Towards a command economy
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- Created by: tgrev
- Created on: 01-05-17 15:47
Economic problems facing Russia
Russia's economy was unsophisticated and backward. It was also shattered by the first world war
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What were Lenin's early ideas
The revolution had destroyed capitalism yet the economy was not strong enough to start building socialism "state capitalism"
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What were Lenin's visions of as socialist economy
Had little time for leisure and no sympathy for laziness, he assumed the workers would find their work fulfilling so leisure was unnecessary. His policies reflected his faith in expertise, his desire for efficiency, and his disregard for leisure
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What is State Capitalism
all nationalised industries were run by the supreme soviet of the national economy-The Vesenkha. The Vesenkha was designed to: ensure factories were well managed by placing them under specialists, co-ord econ prod to reflect the needs of society.
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Why did state capitalism fail
Was unpopular as it was very similar to life before the revolution, many rejected state capitalism in favour of workers control. Policy had to change due to the outbreak of the civil war
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What was the land reform
Reform designed to stimulate and support agriculture, was extremely popular with the peasants
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What was War Communism
Created as a series of emergency policies to ensure victory in the civil war. It was designed to ensure high levels of industrial prod, efficient allocation of workers, enough food prod to feed the workers, civs and soldiers
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What was Food Dictatorship
It consisted of- grain requisitioning, rationing, the supply commissariat rationed the seized foods, workers had the largest rations smallest to the bourgeois
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What was labour discipline
War communism also entailed intense labour discipline, working day was extended to 11 hours 1918, 1919 work was made compulsory for all able bodied people between 16-50, harsh punishments were given to lazy workers
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Which measures were taken to abolish the market
Abolition of money due to hyperinflation, abolition of trade, complete nationalisation, conscripted work or fighting in the army
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How was the economic collapse a consequence
Lower rates of agricultural production, lack of work incentives, industrial prod declined significantly, industrial workforce declined by 3 million to 1.2 mill in 1917
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How was growth of the black market a consequence of war comm
Around 60% of food came from the black market, workers were forced to steal govt resources
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How was mass poverty a consequence of war comm
Shortage of commodities, wooden buildings destroyed for fuel, harvest in declined 46% of the 1913 harvest
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How was political crisis a consequence of war comm
Tambov rebellion lead by Antonov against grain requisitioning, Kronstadt sailors
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Why did lenin introduce the NEP
To retain political power, Revive the economy, To build socialism
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3 measures taken by the NEP
Agricultural production was left to the free market, grain requisitioning replaced by a tax, small factories employing less then 20 were privatised, Money was introduced
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how was pol and econ stability a consequence of NEP
Peasants were happy bout the end of requisitioning and encouraged to grow food, famine ended happy peasants. Grain prod started increasing till 26 where it was 76.8 mil tons
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How was industrial growth a consequence of NEP
MArket stimulated production, the govt invested money from grain tax to reopen factories. The industrial econ plateaued due to lack of money to build large scale factories
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How was the scissors crisis a consequence of NEP
Uneven growth, greater food supplies led to agricultural production decreasing, industry recovered slower so prices are higher. Farmers couldnt afford to buy ind goods so there was no incentive to produce, the govt subsidised goods make it accessible
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How wad inequality and corruption a consequence of NEP
Private traders "nepmen" grew rich while ordinary workers remained poor. Gambling prostitution and drug dealing
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How did each political position view the nep
On the left Trotsky wanted to adopt Dictatorship of the industry, Bukharin on the right wanted to continue the nep, Stalin and the centre wanted anything that worked
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What was dictatorship of the industry
Forced agricultural collectivisation would allow the state to take all profit generated by farming and use the money to industrialise
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What was building socialism with capitalist hands
It allowed the USSR to remain harmonious while growing
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What were the aims of the FYP
Industrialise Russia by combining centralised planning with large scale investment, eliminate the inefficiencies of the nep
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What was the nature of the plans
Propaganda focused on the heroic objectives of the plans, celebrated the success of the plan, claims the plans destroyed capitalism, described the modern society that would be created
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How did heavy industry succeed from the FYP
Production of iron 3.30 mil tons - 14.9 steel 4. mil tons - 18.3 oil coal 35.4 mil tons - 165.9 and electricity 5.05 mil kwhs - 48.3
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How was transport succeeding from the FYP
Construction of canals and railways allowed transportation of goods and people
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How did labour productivity succeed from the FYP
Low production addressed through nationwide initiative Stakhavonite program rewarded the best workers chemical prod increased by 34%, elec by 51%, coal by 26%, oil by 25%
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How did rearmament succeed from the FYP
By 1940 one third of econ production was dedicated to rearmament, led to the construction of 9 aircraft factories between 1939 and 41
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How was the production of goods and failure of the plans
Low prod quality due to priority of quantity. Little coordination between different factories, problem exasperated by the lack of transport, effectiveness undermined by gosplan unrealistic targets
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How was consumer goods a failure of the plans
Heavy industry was prioritised over consumer goods, consumer needs underestimated, lack of sophisticated production techniques to prod consumer goods
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How was housing a failure of the plans
