economic and social developments Flashcards
what changes were made to state involvement in the economy following emancipation? who produced them?
- mikhail von reutern (minster of finance)
- establishment of a state bank 1860, municipal banks 1862 and savings bank 1869
- trade promoted with introduction of import duties from 1863
- foreign investment encouraged with government guaranteed annual dividend
- government subsides offered to enable private entrenpeneurs to develop railways
when was mikhail von reutern minister of finance?
1862 to 1878
during von reuterns return in office, what was the annual growth rate?
6%
examples of developments in new industry
- oil extraction began in caspian sea port of baku in 1871
- ironworks set up in donetsk in 1872
examples of russias weak economy
- third all expenditure on the repayments of debt
- rouble varying in value
- 66% government revenue came from indirect taxation
what is the problem with the majority of government revenue being from indirect taxation?
- it kept the peasantry poor and the domestic market smaller
what were the aims of raising tariffs? who by? what were the details?
- designed to boost home production
- to help the iron industry of southern russia as well as the development of industrial machinery
- ivan vyshnegradsky
- in 1887, 30% tariff on value of raw materials
by the 1980s, what percentage of the population were the urban working class?
- 2%
what did kulaks do for profit?
- would buy grain from poorer peasants in autumn and sell it back for profit in the spring
what was industrialisation driven by?
- the state
- von reutern’s reforms
strengths of von reutern’s reforms
- encouraged investment and enterprise
- railway network expanded markedly
- developments in oil and coal extraction, iron mining and iron working
- annual average growth rate of 6%
limitations of von reutern’s reforms
- russia’s economy remained comparatively weak
- third all gov expenditure went on repayments of debts
- russian currency remained unstable
- tariff reductions led to a decline in government revenues
- peasantry was still poor and domestic market remained small
when was vyshnegradsky finance minister
- 1887 to 1892
what did vyshnegradsky do as finance minister?
- introduced a high tariff of 30% on raw materials
- negotiated loans and increased indirect taxes
- mounted a drive to swell grain exports
success of vyshnegradsky as finance minister
- grain exports increased by 18%
- russian budget in surplus by 1892
failures of vyshnegradsky as finance minister
- peasants suffered badly
- had to pay taxes and give grain to the state
- no reserve stores for the winter
- famine of 1892 because of bad harvests
when was witte finance minister?
- 1892 to 1903
what did witte do as finance minister?
- maintained protective tariffs, heavy taxation and forced exports
- increased foreign investment
- encouraged engineers, managers and workers from western europe to oversee industrial developments and advise on planning and techniques
successes of witte as finance minister
- fourth largest industrial economy
- exports and foreign trade increased
failures as witte as finance minister
- only exported grain rather than industrial goods
young russia
- group of students
- published manifesto ‘bloody and merciless revolution’
- 1862
tchaikovsky circle
- 1869-1869
- literary society, published revolutionary nature
- sought social revolution
- 1872 organised workers to work with peasants
emancipation of labour
- prolateriat to drive socialist revolution then bourgeoise to destroy autocracy
- plenkanhov established 1883
- arranged marxist books to be smuggled to russia
famine 1891 to 1892
- affected 17 of 39 provinces
- long summer that ruined crops
- population that was weakened by hunger became susceptible to disease
- cholera and typhoid were the main diseases
- 350,000 died from starvation or disease
- gov failed to organise adequate relief
- volunteer groups had to help the stricken peasants