State Capitalism in Russia

(1955/1974)
This text is based on a duplicated internal document of the British RCP entitled The Class Nature of Russia, June 1948. This ersion !as ori"inall# published as Stalinist Russia. A Marxist Analysis in 19$$. Republished as Boo% & of Russia: A Marxist Analysis in 19'4. Republished !ith re ised chapter order as State Capitalism in Russia in 19(4 ) this title and chapter order has been adopted for the on*line ersion. Republished !ith the Postscript b# Chris +arman in 1988 and 199'. , ailable in boo% form from Boo%mar%s Publications. , number of ob ious t#pesettin" errors ha e been corrected !ithout comment. Transcribed b# -#lan .till!ood, Rolf /orhau" 0 1inde 23Calla"han 4ar%ed up b# -#lan .till!ood, Rolf /orhau" 0 1inde 25Calla"han for the Marxists Internet Archive.

Tony Cliff

Introduction u!lishers Introduction "#$%&'

#. Socio(economic relations in Stalinist Russia ). State and party in Stalinist Russia *. The economy of a +or,ers state &. The material herita-e of pre(.cto!er society /. The common and different features of state capitalism and a +or,ers state 0. A further consideration of Stalinist society1 economics and politics %. Russian economy and the Marxian la+ of value and theory of capitalist crisis
"2conomic determinism in the Stalinist re-ime'

3. The imperialist expansion of Russia $. The class stru--le in Russia

ostscript #$33

4rom Stalin to 5or!achev1 !y Chris 6arman

Appendix #

An examination of Trots,ys definition of Russia as a de-enerated +or,ers state 1

Appendix )

The theory of !ureaucratic collectivism: A criti7ue

Introduction
At the graveside of the Stalinist regime
The first edition of State Capitalism in Russia !as !ritten in 194( and appeared in duplicated form. &t !as a time !hen .talinism !as at its pea%6 after Russia5s ictor# o er 7a8i 9erman#, after the Russian occupation of 1astern 1urope and before the split bet!een Tito and .talin. 4ao5s arm# !as spreadin" :uic%l# o er China and !as on the er"e of total ictor#. ;ort# t!o #ears later, in 1989, the .talinist re"imes collapsed in 1astern 1urope and then in Russia. The death of the .talinist economic, social and political order made it possible to test conclusi el# the alidit# of the 194( theoretical anal#sis of this boo%. , post mortem re eals the sic%ness that affected a person !hen he !as ali e. The moment of death of a social order can also be its moment of truth. The perception of the .talinist re"ime as a socialist state, or e en a de"enerated !or%ers5 state ) a transitional sta"e bet!een capitalism and socialism ) assumed that it !as more pro"ressi e than capitalism. ;or a 4arxist this had to mean fundamentall# that .talinism !as able to de elop the producti e forces more efficientl# than capitalism. +o!e er, the deepenin" crisis in 1astern 1urope and <..R cannot be explained except b# reference to the slo!in" do!n of economic "ro!th in the late 19(=s and earl# 198=s. This led to sta"nation and a "ro!in" "ap bet!een these countries and the ad anced >est. &n the <..R the annual rate of "ro!th of "ross national product !as as follo!s6 The first fi e #ear plan ) 19.? percent @probabl# an exa""erated fi"ureAB 19$=*$9 ) $.8 percentB 19(=*(8 ) C.( percent. &n 198=*8? it !as do!n to 1.$ percent and o er the last ten #ears there has been a ne"ati e rate of "ro!th. Clearl# then the producti e forces !ere not de elopin" efficientl#. &f the producti it# of labour had been more d#namic in 1astern 1urope and <..R than in the >est, there !ould be no reason for the rulers of these countries to turn to the mar%et mechanisms of the >est. &f 1astern 1uropean economies !ere superior then the reunification of 9erman#, for example, should ha e seen the flourishin" of 1ast 9erman industr# in comparison !ith that of >est 9erman#. &n fact the econom# of 1ast 9erman# collapsed after unification. The number of !or%ers emplo#ed in 1ast 9erman# in 1989 !as 1= million !hile toda# it has fallen to ' million. Producti it# of labour is onl# ?9 percent of the >estern le el. D1E Thus the 1ast 9erman producti it# le el, thou"h the hi"hest in 1astern 1urope, !as still lo! compared !ith >est 9erman# and the other ad anced economies that it found itself openl# competin" !ith after 1989. &f the <..R !as a !or%ers5 state, ho!e er de"enerated, then !hen capitalism assaulted it !or%ers !ould ha e come to the defence of their state. 1 en Trots%#, the sharpest critic of .talinism, al!a#s considered it axiomatic that if capitalism attac%ed the state the !or%ers of the .o iet <nion !ould come to its aid, ho!e er corrupt and depra ed the bureaucrac# dominatin" it. But !hen it came to the crunch in 1989, the !or%ers in 1astern 1urope did not defend FtheirG state. &f the .talinist state had been a !or%ers5 state one cannot explain !h# its onl# defenders !ere the secret police forces of the Securitate in Rumania and the Stasi in 1ast 9erman#, nor !h# the .o iet !or%in" class supported Boris Heltsin, the outspo%en representati e of the mar%et. &f the re"imes in 1astern 1urope and <..R !ere post capitalist and in 1989 there !as a restoration of capitalism, ho! !as the restoration achie ed !ith such astonishin" easeI The 1989 re olutions in 1astern 1urope !ere remar%able for the absence of lar"e scale social conflict and iolence. 1xcept for Rumania there !as no armed conflict. &n fact there !ere fe!er iolent

clashes in 1ast 9erman#, C8echoslo a%ia and +un"ar# durin" the fall of these re"imes than there !ere bet!een the police and stri%in" miners in Thatcher5s Britain of the mid 198=s. The transition from one social order to another is necessaril# accompanied b# the replacin" of one state apparatus b# another. The state machine !as hardl# touched an#!here in 1989. The .o iet arm#, the J9B and the state bureaucrac# are still in place in Russia, as are man# of their e:ui alents else!here. &n Poland the militar# helped to promote the chan"e from Polish state capitalism to a mar%et based econom#. 9eneral Jaru8els%i, the architect of the 1981 coup and the &nterior 4inister and chief administrator of martial la! 9eneral Jis8ca%, pla#ed crucial roles in ne"otiatin" the round table !ith Solidarity and the formation of 4a8o!iec%i5s coalition "o ernment. &f a counter re olution had ta%en place, if a restoration of capitalism had ta%en place, there should ha e been a !holesale replacement of one rulin" class !ith another. &nstead !e !itnessed the continuit# of the same personnel at the top of societ#. The members of the nomenklatura !ho ran the econom#, societ# and state under FsocialismG no! do the same under the Fmar%etG. The collapse of the .talinist re"imes in Russia and 1astern 1urope created ha oc in the !orld communist mo ement and amon"st those on the left not armed !ith a state capitalist understandin". 4illions of members and supporters of the communist mo ement across the !orld accepted the claim that the .talinist re"ime embodied socialism. 4illions !ho belon" not to the communist mo ement but to the socialist mo ement, also accepted it. This did not onl# appl# to those on the left of the mo ement. The ri"ht !in" ;abians, .idne# and Beatrice >ebb produced a boo% entitles Soviet Communism: a Ne+ Civilisation @19C'A !hich !as a massi e pane"#ric to the .talinist re"ime. ;or the maKorit# of those !ho had identified .talinism !ith socialism the collapse of these re"imes led to a shatterin" ideolo"ical and moral crisis. ;or example, in ;ebruar# 199= 1ric +obsba!m, the "uru of the British Communist Part#, !as as%ed6 F&n the .o iet <nion, it loo%s as thou"h the !or%ers are o erthro!in" the !or%ers5 state.G +obsba!m replied, F&t ob iousl# !asn5t a !or%ers5 state, nobod# in the .o iet <nion e er belie ed it !as a !or%ers5 state, and the !or%ers %ne! it !asn5t a !or%ers5 state.G D?E >h# hadn5t +obsba!m told us this $= #ears a"o, or e en ?= #ears a"oI The extreme ideolo"ical disorientation of the British Communist Part# is clearl# demonstrated b# the minutes of their 1xecuti e Committee meetin"s in the !a%e of the collapse. 7ina Temple, 9eneral .ecretar# of the Part# said6 F& thin% the .>P !as ri"ht, the Trots%#ists !ere ri"ht that it !as not socialism in 1astern 1urope. ,nd & thin% !e should ha e said so lon" a"oG Chris 4#ant, &nternational .ecretar# of the CP9B, !ent further. +e said that the 2ctober Re olution !as Fa mista%e of historic proportions ... &ts conse:uences ha e been se ere.G +e !ent on to blame Lenin and the Bolshe i%s for the .econd >orld >ar, the +olocaust, the 9ula", the sho! trials, third !orld fascist dictatorships and the arms race, famine in 1thiopia, !orld po ert# and the /ietnam !arM The ideolo"ical collapse of the British Communist Part# in effect has led to its total disinte"ration. ;rom some '=,=== in 194$, !ith er# broad influence in the !or%in" class, it d!indled to a tin# "roup of a couple hundred, old and passi e. .imilar stories could be told about Communist Parties !orld !ide. The ideolo"ical crisis also er# much affected the British Labour left. >hile in 1981 Ton# Benn recei ed some C.? million otes in the deput# leadership campai"n for the Labour Part# and probabl# had a couple of hundred thousand acti e supporters, in ,pril 199$ the total number of indi idual members of the Labour Part# !ho oted for the retention of Clause 4 !as onl# 8,$==. 2f course, the ban%ruptc# of .talinism !as onl# one factor, althou"h a si"nificant one, in the decline of the Labour left. .ocialism is the child of the self acti it# of the re olutionar# emancipation of the !or%in" class. .talinism has been a constant drain on that self acti it# and the "ra edi""er of the re olution. The idea that .talinism !as socialism has no! ended in calamit# for those ta%en in b# it. & am con inced that the anal#sis of .talinist Russia as state capitalist, as elaborated some 48 #ears a"o, has pro ed its alue and is a necessar# rebuttal of .talinism and the reaction to its deca#. 3

