War communism and NEP
War Communism (191-21)
WHAT:
o = the gearing of the whole economy to the needs of the Red Army + winning the Civil War
o Introduced 1918 (replaced ‘state capitalism’ that had only lasted 9 months)
o Replaced in 1921 by New Economic Policy (NEP)
State capitalism:
– Introduced by Bolsheviks after they came to power = ½ way between capitalism + socialism
– Until USSR was ready to fully embrace socialism the state managed key parts of the economy while private
markets continued in other parts of the economy
– Examples:
o Nationalisation of Russia’s banks (1917) + railways (1918)
o Establishment of Vesenkha
o Establishment of GOELRO formed 1920 to organise the production + distribution of electricity
Problems:
- Many Bolsheviks didn’t want a ‘halfway house’; demanded state control of every part of the economy
- factories taken over by workers = drop in production -> workers lacked necessary management skills
- Letting peasants have control over selling of grain meant higher prices. But state-controlled industries needed
cheap grain so that workers didn’t have to be paid higher wages
MAIN FEATURES:
1) Grain requisitioning:
o Special army units sent into countryside to take grain from the peasants -> primarily to
ensure the Red Army were fed at front line of Civil War
o Food Supplies Dictatorship set up May 1918 to organise requisitioning of grain to feed
Red Army + workers in cities
2) Banning private trade:
o All private trade + manufacture = banned (capitalist element of state capitalism policy)
3) Nationalisation of Industry
o Now ALL industry was brought under state control + run by Veshenka
o Private trade + manufacture banned
o Railways placed under military style control
4) Labour discipline introduced:
o Fines for lateness, internal passports introduced to stop people fleeing to countryside
o Workers lost rights + freedoms given by Decree on Workers’ Control of Factories. The
workers’ soviets (ran factories) abolished
o Wages replaced with ration-card workbooks. Rations given out in accordance with class
status. Red A + factory workers got most & Bourgeoisie the least (/nothing)
5) Rationing
o Workers + soldiers given priority
o Smaller rations given to civil servants/professionals
o Lowest rations to bourgeoisie (Zinoviev described the bread ration as ‘just enough bread
so as not to forget the smell of it’)
, WHY WAS IT INTRODUCED:
1) Civil War:
o Caused shortages of food + supplies – Bolsheviks didn’t control all of Russia, led to…
2) Rapid deterioration of economy:
o Workers committees proved incapable of running factories (elected own leader)
o Gov printed money -> hyperinflation
3) The Peasants held onto their produce
o With less goods in the cities to swap for their grain, peasants refused to give it away ->
food shortages worsened
4) To end the ‘Black market’
o 2/3 of food consumed in city = from black market
5) To prevent depopulation of cities
o Up to 60% Petrograd workforce fled city by April 1918 – mainly to countryside
IMPACT ON RUSSIA
1) Grain requisitioning
Food Supplies Dictatorship set up May 1918 to organise it
Collective farming encouraged – pool resources
Peasants were supposed to be paid a fixed price
Reality = soldiers seized more and gave vouchers instead of cash (many tried to make
themselves rich)
Worst hit = kulaks (wealthier peasants i.e. bourgeoisie) – often had all their stocks taken
Was very unpopular with peasants. Cheka had to be used extensively to make it work.
2) The impact on workers
Nationalisations increased
Sugar (May 1918), Oil (June 1918). By end 1920 nearly ALL factories and businesses were
nationalised
Workers’ Soviets that had run the factories were abolished
Professional managers employed to run factories – to impose discipline + increase output.
Welcomed by some workers as it made it more likely factories would stay open
Strict discipline introduced in factories: strikes forbidden; working hours increased; fines
introduced
Strict controls on movement – passports stopped people returning to countryside
3) Overall impact on the economy
Production declined: By 1921 industrial output fell to around 20% of pre-war levels
Urban depopulation continued: by end 1920, Petrograd and Moscow populations had
fallen by 58% and 45% from 1917 levels
Requisitioning and attacks on kulaks led to food supply and production problems. 1/3 rd of
farming land was abandoned.
Hyperinflation: Bolsheviks printed money
4) The great famine of 1921
1921 Harvest was only 48% that of 1913. Caused by a particularly dry summer. Famine
broke out
Millions died – estimated at 5m (Susan Reed –History Today)
Population fell from 171m in 1913 to 131m in 1921 (effects of two wars and a famine)
There were reports of cannibalism and a trade in dead bodies.
