Economy Flashcards
What were the positive impacts of collectivisation? (3)
- Grain income and exports increased
- Funded industrialisation and Gigantomania
- Complete control achieved by 1941
What were the negative impacts of collectivisation? (3)
- Kulaks exiled and peasants killed in famine
- Workers’ food prices increased due to productivity decline
- Internal passports needed to prevent emigration
How many kulaks were exiled in de-Kulakisation?
10,000,000
How many peasants died in the 1932 famine?
7 million
How many Russian civilians died in WW2?
20 million
How many Russian military members died in WW2?
10 million
What was the purpose of the 4th 5 Year Plan?
Recovery following WW2
What were the negative outcomes of the 4th 5YP? (3)
- Grain and leather fell short of targets
- Rouble devalued by 90%
- Taxes increased and peasants’ wages were 1/5 that of workers
What were the positive outcomes of the 4th 5YP? (3)
- USSR became second only to the USA
- Coal, oil and electricity hugely exceeded targets
- USSR looted machinery from East Germany in reparations
What were the features of Brezhnev’s economy?
- Corruption
- Re-Centralisation
- Agriculture
- Military Industrial Complex
- Productivity
How was Brezhnev’s economy corrupt?
- Black markets emerged like a second economy
- Nepotism and gerontocracy failed to create innovation
What were the weaknesses of Brezhnev’s agriculture?
Produced 1/6 compared to USA and still imported grain from abroad
What percent of Brezhnev’s GDP was spent on the military?
18%
What fraction of the working population was employed in the military?
1/6
What were the successes of Brezhnev’s economy? (3)
- More spent on consumer goods and living standards
- More emphasis on technology
- Investment in agriculture
What were the failures of Brezhnev’s economy? (3)
- Lagging living standards (alcoholism)
- Low productivity
- Only 2% annual growth by the end of the era
What were the positive impacts on living standards under Khrushchev? (2)
- Minimum wage introduced in 1956
- Meat consumption rose by 55%
What were the negative impacts on living standards under Khrushchev? (2)
- Poor quality new housing
- Lagging consumer goods
What were the positive impacts on industry under Khrushchev? (2)
- Improvement in transport and output of heavy industry
- First man in space
What were the negative impacts on industry under Khrushchev? (2)
- Remained inefficient
- Managers pressured by government targets
What were Khrushchev’s industrial reforms? (6)
- Regional Economic Councils
- Split industrial and economic departments
- Light industry
- Liberman Plan
- Vocational training
- Space Race
What was the Liberman Plan?
Gave more incentives to local managers and handed them more power
What were the problems with Khrushchev’s industrial reforms? (3)
- Inconsistent
- Lacked political support
- Failed to catch the West
How did the USSR succeed in the Space Race?
Launched the first satellite and first man into space
How many acres of Virgin Land was to be farmed?
33 million
What were the successes of the Virgin Land Scheme? (3)
- Ploughed 33.5 million acres by August 1954
- Contributed to 50% of total grain harvest
- Farmers’ wages doubled
What were the failures of the Virgin Land Scheme? (3)
- Unreliable harvests and over-production
- MTS stations closed and abandoned as engineers returned to the city
- Khrushchev too involved in unrealistic targets
What were the aims of Khrushchev’s agricultural reforms? (3)
- Catch the West
- End cycle of famine
- Improve living standards
What were Khrushchev’s agricultural reforms? (3)
- Regional Economic Councils gave power to local experts
- Increased size of collective farms
- Allowed private plots for peasants
What was the ‘Maize Craze’?
Khrushchev’s obsession with corn which demoralised farmers with unrealistic targets - meeting with Roswell Garst
What did Lenin promise with State Capitalism?
Bread, Land and Peace
What were the 3 decrees of State Capitalism?
- Decree on Workers
- Land Decree
- People’s Bank of Russia
When was State Capitalism?
1917-8
What was the Decree on Workers?
Placed control of the factories into the hands of the workers
What was the Land Decree?
Abolished private land and gave the peasants the land they worked on
What was the People’s Bank of Russia?
The nationalisation of all banks
What were the positives of State Capitalism? (3)
- Popular
- Increased living standards
- Wage and land increases
What were the negatives of State Capitalism? (3)
- Reduced Lenin’s control over workers
- Inflation due to wage increases
- Lost support of managers
What is a command economy?
Centralised economy - products match needs of people and money is allocated to spend on public services
What are the strengths of the command economy? (3)
- Money spent on public services
- Smaller wealth divide
- Economy prepared for crisis
What are the weaknesses of the command economy? (3)
- People have less control over the economy
- No motivation for promotion
- Potential for corruption and oligarchy
When was NEP?
1921-7
What are the ‘commanding heights’ of the economy?