Tony Cliff July 1996

From the 1988 Introduction

This boo% !as first distributed in duplicated form in June 1948, under the title The Nature of Stalinist Russia. ,n amended ersion !as published in 19$$ as Stalinist Russia: A Marxist Analysis. &n 19'4, it appeared as the first part of a lar"er !or%, Russia: A Marxist Analysis. The boo% !as first published !ith the title State Capitalism in Russia b# Pluto Press in 19(4. The main text of this edition is based on that of 19$$ !hich differed in man# !a#s from the ori"inal duplicated ersion @mainl# in terms of chapter order, but also b# the addition of material referrin" to the split bet!een Hu"osla ia and Russia in 1948, and amendments to the section dealin" !ith crisis in state capitalismA. >hat is here published as the first appendix, on Trots%#5s ie! of Russia, !as an inte"ral part of the ori"inal text. &t remains a de astatin" repl# to those influenced b# 1rnst 4andel or &saac -eutscher, !ho claimed to hold Trots%#5s anal#sis throu"hout the post !ar period. The second appendix !as !ritten as a separate essa# in 1948, Kust after the completion of the ori"inal text, and deals !ith the ie! that Russia is a ne! sort of class societ#, :uite distinct from both socialism and capitalism. ,t that time the ie! !as mainl# associated !ith the ,merican ex* Trots%#ist 4ax .hachtmanB it has been re i ed in recent #ears b# arious !riters such as Rudolf Bahro, ,ntonio Carlo, +illel Tic%tin, and 9eor"e Bence and Janos Jis @!ritin" Kointl# under the pseudon#m Ra%o s%iA. &t sho!ed si"ns of bein" the Fcommon senseG of a !hole section of the non .talinist intellectual left. Cliff5s criti:ue destro#s both the old and the ne!er ersions of the ar"ument. 2ne final point. ,s the 19'4 edition of Cliff5s classic !or% !arned6 FThe reader unused to the conceptual scheme of 4arxist theor# ma# experience some difficult# in readin" the follo!in" pa"es from co er to co er. Chapters /, /& and especiall# /&& are liable to present some difficult# and should be left till the end.G &t onl# needs to be added that these are nonetheless important chapters !here Cliff "rapples !ith the %e# issues facin" those !ho !ant to fit Russia into 4arx5s account of the d#namics of capitalism. Chris Harman March 1988

References

1. 4inancial Times, 1? 4a# 199? ?. Independent on Sunday, 4 ;ebruar# 199=

Publishers Introduction
(1974)
The <..R emer"ed from the second !orld !ar enormousl# stren"thened in relation to ri al po!ers. 4ost of 1astern 1urope had been o errun b# .talin5s armed forces and !as bein" remoulded in the Russian ima"e. The idea that, in spite of e er#thin", the .talinist bureaucrac# !as still carr#in" on the tradition of the 2ctober re olution !as "ainin" "round e en amon"st those, li%e the Trots%#ists, !ho had pre iousl# belie ed that .talinism !as the "ra e*di""er of that re olution. The sharp polarisation produced. in the !or%in" class mo ement b# the cold !ar, the di ision bet!een supporters of Fthe socialist campG and those of Fthe free !orldG, helped to push man# on the

left to!ards support, if critical support, for .talinism. Trots%# had called the bureaucrac# the or"an of the !orld bour"eoisie in RussiaB his one*time follo!er, &saac -eutscher, sa! F.talin, still !a in" the fla" of socialism in one countr# ... carr#in" re olution into half a do8en forei"n countries.G >hat re olutionI 1ssentiall# the proletarian re olution, said -eutscher and the man# man# others !ho felt the "ra itational pull of .talinism at that time. The proletarian re olution in a distorted form, #es indeed, but the proletarian re olution nonetheless. But a proletarian re olution imposed from abo e !ithout or a"ainst a !or%in" classI , proletarian re olution imposin" political structures a%in to fascismI &f so, marxism is a utopian dream. Cliff !rote his boo% in 194(. &t !as a !eapon in the stru""le to preser e and de elop the authentic re olutionar# marxist tradition amid the corrosi e and demoralisin" tides of cold !ar opinion, pro* 4osco! and pro*,merican ali%e, that s!ept across the !or%in" class mo ement in that period. &ts si"nificance toda# is different but no less ital. &n his criti:ue of .talinist Russia, Cliff !as compelled to "o bac% to 4arx and Lenin to re*examine the nature of capitalism and of socialism, to elucidate the similarities and differences of a bour"eoisie and a !or%ers5 state and to refine Trots%#5s account of the causes of .talinism. This !or% is of permanent alue. The conclusion that the <..R represents a form of state capitalism !as in no !a# no el. &t !as a ie! that had often been ad anced before, commonl# in association !ith ultra* left ideas. Cliff5s achie ement !as to free it of these associations and to root it firml# in the central traditions of marxism. This book as first distributed! in du"licated form! in #une 1948! as The Nature of Stalinist Russia$ An amended version as "ublished as Stalinist Russia, A Marxist Analysis in 19%%$ In 19&4 it a""eared as the first "art of a larger ork! Russia: A Marxist Analysis$ The current edition is taken from the 19%% edition ithout change! e'ce"t for minor! t("ogra"hical corrections$

Chapter 1: Socio-economic relations in Stalinist Russia (Part 1)

Let us be"in the stud# of the nature of the .talinist re"ime b# describin" some of the salient features of the economic and social relations pre ailin" in Russia. , factual sur e# !ill ser e as a basis for later anal#sis and "eneralisation.

The control of "roduction [1]

&mmediatel# after the re olution, it !as decided that the mana"ement of e er# plant !ould be in the hands of the trade unions. Thus the pro"ramme of the Communist Part# of Russia, adopted at the 1i"hth Part# Con"ress @18*?C 4arch 1919A, declared6
The organised a""aratus of social "roduction must "rimaril( de"end on the trade unions $$$ The( must be transformed into huge "roduction units! enrolling the ma)orit( of the orkers! and in due time all the orkers! in the res"ective branches of "roduction$ Inasmuch as the trade unions are alread( *as s"ecified in the la s of the Soviet +e"ublic and as reali,ed in "ractice"artici"ants in all the local and central organs administering industr(! the( must "roceed to the "ractical concentration in their o n hands of the ork of administration in the hole economic life of the countr(! making this their unified economic aim$ .( thus "rotecting the indissoluble union bet een the central State authorit(! the national econom(! and the broad masses of the orkers! the trade unions must in the fullest "ossible measure induce the orkers to "artici"ate directl( in the ork of economic administration$ The "artici"ation of the trade unions in the conduct of economic life! and the involvement b( them of the broad masses of the "eo"le in this ork! ould a""ear at the same time to be our chief aid in the cam"aign against the bureaucratisation of the economic a""aratus of Soviet /o er$ This ill facilitate the establishment of an effective "o"ular control over the results of "roduction$

The Part# cells participated in the runnin" of industr# to"ether !ith the !or%ers5 plant committees. To"ether !ith these, and under their control, !or%ed the technical mana"er6 the combination of these three formed the Troi%a. >ith the stren"thenin" of the bureaucrac# in the part# and the trade unions, the Troi%a became more and more a mere label, it pro"ressi el# rose abo e the mass of !or%ers. 7e ertheless, it remained amenable to !or%ers5 pressure and retained some elements of !or%ers5 control until the ad ent of the ;i e*Hear Plan. ,. Ba#%o , !ho is no supporter of !or%ers5 control, but praises .talin5s acti ities, sa#s6
De facto! during that "eriod 0before the Five12ear /lan3 the director as largel( de"endent on the ork4 trade union organ! the 56avkom7 *the factor( trade union committee- and on the "art( cell! the organ of the 8ommunist /art( at the enter"rise$ +e"resentatives of these organisations considered it their dut( to su"ervise the director4s activities and usuall( interfered ith his decisions$ 023

>ith the bi" dri e to!ards industrialisation, the Troi%a could no lon"er be tolerates, because its er# existence !ould ha e pre ented the complete subordination of the !or%ers to the needs of capital accumulation. +ence, in ;ebruar# 19?8, the .upreme 1conomic Council issued a document entitled 4undamental Re-ulations Re-ardin- the Ri-hts and 8uties of the Administrative1 Technical and Maintenance Staffs of Industrial 2nterprises , !hich aimed at puttin" an end to the Troi%a and at establishin" complete and unfettered control b# the mana"er. DCE &n .eptember 19?9, the Part# Central Committee resol ed that the !or%ers5 committees Fma# not inter ene directl# in the runnin" of the plant or endea our in an# !a# to replace plant administrationB the# shall b# all means help to secure one*man mana"ement, increase production, plant de elopment, and, thereb#, impro ement of the material conditions of the !or%in" classG. D4E The mana"er !as placed in full and sole char"e of the plant. ,ll his economic orders !ere no! to be Funconditionall# bindin" on his subordinate administrati e staff and on all !or%ersG. D$E L.4. Ja"ano ich, the !ell* %no!n trouble*shooter in the economic field, stated6 FThe foreman is the authoritati e leader of the shop, the factor# director is the authoritati e leader of the factor#, and each has all the ri"hts, duties, and responsibilities that accompan# these positions.G D'E +is brother, 4.4. Ja"ano ich, a senior official of the Commissariat of +ea # &ndustr#, stated6 F&t is necessar# to proceed from the basic assumption that the director is the supreme chief in the factor#. ,ll the emplo#ees in the factor# must be completel# subordinated to him.G D(E 2ne textboo% on .o iet economic la!, published in 19C$, e en !ent as far as to state6 F2ne*man mana"ement DisE the most important principle of the or"anisation of socialist econom#.G D8E The Troi%a !as officiall# buried in 19C( !hen, at a Plenum of the Central Committee, Nhdano , then .talin5s second*in*command, said6 Fthe Troi%a is somethin" :uite impermissible ... The Troi%a is a sort of administrati e board, but our economic administration is constructed alon" totall# different lines.G D9E The ne! s#stem of mana"ement !as er# clearl# defined in an official manual6 F1ach plant has a leader ) the plant mana"er ) endo!ed !ith the full po!er of decision, hence full# responsible for e er#thin".G D1=E ;urther, Fone*man control implies strict demarcation bet!een the administration on the one hand and Part# and trade*union or"anisations on the other. This strict demarcation must be applied on all le els of industrial mana"ement. Current operations in fulfilment of the Plan are the tas% of the administration. The chief of a !or%shop, the mana"er of the plant, the head of the 9la %, a board of industr# or branch of industr#, has full po!ers, each !ithin his field, and the Part# and trade*union or"anisations ma# not interfere !ith their orders.G D11E &n li"ht of these :uotations, ho! preposterous are the !ords of the -ean of Canterbur#6 FThe democrac# of the !or%shop is the bul!ar% of .o iet libert#.G D1?E -urin" the first fe! #ears after the re olution, both in la! and in fact, onl# the trade unions !ere entitled to fix !a"e rates. -urin" the 71P period the# !ere fixed b# ne"otiation bet!een the unions and the mana"ement. 7o!, !ith the introduction of the ;i e*Hear Plan, the# !ere determined more and more b# the economic administrati e or"ans, such as the Commissariats and the 9la %i, and the indi idual factor# mana"er. This subKect is dealt !ith in detail in a later section of the chapter, but a

&

fe! t#pical :uotations are "i en here in order to illustrate the ie!s of the .o iet leaders on the ri"ht of the mana"er to fix !a"es. &n June 19CC, >einber", one of the principal union leaders, declared6
The "ro"er determination of ages and the regulation of labour demand that the industrial heads and the technical directors be charged ith immediate res"onsibilit( in this matter$ This is also dictated b( the necessit( of establishing a single authorit( and ensuring econom( in the management of enter"rises $$$ The( 0the orkers3 must not defend themselves against their government$ That is absolutel( rong$ That is 9eft o""ortunistic "erversion! the annihilation of individual authorit( and interference in the administrative de"artments$ It is im"erative that it be abolished$ 0133

