Section 4: What was the impact of Stalin's economic policies?
Focus Points
- Why did Stalin introduce the Five-Year Plans?
- Why did Stalin introduce collectivization?
- How successful were Stalin's economic changes?
- How were the Soviet people affected by these changes?
Introduction
Stalin ended Lenin's NEP and set about achieving modernization through a series of Five-Year Plans. These plans were drawn up by GOSPLAN, the state planning organization that Lenin set up in 1921. They set ambitious targets for production in the vital heavy industries (coal, iron, oil, electricity). The plans were very complex but they were set out in such a way that by 1929 every worker knew what he or she had to achieve.
Stalin ended Lenin's NEP and set about achieving modernization through a series of Five-Year Plans. These plans were drawn up by GOSPLAN, the state planning organization that Lenin set up in 1921. They set ambitious targets for production in the vital heavy industries (coal, iron, oil, electricity). The plans were very complex but they were set out in such a way that by 1929 every worker knew what he or she had to achieve.
The first Five-Year Plan
The first Five-Year Plan focused on the major industries and although most targets were not met, the achievements were still staggering. The USSR increased production and created a foundation on which to build the next Five-Year Plans. The USSR was rich in natural resources, but many of them were in remote places such as Siberia. So whole cities were built from nothing and workers taken out of the new industrial centers. Foreign observers marveled as huge new steel mills appeared in the Urals and Siberia. New dams and hydroelectric power fed industry's energy requirements. Russian exports flooded into central Asia, creating industry from scratch in previously undeveloped areas.
The first Five-Year Plan focused on the major industries and although most targets were not met, the achievements were still staggering. The USSR increased production and created a foundation on which to build the next Five-Year Plans. The USSR was rich in natural resources, but many of them were in remote places such as Siberia. So whole cities were built from nothing and workers taken out of the new industrial centers. Foreign observers marveled as huge new steel mills appeared in the Urals and Siberia. New dams and hydroelectric power fed industry's energy requirements. Russian exports flooded into central Asia, creating industry from scratch in previously undeveloped areas.
The second Five-Year Plan
The second Five-Year Plan (1933-37) built on the achievements of the first. Heavy industry was still a priority, but other areas were also developed. Mining for lead, zinc and other minerals intensified as Stalin further exploited Siberia's rich mineral resources. Transport and communications were also boosted, and new railways and canals were built. The most spectacular showpiece project was the Moscow underground railway.
The second Five-Year Plan (1933-37) built on the achievements of the first. Heavy industry was still a priority, but other areas were also developed. Mining for lead, zinc and other minerals intensified as Stalin further exploited Siberia's rich mineral resources. Transport and communications were also boosted, and new railways and canals were built. The most spectacular showpiece project was the Moscow underground railway.
The third Five-Year Plan
Stalin also wanted industrialization to help improve Russia's agriculture. The production of tractors and other farm machinery increased dramatically. In the third Five-Year plan, which was begun in 1938, some factories were to switch to the production of consumer goods. However, this plan was disrupted by the Second World War.
Stalin also wanted industrialization to help improve Russia's agriculture. The production of tractors and other farm machinery increased dramatically. In the third Five-Year plan, which was begun in 1938, some factories were to switch to the production of consumer goods. However, this plan was disrupted by the Second World War.
How successful were the Five-Year Plans?
There is much that could be and was criticized in the Five-Year Plans. Certainly there was a great deal of inefficiency, duplication of effort and waste, although the evidence shows that the Soviets did learn from their mistakes in the second and third Five-Year Plans. There was also an enormous human cost. But the fact remains that by 1937 the USSR was a modern state and it was this that saved it from defeat when Hitler invaded in 1941.
The Five-Year Plans were used very effectively for propaganda purposes. Stalin had wanted the Soviet Union to be a beacon of socialism and his publicity machine used in the successes of industrialization to further that objective.
There is much that could be and was criticized in the Five-Year Plans. Certainly there was a great deal of inefficiency, duplication of effort and waste, although the evidence shows that the Soviets did learn from their mistakes in the second and third Five-Year Plans. There was also an enormous human cost. But the fact remains that by 1937 the USSR was a modern state and it was this that saved it from defeat when Hitler invaded in 1941.