Heavy industry, banking, transport, trade
What were the aims of the Command Economy? (3)
- Recover a crippled economy
- Increase popularity
- Increase food production
What were the features of NEP? (3)
- Legalised private business
- Smaller factories given back to managers
- 50% tax replaced grain requisition
What were the positives of NEP? (3)
- Created stability and support
- Food production rose by 1925
- Industry returned to pre-war levels
Who were NEPmen?
Traders
What were the negatives of NEP? (3)
- Internal opposition
- Rise in corruption, prostitution and unemployment
- Peasants benefitted more than workers
When was War Communism?
1918-21
What were the aims of War Communism? (3)
- Supply Red Army with food and weapons
- Fulfil Communist ideology
- Win Civil War
What were the features of War Communism?
- Supreme economic councils
- NAtionalisation of industry
- Private trade banned
- Grain requisition
- Money abolished
- Terror
What was the positive impact of War Communism?
Helped win Civil War and increase control
What were the negative impacts of War Communism? (3)
- Industry collapsed to only 1/5 of 1913 production
- 5 million died in famine
- Unrest
What was the plan for Collectivisation?
- Pull together small private farms into big state farm
- Farmers had to meet quotas to feed cities
- Industrialisation achieved
What was de-Kulakisation?
Anyone refusing collectivisation was deemed a kulak and executed or exiled
What is a Kulak?
Rich peasant
How many party members were dispersed to force collectivisation?
25,000
What was Smychka?
Alliance between industry and agriculture, industry improves so farm equipment improves, agriculture improves so food production improves
What were the positive impacts on living standards of Stalin’s 5YP? (2)
- Mass education of the workforce
- Female workers
What were the negative impacts on living standards of Stalin’s 5YP? (3)
- Inequality of wealth grew
- Horrendous conditions and rationing
- Halved wages, high food prices
What were the positive impacts on industry of Stalin’s 5YP? (3)
- Economic growth
- Urbanisation
- Increase in heavy industry
What were the negative impacts on industry of Stalin’s 5YP? (2)
- Purges led managers to lie about economic success
- Purges removed experienced managers
- Targets not met - quantity over quality
What was the Stakhanovite movement?
Stakhanov was a coal miner who set a record for mining s record amount of coal, becoming a national celebrity and inspiration
What is a positive and negative impact of the Stakhanovite movement?
P - Drove success of 1st 5YP
N - Aims to rebreak records was detrimental overall
What was the Dnieper Dam?
Largest Soviet power plant and largest dam in Europe, blown up by retreating Russian soldiers during WW2
When was the White Sea Canal built?
1933
How many gulag prisoners were used in the White Sea Canal and what fraction died in the first Winter alone?
- 100,000
- 1/4
Why was the White Sea Canal a failure?
Depth reduced from 18 to 12ft - useless for shipping
Why was the White Sea Canal a success?
Propaganda success, marketed as a triumph
What were the successes of Magnitogorsk? (2)
- highly trained and motivated ‘shock workers’
- land was a major industrial centre
What were the failures of Magnitogorsk? (2)
- used gulag prisoners
- bad conditions meant workers lasted on average 82 days before finding a new job
What were the principles of Stalin’s 5YP?
- Gigantic projects
- Rapid industrialisation
- Ideology (attacked NEPmen)
- Targets were unrealistic
What were the strengths of Stalin’s 5YP? (3)
- Increased production and total employment
- Ended stagnation
- Prepared for war
What were the weaknesses of Stalin’s 5YP? (3)
- Unrealistic
- Quantity over quality
- Low living standards
What was Gosplan?
State organisation that planned and ran the economy, controlled by the Politburo
NEP - Lenin
‘one step backwards, two steps forwards’
1932-3 famine - Duranty
‘they were more like caged animals than human beings… debris and jetsam, victims of the march to progress’
Khrushchev’s economic failures - Ilic
‘rather than feasting on the success of Communism, the people were feeding from the scraps off a capitalist table’
War Communism - Figes
‘draconian system of war communism’
Purpose of War Communism - Figes
‘a set of policies to make class war against the peasantry and other social ‘enemies’’
Workers’ reaction to NEP
‘new exploitation of the proletariat’
5YP - Figes
‘the 5YP promised to create a society of universal abundance for the proletariat’
Kulaks - Figes
‘The war against the ‘Kulaks’ was not a side effect but the driving force of collectivisation’
White Sea Canal - Figes
‘fantastically ambitious project’
Success of WSC - Figes
‘built on top of bones, the canal was a fitting symbol of the Stalinist regime, whose greatest propaganda successes were achieved with total disregard for the millions of lives they cost’
Gigantomania - Figes
‘the speed of change in the USSR in the early 1930s was intoxicating’
Moscow metro - Figes
‘by inspiring civic pride and reverence, the Metro helped to foster mass belief in the public goals and values of the Soviet order
Alcoholism - Figes
‘Alcoholism was the national disease’
Human labour - Figes
‘the Bolshevik view of human beings as raw material’