The necessary housing for an urban workforce was never built, some houses had no water, not a bathtub available for the 650,000 workers in a moscow district. Living conditions poor, lateness and absenteeism criminalised
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How was the black market a failure of the plans
FYP failed to end the free market, black market was possible due to the inefficiencies of the plan
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How did the communist ideology a cause of the collectivisation
wanted to get rid of inequality in farm size, collectivising would hopefully see peasants would see the benefits of socialism, wanted to create an efficient economy
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How was the failure of the NEP a cause of the collectivisation
the grain procurement crisis derived from farmers reducing supply to increase cost, left wing communists blamed the kulaks for class war
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How did the leadership struggle cause collectivisation
Stalin hoped to retain support and gain help form Bukharin
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Which emergency measures were taken to introduce collectivisation
To end the Kulak grain strike, stalin ordered red army to requisition grain from peasants, it effectively ended the NEP
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What was Dekulakisation
Peasants resisted requisitioning with violence or destroying/hiding produce. Stalin claimed it was an attack on socialism. Around 1.5 million peasants were exiled or sent to labour camps
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What was collectivisation
The forced merging of farms
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How was the destruction of soviet farming an impact of collectivisation
17 million horses died, 26 million cattle died, 11 million pigs died, 60 million sheep and goats killed
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How was famine an impact of collectivisation
Famine in Ukrainian farmers were unable to meet govt targets collectivisation had been at fiercest in Ukraine. 5 million died as a result of the govt created famine
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How was mechanisation an impact of collectivisation
the hired 75,000 tractors had little impact on farming
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How was grain procurement an impact of collectivisation
Collectivisation allowed the govt to procure more grain then the NEP. In 1928 the govt procured 10.8 mil to 22.6 mil tons in 1933. Grain exports rose from 1 mill to 4.7 mill in 1930
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What were the long term consequences of the collectivisation
Grain harvests were smaller then the nep, grain prod gradually decreased, private farming continued on a small scale until 1941.
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Agriculture during WW2
Soviet govt relied on us imports to provide 1/ 5 of the red army, harvests declined from pre war high of 95.5 million tons to 46.8 mill tons in 1945, bread rations fell by 40%, potato rations fell by 80%
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What was the fourth five year plan
Led to extremely high levels of industrial growth, around 88% of investment went int oh heavy industry, industrial output increased from 40% to 80%, cement increased by 4.5 million tons, coal increased 95 mill tons, consumer goods doubled, low wages
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What was post war agriculture like
Slow recovery, severe shortages from 1946 to 1949 , strict discipline on soviet farms, grain production reached its pre war high, prod increased from 47 to 52
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How did K improve incentives
in order to increase production, farm incomes grew by 250% in farm incomes
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How did investment in resources change
Increased investment in farm equipment and fertilisers, 30% increase in available tractors, 40% increase in fertiliser prod
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What was the Corn campaign
Encouraged farmers to grow maize in Ukraine (newly created land) The corn would feed the animals and increase amount of meat to consumers. The plan failed as it was based off US farms and were only able to produce 50% of the US due
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Agricultural success 1954-58
Grain harvest increased from 82.5 mill tons in 1953 to 134.7 to 1958, meat increased from 5.8 mill tons to 7.7, milk increased from 36.5 to 58.9
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What problems were there in agriculture from 1954-1964
Inefficient, expensive due to climate, labour intensive 44% worked on farms, machine and tractor stations were abolished, repeated reform lead to confusion, inadequate storage
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How military spending change under K
Cuts in military spending to 9.1 % of GDP, increased spending during Cuba which coincided with econ decline
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What was the 7yp
Designed to boost ag prod and consumer goods, increase in chemical fertilisers, optimnism based on success of the Virgin Land Schemes, high rates of growth, technical success in the space race
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3 ways the plan succeeded
Production of consumer goods and chemicals increased between 1959 and 1965, 60% increase in consumer goods 7.5 below the target, fertiliser increased by 19 million tons 2.5 mil short of the target, synthetic prod increased by 241,000 tons
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3 failures of the plan
Decentralisation hampered econ growth 2. Confusion in planning system after the centralisation following decentralisation 3. K had too ambitious goals
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How did K's fall lead to a rejection of reform
1. Reunited the party 2. 7YP abandoned
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What were the Kosygin reforms
Designed to cut investment in the most inefficient farms, proposed giving power to factory managers and judging their success not by prod levels, but by profit
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How did B increase investment in military
Increased spending to reach nuclear parity so the USSR would not be forced to back down. Spending increased by 13% by 1970
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What is developed socialism
Dropped K comitment to reaching communism by 1980, but still wanted to increase living standards , job security and low prices
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Name 3 of Andropovs reforms
Anti-corruption, Anti-alcohol, operation trawl (anti drunk and absenteeism)
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How far did the soviet econ decline by
Dropped to 5.3% in 1958 and 2% in 1964
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How did rising oil prices help the USSR
It masked the general problems of the economy and prod increased from 243 mil tons to 603 mil tons in 1965
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Other cards in this set
Card 2
Front
What were Lenin's early ideas
Back
The revolution had destroyed capitalism yet the economy was not strong enough to start building socialism "state capitalism"
Card 3
Front
What were Lenin's visions of as socialist economy
Back
Card 4
Front
What is State Capitalism
Back
Card 5
Front
Why did state capitalism fail
Back
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