The Five-Year Plans were used very effectively for propaganda purposes. Stalin had wanted the Soviet Union to be a beacon of socialism and his publicity machine used in the successes of industrialization to further that objective.
How was industrialization achieved?
Many foreign experts and engineers were called in by Stalin to supervise the work done in the Five-Year Plans. The workers were constantly bombarded with propaganda, posters, slogans and radio broadcasts. They all had strict targets to meet and were fined if they did not meet them.
The most famous workers was Alexei Stakhanov. In 1935 with two helpers and an easy coal seam to work on, he managed to cut an amazing 102 tons of coal in one shift. This was 14 times the average for a shift. Stakhanov became a 'hero of socialist labor' and the propaganda machine encouraged all Soviet workers to be Stakhanovites.
The first Five-Year Plan revealed a shortage of workers, so from 1930 the government concentrated on drafting more women into industry. It set up thousands of new crèches and daycare centers so that mothers could work. By 1937 women were 40% of industrial workers (compared to 28% in 1927), 21% of building workers and 72% of health workers. Four out of five new workers recruited between 1932 and 1937 were women.
By the late 1930s many Soviet workers had improved their conditions by acquiring well-paid skilled jobs and earning bonuses for meeting targets. Unemployment was almost non-existent. In 1940 the USSR had more doctors per head of population than Britain. Education became free and compulsory for all and Stalin invested huge sums in training schemes based in colleges and in the workplace.
On the other hand, life was very harsh under Stalin. Factory discipline was strict and punishments were severe. Lateness or absences were punished by sacking, and that often meant losing your flat or house as well. To escape the hard work and hard disciple, some workers tried to move to other jobs, so the secret police introduced internal passports which prevented free movement of workers inside the USSR.
On the great engineering projects, such as dams and canals, many of the workers were prisoners who had been sentenced to hard labor for being political opponents, or suspected opponents, of Stalin, or for being kulaks or Jews. Many other prisoners were simply unfortunate workers who had had accidents or made mistakes in their work but had been found guilty of 'sabotage'.
On these major projects conditions were appalling and there were many deaths and accidents. It is estimated that 100,000 workers died in the construction of the Belomor Canal.
At the same time, the concentration on heavy industry meant that there were few consumer goods which ordinary people wanted to buy. In the towns and cities, most housing was provided by the state, but overcrowding was a problem. Most families lived in flats and were crowded into two rooms which were used for living, sleeping and eating. What's more, wages actually fell between 1928 and 1937.
Stalin was also quite prepared to destroy the way of life of the Soviet people to help industrialization. For example, in the republics of central Asia the influence of Islam was thought to hold back industrialization, so between 1928 and 1932 it was repressed. Many Muslim leaders were imprisoned or deported, mosques were closed and pilgrimages to Mecca were forbidden.
Many foreign experts and engineers were called in by Stalin to supervise the work done in the Five-Year Plans. The workers were constantly bombarded with propaganda, posters, slogans and radio broadcasts. They all had strict targets to meet and were fined if they did not meet them.
The most famous workers was Alexei Stakhanov. In 1935 with two helpers and an easy coal seam to work on, he managed to cut an amazing 102 tons of coal in one shift. This was 14 times the average for a shift. Stakhanov became a 'hero of socialist labor' and the propaganda machine encouraged all Soviet workers to be Stakhanovites.
The first Five-Year Plan revealed a shortage of workers, so from 1930 the government concentrated on drafting more women into industry. It set up thousands of new crèches and daycare centers so that mothers could work. By 1937 women were 40% of industrial workers (compared to 28% in 1927), 21% of building workers and 72% of health workers. Four out of five new workers recruited between 1932 and 1937 were women.
By the late 1930s many Soviet workers had improved their conditions by acquiring well-paid skilled jobs and earning bonuses for meeting targets. Unemployment was almost non-existent. In 1940 the USSR had more doctors per head of population than Britain. Education became free and compulsory for all and Stalin invested huge sums in training schemes based in colleges and in the workplace.