The follo!in" #ear, 2rd8honi%id8e, then Commissar of +ea # &ndustr#, spea%in" at a conference of mana"ers of hea # industr#, said6
as directors! administrative heads and foremen! (ou must "ersonall( occu"( (ourselves ith ages in all their concrete detail and not leave to an(one this most im"ortant matter$ Wages are the most powerful weapon in your hands. 0143

.ome time later, ,ndree , a member of the Political Bureau, declared6

The age scale must be left entirel( in the hands of the heads of industr($ The( must establish the norm$ 01%3

,nd the anomalous situation !as created that the FPiece Rates and Conflicts CommissionG, !hile retainin" its name !as specificall# excluded from inter enin" in the establishment of !a"e*rates and !or%*normM D1'E

The orkers are not allo ed to organise in defence of their interests

<nder Lenin and Trots%# the !or%ers had the ri"ht to defend themsel es e en from their o!n state. Thus, for instance, Lenin said6 F2ur present state is a !or%ers5 state !ith bureaucratic deformation ... 2ur state is such that the completel# or"anised proletariat must protect itself a"ainst it and !e must utilise these !or%ers5 or"anisations for protectin" the !or%ers from their o!n state, in order that the !or%ers ma# protect our state ...G D1(E &t !as ta%en for "ranted that stri%es !ere not to be suppressed b# the state. ,t the 1le enth Part# Con"ress onl# one part# leader, /.P. 4iliutin, proposed Fnot to permit stri%es in state enterprisesG. D18E ,ll the others stated that it !as the dut# of part# members to participate in them e en if the# did not a"ree !ith the maKorit# !ho !ere in fa our of stri%in". ,nd indeed the first fe! #ears follo!in" the re olution !itnessed a lar"e number of stri%es. Thus in 19??, 19?,=== !or%ers !ent on stri%e in state*o!ned enterprisesB in 19?C the number !as 1'$,===B in 19?4, 4C,===B in 19?$, C4,===B in 19?', C?,9==B in 19?(, ?=,1==B in the first half of 19?8, 8,9==. &n 19?? the number of !or%ers in ol ed in labour conflicts !as three and a half million, and in 19?C, 1,$9?,8==. D19E Toda# the trade unions, if the# can be called trade unions, do nothin" in defence of the !or%ers5 interests. Their disre"ard is clearl# illustrated in the fact that se enteen #ears elapsed @19C?*49A bet!een the 7inth and Tenth Con"resses of the Trade <nion Con"ress, #ears !hich !itnessed far* reachin" chan"es in !or%ers5 conditions ) such as the abolition of the se en*hour da#, the introduction of .ta%hano ism and of man# draconic la!s. Then the Con"ress finall# did meet, it did not represent the !or%ers at all, as its social composition sho!s6 41.$ per cent of the dele"ates !ere full*time trade union officials, 9.4 per cent !ere technicians, and onl# ?C.$ per cent !ere !or%ers. D?=E @,t the pre ious Con"ress, in 19C?, 84.9 per cent of the dele"ates !ere !or%ers.A &n addition, the FunionsG ha e no sa# at all in the determination of !a"es. &n 19C4, collecti e a"reements ceased to be dra!n up. D?1E &n 194=, .h erni%, chairman of the Central Council of Trade <nions, "a e the follo!in" explanation for the abro"ation of collecti e a"reements6
:hen the /lan becomes the decisive element of economic develo"ment! ;uestions of ages cannot be decided inde"endentl( of it$ Thus the collective agreement as a form of regulating ages has outlived its usefulness$ 0A3 0223

&n ;ebruar# 194(, so*called collecti e a"reements !ere a"ain dra!n up, but the .talinist leaders made it :uite clear that these ne! a"reements had no relation !hate er to !hat is accepted else!here as collecti e a"reements, as !a"es !ere not co ered b# them. ,s .h erni% !rote in the trade union monthl#6 F,n# chan"e in !a"es ... ma# be brou"ht about onl# b# "o ernment decision.G D?CE ,nd an official commentator on the labour la! !rote accordin"l#6 F&t is ta%en for "ranted that

<

present*da# collecti e a"reements must ha e a different content to those a"reements !hich !ere made !hen !a"e rates and some other labour conditions !ere not established b# "o ernment decree.G D?4E Textboo%s on labour la! published bet!een 19C8 and 1944 do not e en mention the subKect. +o!e er, in a textboo% published some!hat later @in 194'A it is stated that6
9ife itself has sho n that the restoration of the "ractice of collective bargaining is not e'"edient$ The collective agreement as a particular form of legal regulation of labour relations of wage-workers and salaried employees has outlived itself. =etailed regulations of all as"ects of these relations b( normative acts of the state do not leave a "lace for an( contractual agreement concerning this or that labour condition$ 02%3

Thus a text*boo% on labour le"islation, published in 194(, reproduced the Labour Code !ithout includin" ,rticle $8, !hich reads6 FThe amount of an emplo#ee5s pa#ment for his !or% shall be determined b# collecti e a"reements and indi idual emplo#ment contracts.G D?'E &nstead !e are told6 FThe amount of !a"es and salaries is at present fixed b# the decisions of the "o ernment @or on the basis of its directi esA ... &n the determination of the amount of !a"es and salaries the a"reement of the parties pla#s a subordinate role. &t should not be contrar# to la!, and is allo!ed onl# !ithin limits strictl# pro ided for b# la!, for example, !here the precise amount is fixed in instances in !hich the appro ed list of !a"es defines the rates as Ofrom5 ) Oto5B or fixin" the pa#ment for part*time emplo#ment of a person ha in" another Kob, and the li%e.G D?(E Li%e!ise, ,. .tephano , -irector of the >a"es -i ision in the Central Council of Trade <nions, !rote6 F>a"e tables are !a"es are fixed b# the "o ernment.G D?8E &t is ob ious that collecti e a"reements !hich exclude an# bar"ainin" on !a"es ) and that, after all, must necessaril# be the !or%ers5 main interest in an# much a"reement ) and that are arri ed at b# means of a procedure that allo!s the "o ernment the decisi e oice as re"ards all its main points, are nothin" but a bureaucratic formalit# and a sham.

The atomisation of the orking class

,lthou"h the ast industrial plants of modern capitalism undoubtedl# act as a po!erful obKecti e factor in the inte"ration of the !or%ers as a class, the emplo#ers ha e at their disposal a number of effecti e methods of disruptin" this unit#. 2ne of the most important of these of the fosterin" of competition bet!een !or%ers b# means of piece*!or% s#stems. The same threat of hun"er !hich can impel !or%ers to unite a"ainst their emplo#ers, ma# also be made to lead to a fi"ht for sur i al bet!een one !or%er and another. ;or instance, piece*!or% s#stems !ere used on a lar"e scale in 7a8i 9erman# for the same purpose. ;ran8 7eumann !rote6
The class age of the Socialist trade unions has been re"laced b( the 5"erformance age7 * Leistungslohn- defined in Section 29 of the 0>a,i3 8harter of 9abour$ 5It has been the iron "rinci"le of the >ational Socialist leadershi"!7 said ?itler at the /art( 8ongress of ?onour! 5not to "ermit an( rise in the hourl( age rates but to raise income solel( b( an increase in "erformance$7 The rule of the age "olic( is a marked "reference for "iece ork and bonuses! even for )uvenile orkers$ Such a "olic( is com"letel( demoralising! for it a""eals to the most egotistic instincts and shar"l( increases industrial accidents$ 0293

7eumann "oes on to explain !h# the 7a8is !ent to such len"ths in appl#in" the piece*!or% s#stem6
The "re"onderance of the "erformance age brings the "roblem of age differentials into the forefront of social "olic($ It is essential that this "roblem be understood not as an economic ;uestion but as the crucial political problem of mass control $$$ :age differentiation is the ver( essence of >ational Socialist age "olic( $$$ the age "olic( is consciousl( aimed at mass mani"ulation$ 03@3

The .talinists use piece*!or% methods for the same purpose. ,fter the introduction of the ;i e*Hear Plans, the proportion of industrial !or%ers paid on piece*rates rose er# steepl#6 b# 19C= it stood at ?9 per cent of the total number of !or%ersB b# 19C1 it had risen to '$ per cent of the totalB b# 19C? to '8 per cent. DC1E B# 19C4 nearl# three*:uarters of all industrial !or%ers !ere ta%in" part in so*called Fsocialist competitionG. DC?E

&n 1944 the follo!in" percenta"es of !or%ers and emplo#ees in arious industries participated6 petroleum industr#, 8? per centB a iation, 81 per centB armaments, 8$ percentB machine*tool construction, 81 per centB munitions, 81 per centB automobile industr#, 8' per centB electrical* machine buildin", 8C per centB rubber, 8C per centB cotton industr#, 91 per centB the shoe industr#, 8( per cent. DCCE &n 1949 more than 9= per cent of the !or%ers participated in Fsocialist competitionG. DC4E To ma%e the competition e en sharper, instead of simple piece*!or% in !hich pa#ment is in direct proportion to output, as is the practice in other countries, pro"ressi e piece*!or% has been introduced in Russia. , couple of examples !ill illustrate ho! this operates. , manual on the oil industr# cites the follo!in" scale of pa#ment DC$E6
Percentage of overfulfilment of norm 111@ 1112@ 2113@ 311%@ %11<@ <1 and above Percentage of increment over asic !iece rate % 1@ 2@ 4@ <@ 1@@

Thus a !or%er producin" $= per cent abo e the norm is paid 11= per cent abo e the normB if his output !as (= per cent abo e the norm, his pa#ment is 189 per cent abo e the normB if it !as 1== per cent abo e the norm his pa#ment is C== per cent abo e the norm, and so on. The rise is e en steeper in some other industries. Thus, for instance, in the plants of the 4inistr# of 4achine*Tool Construction, the follo!in" pro"ressi e rates exist DC'E6
Percentage of overfulfilment of norm 111@ 1@12% 2%14@ 4@ and above Percentage of increment over asic !iece rate 3@ %@ <% 1@@

