Industrial and Agricultural changes (1917-85) Flashcards

Question

What kind of economy did the NEP create and why was it introduced?

Answer 1

The NEP (New Economic Policy), introduced in 1921, created a mixed economy, combining private ownership with state control. It replaced War Communism as a temporary retreat from full socialism, designed to stabilise the economy and maintain Bolshevik power. While small-scale private businesses and traders were allowed to operate freely, the state retained control over heavy industry, transport, and banking, which Lenin called the "commanding heights" of the economy. The NEP aimed to revive economic output, reduce unrest, and prevent political collapse.

Answer 2

Industrial output rose rapidly in the first three years of the NEP, largely due to the repair of infrastructure (roads and bridges damaged during the civil war) and reactivation of pre-existing factories. Good harvests in 1922 and 1923 helped boost agricultural recovery. Nepmen (private traders) thrived, especially in cities, by opening restaurants, market stalls, and small shops, helping to restore urban life and stimulate local economies. The economic improvement made the NEP tempting to retain beyond its intended short-term use.

Answer 3

The NEP triggered undesirable side-effects: Corruption flourished through a black market. Prostitution became widespread as people sought to survive economically. Gangs of children roamed cities, stealing and reselling goods to survive. A major economic issue was the "scissors crisis", where: Food prices dropped, but industrial goods became increasingly expensive, discouraging peasants from selling their grain. This imbalance was so stark that Trotsky described it as the blades of a pair of scissors opening wide when plotted on a graph. In December 1923, the government intervened to regulate prices to close the gap and maintain market stability.

Answer 4

Though the NEP was economically successful, many Bolsheviks saw it as a retreat from socialism and a return to capitalism. Allowing private trade, profit-making, and the use of currency contradicted communist principles. Left-wing Bolsheviks were particularly hostile, viewing NEP policies like piecework, bonuses, and currency-based wages as capitalist tools. The continuation of political repression (e.g. banning of other parties and arrest of Mensheviks) showed that economic compromise did not extend to political liberalisation, allowing some Bolsheviks to tolerate the NEP temporarily.

Answer 5

The Bolsheviks considered the NEP a temporary tactical retreat, not a permanent policy. Debate intensified during the 1920s over how long the NEP should continue before transitioning to a more state-controlled socialist economy. The NEP’s initial success made ending it politically difficult, but its ideological inconsistency with communism created growing tension within the party leadership.

Answer 6

1927 saw a series of events that raised fears of foreign invasion: A British raid on the offices of the Soviet trade mission in London. Attacks on Chinese Communists in Shanghai. These events confirmed Soviet leaders’ belief that the USSR faced imminent threat of invasion and needed to be placed on a war footing. Peasants responded to these fears by hoarding food, which confirmed to Stalin that the peasantry was impeding further economic growth.

Answer 7

Soviet production figures were still far below those of modern industrial economies of Western Europe. By 1928, the Soviet Union's industrial output was still severely lacking compared to Western standards, and the economy could not compete globally. Since the Bolshevik takeover in 1917, trade with the rest of the world had been severely reduced. The Soviet Union could no longer rely on foreign trade for growth and had to rely on its own resources to rebuild. The Five-Year Plan was proposed to place the economy on a state-controlled footing to ensure that the economic resources of the USSR were maximised for industrial growth, including food production to support urbanisation.

Answer 8

A key goal of the Five-Year Plan was to extend state control and remove the Nepmen and kulaks, who had grown wealthier during the NEP through private trade and farming. These groups were increasingly viewed as enemies of the revolution by many in the Communist Party, who believed their wealth and status were the result of compromises made under the NEP. The Five-Year Plan would remove these groups from economic power and allow the state to assert greater control over the economy. 1926 saw Stalin's removal of the Left in the Communist Party, and by 1928, he was targeting the Right wing of the Party, including Bukharin, Tomsky, and Rykov, who were in favour of retaining the NEP. These leaders were opposed to forced collectivisation, fearing it would lead to a decline in food production, but Stalin argued that it was holding back the industrialisation of the Soviet Union.

Answer 9

The launching of the Five-Year Plan in 1928 marked a shift towards a command economy, allowing Stalin to consolidate his power within the Party and government. Stalin used this plan to remove the Right-wing leaders of the Party and ensure that his vision for the economy was fully implemented. With the Five-Year Plan, Stalin gained control over key state planning agencies, solidifying his dominance over the Soviet economy and party.

