Economy 1917-1928 Flashcards
Main changes of State Capitalism 3
Land Decree (abolished private ownership, peasants gained control), Decree on Worker’s control (of factories), People’s bank of the Russian Republic (banks nationalized and merged into one)
Main features of war communism 8
Bartering, Rationing, Ban on private trading, military discipline (death penalty for strikes) , vesenkha (state control of economy) Grain requisitioning, nationalisation, and hierarchical structures (replace workers councils with managers)
War Communism led to the collapse of the Russian economy by 1921, identify 3 statistics
Coal (million tonnes) dropped from 29 (1913) to 9 (1921)
Oil (Million tonnes) dropped from 9 “ to 4 “
Grain “ dropped from 80.1 to 37.6
Why could war communism be considered a success?
Contributed to Bolshevik victory in the Civil War as allowed control over all aspects of the economy.
War Communism wasn’t designed to boost growth – designed to win the war
End of war communism due to.. (Economy, unpopularity)
Economic collapse (Heavy industry fell by 20%, Food production also dropped to 48%, Led to death of 20m through famine) Unpopularity (Rationing detested as linked to social position,Return of managers caused resentment, Workers resented loss of control over industry)
Tambov Rising (War communism)
Grain requisitioning caused conflict in countryside
Uprising in key grain production area in Central Russia
Took army of 50,000 to crush uprising
Kronstadt mutiny (War communism)
Serious military challenge to the Bolsheviks
Previously most loyal group of Communists
Key factor in Lenin’s decision to end War Communism
Tenth Party congress
Lenin announced end of war communism as it had won the civil war, announced New economic policy
Key features of the NEP
Legalised private trade, end to requisitioning ( replaced with taxation) no collectivisation, privatization of of small-state industry (State retained control of ‘commanding heights
of the economy’: heavy industry, transport, banks) bonuses for workers (incentives/rewards)
Key features of the success of the NEP
Grain (Million tonnes) 37.6 by 1921 rose to 76.8
steel “ 0.2 by 1921 rose to 3.1 by 1926
Electricity (million khw) 0.5 to 3.5
End of NEP start of command economy
Abandoned 1928 by Stalin to beat Bukharin, wanted to catch up to western economies.