Thus a !or%er producin" $= per cent abo e the norm is paid ?== per cent abo e the normM The pro"ressi e piece*rate s#stem is doubl# reactionar# under Russian conditions. .ince the amount of consumers5 "oods a ailable is predetermined b# the Plan, and since !or%ers !ho surpass the norm are able to bu# a much lar"er share than is !arranted b# their output, it follo!s that !or%ers !ho do not achie e the norm "et e en less than the share their output reall# !arrants. The pro"ressi e piece*rate s#stem enables the state to depress the !or%ers5 standard of li in" b# continuall# raisin" the basic production norms. &n fact, the launchin" of the .ta%hano ite campai"n at the end of 19C$ !as follo!ed b# chan"es in the norms of output in e er# industr#. The ne! norms !ere not determined b# the output of the a era"e !or%er, but b# Fa era"in" the production of .ta%hano ites !ith the a era"e of other !or%ersG. DC(E ,t the be"innin" of 19C' the norms of !or% in most maKor industries !ere raised as follo!s6 coal b# ??*?(.$ per cent, iron and steel b# 1C*?= per cent, machine*buildin" b# C=*4= per cent, non*ferrous metallur"# b# C=*C$ per cent, oil industr# b# ?(*?9 per cent, chemicals b# C4 per cent DC8E, textiles b# C$*$= per cent and buildin" b# $4*8= per cent. DC9E There !ere further considerable rises durin" 19C( and 19C8. ,s a result of these rises '= per cent of the !or%ers in the metal industr# !ere unable to achie e the norm. D4=E Later, on 1' ,pril 1941, .h erni% stated that ??*C? per cent of the !or%ers in all industries did not fulfil the norms. D41E 9

2ne preposterous result of the dri e for the atomisation of the !or%in" class, and at the same time an ine itable effect of bureaucratic mismana"ement, is the hu"e number of norms established. Thus, for instance, in 19C9 the Commissariat of 9eneral 4achine and /ehicle Construction alone had ?,=?',=== !or% normsM D4?E 2ri"inall# there !as an institute responsible for chec%in" these norms so as to ensure that the# !ere compatible !ith maintainin" !or%ers5 health at a reasonable standard. &ts abolition in 19C' D4CE !as a clear indication of the "o ernment5s determination to impose the full ri"ours of FfreeG competition bet!een !or%ers. ,nd, of course, the .ta%hano ites !ere a po!erful instrument in the process. FThe British !or%er, from his o!n peculiar point of ie!, as one !ho see%s to chec%mate efforts to hasten the pace, !ould probabl# call them Dthe .ta%hano itesE blac%le"s,G D44E !rote 4a#nard. That the Russian !or%ers are of the same opinion is sho!n b# the numerous cases of Fsabota"eG or e en murder of .ta%hano ites b# !or%ers. D4$E .ometimes .talinist !riters are careless enou"h to dra! a parallel bet!een .ta%hano ism and the most refined method of capitalist exploitation ) Ta#lorism. Thus, for instance, in an manual appro ed b# the 4inistr# for +i"her 1ducation, desi"ned for hi"her educational institutions of the petroleum industr#, this remar% is made6 FThe ie!s and methods of Ta#lor in the field of increased utilisation of implements of labour are unconditionall# pro"ressi e.G D4'E @2ne should compare this !ith Lenin5s characterisation of Ta#lorism as Fthe ensla ement of man b# the machineG. D4(EA

The denial of an( legal freedom to the orker

<ntil the first ;i e*Hear Plan, !or%ers !ere free to chan"e their places of !or% at their o!n discretion. Their ri"ht to !or% !here the# pleased !as, in fact, "uaranteed b# the Labour Code of 19??6 FThe transfer of a hired person from one enterprise to another or his shipment from one localit# to another, e en !hen the enterprise of institution mo es, can ta%e place onl# !ith the consent of the !or%er or emplo#ee concerned.G D48E >or%ers could also mi"rate, unhindered, from one part of the countr# to another. 1 en as late at 19C=, it !as stated in the Small Soviet 2ncyclopaedia that, Fthe custom of internal passports, instituted b# the autocrac# as an instrument of police oppression of the toilin" masses, !as suppressed b# the 2ctober Re olution.G D49E 7e ertheless, b# 19C1 no !or%er !as allo!ed to lea e Lenin"rad !ithout special permission. ;rom ?( -ecember 19C?, this s#stem !as applied to all parts of Russia, and an internal passport s#stem, much more oppressi e than the Tsar5s, !as introduced to pre ent an#one chan"in" his place of residence !ithout permission. D$=E ,s earl# as 1$ -ecember 19C=, all industrial enterprises !ere forbidden to emplo# people !ho had left their former place of !or% !ithout permission D$1E, and ,rticle C( of the 19?? Labour Code, to !hich reference is made abo e, !as abolished on 1 Jul# 19C?. D$?E Labour Boo%s !ere introduced for industrial and transport !or%ers on 11 ;ebruar# 19C1, and on ?= -ecember 19C8, for all other !or%ers. D$CE These boo%s must be sho!n to the director of the enterprise !hen a Kob is first ta%en on. -irectors are instructed to specif# in the boo% the reasons for dismissin" the !or%er. 7o !or%er can obtain a ne! Kob unless he sho!s his Labour Boo%. The icious !a# in !hich this !or%s in practice !as clearl# illustrated b# /ictor .er"e, !hen he !rote that6 FThe passport is isaed at the place of !or%. >ith each chan"e of emplo#, the reason for the chan"e is entered into the passport. & ha e %no!n of !or%ers dischar"ed for not ha in" come on the da# of rest to contribute a O oluntar#5 @and, naturall#, "ratuitousA da# of !or%, in !hose passports is !ritten6 O-ischar"ed for sabota"e of the production plan5.G D$4E <nder a la! of 1$ 7o ember 19C?, an# !or%er !ho is absent from !or% for one da# !ithout "ood reason is liable to be dismissed, and, much more serious under Russian conditions, is liable to be e icted from his home, if it is tied to his place of emplo#ment D$$E, !hich is usuall# the case for industrial !or%ers, miners, and so on. 1@

2n 4 -ecember 19C?, the Council of People5s Commissars and the Central Committee of the Part# issued another decree aimed at absenteeism. This time, food supplies and other necessities !ere put under the control of the factor# directors. D$'E , decree of ?8 -ecember 19C8 D$(E, !as aimed a"ainst those either arri in" late at !or%, lea in" before the scheduled time, undul# prolon"in" the lunch period or idlin" !hile at !or%. 2ffenders !ere liable to be transferred to !or% of a lo!er "rade, and, if the# committed three offences durin" one month or four in t!o months, to be dismissed. The official interpretation of the decree !as that penalties milder than dismissal should be imposed onl# !hen the !or%er !as less than t!ent# minutes late, or !as idlin" for less than t!ent# minutes. &f he !ere later than this on an# one occasion, then he should be immediatel# dismissed. Besides losin" his li in" accommodation, if attached to his place of emplo#ment, a dismissed !or%er suffers in other !a#s. ;or instance, not onl# pensions for disabilit#, old*a"e and dependents, but also rates of sic%ness benefit depend upon the len"th of emplo#ment at one enterprise. To ensure the fulfilment of this ne! decree, it !as stipulated that directors of enterprises and factor# shops !ho did not impose these penalties !ould be liable to dismissal and penal prosecution. 7e ertheless, after less than t!o #ears, it became ob ious that, because of the shorta"e of labour, the threat of dismissal !as not brin"in" about the desired results, and the punishments !ere re ised. D$8E ,s from ?' June 194=, instead of dismissal, an# !or%er absent e en for a sin"le da# !ithout a reason satisfactor# to the authorities !as no! liable to compulsor# labour !ithout confinement for up to six months at his usual place of !or% and to a reduction in !a"es of up to ?$ per cent. <nder this re ised la!, no !or%er ma# lea e his Kob unless he is either ph#sicall# unfit to !or%, or is accepted into an educational institution or is "i en special permission b# a hi"her authorit#. ,fter the issue of this decree, unKustified attempts on the part of !or%ers to "et doctors5 certificates excusin" them from !or% !ere punished er# se erel#. Thus, for instance, I9vestia of ?( ,u"ust 194= reported6 FThe case of T./. Timonin, born in 191$. 2n ?C ,u"ust Dthe defendantE appeared at a clinic !here he demanded that he be issued a doctor5s certificate excusin" him from !or%. Becomin" cha"rined because the thermometer indicated onl# normal temperature, he indul"ed in debaucher# and used unprintable lan"ua"e. +e !as sentenced on ?C ,u"ust to three #ears in "aol and !as not permitted to li e in nine specified cities of the .o iet <nion after the completion of the sentence.G , fe! months after the promul"ation of this la!, some !omen !rote to the press su""estin" that domestic ser ants should be made subKect to this la!. D$9E &t is an ama8in" commentar# on the de elopments !ithin <..R that, althou"h disa"reein" !ith the su""estion, I9vestia, the ne!spaper concerned, sho!ed no astonishment that it should be made in a period of alle"ed Ftransition from socialism to communismGM ;rom the la! a"ainst labour truanc# it is merel# a step to such a declaration as !as made in the Kournal of the -epartment of Propa"anda and ,"itation of the 4osco! Part# Committee6 F7o one !ho does not use all 48= minutes for producti e !or% is obser in" labour discipline.G D'=E 2ne ma# be sure that outside Russia not one !or%er in the !orld obser es this necessar# FsocialistG standardM 2n 19 2ctober 194= a decree !as issued !hich allo!ed the administration of industr# to carr# out the Fcompulsor# transfer of plant en"ineers, technicians, foremen, emplo#ees and s%illed !or%ers from one enterprise or institute to anotherG. D'1E , further sa a"e curtailment of !or%in" class freedom !as introduced b# a decree of ?' -ecember 1941. This decree imposed penalties ran"in" from fi e to ei"ht #ears in prison for !or%ers !ho left militar# industries !ithout permission @the offenders to be tried b# militar# tribunalA. D'?E Het another, issued on 1$ ,pril 194C, placed rail!a# !or%ers under complete militar# discipline. The# could be %ept under arrest :uite le"all# b# order of their superiors for up to t!ent# da#s !ithout trial and !ithout an opportunit# of appeal to the courts. D'CE .imilar re"ulations !ere applied to maritime and inland !ater!a#s !or%ers D'4E, post, tele"raph and radio emplo#ees, electric po!er emplo#ees and others. 2ffences such as lea in" a Kob !ithout permission !ere henceforth punished er# harshl#. D'$E &t is clear that these !ar re"ulations ha e continued in force after the !ar.