Answer 10

By 1928, it was clear that Lenin's original 1917 declaration that workers would have control over their own factories and workplaces had been naive and idealistic. In practice, workers' control had been incompatible with industrial efficiency and productivity, and it posed a threat to Bolshevik authority. The Bolshevik leadership realised that they needed a centralised, state-run economy to ensure industrialisation and to maintain control over the workforce.

Answer 11

War Communism had been implemented as a response to the civil war and to exert state control over the economy, but it alienated the population and led to economic collapse. The NEP had served as a temporary remedy, kick-starting the economy and allowing the peasants to regain some autonomy, but it was compromised and led to the rise of economic classes (Nepmen, kulaks) that the Communist Party resented. Both War Communism and the NEP had achieved their immediate goals, but at the cost of popular support and the ideals of the Revolution. By 1928, it became clear to the Communist leadership that a command economy was necessary for rapid industrialisation and for consolidating the Communist Party's power. Thus, the shift away from the NEP was seen as a way to strengthen the Soviet economy and centralise authority.

Answer 12

To rapidly industrialise the USSR and transform it into a modern, self-sufficient superpower To replace the NEP's mixed economy with full state control and eliminate capitalist elements like the Nepmen To modernise outdated technology and address the needs of the growing Soviet population To move toward socialism by using the USSR's own resources — known as "Socialism in One Country" To prevent foreign domination, as Stalin warned: “We are 50 to 100 years behind the advanced countries. We must make good this distance in 10 years. Either we do it or we shall be crushed.”

Answer 13

Initiated after the Fifteenth Party Congress in 1927 Directed by Gosplan (State Planning Authority), which set targets and allocated resources to priority industries Focus on heavy industry using the most advanced available technology Involved mass mobilisation of labour and resources, with military-style language encouraging people to “storm” and “conquer” production “fronts” People's Commissariats were established to coordinate branches of industry Party officials were placed in factories to ensure central directives were enforced

Answer 14

Small businesses and shopkeepers (Nepmen) were forced to join state-run cooperatives The mixed economy of the NEP was effectively ended by the extension of state control over nearly all urban activity A campaign was launched against “bourgeois experts” — technical staff retained from the Tsarist period These experts were accused of “wrecking” and sabotage, and some were tried in 1928 show trials for alleged collusion with foreign agents Their removal opened up technical roles to loyal, though often less trained, Communist workers This loss of expertise hindered industrial progress despite ideological gains

Answer 15

Focused on rapid industrial growth, especially in heavy industries like coal, steel, and iron Followed the ideas of economist Evgeny Preobrazhensky, although Stalin did not acknowledge his influence Reflected the goals of the superindustrialisers, who believed that industrial growth must come before other sectors Consumer industries, including textiles and household goods, were neglected The rationale was that a strong industrial infrastructure (factories, transport, and plant) had to be built first to allow future economic development

Answer 16

Second Five-Year Plan (1933–37) initially aimed to increase consumer goods production However, the rise of Hitler in Germany during the 1930s led to a shift back toward defence and heavy industry Third Five-Year Plan (1938) was even more explicitly focused on arms production to address the growing military threat from Germany

Answer 17

Targets under the First Plan were constantly raised, often to unrealistic levels, as planners competed to show revolutionary zeal Historian Martin McCauley (1993) observed that “it was as if mathematics had ceased to function” The emphasis shifted from simply meeting targets to over-fulfilling them, as failure was seen as a lack of commitment to the Revolution Although many targets were not actually met, the plans achieved remarkable results, transforming the Soviet Union into a major industrial power However, the growth was unbalanced, with serious neglect of consumer needs and basic goods

Answer 18

Expansion was largely due to more efficient use of existing factories and equipment, rather than new construction in the early years New plants were built, but they did not significantly impact production until after 1934 Large industrial centres, like Magnitogorsk and Gorki, were built from scratch and grew rapidly Magnitogorsk had only 25 people in 1929; by 1932, it had grown to 250,000 Conditions at these new centres were primitive—workers lived in tents and temporary huts, and material rewards were limited Many workers volunteered and relied on revolutionary attitudes and socialist beliefs for motivation

Answer 19

In 1933, only 17% of Moscow’s workforce was skilled; the percentage was even lower in other cities The government used ‘shock brigades’ of the best workers to set examples Alexei Stakhanov, a miner from the Donbass region, became famous for mining 15 times the average amount of coal Model workers were rewarded with better flats and increased rations, while slackers were ridiculed Statues of Lenin were erected at many sites to inspire workers toward revolutionary achievements

