Lenin's economy, 1918-21

Question 1

What did Lenin, like all Marxists believe an economic revolution was essential to doing?

Answer 1

building socialism

Question 2

What does the term ‘building socialism’ mean?

Answer 2

The process of building a new, more equal economy and society.

Question 3

Summarise some of Lenin’s economic objectives.

Answer 3

Modernisation
Consolidation
Military victory
Destroying Capitalism

Question 4

Why was one of Lenin’s economic objectives modernisation?

Answer 4

Believed Socialism required the construction of a highly advanced economy.

Question 5

Why was one of Lenin’s economic objectives consolidation?

Answer 5

Needed economic stability to help retain his hold on power.

Question 6

Why was one of Lenin’s economic objectives military victory?

Answer 6

Needed the economy to supply the Red Army during the Civil War

Question 7

Why was one of Lenin’s economic objective destroying Capitalism?

Answer 7

Wanted to create an economy that was more efficient than Capitalism and ended inequality

Question 8

Often what did Lenin have to put immediate pragmatic goals above?

Answer 8

Long-term ideological goals

Question 9

What are pragmatic policies?

Answer 9

Policy which is designed to achieve specific results, rather than to reflect certain values.
They are often contrasted with idealistic policies.

Question 10

What was one key problem facing Lenin, in regards to Marx and the economy?

Answer 10

Marx had not set out a detailed description of how a Socialist economy would work.

Question 11

What did Marx argue a Socialist economy would be?

Answer 11

Highly advanced
Organised according to ‘a common plan’

Question 12

Why did Marx not set out a detailed description of how a Socialist economy would work?

Answer 12

Argued that it was impossible to describe the future in detail.

Question 13

From what date did Lenin begin the nationalisation of industry?

Answer 13

March 1918

Question 14

Define Nationalisation.

Answer 14

The process by which private property is taken over by the state.

Question 15

Between what dates was nationalisation at the heart of Lenin’s economic policy?

Answer 15

1918 to 1924

Question 16

What is State Capitalism?

Answer 16

A political system in which the state has control of the production and the use of capital.

Question 17

When did Lenin introduce State Capitalism?

Answer 17

March 1918

Question 18

What did Lenin argue State Capitalism was?

Answer 18

Economic phase between capitalism and socialism

Question 19

What was State Capitalism based on?

Answer 19

Nationalisation of large-scale industry

Question 20

How does nationalisation end capitalism?

Answer 20

Passes ownership of industry from capitalists to the new state

Question 21

Why did Lenin hope nationalisation would lead to greater efficiency?

Answer 21

The government could then employ experts to run the economy

Question 22

Who was control of the nationalised industries centralised by?

Answer 22

Vesenkha

Question 23

What is the Vesenkha?

Answer 23

Superior state institution for the management of the economy

Question 24

During what time did the Vesenkha control the economy?

Answer 24

War Communism

Question 25

Another name for the Vesenkha.

Answer 25

Supreme Council/Soviet of the National Economy

Question 26

What would the Vesenkha do once they had centralised (focus/concentrated) control of the nationalised industries?

Answer 26

Re-establish worker discipline Ensure factories were properly managed Co-ordinate economic production

Question 27

How would the Vesenkha re-establish worker discipline?

Answer 27

Offering higher pay to productive workers

Question 28

How would the Vesenkha ensure factories were properly managed?

Answer 28

Placing them under the control of well-paid specialists

Question 29

Why does the Vesenkha need to co-ordinate economic production?

Answer 29

To meet the needs of the new society

Question 30

State Capitalism was always intended to be a temporary measure. True or false?

Answer 30

True

Question 31

What did the start of the Civil War lead to?

Answer 31

Introduction of a series of emergency economic measures

Question 32

When was the start of the Civil War?

Answer 32

Summer of 1918

Question 33

What did the series of emergency economic measures introduced after the start of the Civil War collectively become known as?

Answer 33

War Communism

Question 34

What was the goal of War Communism?

Answer 34

Ensure Communist victory in the Civil War

Question 35

What is War Communism?

Answer 35

Where the country's economy was almost totally directed towards equipping and maintaining the Red Army

Question 36

What measures did War Communism entail?

Answer 36

Nationalisation of all industry Food dictatorship Labour discipline Abolition of the market

Question 37

What did food dictatorship mean in the War Communism measures?

Answer 37

The free market in food was abolished. Grain forcibly requisition from peasants, and food rationed by the Supply Commissariat

Question 38

Who got the larger rations of food during food dictatorship?

Answer 38

Workers and soldiers

Question 39

Who were the smallest rations of food given to during food dictatorship?

Answer 39

Bourgeoisie

Question 40

Who were the bourgeoisie?

Answer 40

Term used by Karl Marx to describe the middle class

Question 41

What did Lenin do to achieve labour discipline during War Communism?

Answer 41

Introduced 11-hour working day. Introduced compulsory work for all able-bodied men aged 16 to 50

Question 42

What happened in the abolition of the market during War Communism?

Answer 42

Money became worthless due to hyperinflation, and was then formally abolished. Private trade was made illegal.

Question 43

Define hyperinflation.

Answer 43

An economic situation in which inflation increased dramatically, usually for a sustained (constant) period.

Question 44

What did War Communism lead to?

Answer 44

Military victory but economic ruin.

Question 45

What did War Communism destroy in regards to work?

Answer 45

Incentive to work

Question 46

Why did War Communism destroy the incentive to work?

Answer 46

Peasants and workers were not rewarded for their labour

Question 47

What economic problems did War Communism bring in the countryside?

Answer 47

By 1920 there was a famine. 1921 harvest was only 46% of 1913 harvest Failures in harvest led to deaths of around 6 million people

Question 48

What economic problems did War Communism bring in the cities?

Answer 48

Workers fled cities in search of food In total industrial workforce declined from 2.6 million workers in 1917 to 1.2 million in early 1921

Question 49

What major economic reform did the economic crisis of 1921 lead to?

Answer 49

New Economic Policy (NEP)

Question 50

Who were Narkomprod?

Answer 50

Commissariat of Supplies State committee in charge of food supplies and industrial goods.

Question 51

Define famine.

Answer 51

Extreme scarcity of food

Question 52

Define grain requisitioning.

Answer 52

Seizing of grain mainly from the Kulaks

Question 53

What was the 'Ural-Siberian method'?

Answer 53

Approach used for the collection of grain from the countryside. It was introduced in Urals and Siberia

Question 54

Define totalitarianism

Answer 54

Dictatorship; a form of government where ruler is absolute dictator

Question 55

What is an absolute dictator?

Answer 55

Ruler not restricted by a constitution or laws or oppositon etc

Question 56

What was the Decree on Nationalisation?

Answer 56

In June 1918 this brought industry under central control within 2 years.

Question 57

What is a political commissar?

Answer 57

an official of the Communist Party who was assigned to teach party principles to a military unit.

Question 58

Define free market.

Answer 58

Economic system in which prices are determined by unrestricted competition between privately owned businesses.