11

/er# soon after the triumph of the .talinist bureaucrac#, in the late t!enties, stri%es !ere prohibited and stri%ers rendered liable to the death sentence. .ince the abolition of capital punishment, the penalt# has been t!ent# #ears5 penal sentence. &t is true, of course, that stri%es !ere not referred to b# name, so that the follo!in" ,rticle, decreed on ' June 19?(, is the onl# item in the Collection of :a+s !hich could be interpreted b# the courts as dealin" !ith stri%es6 FCounter*re olutionar# sabota"e, i.e., %no!in"l# omitting to discharge a given duty, or dischar"in" it !ith deliberate carelessness, !ith the specific obKect of !ea%enin" the authorit# of the "o ernment or the "o ernment machine, entails depri ation of libert# for a period of not less than one #ear and confiscation of propert# in !hole or in part, pro ided that !here there are a""ra atin" circumstances of a particularl# serious nature, the penalt# shall be increased to the supreme measure of social defence ) death b# shootin", !ith confiscation of propert#.G D''E The si"nificance of .talinist labour le"islation has been !ell summed up in these !ords6 Fin comparison !ith the le"islation of the 7e! 1conomic Polic# period, !hen pri ate enterprise !as tolerated, the le"al status of labour has chan"ed for the !orse. ,ll the channels throu"h !hich labour can plead its case in the capitalist !orld ) le"islation, courts, administrati e a"encies and trade unions ) are in the .o iet <nion the a"enc# of the principal emplo#er of industrial labour ) the "o ernment. ,nother feature of the present .o iet labour la! is the numerous penal pro isions. The labour la! is to a lar"e extent criminal la!.G D'(E

Female labour

The conditions of the !or%ers as a !hole are certainl# "rimB those of !omen !or%ers are simpl# appallin". The Labour Code of 19?? prohibited the emplo#ment of !omen @and #oun" personsA Fin particularl# hea # and unhealth# production, and in !or% under"roundG. D'8E ,n order issued b# the Commissariat of Labour and the .upreme 1conomic Council on 14 7o ember 19?C, prohibited the emplo#ment of !omen for !or% consistin" entirely of carr#in" or mo in" loads exceedin" 1= Russian pounds @4.1 %ilo"ramsA. The carr#in" of loads up to 4= pounds @1'.4 %ilo"ramsA !as allo!ed onl# if it !as directl# connected !ith the !oman5s normal !or%, and if it did not occup# more than one*third of her !or%in" da#. D'9E Toda# not one of these safe"uards remains. ;or instance, !omen !or% in mines, often on the hea iest !or% in the pit, and the .o iet authorities describe this as a "reat achie ement. The same applies to the carr#in" of hea # loads in the buildin" industr#, !or% as ste edores, railroad builders, and so on. &n 19C?, the .cientific Council of the Commissariat of Labour as%ed four institutes char"ed !ith research into occupational disease in arious coal*minin" districts to in esti"ate the effects of under"round emplo#ment on !omen. The institute in the Caucasus coal district carried out a clinical in esti"ation of $9? female coal !or%ers, of !hom 148 !ere emplo#ed in surface !or% and 444 under"round, and arri ed at the conclusion that under"round !or% is no more harmful to expectant mothers than is surface !or%. ;urthermore, Fit !as the unanimous consent of all institutes char"ed !ith this research that a considerable increase in female emplo#ment in coal minin", includin" arious operations under"round, is possible !ithout an# harm to the female bod#.G D(=E >omen in mines are doin" all %inds of Kobs, includin" loadin" and he!in", as is testified b# the Russian press. 2ne or"an !rote6 F;or the first time in the -onet8 Basin, a team of !omen loaders had been or"anised. 7o! 1= !omen of the Babiche a5s Bri"ade dail# load fourteen to fifteen tons of coal each. This team has alread# its o!n he!in" machine operator, Pauline Tants#ura.G D(1E ,nother official !riter had this to sa# in 19C(6 FThe most interestin" point is that .o iet !omen ha e "ained and continue to "ain in those branches of industr# !hich are closed to !omen in capitalist societ#, and !hich in capitalist countries are re"arded as a man5s Kob from !hich !omen are Ob# nature5 excluded. >omen thus pla# a er# ne"li"ible role in capitalist minin" industr#. The proportion of !omen to the total numbers emplo#ed in the minin" industries is, for ;rance @19C1A, 12

?.( per centB for &tal# @19C1A, 1.8 per centB for 9erman# @19C?A, 1.= per centB <., @19C=A, =.' per centB and in 9reat Britain, =.' per cent. &n the <..R !omen represent ?(.9 per cent of the total number of people !or%in" in the minin" industr#. The buildin" trade offers a similar picture. &n the countries mentioned abo e, the percenta"es for this trade ran"e from =.$ per cent @&tal#A to ?.9 per cent @9erman#A. &n the <..R !omen constitute 19.( per cent. &n the metal industries the percenta"es ran"e from C.= per cent @<.,A to $.4 per cent @9reat BritainA. &n the metal industries of the <..R, ?4.' per cent of all !or%ers are !omen.G D(?E The .talinist author omitted to mention that there are t!o other countries besides the <..R !here man# !omen are emplo#ed in the mines ) &ndia and Japan D(CE, both notorious for the terrible conditions of the !or%ers. The follo!in" e#e*!itness account of the harsh conditions under !hich female labour is emplo#ed in buildin" rail!a#s !as "i en b# Charlotte +aldane, !ho at the time !as er# !ell disposed to .talin5s re"ime6
In Archangel it as necessar( to la( do n a light rail a( track for about five miles along the docks $$$ I atched this being done! entirel( b( omen$ The track! com"lete ith "oints! as laid in fort(1eight hours$ The( ent at it da( and night! b( da(light and electric light$ It as sno ing and free,ing nearl( all the time! but this made no difference to their labours$ All the cargo checkers ere omen! too$ The( orked in shifts! t ent(1four hours on! t ent(1four hours off$ =uring their orking "eriod the( had occasional brief rests of an hour or t o! hen the( retired to a ooden hut on the ;ua(! ate their cabbage sou" and black bread! drank their imitation tea! had an uneas( do,e in their clothes! and returned to ork$ 0<43

+indus, another of .talin5s !ell*!ishers, !rote6

Ane of the remarkable as"ects of +ussian life is the "resence of omen as da( labourers$ The( ork ith "ick and shovel! the( carr( heav( loads of lumber! the( cart heelbarro s$ At the time that Bosco as building the sub a(s omen orked underground side b( side ith men$ A common sight in an( cit( is that of omen la(ing bricks! "utting in rafters! "erforming the other heav( tasks in construction$ An night shifts the( are as cons"icuous on such )obs as on da( shifts$ 0<%3

.ide b# side !ith reports li%e these, ho! ironical sounds .ta%hano 5s statement6 F;or the .o iet people !or% has become a pleasure.G D('E

Forced labour

&n Russia forced labour exists in a number of forms and in ar#in" de"rees. ;or instance, contracts are made bet!een %ol%ho8 chairmen and industrial plants, mines or transport underta%in"s, b# !hich the %ol%ho8 underta%es to suppl# a certain number of !or%ers. .uch t#pes of forced labour !ill, ho!e er, not be dealt !ith in this section. >e shall deal onl# !ith forced labour in its extreme form, in the sla e camps !here labour po!er is not bou"ht and sold as a commodit#, because the labourer himself has no le"al freedom. <ntil the first ;i e*Hear Plan, prison labour !as on far too small a scale to ha e an# real si"nificance in the Russian econom#. &n 19?8 there !ere onl# C=,=== prisoners in camps, and the authorities !ere opposed to compellin" them to !or%. &n 19?(, the official in char"e of prison administration !rote that6 FThe exploitation of prison labour, the s#stem of s:uee8in" O"olden s!eat5 from them, the or"anisation of production in places of confinement, !hich !hile profitable from a commercial point of ie! is fundamentall# lac%in" in correcti e si"nificance ) these are entirel# inadmissible in .o iet places of confinement.G D((E ,t that time the alue of the total production of all prisoners e:ualled onl# a small percenta"e of the cost of their up%eep. >ith the inau"uration of the ;i e*Hear Plan, ho!e er, the situation chan"ed radicall#. FJiselio * 9romo , himself a former 9P< official in the northern labour camps, states that in 19?8 onl# C=,=== men !ere detained in the camps ... The total number of prisoners in the entire net!or% of camps in 19C= he "i es as ''?,?$(.G D(8E 2n the e idence a ailable, -allin concludes that b# 19C1 there !ere nearl# t!o million people in labour camps, b# 19CC*C$ about fi e million, and b# 194?, from ei"ht to fifteen million. D(9E The one*time leader of the Hu"osla Communist Part#, ,nton Cili"a, !ho !as

13

held in Russian concentration camps for man# #ears, estimates that the number of prisoners at the hei"ht of the pur"es of the thirties reached about ten million. D8=E The extent of sla e labour in <..R ma# be "au"ed not onl# from the reports published in the Russian press of hea # punishments for the most elementar# crimes, such as theft of bread DBE, but indirectl#, from the statistics of oters. 1 er#one of ei"hteen #ears of a"e and o er has the ri"ht to ote, except the inmates of forces labour camps. ,ccordin" to the census of 19C9, $8.4 per cent of the population !ere a"ed ei"hteen and o er at that time. B# 194', this percenta"e had almost certainl# risen. ;or one thin", there !as a smaller proportion of children in the ne! areas added to the <..R, such as Lithuania and Lat ia, than in her 19C9 territor#, and, for another, the !ar not onl# caused a "reater increase in the death rate of children than of adults, but also caused a sharp decline in the birth rate. But e en assumin" that the proportion of people a"ed ei"hteen and o er !as nearl# the same in 194' as in 19C9, out of a population of 19C million there must still ha e been 11?.( million people in that a"e "roup. Het onl# 1=1.( million had the ri"ht to ote in the elections. ,ccordin" to this method of calculation, at least ele en million must ha e been in sla e labour camps. There are other pointers to the mass character of the forced labour camps. ;or instance, durin" the second !orld !ar the 9erman /ol"a Republic !as dissol ed for alle"ed lac% of lo#alt# to the re"ime, and its population !as banished, in all probabilit# to labour camps. &n the areas of the <..R formerl# occupied b# the 9ermans a number of republics !ere dissol ed. These dissolutions !ere not e en mentioned in the press. ,nd it !as onl# !hen ravda, on 1( 2ctober 194$, "a e a list of the constituencies for the comin" "eneral elections that it !as disco ered that a number of republics had disappeared, since !hen one cannot %no!. The# !ere the autonomous Crimean Tartar Republic, the Jalmu% Republic, and the Checheno*&n"ush Republic, as !ell as the autonomous Jarache re"ion. D81E The Jabardinian*Bal%ar autonomous Republic became the Jabardinian Republic after the expulsion of the Bal%ars. D8?E The population of these re"ions !as most than t!o million. 7o official information is a ailable as to their !hereabouts. ,"ain, in all probabilit#, the# ha e been sent to labour camps. But the clearest indication of the extent of sla e labour in Russia from a .o iet official source is to be found in the State lan of the 8evelopment of the National 2conomy of ;SSR for #$&# . D8CE ,ccordin" to this source the alue of the "ross output of all enterprises mana"ed b# the 7J/!as planned to be, in 1941, 1,9'9 million roubles at 19?'P?( prices. D84E >hat an ad ance since 19?$, !hen the total output of all con ict labour !as C.8 million roubles D8$E ) an increase of more than $== timesM &f the output per prison !or%er !as the same in 1941 as in 19?$, there !ould ha e been as man# as fifteen million sla e labourers. Probabl# the producti it# of labour in the camps !as considerabl# hi"her in 1941 than in 19?$, and probabl# the estimate of the output of 7J/enterprises in Ffixed 19?'P?( pricesG !as some!hat inflated. But e en after ma%in" the necessar# corrections, it is clear that sla e camps hold millions of people. The impossibilit# of computin" exactl# ho! man# sla es there are in the camps is due to the complete absence of official statistics. <ntil the be"innin" of the thirties a considerable bul% of statistics !as published relati e to trials, prisons and prisoners, but since then, publication of such fi"ures has ceased entirel#. &t is s#mptomatic, that a boo% called Court Statistics, b# ,.,. 9ertsen8on @4osco! 1948A, "i es actual fi"ures for the <nited .tates, Britain, 9erman#, Canada, &ndia, Bel"ium, -enmar%, ;inland, &tal#, 9reece, +olland, ,ustria, .!eden, .!it8erland, and 7or!a#, but for the <..R "i es onl# #ears &, &&, etc. ) !ithout mentionin" !hich the# are ) and about re"ions &, &&, etc. ) !ithout mentionin" !hich the# are. &t merel# notes that in these re"ions there is a population of 4.( million. .ince that fi"ure is a er# small percenta"e of the total population of the <..R, neither absolute fi"ures nor e en "eneral trends can be adduced therefrom. &t is hi"hl# si"nificant that the published results of the 19C9 census do not include the distribution of population accordin" to districts. This information, !hich normal census tables al!a#s include, !ould ha e made it possible to estimate the number of people in sla e camps !ith considerable accurac#, because there are certain districts that are definitel# %no!n to ha e almost no free population. 14