Answer 20

Slave labour from the Gulag system was used for major projects in remote areas like Siberia, rich in natural resources Labour camp prisoners were used to build mines, railways, and other infrastructure The White Sea Canal project employed 180,000 prisoners by 1932 During the 1931–32 winter, 10,000 prisoners died while working on the canal The project was declared a propaganda success, but to save time and money, the canal depth was cut from 22 feet (6.7 m) to 12 feet (3.6 m), making it usable only for small barges This shows Stalin’s regime prioritised ideological achievement over human cost or practical utility

Answer 21

Managers had to meet unrealistically high targets, which led them to use corruption and deceit Tactics included ambushing resources meant for other factories and engaging in bribery This behaviour laid the foundations for the infamous corruption of the USSR in later decades

Answer 22

Quality was sacrificed in the rush to meet or exceed targets The Stalingrad tractor factory was meant to produce 500 tractors/month in 1930, but in June, it produced only eight Most of those broke down within three days, showing the gap between propaganda and reality

Answer 23

The Second Five-Year Plan made better use of technical expertise, learning from the chaotic planning of the First Plan By this time, new industrial centres began producing, and coal production rose substantially The chemical industry also made progress, although the oil industry remained disappointing The Third Plan, launched in 1938, became heavily focused on the defence industry due to growing international tension

Answer 24

Both traditional industrial centres (like Moscow and Leningrad) and new industrial centres in less-developed areas such as Kazakhstan were developed This acted as a form of regional development, promoting a more even distribution of industry across the USSR Industry was also deliberately located east of the Ural Mountains to make it less vulnerable to attack from the West

Answer 25

While few industries met the overambitious targets of the First Plan, the economic achievements were substantial The USSR experienced an average annual growth rate of 17% during 1928–41 There was a four-fold increase in steel production and a six-fold increase in coal production The Dnieper Dam project was one of the key infrastructure successes, supplying power to support industrial expansion

Answer 26

Historian A. Nove raised concerns about the accuracy of official Soviet figures, especially as machinery production overfulfilled targets despite metal production lagging, which is odd given their interdependence Still, there was clear rapid growth in sectors like engineering and transportation

Answer 27

Consumer industries suffered: Textile production declined during the First Plan The housing industry was virtually ignored Cottage industry was destroyed by collectivisation, further reducing consumer goods availability There was some progress under the Second Plan: Increases in footwear production and food processing By the late 1930s, new bakeries, ice-cream factories, and meat-packing plants were built in many towns However, these limited improvements did not resolve the ongoing shortages of essential consumer goods

Answer 28

The command economy was centrally directed from Moscow, where planners had little understanding of local conditions This often led to wasted resources due to inappropriate allocations The 1937 purges removed a large number of managers and technical experts, which slowed economic progress significantly

Answer 29

The NEP (introduced in 1921) left agriculture largely unchanged since the 1917 Revolution By 1928, agriculture was still run individually by peasant households and supervised by the mir (village elders) The NEP was a compromise over government control of food supplies, but both political and economic pressures pushed Stalin to abandon it in favour of collectivisation

Answer 30

There was a fear of invasion by capitalist countries, prompting the Communist Party to urgently industrialise A modern economic base was essential for national defence Industrialisation required: More food surpluses to feed a growing urban population Foreign exchange, earned by exporting surplus food, to buy foreign technology Labour, which could only be released from the countryside through mechanisation of agriculture Therefore, agriculture had to become more efficient to support Stalin’s industrial policy

Answer 31

Peasant-based agriculture was highly inefficient compared with other European countries Most farms were small peasant plots with land distributed in a piecemeal fashion Collective farms (grouping peasants on larger units) would create economies of scale Hedgerows and boundaries could be removed to enable use of machinery Mechanisation would increase food production and reduce the labour required, freeing workers for industry

Answer 32

Collectivisation would extend socialism to the countryside and strengthen Party control, which had been weak since the Tambov Rising (1921) Peasants were not ideologically committed to socialism and had largely maintained private ownership ideals The Land Decree of 1917 took land from the aristocracy but never intended it to be privately owned by peasants Under the NEP, by 1925 less than 1% of farmland was collectivised, and private profit-making had returned Collectivisation also offered a way to eliminate the kulaks, richer peasants accused of: Profiting from NEP Hoarding grain instead of supplying industrial workers

Answer 33

By 1928, Party disputes over agricultural production had reached a crisis Stalin believed that agriculture and peasant attitudes were holding back industrial progress State grain procurements had declined since 1926, as peasants grew less surplus: Fearing it would be seized at low prices Lacking industrial goods to purchase with any profits Stalin’s solution was a forced policy of collectivisation to: Increase food production Remove capitalist attitudes among the peasantry Accelerate industrial growth

