Topic 7 - Economic and Social Developments Flashcards
What was State Capitalism?
Lenin’s policy of State Capitalism was a pragmatic response to the problems facing Russia in 1918. Lenin hoped that nationalisation would lead to greater efficiency as the Government could employ experts to run the economy. Control of the nationalised industries was then centralised.
What years was State Capitalism?
1917-1918
What years were War Communism?
1918-1921
What years were New Economic Policy?
1921+
What ran all nationalised industries?
The Supreme Soviet of the National Economy - Vesenkha.
What was Vesenkha?
What was it designed to do?
A group of economic experts. The Vesenkha was designed to:
- re-establish worker discipline by offering higher pay to productive workers.
- ensure factories were properly managed by placing them under the control of well-paid specialists.
- co-ordinate economic production to meet the needs of the new society.
Why was the establishment of War Communism important?
For the survival of the Bolshevik regime during the Civil war. The economy needed to meet the demands of the war effort.
What was the state of the economy by May 1918?
The country was in a state of economic collapse: food prices soared, industrial production shrank and the value of the rouble collapsed.
What was War Communism designed to ensure?
- high levels of industrial production of war goods.
- an efficient allocation of workers.
- food production to feed soldiers, workers and the civilian populations.
What was grain requisitioning during War Communism?
Cheka squads were authorised to seize grain and other forms of food from peasants without payment.
What was rationing during War Communism?
The Supply Commissariat rationed the seized foods from grain requisitioning. The largest rations went to workers and soldiers, while the smallest rations were given to members of the Bourgeoisie.
What was the abolition of money during War Communism?
In the short term, the government simply printed more money, which led to hyperinflation. Money became worthless, leading to workers being paid through their rations and many public services, such as tram services, were provided freely.
What was the abolition of trade during War Communism?
Private trade was made illegal.
What was complete nationalism during War Communism?
All businesses were taken over by the state.
What was conscription during War Communism?
Workers were assigned either to work in factories or fight in the army.