, clear proof of the presence of children, mothers, pre"nant !omen, old men and !omen, in Russia5s labour camps !as "i en b# the amnest# decree of ?( 4arch 19$C. This released from prison and labour camps F!omen !ith children under ten #ears of a"e, men o er $$ and !omen o er $=, and also con icted persons sufferin" from "ra e, incurable illnessG. D8'E .la e labour is "enerall# er# unproducti e. The Russian "o ernment resorts to it on such an enormous scale simpl# because it is relati el# so er# much poorer in capital than in man*po!er compared !ith the ad anced countries of >estern 1urope and the <nited .tates. ,t the same time, paradoxicall#, it ser es to o ercome bottlenec%s caused b# labour scarcit# in certain re"ions and industries. ,t all periods of histor#, !hen labour has been scarce, the state has imposed le"al restrictions on the freedom of the !or%ers, as in >estern 1urope in the fourteenth and earl# fifteenth centuries, and a"ain in the se enteenth centur#. The sla es in .talin5s camps are a crude ersion of the Farm# of unemplo#edG of traditional capitalism, that is, the# ser e to %eep the rest of the !or%ers Oin their places5. &n addition to this, it must be remembered that in the <..R there are man# hi"hl# distasteful tas%s to be accomplished @in the far north, for instanceA, !hich free or e en semi*free !or%ers could be induced to underta%e onl# b# the offer of er# po!erful incenti es. &n spite of its extremel# lo! producti it#, sla e labour is, in such cases, the cheapest, if not the onl#, possible method. This is exemplified b# the follo!in" extract from I9vestia. -escribin" operations on a ne! rail!a# line built in .iberia b# forced labour, it points out that6 F<p to the present it !as thou"ht that the buildin" season does not "o be#ond a hundred da#s in a #ear. The !inter is er# cold, $=Q belo! 8ero. But the builders ha e pro ed, that e en under such conditions, it is possible to !or% the !hole #ear throu"h !ithout interruption.G D8(E 2ne could not end the present section better than b# :uotin" /#shins%#5s !ords6 F>or% enthusiasm, socialist consciousness and the loft# feelin" of dut# to!ards the state, the fatherland and the .o iet people, decide :uestions of !or% discipline amon" us ) not penalties or threat of criminal punishment as in capitalist countries.G D88E

Footnotes

,. &t is interestin" to note that boo%s published for forei"n consumption, such as Lo8o s%#5s 6and!oo, on the Soviet Trade ;nions, 4osco!, 19C(, pp.$'*$( continue to describe collecti e a"reements as if the# still existed. B. .ee belo! in this chapter, The subordination of man to propert#

References

1. ;or a er# "ood description of the chan"es in the mana"ement of the Russian econom# see 9. Bienstoc%, ..4. .ch!art8 and ,. Hu"o!, Mana-ement in Russian Industry and A-riculture , 2xford <ni ersit# Press 1944 ?. ,. Ba#%o , The 8evelopment of the Soviet 2conomic System , London 194'. p.11$. C. i!id., p.11'. 4. All(;nion Communist arty "<olshevi,s' in Resolutions and 8ecisions of the Con-resses1 Conferences and lenums of the Central Committee @hereafter referred to as A;C in Resol., @RussianA 4osco! 1941, 'th ed. /ol.&&, p.811. $. i!id., p.81?. '. Socialism =ictorious, London 19C4, p.1C(. (. >a Industriali9atsiu @2r"an of the Commissariat of +ea # &ndustr#A, 4osco!, 1' ,pril 19C4 8. L. 9int8bur" and 1. Pashu%anis, Course of Soviet 2conomic :a+ @RussianA, 4osco! 19C$, /ol.1, p.8. 9. ravda, 11 4arch 19C(. 1=. 1.L. 9rano s%i and B.L. 4ar%us @eds.A The 2conomics of Socialist Industry @RussianA, 4osco! 194=, p.$(9. 11. i!id., p.$'C. 1?. +. Johnson, -ean of Canterbur#, The Socialist Sixth of the ?orld, London 1944, 19th imp. p.?8=.

1%

1C. Trud @trade union dail#A, 4osco!, 8 Jul# 19CC. Ruoted b# 4. 9ordon, ?or,ers <efore and After :enin, 7e! Hor% 1941, pp.1=4*1=$. 14. 9.J. 2rd8honi%id8e, Selection of Articles and Speeches1 #$##(#$*% @RussianA, 4osco! 19C9, p.C$9. 1$. ravda, ?9 -ecember 19C$. 1'. Decision of the All-Union Central Council of Trade Unions , ? Januar# 19CC, :a!our :e-islation in the ;SSR @RussianA, 4osco!*Lenin"rad 19CC, p.C?.= 1(. /.&. Lenin, ?or,s @RussianA, 4th ed. /ol.SS, pp.'*( @hereafter the 4th ed. is al!a#s :uoted unless other!ise statedA. 18. 2leventh Con-ress of the Russian Communist arty "<olshevi,s'. Steno-raphic Report. 6eld in Mosco+1 March(April #$)) @RussianA, 4osco! 19C', p.?($. 19. ?a-e :a!our in Russia @RussianA, 4osco! 19?4, p.1'=B and Trade ;nions in ;SSR #$)0(#$)3 @RussianA, 4osco! 19?8, p.C$8. ?=. Trud, ?C ,pril 1949. ?1. 9.7. ,le%sandro @ed.A Soviet :a!our :a+ @RussianA, 4osco! 1949, p.1''. ??. rofessionalnye Soiu9y @monthl# or"an of the trade unionsA, 4osco! 194=, 7os.4*$. ?C. i!id. 194(, 7o.?. ?4. &.T. 9olia%o @ed.A :e-islation Re-ardin- :a!our @RussianA, 4osco! 194(, p.1$. ?$. 9.7. ,le%sandro and -.4. 9en%in @eds.A, Soviet :a!our :a+ @RussianA, 4osco! 194', p.1='. .ee also 9.7. ,le%sandro and 9.J. 4os%alen%o @eds.A Soviet :a!our :a+ @RussianA, 4osco! 194(, pp.1==*1=1. ?'. :a!our Code of RS4SR @RussianA, 4osco! 19C(, ,rticle $8, p.?8. ?(. 9olia%o , op. cit., p.1$. ?8. Trud, 1C ,pril 19$?. ?9. ;. 7eumann, <ehemoth, London 194?, pp.C$?*C$C. C=. i!id. p.C$C. 4# emphasis. C1. Ba#%o , op. cit. p.???. C?. 9. .oro%in, Socialist lannin- of the National 2conomy of ;SSR @RussianA, 4osco! 194', p.9$. CC. The :ar-e Soviet 2ncyclopaedia, /ol.<..R @RussianA, 4osco! 1948, Column 1($1. C4. Trud, ?= ,pril 1949. C$. ,.&. Bes%in, .r-anisation and lannin- of roduction in the .il 2xtraction Industry @RussianA, 4osco!*Lenin"rad 194(, p.1C4. C'. <olshevi, @2r"an of the Central Committee of the Part#A, 4osco! 19$?, 7o.$. C(. >a Industriali9atsiu, 4osco!, 4arch 19C'. C8. ,.,. ,rutinian and B.L. 4ar%us @eds.A, 8evelopment of Soviet 2conomy @RussianA, 4osco! 194=, p.49?. C9. ,. Hu"o!, Russias 2conomic 4ront for ?ar and eace, London 194?, p.19C. 4=. i!id. p.194. 41. Trud, 1( ,pril 1941. 4?. Mashinostroenie @2r"an of the Commissariat of 4achine ConstructionA, 4osco!, 11 4a# 19C9. 4C. I9vestia, ? ,pril 19C'. 44. J. 4a#nard, The Russian easant: And .ther Studies, London 194?, p.C4=. 4$. ;or the earliest reported cases of the murder and sabota"e of .ta%hano ites after the introduction of .ta%hano ism, see I9vestia, ?C ,u"ust 19C$, ?( .eptember 19C$, ? and $ 2ctober 19C$B ravda, ?, ?1 and ?? 7o ember 19C$B Trud 1 7o ember 19C$. 4an# more could be :uoted. 4'. Bes%in, op. cit., p.C1. 4(. /.&. Lenin, ?or,s @RussianA, op. cit., /ol.SS&, p.1C$. 48. :a!our Code #$)) @RussianA, 4osco! 19??, ,rticle C(. 49. Ruoted b# /. .er"e, Russia T+enty @ears After, 7e! Hor% 19C(, p.''. $=. A Collection of :a+s and .rdinances of the ?or,ers( easant 5overnment of the ;SSR @hereafter referred to as Coll. :a+s ;SSRA, @RussianA 4osco! 19C?, 7o. 84, ,rticle $1'. $1. I9vestia, 1( -ecember 19C=. $?. :a!our Code of RS4SR @RussianA, 4osco! 19C(, ,rticle C(, p.?=. $C. >a Industriali9atsiu, 1? ;ebruar# 19C1B A Collection of 8ecisions and .rdinances of the 5overnment of ;SSR @hereafter referred to as Coll. 8ecisions ;SSRA @RussianA, 4osco! 19C8, 7o.$8, ,rticle C?9. $4. .er"e, op. cit. p.'8.