Answer 34

In December 1927, the Fifteenth Party Congress agreed on a programme of voluntary collectivisation However, food shortages in 1928 led to forced grain requisitioning as an emergency response This forced seizure was known as the "Ural-Siberian method" and was used increasingly as collectivisation accelerated

Answer 35

Stalin moved from limiting their influence to a policy of "liquidating the kulaks as a class" The term ‘kulak’, originally meaning a richer peasant with a small plot of land, came to refer to any peasant who resisted collectivisation Kulaks were labelled “class enemies” and targeted for deportation to Siberia and the Urals

Answer 36

Local Party officials entered villages to announce the formation of a kolkhoz and lecture peasants on the benefits of collectivisation Promises were made about increased mechanisation through Machine and Tractor Stations (MTS) The MTS were state-run centres that: Supplied machinery like tractors Provided agricultural advice Delivered political education to promote socialism Once enough peasants signed up, the collective seized animals, grain, and buildings as collective property

Answer 37

Violent resistance erupted, especially in Ukraine and the Caucasus Many peasants burned their farms and slaughtered their animals rather than hand them to the state Party officials were sometimes murdered when they arrived in villages The state responded with: “Dekulakisation squads” to enforce collectivisation The “Twenty-five Thousanders”, urban Party members sent to organise collectives—lacking agricultural knowledge but trained in class warfare Use of the OGPU (secret police) to round up and deport kulaks and resistors Deployment of the Red Army and even bombing of some rebellious villages by the air force

Answer 38

In March 1930, Stalin published “Dizzy with Success”, blaming overzealous local officials for excesses This marked a temporary pause in collectivisation, just long enough to ensure peasants sowed the new year’s crops Some concessions were introduced: Collective members could keep some animals They were allowed a small private garden plot Despite this, the programme of collectivisation resumed and intensified

Answer 39

By 1932, 62% of peasant households had been collectivised By 1937, this had risen to 93%

Answer 40

The supply of machinery to collectives was slow; many farms had no tractors until the mid-1930s The removal of kulaks—often the most productive farmers—damaged output, as they were relied on for tool hire Peasant resistance, such as mass slaughtering of animals, had a devastating effect: Number of cattle halved between 1928 and 1933 Livestock levels not fully recovered until 1953 Resulted in a shortage of meat and milk

Answer 41

Grain production fell: From 73.3 million tonnes in 1928 To 67.6 million tonnes in 1934 The fall was worsened by increased grain seizures under state procurements, to feed the Red Army and urban workers The state also seized grain for export, to obtain foreign exchange, worsening rural food shortages

Answer 42

Widespread famine occurred in 1932–33, especially in: Ukraine Kazakhstan The Caucasus region Peasants tried to flee to towns, but the state introduced a passport system to trap them in collectives, creating a system resembling serfdom In extreme cases, peasants resorted to cannibalism, eating their own children The government officially denied famine, dismissing it as “local difficulties” Foreigners like Sidney and Beatrice Webb were escorted to model farms far from famine areas

Answer 43

Recent Soviet data estimates 4 million deaths in 1933 alone from famine Historians estimate total deaths from collectivisation and its consequences at between 5 and 10 million The kulak class, estimated at 15 million in 1928, was liquidated Historian Robert Conquest (1986) argued this was a deliberate genocide, especially in Ukraine—known as the Holodomor ("murder by starvation")

Answer 44

In Ukraine, the grain harvest of 1932 shows it bore the brunt of the famine, suggesting deliberate targeting Ukrainian nationalism had previously alarmed the Soviet regime during the 1920s civil war In Kazakhstan, the nomadic Kazakh people were forced into collectives, destroying their way of life: Sheep flocks were wiped out A typhus epidemic followed The Kazakh population fell by 40% By 1941, some peasants cheered the invading German army, showing how alienated rural populations had become

Answer 45

Recovery began after a relatively good harvest in 1933, but progress was slow The 1937 harvest was better, helped by good weather and less demand for animal fodder However, lack of haulage power due to lost livestock and slow tractor supply remained a problem In some areas, humans pulled ploughs due to lack of horses or machines Progress was hampered by: Government interference Inadequate planning "Hare-brained schemes", such as planting crops that allegedly produced rubber Orders from Moscow that ignored local conditions

Answer 46

Collectivisation achieved political goals, especially Party control over the countryside In 1930, the mir (village commune) was abolished and replaced by the kolkhoz administration, headed by a Party-appointed chairman, usually from the town The Party extended control through: Use of Communist youth to spy on peasants from wooden watchtowers, preventing theft of food for families Collectivisation deepened the town–countryside divide Agriculture and rural society were sacrificed for the needs of industry and urban populations

