and his supporters wanted to cement social peace by continuing the N.E.P. In the centre, Stalin and his followers were prepared to do whatever worked.