On the other hand, life was very harsh under Stalin. Factory discipline was strict and punishments were severe. Lateness or absences were punished by sacking, and that often meant losing your flat or house as well. To escape the hard work and hard disciple, some workers tried to move to other jobs, so the secret police introduced internal passports which prevented free movement of workers inside the USSR.
On the great engineering projects, such as dams and canals, many of the workers were prisoners who had been sentenced to hard labor for being political opponents, or suspected opponents, of Stalin, or for being kulaks or Jews. Many other prisoners were simply unfortunate workers who had had accidents or made mistakes in their work but had been found guilty of 'sabotage'.
On these major projects conditions were appalling and there were many deaths and accidents. It is estimated that 100,000 workers died in the construction of the Belomor Canal.
At the same time, the concentration on heavy industry meant that there were few consumer goods which ordinary people wanted to buy. In the towns and cities, most housing was provided by the state, but overcrowding was a problem. Most families lived in flats and were crowded into two rooms which were used for living, sleeping and eating. What's more, wages actually fell between 1928 and 1937.
Stalin was also quite prepared to destroy the way of life of the Soviet people to help industrialization. For example, in the republics of central Asia the influence of Islam was thought to hold back industrialization, so between 1928 and 1932 it was repressed. Many Muslim leaders were imprisoned or deported, mosques were closed and pilgrimages to Mecca were forbidden.
Collectivization
What is collectivization?
For the enormous changes of the Five-Year Plans to be successful, Stalin needed to modernize the USSR's agriculture. This was vital because the population of the industrial centers was growing rapidly and yet as early as 1928 the country was already 2 million tons short of the grain it needed to feed its workers. Stalin also wanted to try to raise money for his industrialization program by selling exports of surplus food abroad.
The problem was that farming was not organized to do this. Under the NEP, most peasants were either agricultural laborers or kulaks - prosperous peasants who owned small farms. These farms were too small to make efficient use of tractors, fertilizers and other modern methods. In addition, most peasants had enough to eat and could see little point in increasing production to feed the towns. To get around these problems, Stalin set out his ideas for collectivization in 1929:
For the enormous changes of the Five-Year Plans to be successful, Stalin needed to modernize the USSR's agriculture. This was vital because the population of the industrial centers was growing rapidly and yet as early as 1928 the country was already 2 million tons short of the grain it needed to feed its workers. Stalin also wanted to try to raise money for his industrialization program by selling exports of surplus food abroad.
The problem was that farming was not organized to do this. Under the NEP, most peasants were either agricultural laborers or kulaks - prosperous peasants who owned small farms. These farms were too small to make efficient use of tractors, fertilizers and other modern methods. In addition, most peasants had enough to eat and could see little point in increasing production to feed the towns. To get around these problems, Stalin set out his ideas for collectivization in 1929:
- Peasants were to put their lands together to form large collective farms (kolkhoz) but could keep small plots for personal use
- Animals and tools were to be pooled together
- Motor Tractor Stations provided by the government made tractors available
- 90% of kolkhoz produce would be sold to the state and the profits shared out
- The remaining 10% of produce was to be used to feed the kolkhoz
Why collectivization?
Poor harvests in 1927-1929 led to prices going up. This led to a drop in standard of living for urban workers. Also, there were no grain surpluses to sell abroad. The poor harvests meant the kulaks were making more money because they were selling less food for more money (due to scarcity of goods). This angered Stalin, who was against the Kulak class. Stalin put forward the idea that larger farms would increase efficiency and mechanization of farms would provided the opportunity to move rural peasants to cities to work in factories. The idea of collectivization was much more appealing than reliance on grain imports to the politicians. The communists believed that money should be spent on developing industry rather than buying imported food. Stalin believed he would simply be able to change agriculture by his strong leadership and determination. He said that all peasants who did not cooperate were enemies of the people.