Answer 47

The German invasion on 22 June 1941 put enormous pressure on Soviet resources Centralised control of the economy helped mobilise resources effectively Local Defence Committees coordinated war production, converting factories for military use (e.g., a Moscow bicycle factory made flamethrowers) Many factories were relocated eastwards, away from the German advance Despite initial industrial collapse, recovery began after 1941: Between 1943–45, over 73,000 tanks and 94,000 aircraft were produced Lend-Lease (from Britain) provided goods like tinned meat, including Spam Consumer goods production was virtually non-existent during the war By 1945: Steel production fell to 12 million tonnes (from 18 million in 1940) Oil production was under two-thirds of the 1940 level Wool production was under half of 1940 levels

Answer 48

Many able-bodied men were conscripted, and machinery/animals requisitioned by the Red Army Grain production fell dramatically: From 95 million tonnes in 1940 To 30 million tonnes in 1942 The number of cattle halved The government lifted restrictions on private plots to incentivise food production

Answer 49

The western USSR was devastated 25 million people were homeless Over 1,700 towns and 70,000 villages were classified as destroyed

Answer 50

Priority: economic reconversion and reconstruction War production plants had to be retooled for civilian use Large industrial plants had to be rebuilt State control was reinforced over the economy Lend-Lease ended, making recovery harder Resources seized from Eastern Europe, especially East Germany, though some machinery was left to rust due to lack of expertise Trade deals with Soviet-controlled Eastern Europe were heavily one-sided in the USSR’s favour Reconstruction relied mostly on Soviet resources and people

Answer 51

The Plan aimed to restore the economy to pre-war levels Recovery was impressive, due in part to over 2 million Gulag labourers Strong central planning and worker retraining programmes helped meet targets Penalties for slackers remained harsh Focus remained on heavy industry, especially metal and armaments The Plan was overfulfilled, though consumer goods were still neglected The economy reverted to 1930s priorities, ignoring new technologies like plastics and chemicals

Answer 52

Aimed for continued but slower growth Cold War tensions led to increasing military expenditure Growth in non-military industries was less impressive Many resources went into grandiose projects with limited practical value: Volga-Don Canal carried little traffic but was adorned with Stalin statues Massive government buildings in Moscow were built despite a housing shortage By 1948, urban living standards began to recover Price reductions improved conditions By 1952, real wages for urban workers reached 1928 levels Rural recovery was much slower than urban recovery

Answer 53

The government introduced concessions to maintain food production The 'Link' system allowed small groups of peasants responsibility over parts of collective farms As long as they met state delivery targets, peasants could sell the remainder of their produce for profit

Answer 54

The Link system was abolished as the Party quickly reimposed control Taxes on private plots were increased to reduce their importance Agricultural resources came under strict Party supervision through the Machine and Tractor Stations

Answer 55

Production remained low and labour shortages persisted There was a severe gender imbalance in rural areas: Many able-bodied men had been lost in the war or moved to towns for work As late as 1950, some villages were entirely populated by women and children Livestock shortages worsened the situation Women were sometimes forced to shackle themselves to ploughs to till the land A drought in 1946 further damaged agriculture In 1947, parts of Ukraine experienced famine

Answer 56

Even by 1952, grain production had not recovered to the level of 1940 Productivity was lower than it had been in 1913

Answer 57

Appointed Party Secretary for Moscow province in 1949, Khrushchev aimed to increase productivity He promoted the creation of larger collectives to facilitate large-scale machinery use Larger collectives were also easier for the Party to control By 1952, over 100,000 larger collectives had been created These new collectives were unpopular with peasants

Answer 58

Stalin pushed a grandiose plan to plant trees across semi-desert regions The plan failed when the trees died

Answer 59

It created an opportunity to shift the pace and focus of economic policy Khrushchev’s de-Stalinisation promoted a greater focus on consumer goods and agriculture A more realistic pace of development was introduced The Sixth Five-Year Plan (1956–60) launched the Virgin Lands Scheme The Seven-Year Plans (1959–65) prioritised light industry, a trend continued under later leaders up to 1985 With reduced terror, social stability had to be maintained by improving living standards, especially through consumer goods access Although reforms to ‘the Plan’ system were attempted, real and lasting change proved elusive

Answer 60

He aimed to shift from heavy industry ("metal eaters") to: Light industry Chemicals Consumer goods The goal was to broaden the economic base and improve everyday life The intention was to make the ‘workers’ paradise’ a reality

