Economic developments 1917-1941 Flashcards
How was Russia facing economic collapse by 1918?
- Not enough grain being transported into cities due to
1. Transport disruption due to ww1.
2. Peasants subsistence farming
Knock on effect:
Workers left factories to search for food in rural areas
How did Lenin Believe state capitalism would be a solution to economic problems in 1918?
- Nationalising industry –> more efficient
- Employ experts to run Industries
Why weren’t all industries nationalised in State capitalism?
-Lenin thought this would provoke a counter revolution. Bolshevik still a minority (even in St peterserberg) -not enough man power.
ie coal mines remained private.
What ideological aim did State capitalism bring about?
-Nationalisation of Land
What main problem was there regarding grain under state capitalism?
-High inflation => low confidence in Bolshevik Rouble => food seen as more valuable=> Hoarding & subsistence =>food shortages in cities
What was the Versenka used to do ?
- Re- Establish worker discipline
- Ensure factories were properly managed
- coordinate economic production
How did the Versenka go about in achieving it’s aims?
- Unit work–> increased incentives
- Factories under control of well paid bourgeois specialists
- Small factories not nationalised - Some given back to capitalist
What caused the Beginning of the “Red Terror” and what was it?
- Assassination Attempt on Lenin (August 1918)
- Wave of reactionary violence- deaths of 500,000
What was War Communism and it’s aims?
-Reorganisation of the economy to cope with strains of civil War
=>High levels of centralisation to ensure victory
Aims:
- high levels of industrial production
- Efficiently allocate workers
- Maintain food production to feed everyone.
How Was War Communism implemented?
- Forcible Grain requisitioning -> Food Dictatorship
- Rationing:Class based system.Red army=priority. High class=Less food (contradictory to equality)
- Labour Discipline: Fines if late, internal passports to stop fleeing
- Nationalisation of Industry: Bourgeois specialists as managers
- Banning of Private Trade: At expense of Consumer goods –> Black Markets
Was war communism Succesful?- Acted as Motivation for N.E.P
- Production fell by 80%
- Urban cities decreasing in pop ( searching for food)-Contrary to socialist objective to increase size of proletariat.
Why did Lenin Introduced the NEP?
- Realised some economic liberalisation to the peasants was needed if the regime was to survive.
- Uprisings ie Krondstat and Tambov. Demonstrated regime was not safe.
- Bread shortages in the cities.
What was The Krodstat uprising and why was it significant?
Insurrection of Soviet sailors, soldiers against the Bolshevik government in response to economic and social policies and food shortages under War Communism.
Significance: Krondstat previously supported Bolsheviks, hailing them heroes of the 1917 revolution.–> Showed just how unpopular the Bolsheviks had become.
.
How was the N.E.P introduced?
- Grain requisitioning abolished: Replace with ‘tax in kind’.
- Small businesses reopened
- Ban on private trade removed: +Strengthened consumer goods.Food flowed more easily into the cities
- Sate control: kept control of heavy industry, industry organised into trusts.
How was The N.E.P a failure ?
- Money was reintroduced into economy–> Created Nepmen and more Kulaks .(Contrary to socialist objective)
- Agriculture was still very backward. ie usage of ploughs (5 mill)
- Plots of land were too small for any modern technology => Inefficiency