Poor harvests in 1927-1929 led to prices going up. This led to a drop in standard of living for urban workers. Also, there were no grain surpluses to sell abroad. The poor harvests meant the kulaks were making more money because they were selling less food for more money (due to scarcity of goods). This angered Stalin, who was against the Kulak class. Stalin put forward the idea that larger farms would increase efficiency and mechanization of farms would provided the opportunity to move rural peasants to cities to work in factories. The idea of collectivization was much more appealing than reliance on grain imports to the politicians. The communists believed that money should be spent on developing industry rather than buying imported food. Stalin believed he would simply be able to change agriculture by his strong leadership and determination. He said that all peasants who did not cooperate were enemies of the people.
What did Stalin do?
Rationing was introduced to the cities in 1928-1929. Grain requisitioning was also introduced in 1928. There was huge resentment amongst the peasants over this policy. Kulaks were sent to labor camps. This was called dekulakization and Stalin appealed to the poorest peasants to lead the way to this. However, the idea of dekulakization was unpopular. Rebellion and destruction of grain was carried out in opposition to this policy. Mass collectivization began in 1929.
Rationing was introduced to the cities in 1928-1929. Grain requisitioning was also introduced in 1928. There was huge resentment amongst the peasants over this policy. Kulaks were sent to labor camps. This was called dekulakization and Stalin appealed to the poorest peasants to lead the way to this. However, the idea of dekulakization was unpopular. Rebellion and destruction of grain was carried out in opposition to this policy. Mass collectivization began in 1929.
The Twenty-Five Thousanders
These were hand-picked, socially conscious industrial workers who were sent to the countryside. These were supposed to offer technical help to the peasants,but in reality they were used to enforce dekulakization.
These were hand-picked, socially conscious industrial workers who were sent to the countryside. These were supposed to offer technical help to the peasants,but in reality they were used to enforce dekulakization.
Consequences of collectivization
Kulaks were sent to Siberia but many did not survive the journey. Those that did survive were forced into labor camps ran by the secret police. Death by starvation and disease was everywhere. Back in the cities, resistance against collectivization had caused chaos. Stalin countered this in a Pravda article, Dizzy With Success. Stalin defended his policy and never admitted the problems caused. He claimed local officials were overzealous, but the policy was a success. Stalin suspended the program in 1930, under the claim that the targets had been met.
Kulaks were sent to Siberia but many did not survive the journey. Those that did survive were forced into labor camps ran by the secret police. Death by starvation and disease was everywhere. Back in the cities, resistance against collectivization had caused chaos. Stalin countered this in a Pravda article, Dizzy With Success. Stalin defended his policy and never admitted the problems caused. He claimed local officials were overzealous, but the policy was a success. Stalin suspended the program in 1930, under the claim that the targets had been met.
Famine
Collectivization resumed in 1931. The pause between collectivization period was very short. Targets were set, and when farmers failed they were accused of sabotage. Grain was seized and all grain was confiscated. There was no official death count - presumed to be more than 10 million. Those who remained endured hardship. Unrealistic targets were set for farmers and this caused anger and resentment towards the government. This led to a drop in productivity. The Kulaks had been both hardworking and successful, but had been exiled. Production fell. The 1933 harvest was nine million tonnes less than that of 1926. Few farmers acquired machinery because it was too expensive. Despite the famine, Stalin did not ease off. By 1934 there were no kulaks left. By 1941 almost all agricultural land was organized under the collective system. Stalin had achieved his aim of collectivization.
Collectivization resumed in 1931. The pause between collectivization period was very short. Targets were set, and when farmers failed they were accused of sabotage. Grain was seized and all grain was confiscated. There was no official death count - presumed to be more than 10 million. Those who remained endured hardship. Unrealistic targets were set for farmers and this caused anger and resentment towards the government. This led to a drop in productivity. The Kulaks had been both hardworking and successful, but had been exiled. Production fell. The 1933 harvest was nine million tonnes less than that of 1926. Few farmers acquired machinery because it was too expensive. Despite the famine, Stalin did not ease off. By 1934 there were no kulaks left. By 1941 almost all agricultural land was organized under the collective system. Stalin had achieved his aim of collectivization.
Acronym: QMGTC (Quite Modern Government Tries Collectivization)
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Acronym: SFK (Sad Fucking Kulaks)
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