Answer 61

A vast bureaucracy in Moscow suppressed local initiative Fear of upsetting the Plan prevented innovation The atmosphere of terror under Stalin discouraged risk-taking Workers faced harsh labour laws, including fines for absenteeism The system was clumsy and wasteful, unable to adapt to change Example: Couldn’t react to a sudden rise in demand for heavy coats in a cold winter

Answer 62

In 1957, 105 Regional Economic Councils (Sovnarkhozy) were set up Aimed to decentralise decision-making to reflect local conditions better Stalin’s harsh labour laws were removed The working week was reduced from 48 to 41 hours by 1960 Incentives replaced coercion Factory managers were given more autonomy Allowed to keep 40% of profits for reinvestment in their enterprise Vocational education was emphasised Specialist technical schools were established Vocational training expanded to support industrial development

Answer 63

Developed by Evsei Liberman, it proposed: Greater autonomy for local managers The market, not the state, should set prices The plan was watered down by conservatives in the Politburo, who preferred Stalinist principles

Answer 64

What were the main aims and features of the Seven-Year Plan (1959–65)? Marked a clear influence of Khrushchev’s economic policy Based on the discovery of new mineral resources, especially in the Volga–Urals fields Aimed to transform the fuel and chemical industries, shifting emphasis from coal to oil and gas Natural gas was cheap and abundantly available, but little used Strong focus on the chemical industry to support consumer goods production Targeted a rise in synthetic fibre production from 166,000 tons in 1958 to 666,000 tons by 1965 Also aimed for large increases in: Footwear Natural fabrics Housing Regional development was promoted Areas east of the Urals received over 40% of available investment

Answer 65

1959: Khrushchev boasted to the West: “We will bury you” Reflected ambition to overtake the West in technology and consumer goods Though the claim was exaggerated, Soviet technological achievements boosted pride: 1957: Launch of Sputnik, the first space satellite First dog in space 1961: Yuri Gagarin became the first man in space These space achievements brought international prestige and national pride Living standards rose as consumer goods became more abundant

Answer 66

Though more consumer goods were available, quality was often poor Misreporting and absurd fulfilments of targets were common Example: A shoe factory met its quota, but all the shoes had the heel nailed to the toe Despite impressive headline growth, underlying inefficiencies persisted: 1950s Soviet annual growth rate was 7.1% Compared to 2.9% in the USA But the Soviet economy still lagged behind due to a smaller economic base Problems included: Poor labour productivity Inefficiency Waste The Sovnarkhoz (Regional Economic Council) experiment: Made national planning harder Gosplan became overburdened yet had less influence 1962: The Party was split into industrial and agricultural branches, which added to confusion

Answer 67

Economic growth had slowed Spending on consumer goods was reduced The housing programme was cut back Khrushchev’s reforms faced resistance from: Party bureaucrats loyal to Stalin’s heavy industry model The powerful military-industrial complex Many reforms were watered down or ignored

Answer 68

Khrushchev, from a peasant background, understood that slow food production was holding back industrial growth and keeping living standards unacceptably low He genuinely attempted to meet peasants on collectives and listen to their views Khrushchev considered himself an agricultural expert, though he overstated his abilities in this area His aim was to raise the priority of agriculture in the Soviet economy to rectify the Stalin-era neglect of agriculture in favour of industrial needs

Answer 69

In 1955, individual collectives were given greater decision-making powers at the local level Flexibility was allowed over how directions from the Ministry of Agriculture were implemented The Machine and Tractor Stations (MTS), which peasants hated as instruments of central interference, were abolished MTS were replaced with a system where each collective had to buy its own machinery, which turned out to be a naive view Collectives were increased in size, many becoming large agro-industrial villages (Agrogoroda) These units linked food production with food processing The shift aimed to create economies of scale and enable greater investment in agriculture However, these larger units were unpopular with peasants, who felt more disconnected from the land State procurement prices for agricultural goods were increased, and the system of compulsory seizure was replaced by planned state purchases The aim was to encourage greater productivity Concessions were given to peasants on private plots, allowing them to sell produce at private markets This individualism encouraged peasants to grow more food Private plots played a crucial role in ensuring regular food supplies for the population Productivity on private plots was often much higher than on collective fields Nearly all eggs produced in the USSR came from private plots

Answer 70

The Virgin Lands Scheme was introduced in 1954 as one of Khrushchev’s most famous agricultural initiatives The scheme encouraged the opening up of new areas to agricultural production, particularly in regions like Siberia and Kazakhstan Six million acres of land were brought under cultivation through the scheme 120,000 tractors were provided for use in the scheme The scheme relied heavily on volunteers, many from the Young Communist League (Komsomol), who were sent to work in the newly opened areas