1&

$$. A Collection of :a+s and .rdinances of the ?or,ers and easants 5overnment of RS4SR @hereafter referred to as Coll. :a+s RS4SRA, @RussianA 4osco! 19C?, 7o. 8$, ,rticle C(1. $'. 8ecisions of the Central Committee of the All(;nion Communist arty "<olshevi,s' and the Council of eoples Commissars of ;SSR1 concernin- Most Important ro!lems of Socialist Construction @RussianA, Lenin"rad 19CC, pp.1?(*1C=. $(. Coll. 8ecisions ;SSR, 19C9, 7o.1, ,rticle 1. $8. Supreme Soviet ;SSR 5a9ette @RussianA, 4osco! 194=, 7o.?=. $9. I9vestia, C= -ecember 194=. '=. <lo,not A-itatora @2r"an of the Propa"anda and ,"itation -epartment of the 4osco! Committee of the Part#A, 4osco! 19$?, 7o.4, pp.41*4?. '1. Supreme Soviet ;SSR 5a9ette @RussianA, 4osco! 194=, 7o.4?. '?. ,le%sandro and 9en%in, op. cit., p.?(8. 'C. i!id., pp.?(C*?(4. '4. i!id., p.?($. '$. .ee 9.7. ,le%sandro , Soviet :a!our :a+, 1949. ''. Coll. :a+s RS4SR, 19?(. 7o.49, ,rticle CC=B and Criminal Code of RS4SR @RussianA, 4osco! 19C(, ,rticle $8, &tem 14. 4# emphasis. '(. /. 9so s%i, Soviet Civil :a+, ,nn ,rbor 1948, /ol.&, p.8=$. '8. :a!our Code #$)) @RussianA, 4osco! 19??, ,rticle 1?9, p.18. '9. Women Workers and their Protection in Russian Industry , International :a!our Revie+, 2ctober 19?9. (=. 9.7. .erebrenni%o , >hens,ii Trud v. SSSR, 4osco! 19C4, p.?=4. Ruoted b# J. 9runfeld in Women s Work in Russia s Planned !conomy, Social Research, ;ebruar# 194?. .erebrenni%o !as careful, of course, not to include such information in his boo%, The osition of ?omen in the ;SSR , London 19C(, !ritten specificall# for non*Russian readers. (1. Russian Ne+s <ulletin, C= Jul# 1941. (?. .. >olfsson, Socialism and the "amily, in od >namenem Mar,si9ma @Theoretical 2r"an of the Part#A, 4osco! 19C', :uoted b# R. .chlesin"er, The 4amily in the ;SSR, London 1949, p.?8(. (C. &nternational Labour Conference, 1i"hteenth .ession, 2mployment of ?omen on ;nder-round ?or, in Mines of all Ainds, 9ene a 19C4, Report /&. (4. C. +aldane, Russian Ne+sreel, London 194?, p.1$1. ($. 4. +indus, Russia 4i-hts .n, London 194?, p.1C$. ('. ravda, 1 Januar# 19C9. ((. -.J. -allin and B.&. 7icola#es%#, 4orced :a!our is Soviet Russia, London 1948, p.1$C. (8. i!id., p.$?. (9. i!id., pp.$4*'?. 8=. ,. Cili"a, The Russian 2ni-ma, London 194=, p.?49. 81. H. 9luc%stein, Stalins Satellites in 2urope, London 19$?, pp.C=9*C1=. 8?. >. Jolar8, Russia and her Colonies, London 19$?, p.18$. 8C. Supplements to the .rder of the Council of eoples Commissars of ;SSR and the Central Committee of the All(;nion Communist arty @RussianA, 7o.1?(, 1( Januar# 1941. 7o date or place of publication "i en. Photo"raphic cop# b# the <ni ersal Press for the ,merican Council of Learned .ocialists, 7e! Hor% 19$=. 84. i!id., p.1=. 8$. -allin and 7icola#e s%#, op. cit., p.1'$. 8'. ravda, ?8 4arch 19$C. 8(. I9vestia, ?= -ecember 19C(. 88. ,.Ha. /#shins%# @ed.A The :a+s of the Soviet State @RussianA, 4osco! 19C8, pp.$14*$1$.

1<

Chapter 1: Socio-economic relations in Stalinist Russia (Part 2)

The subordination of consum"tion to accumulation C the subordination of the orkers to the means of "roduction

<nder capitalism the consumption of the masses is subordinated to accumulation. .ometimes consumption increases at the same time as accumulation, at other times it decreases !hile accumulation risesB but al!a#s, in e er# situation, the basic relationship remains. &f !e follo! the histor# of Russia from 2ctober, !e find that until the ad ent of the ;i e*Hear Plan this subordination did not exist, but from then on expressed itself in unprecedented brutalit#. This !ill become clear from the follo!in" table D89E6 1 en these fi"ures do not tell the !hole stor#, for it is almost certain that this official calculation has not "i en due !ei"ht to the facts that the turno er taxes are imposed mainl# on means of consumption and that the subsidies are de oted almost exclusi el# to the means of production @see belo!A !ith conse:uent distortion of the price s#stem. The fi"ures a ailable concernin" the actual chan"e in the olume of output of consumer "oods are er# mea"re and in their interpretation !e meet "reat difficulties indeed. &t is inad isable to include products, li%e bread, !hose rise in output is not the reflection of a total increase in production, but simpl# of a shift from home*processin", not co ered b# statistics, to industr#, !hich is co ered. D9=E
1"1# +otton goo,s *thousand million metres-oollen goo,s *million metres.eather shoes *million "airsRa/ sugar *thousand tonsPa!er *thousand tons0osiery *million "airs.inen *million metres2$9 9%$@ 1"$%&" 2$<4 9&$& 23$2 1!29@$@ 19<$@ 1!34@$@ 31&$@ 1"#$ 2$< 91$3 82$@ 828$@ 4<8$% 1%4$@ 1&2$@ 13@$@ 1"#' 3$4 1@8$3 1&4$2 2!421$@ 831$% 4@1$@ 2<8$@ 83$@ 34@$3 1"() 1$< %&$9 &@$@ 1"(" 3$< 1%3$9 1%&$@ 1")* 3$8 1&<$@ 2@%$@ 2!%22$@

This table sho!s onl# a er# modest increase in the output of consumer "oods ) except for the case of leather shoes, paper and su"ar. Re"ardin" the interpretation of these fi"ures, it must be pointed out that !hile the fi"ures for 191C are adKusted to the reduced territor# of <..R after the Re olution, the fi"ures for 194$ and 1949 are not adKusted to the "reatl# enlar"ed post*!ar territor#. @Russian annexations from 19C9 on!ards, included it !ill be recalled, Lithuania, Lat ia, 1sthonia, the 1astern part of Poland, etc.A ;urthermore, until 19?8 at least, er# small factories made an important contribution to the production of means of consumption. &n 19?9, lar"e*scale industrial plants ) defined as emplo#in" more than thirt# people, or ha in" a moti e po!er %eepin" more than fifteen people occupied ) emplo#ed C.? million persons, !hile small*scale industr# emplo#ed 4.$ million persons. +o!e er, "oods produced in this !a# durin" the Plan era !ere excluded from the .talinist statistics. This, perhaps, explains the tremendous increase @on paperA in leather shoe production, an increase that cannot be s:uared !ith !hat is %no!n about a ailable supplies of leather. The number of

18

animals slau"htered annuall# after the bi" collecti isation dri e could ne er ha e reached the number slau"htered pre iousl#, as it !as not until 19C8 that the total number of li estoc% a"ain approached the 19?9 le el. @&n 19?9 cattle numbered '8.1 million, in 19C8, 'C.?B sheep and "oats numbered 14(.? and 1=?.1 respecti el#A. D91E ;urthermore, the surplus of imported hides, s%ins, and leather o er those exported !as 4$.C thousand tons in 19?(*?8, as a"ainst onl# 1$.' thousand tons in 19C9. D9?E 2b iousl# onl# a miracle could increase leather shoe production simultaneousl# !ith a decreasin" suppl# of leather. &n the case of hosier# one o er!helmin"l# important fact is o erloo%ed6 the maKorit# of hose used to be produced b# artisans. ,s re"ards paper, output has undoubtedl# increased enormousl# due to the propa"anda needs of the "o ernment, the needs of administration and the cultural needs connected !ith industrialisation. The subordination of consumption to production is clear enou"h if !e put side b# side the series of tar"ets of output of consumer "oods in the different ;i e*Hear Plans and those of production "oods. &t !ill be found that the .o iet "o ernment, !hile promisin" a rise in the production of means of consumption !ith e er# ;i e*Hear Plan, fixes the actual tar"et of the Plan at a olume of production !hich does not exceed the tar"et of former Plans. This is sho!n clearl# b# the follo!in" table D9CE6 +o!e er, !hen the Russian "o ernment boasts that Fin 19$= !e !ill reach the le el of 4.( milliard metres of cotton "oodsG, the# are not embarrassed b# ha in" made the same promise t!ent# #ears a"o, !hen the population of the <..R !as about fift# million less than no!, as their police and propa"anda combine to %eep memories as short as "oods. To turn to actual production, !e find that not onl# are the targets for consumer "oods much more modest than those for consumer "oods, but also @still accordin" to official fi"uresA the rate of realisation of these tar"ets is much lo!er for the former than for the latter6
Percentage fulfilment of the !lanne, increase in the 1irst, Secon, 2 1ourth 1ive34ear Plans ["(] Means of production 1st 2nd 4th +oal <2$3 <1$% 112$9 +ru,e oil 1@<$1 33$& 1%4$% 5lectricity 49$1 93$% 124$& Pig 6ron 43$3 83$8 9<$8 Steel 24$4 1@&$4 12&$8 Rolle, steel 19$3 1@@$@ 1&3$8 +ement 3&$3 49$1 9%$< Means of consumption +otton goo,s 13$@ 31$@ 18$8 -oollen goo,s 13$3 1@$& 119$3 Shoes 2&$1 83$3 @$@ Pa!er an, car, oar, 32$2 %2$1 <2$3 Matches 1$& 2%$4 C Soa! 3&$9 21$< 9&$<

The accumulation of ca"ital on the one hand and "overt( on the other
4ear 1"$1 1"$$ 1"$# 1"$(

<ntil 19?8, not!ithstandin" the increasin" bureaucratisation, the slo! accumulation of !ealth in the statified econom# !as not accompanied b# a "ro!th of po ert#, as the follo!in" table sho!s6

19

1"$) 1"$' 1"$%

Thus, e en accordin" to the calculations of Professor Pro%opo ic8, ex*4inister of the Jerens%# "o ernment !hom no*one !ould suspect of partialit# to!ards the Bolshe i%s, real !a"es of Russian !or%ers in 19?8*?9 !ere 1$.' per cent hi"her than before the !ar. ,t the same time !or%in" hours !ere cut b# ??.C per cent. &f !e also too% social ser ices into account the rise in real !a"es !ould be e en more pronounced. ,nother point that comes to li"ht from this table is that the last fe! #ears before the inau"uration of the ;i e*Hear Plan, as the bureaucrac# stren"thened itself, real !a"es almost ceased to rise, and the rate of the rise la""ed a little behind the rate of accumulation. The situation chan"ed radicall# !ith the inau"uration of the Plan. ;rom then on accumulation leaped ahead tremendousl#, !hile the standard of li in" of the masses not onl# la""ed far behind, but e en declined absolutel# compared !ith 19?8. The follo!in" table "i es an indication of the rate of accumulation D9(E6
6nvestment of ca!ital 7thousan, million current rou Total 1"$#&(31"$'&% 2&$% 1"$%&"31"#$ %2$% 1"##3#' 114$< 1"#%31"($ */lan- 192$@ 1"(931")* */lan- 2%@$3 les8 6n in,ustry 4$4 24$8 %8$& 111$9

