R3.3 Economic Development 1924-29 Flashcards
In 1924 what was the Soviet economy based on?
the continuation of the NEP, partial return of free markets and private economic activity leading to the return of economic stability
What happened between 1927 and 1929?
There was a major shift in economic policy, called the “great turn”. NEP was abandoned and the regime committed itself to rapid industrialisation, previous policies to the peasantry were scrapped to make way for brutal enforcement of collectivisation, this change thus marked end of Leninist era and start of Stalinism
What was the issue of wars affecting industrialisation?
After ww1 and the Civil War there was some recovery during the NEP, centrally planned by Gosplan and Veshenka. However, production was weakened by strikes, managerial inefficiency and low levels of mechanisation
Who were people blaming during the issue of industrialisation?
Officials blamed NEPmen for obstructing central planners, factors managers blamed government officials for interfering and demanding low prices
What was the issue of Industrialisation affected by agriculture and collectivisation?
The regime required sufficient food to supply the industrial workers, also wanted a grain surplus to pay for industrial investment and machinery, hence it was hoped the Kolkhozes and Sovkhozes would achieve this
By 1928 what percentage of the peasant population was working on collective farms?
Less than 5% of the peasant population was working on collective farms, little enthusiasm for them among peasants
What are the 5 summarised reasons for the shift in policy in the “great turn”?
-Weaknesses in industrial management
-Drive towards industrialisation too slow
-Huge crisis in grain procurement in winter 1927 to 1928
-Many in party impatient to revert to true communist ideology
-Stalins attitudes to economic policy changing
What statistic shows the crisis in grain procurement in winter 1927 to 1928?
Amount of grain purchased by the government was 25% down in 1928 compared to 1927
What is command economy?
A Marxist theory demanding that the state should control the commanding heights of the economy to enforce socialism and eliminate capitalism
What is speculation?
Refers to peasants buying up grain in the hope that prices would rise, a concern in the winter of 1927
What happened in 1925?
14th party congress were there was a call for the transformation of our country from an agragarian into an industrial one
What happened in 1926?
NEP maintained but concerns raised as more investment needed to drive industry forwards
What happened in 1927?
15th party congress where there was an announcement of the end of the NEP and beginning of first five year plan for rapid industrialisation
What were the main aims of the first five year plan?
-Develop heavy industry
-boost overall production by 300%
-Transform society and the economy through electrification
-Feed the industrial workforce through big increases in agricultural production
What accompanied the launch of the first five year plan?
Significant propaganda to stir enthusiasm, Stalin claimed the targets of the 1FYP would be fulfilled by the mass enthusiasm of the workers, all pulling together for a great cause. Vast new industrial projects planned such as new “steel city” of Magnitogorsk