Answer 71

Khrushchev raised the status of agriculture within the Soviet economy, moving it back to the centre of economic planning This achievement was significant given the powerful military-industrial complex within the Politburo, which argued for preferential treatment for its sector

Answer 72

Between 1952 and 1958, farmer incomes doubled, though they still remained far below those of industrial workers Food production increased by 51 percent between 1953 and 1958 Despite the increase, productivity remained low due to too many people engaged in farming

Answer 73

Not all of Khrushchev's policies worked, and some were viewed as hare-brained schemes In 1959, the target for grain production in Kazakhstan failed to be met This failure marked the first sign that the Virgin Lands Scheme was failing The land was dry and only suitable for grazing, which contributed to the failure of the scheme Successful cash crops such as cotton were replaced by food crops, including maize in a phenomenon known as "maize mania" Without irrigation, the maize plants died Investment in the agricultural sector had increased, but it was not enough to overcome the problems caused by years of underinvestment Poor roads and inadequate storage facilities contributed to the difficulties faced in dealing with the poor harvest of 1963 The shortage of crop harvests impacted supplies of animal fodder, leading to the slaughter of millions of livestock

Answer 74

The USSR had to import grain from North America and Australia due to the failure of domestic production Khrushchev had built his reputation on agricultural success, so the failure of this sector was a significant factor in his dismissal in 1964

Answer 75

Khrushchev's dismissal as General Secretary led to the abandonment of his most contentious policies Economic policy remained largely the same after his removal, with some reform attempts but strong resistance from conservatives Reformers continued pushing for creativity, innovation, and productivity improvements, but their efforts were resisted by conservatives who favored the command economy methods of Stalin

Answer 76

In 1965, the new leadership abolished the Regional Economic Councils set up by Khrushchev, returning more power to the central planning apparatus Gosplan was given greater coordination powers, showing the influence of conservatives like Brezhnev

Answer 77

In 1965, Alexei Kosygin, the Prime Minister, launched reforms aimed at encouraging creativity and improving productivity Kosygin’s reforms included: Incentives for enterprise managers to use resources more effectively A shift from Stalinist focus on quantity produced to a more cost and profit-oriented approach However, these reforms faced significant obstacles: Officials were often unenthusiastic or hostile toward the reforms Central planners resisted accountability and reform that limited their control Brezhnev, sympathetic to conservatives, sabotaged reforms, watering them down to the point of ineffectiveness Bonuses for output were higher than those for innovation, so managers stuck to safe, traditional methods The focus on bonuses for profit led to fewer, expensive items being produced instead of mass-produced, needed items By 1968, Kosygin was sidelined by Brezhnev and given a role in foreign affairs

Answer 78

In 1973, industrial complexes were joined with scientific research institutions to ensure modern technology was applied to production Brezhnev talked about the alliance of the working class with science In 1974, the system of targets was further centralised The new targets focused more on cost and profit, moving away from reliance on output figures However, attempts to adopt new technology were limited by the rigid command economy Managers feared loss of production when new machinery was installed, so old machinery was often left in use, causing it to rust The use of cost and profit indicators was less effective in an economic system where prices were set by the government, not by supply and demand

Answer 79

Khrushchev’s push for consumer goods continued under Brezhnev The Ninth Five-Year Plan emphasized consumer goods, with growth in this area surpassing that of heavy industry Goals were not fulfilled, but growth was still impressive, and living standards rose By 1980: 85% of families had televisions 70% of families had washing machines Only 9% of families had cars Investment in public transport remained high Despite the emphasis on consumer industries and agriculture, the military-industrial complex often took decisions without informing other members of the Politburo

Answer 80

Khrushchev’s decentralising schemes in agriculture were reversed under Brezhnev Power was returned to the Ministry of Agriculture, and the Virgin Lands Scheme was dropped By 1976, 26% of all investment was directed to agriculture, with fertilisers receiving particular attention A larger role was allowed for peasants’ private plots Private plots made up 1% of the cultivated area but produced 25% of all produce However, Brezhnev's agricultural policies led to: Steady rise in overall production, but with a steady decline in workers’ productivity The agricultural workforce remained large and unskilled, with machinery prone to breakdowns and roads often impassable Much of the food produced rotted before it reached markets A failure of food production to meet rising demand, leading to shortages in state shops The gap was filled by private markets, where food was sold at double the price of state shops In 1978, the price of food at private markets was double the price in state shops