Famine 155 risings across Russia according to the Cheka – Tambov revolt was the worst
War Communism (191-21)
WHAT:
o = the gearing of the whole economy to the needs of the Red Army + winning the Civil War
o Introduced 1918 (replaced ‘state capitalism’ that had only lasted 9 months)
o Replaced in 1921 by New Economic Policy (NEP)
State capitalism:
– Introduced by Bolsheviks after they came to power = ½ way between capitalism + socialism
– Until USSR was ready to fully embrace socialism the state managed key parts of the economy while private
markets continued in other parts of the economy
– Examples:
o Nationalisation of Russia’s banks (1917) + railways (1918)
o Establishment of Vesenkha
o Establishment of GOELRO formed 1920 to organise the production + distribution of electricity
Problems:
- Many Bolsheviks didn’t want a ‘halfway house’; demanded state control of every part of the economy
- factories taken over by workers = drop in production -> workers lacked necessary management skills
- Letting peasants have control over selling of grain meant higher prices. But state-controlled industries needed
cheap grain so that workers didn’t have to be paid higher wages
MAIN FEATURES:
1) Grain requisitioning:
o Special army units sent into countryside to take grain from the peasants -> primarily to
ensure the Red Army were fed at front line of Civil War
o Food Supplies Dictatorship set up May 1918 to organise requisitioning of grain to feed
Red Army + workers in cities
2) Banning private trade:
o All private trade + manufacture = banned (capitalist element of state capitalism policy)
3) Nationalisation of Industry
o Now ALL industry was brought under state control + run by Veshenka
o Private trade + manufacture banned
o Railways placed under military style control
4) Labour discipline introduced:
o Fines for lateness, internal passports introduced to stop people fleeing to countryside
o Workers lost rights + freedoms given by Decree on Workers’ Control of Factories. The
workers’ soviets (ran factories) abolished
o Wages replaced with ration-card workbooks. Rations given out in accordance with class
status. Red A + factory workers got most & Bourgeoisie the least (/nothing)
5) Rationing
o Workers + soldiers given priority
o Smaller rations given to civil servants/professionals
o Lowest rations to bourgeoisie (Zinoviev described the bread ration as ‘just enough bread
so as not to forget the smell of it’)
, WHY WAS IT INTRODUCED:
1) Civil War:
o Caused shortages of food + supplies – Bolsheviks didn’t control all of Russia, led to…
2) Rapid deterioration of economy:
o Workers committees proved incapable of running factories (elected own leader)
o Gov printed money -> hyperinflation
3) The Peasants held onto their produce
o With less goods in the cities to swap for their grain, peasants refused to give it away ->
food shortages worsened
4) To end the ‘Black market’
o 2/3 of food consumed in city = from black market
5) To prevent depopulation of cities
o Up to 60% Petrograd workforce fled city by April 1918 – mainly to countryside
IMPACT ON RUSSIA
1) Grain requisitioning
Food Supplies Dictatorship set up May 1918 to organise it
Collective farming encouraged – pool resources
Peasants were supposed to be paid a fixed price
Reality = soldiers seized more and gave vouchers instead of cash (many tried to make
themselves rich)
Worst hit = kulaks (wealthier peasants i.e. bourgeoisie) – often had all their stocks taken
Was very unpopular with peasants. Cheka had to be used extensively to make it work.
2) The impact on workers
Nationalisations increased
Sugar (May 1918), Oil (June 1918). By end 1920 nearly ALL factories and businesses were
nationalised
Workers’ Soviets that had run the factories were abolished
Professional managers employed to run factories – to impose discipline + increase output.
Welcomed by some workers as it made it more likely factories would stay open
Strict discipline introduced in factories: strikes forbidden; working hours increased; fines
introduced
Strict controls on movement – passports stopped people returning to countryside
3) Overall impact on the economy
Production declined: By 1921 industrial output fell to around 20% of pre-war levels
Urban depopulation continued: by end 1920, Petrograd and Moscow populations had
fallen by 58% and 45% from 1917 levels
Requisitioning and attacks on kulaks led to food supply and production problems. 1/3 rd of
farming land was abandoned.
Hyperinflation: Bolsheviks printed money
4) The great famine of 1921
1921 Harvest was only 48% that of 1913. Caused by a particularly dry summer. Famine
broke out
Millions died – estimated at 5m (Susan Reed –History Today)
Population fell from 171m in 1913 to 131m in 1921 (effects of two wars and a famine)
There were reports of cannibalism and a trade in dead bodies.
Famine 155 risings across Russia according to the Cheka – Tambov revolt was the worst