Answer 81

The brigade system was introduced, allowing peasants on collectives to form work brigades that could decide how to use and distribute profit The aim was to introduce an element of payment by results The experiment was abandoned when it showed signs of success, as it worried Party officials about a potential return to family farming Despite efforts to improve, the system remained dominated by inefficiency and high investment in agriculture Continued importation of US wheat marked a key sign of failure for Brezhnev’s agricultural policies

Answer 82

Andropov's brief time as General Secretary (1982-84) saw attempts to improve economic performance by removing corruption and improving labour discipline Corruption was rampant, with production figures falsified to make it appear targets were met Materials were stolen from state enterprises and sold on the black market Example: Dresses were made slightly shorter to save fabric for private production, allowing the factory to meet its target Andropov sought to address absenteeism and alcoholism within the workforce Government officials conducted spot checks to find slackers Reform efforts were unpopular, adding to resentment towards the government Despite encouraging new ideas for improving production, Andropov's background as head of the KGB made people wary of sharing ideas

Answer 83

By the 1980s, economic growth in the USSR was in steady decline Growth rates: 1950s: 7% 1960s: 5% 1970s: 3% The vast Soviet economy seemed to be grinding to a halt Output figures were misleading, as they were based on prices set by the government, which allowed production figures to be raised through bureaucratic decisions The focus on output masked underlying problems: Quality was sacrificed for quantity Many goods were of poor quality and often rotted in storage Soviet condoms, for example, were noted to be so thick that they contained more rubber than car tyres Soviet agriculture used: Over 25% of the workforce 26% of investment Cultivated an area larger than the USA, but produced only one-sixth of US output There were significant problems with waste in industry and environmental damage However, these issues were not prioritized as long as production targets were met

Answer 84

Leadership failure: Brezhnev's leadership was symbolized by his cautious, conservative approach, which led to entrenched, resistant Party officials Brezhnev knew reform was needed, but his leadership was a product of the system he inherited

Answer 85

The Stalinist approach focused on rapid industrial growth in the 1930s and post-WWII reconstruction, but it was difficult to achieve efficiency under such a highly centralised system Bureaucrats, whose careers flourished during Stalin's reign, were resistant to change

Answer 86

Central control discouraged initiative and creativity at the local level Decentralisation efforts were thwarted by Party structures Under Brezhnev, the leadership preferred to maintain the status quo to keep Party officials happy The use of government-set prices did not help solve issues of inefficiency The central planning system was too rigid for a complex modern economy For example, targets for women's bras were set by 'the Plan', but they often became obsolete due to changing sizes in the population

Answer 87

There was an unstated contract between the government and the workforce: The government would provide employment and reasonable standards of living in return for workers’ compliance This system prevented the government from using the ultimate sanction of economic failure, like the closure of factories and unemployment Many workers did very little productive work, encapsulated by the saying: "We pretend to work and they pretend to pay us"

Answer 88

Investment in agriculture increased during the Khrushchev and Brezhnev years, but it was insufficient to address chronic underfunding inherited from the Stalin era Storage facilities, rural transport, and reliable machinery remained in short supply throughout the Soviet period

Answer 89

Soviet successes in industries like steel, cement, oil, and pig iron by the late 1970s were impressive, but these were outdated industries in the post-industrial world By the 1960s, the USSR was struggling to keep up with technological advances in the West, particularly in areas like microchips and computers In the 1970s, Brezhnev's policy of coupling industries with scientific research institutions helped, but could not solve the issue of outdated methods The Soviet government also signed deals with the West to gain access to new technologies, including agreements with Fiat and Renault for car-making technology, but the impact was limited and rarely extended beyond the specific plant By 1980, most Soviet technology was old and physically worn out

Answer 90

The military-industrial complex consumed at least 18% of Soviet resources and employed 30 million people out of a working population of 150 million Brezhnev’s foreign policy, which involved increasing intervention in the developing world, made expenditure on arms and defense necessary These resources could have been diverted to consumer industries and agriculture

Answer 91

The command economy had performed well when the focus was on increasing the output of a limited number of products It became less effective as the system was burdened with the need for gains in quality and efficiency The central planning system became increasingly complex and overburdened Despite being overworked, central planners preferred to hold onto the system that gave them power and influence Brezhnev and his successors, Andropov and Chernenko, were unable to initiate meaningful reform due to ill-health and a lack of political will The failure to effectively tackle economic problems was a significant factor in the impending crisis that eventually led to the collapse of the Soviet Union

Industrial and Agricultural changes (1917-85) Flashcards

(116 cards)