1 en ma%in" due mental allo!ance for the decline in the alue of the rouble in these #ears, it is clear from a "lance at this table that a tremendous accumulation of capital too% place. &n 19CC prices, the fixed capital of Russian industr# !as 1=.C milliard roubles in 19?8 and rose to ??.' milliard roubles in 19C? and to $9.9 milliard roubles in 19C(. D98E ;rom 19?8 the Russian authorities stopped publishin" the index of real !a"es and of the cost of li in" and, from 19C1, !holesale or retail prices. &t is, therefore, er# difficult to calculate chan"es in the le el of real !a"es. ,ll the a ailable e idence sho!s, ho!e er, that, on the !hole, the le el has not risen since the introduction of the Plans. Thus, for instance, the purchasin" po!er of a era"e !a"es measured in food chan"es as follo!s D99E6
4ear 1"1# 1"$% 1"#$ 1"#) 1"#' 1"(* :1oo, as;ets< !er monthly /age Num er 6n,ex 3$< 1@@ %$& 1%1$4 4$8 129$< 1$9 %1$4 2$4 &4$9 2$@ %4$1

This calculation of the chan"es in the purchasin" po!er of !a"es expressed in food is confirmed b# statistics of the actual consumption of some foodstuffs per head of the population. , comparison of the consumption of, sa#, meat, in the <..R in 19C( !ith that of 9erman# and ;rance durin" the last decades of the nineteenth centur# sho!s ho! ab#small# lo! the le el of food consumption in the <..R has fallen. &n 1898 meat consumption in Berlin fluctuated bet!een 1C= and 1$= pounds @'1 and '8 %ilo"ramsA per head, and in Breslau it a era"ed 8' pounds @C9 %ilo"ramsA per head, in 188=*89. ;rance sho!ed the follo!in" position in 18$?6 in Paris consumption !as (9.C1 %ilo"rams, in other to!ns $8.8( %ilo"rams, in the illa"es ?1.89 %ilo"rams, ;rance as a !hole, CC.=$ %ilo"rams. D1=1E ,s re"ards the consumption of some industrial consumer "oods, the follo!in" information has been culled from .o iet sources. 2@

Basin" his calculations on the official fi"ures of the output of cotton "oods and shoes, and on /o8nessens%#5s statement of the portion ta%en b# the arm#, occupational clothin", and so on D1=?E, Jasn# comes to the follo!in" conclusion re"ardin" the ci ilian consumption of these "oods6 FThe :uantit# of cotton "oods a ailable for pri ate consumption fell from 1$.? metres per capita in 19?(*?8, to less than 1= metres in 194=.G D1=CE ,lthou"h the number of shoes a ailable per person increased from =.4= pairs in 19?(*?8, to =.8C pairs in 194=B there !as durin" the same period Fa "reat deterioration in the :ualit# of shoes o!in" to the shorta"e of leatherG. D1=4E The per capita consumption of !oollen "oods, excludin" the portion ta%en b# the arm#, occupational clothin", etc., !as =.'' metres in 19?9, and =.'$ metres in 19C(B or su"ar @ra!A, 8.$ %ilo"rams in 19?9 and 14.( %ilo"rams in 19C(. D1=$E 2ne can see ho! lo! these fi"ures are b# "lancin" at the fi"ures of the output of consumers5 "oods in other countries6 in Britain, in the same #ear, 19C(, '= s:uare metres of cotton "oods, (.4 metres of !oollen "oods, and ?.? pairs of leather shoes per produced, per capita. &n the face of stubborn facts li%e these, one mi"ht assume that Juib#she , the late chairman of 9osplan, had a fine sense of humour !hen he declared to the .e enteenth Conference of the Part# @Januar# 19C?A6
0:e think it absolutel( necessar( to ensure! in the Second Five12ear /lan! such an e'"ansion of the out"ut and food and light industries and agriculture as ill secure an increase in the level of consum"tion of not less than 213 times $$$ An a""ro'imate calculation of the consum"tion level in 193< allo s us to assert that in this (ear the Soviet Dnion ill be! as regards the level of consum"tion! the most advanced countr( in the orld$ 01@&3

But the most extreme expression of the subordination of !or%ers5 standards to the needs of capital accumulation is to be seen in the housin" conditions of the Russian people. The housin" construction plans of the "o ernment and the co*operati es ha e ne er been realised since the ;i e*Hear Plans !ere inau"urated, as the follo!in" table sho!s D1=(E6
Target 1ulfilment = fulfille, 7million s>? m?8 1irst 1ive34ear Plan %3 22$& 42$& Secon, 1ive34ear Plan &1$4 2&$8 43$9 0ousing

The Third ;i e*Hear Plan !as interrupted b# the !ar, and so it is difficult to estimate the extent to !hich its housin" tar"et !as realised. ,t the same time the urban population "re! er# :uic%l#. <na oidabl#, therefore, this failure to achie e housin" construction tar"ets has meant that housin" space per capita of the urban population declined e en belo! the mea"re standards of 19?8 D1=8E6
4ear 1"$# 1"$'3% 1"#$ 1"#' 1"#" .iving s!ace in to/ns 083 @r an !o!ulation Total Per !erson *millions*mill$ s;$ m$*s;$ m$18$9 118$4 &$2 2&$3 1&@$2 &$1 39$< 18%$1 4$&& %@$2 211$9 4$% %%$9 22%$@ 4$@

The li in" space a ailable throu"hout the period co ered b# the table !as far belo! the minimum sanitar# norm, !hich accordin" to a 194( official statement, !as 8.?$ s:uare metres. D1=9E The housin" area per person in 1949 in some other countries !as6 -enmar%, ?1 s:uare metresB &reland, 1(B .!eden, ?CB Bel"ium, 1$B ;rance, ?CB 9reece @estimatedA, 1'B &tal#, 1?. D11=E .ome idea of !hat a li in" space of four s:uare metres means ma# be "ained b# considerin" that in Britain the minimum allo!ed in ne! buildin"s is from $$= to 9$= s:uare feet per d!ellin" D111E, or about $1*88 s:uare metres. The decrease in the a era"e floor space per person is more pronounced in 4osco! and Lenin"rad and in the ne!l# established industrial centres than else!here. ,n article in Soviet Ne+s praisin" .o iet housin" conditions, sa#s of 4osco!6 F,n idea of the .o iet <nion5s pro"ress in housin" ma# be obtained from the example of 4osco!, !hich is a model 21

in modern to!n de elopment for all other capitals of the !orld. .ince the ad ent of .o iet po!er, '$ million s:uare feet of housin" ha e been built in 4osco!, or half as much as !as built in the cit# durin" its !hole existence before the Re olution. 1 er# #ear 4osco! is buildin" on an increasin" scale.G D11?E The fl# in the ointment, one that the official handout delicatel# i"nores, is that the #o#ulation of 4osco! has increased to an e en "reater extent than ha e the housin" facilities. &n 191? there !ere 1,'==,=== inhabitants, and 11,9==,=== s:uare metres of housin" space, an a era"e of (.4 s:uare metres per headB in 19C9, 4,1C(,=== inhabitants and 1(,4==,=== s:uare metres of housin" space, an a era"e of onl# 4.? s:uare metres per headB and b# 19$= the number of inhabitants had risen to $,1==,===, and the housin" space to onl# 18,'==,=== s:uare metres, an a era"e of a mere C.'$ s:uare metres per head. +ouses built under the plans !ere most primiti e. ;or example, of all urban houses built in 19C$, C? per cent had no !ater suppl#, C9 per cent had no se!era"e, 9?.( per cent had no "as suppl#, and $4.( per cent had no central heatin". D11CE &n 19C9, in ne! houses controlled b# to!n .o iets in the R.;.R @!hich included most of the best residential buildin"sA, the percenta"e of housin" space !ith the follo!in" amenities !as6 piped !ater suppl#, '=.$ per centB se!era"e, 4C.( per centB central heatin", 1(.$ per centB electric li"ht, 9C.8 per centB baths, 11.( per cent. D114E >hole to!ns are entirel# lac%in" in the most elementar# communal necessities. &t is rather shoc%in", for instance, to disco er that the ;ourth ;i e*Hear Plan undertoo% to instal se!era"e in thirteen cities, amon" them ,rchan"els% @!ith a population of ?81,=91 in 19C9A, Toms% @!ith a population of 141,?1$ in the same #earA, &r%uts% @!ith ?4C,C8=A, Jherson @!ith 9(,18'A. D11$E 2ut of ?,C$4 to!ns and !or%ers5 settlements onl# 4'= had a piped !ater suppl#, 14= had se!era"e, and ' a "as suppl#. D11'E These are the facts on !hich the follo!in" official declaration is FbasedG. FThe tempo and scale of housin" construction in the <..R has no parallel an#!here in the !orld,G as is a similar one made some fifteen #ears later, that FThe housin" conditions of the !or%ers in the .o iet <nion are incomparabl# better than in an# capitalist state.G D11(E The claim in Soviet Ne+s, that house*buildin" in Russia outstripped that of an# other countr#, is :uite ridiculous, as the follo!in" fi"ures sho!. &n the sixteen #ears bet!een 19?C and 19C9 there !as an increase of onl# 1='.' million s:uare metres in housin" accommodation in Russian to!ns, !hereas in 1n"land and >ales, in the four #ears 19?$*19?8 alone, a total floor space of not less than (= million s:uare metres !as built. D118E &s it necessar# to "i e additional proof that the accumulation of !ealth on the one hand means the accumulation of po ert# on the otherI

Industr( subordinated to ar

&t is er# difficult to "et a clear picture of the extent of the !ar industries. The bud"et fi"ures on defence mean er# little as is sho!n in the follo!in" comparison of the amounts de oted to defence and Fsocial*cultural !elfareG @education, health, ph#sical trainin", pensions, etc.A D119E6
Aefence 1"#) 1"#9 1"#' 1"#% 1"#" 1"(* 1"(9 1"(' 1"(% 1"(" 8$2 14$9 1<$% 23$2 39$2 %&$1 <3$& &&$3 &&$3 &&$3 Social an, cultural /elfare 13$1 2@$@ 2%$< 3%$3 3<$4 4@$9 8@$@ 1@&$@ 1@&$@ 1@%$&

22

1")* 1")1

<9$2 93$9

11&$@ 118$9

7ote that in 194=, on the e e of the 7a8i in asion, the defence bud"et !as onl# er# sli"htl# more than that de oted to social and cultural !elfare, and in 1949, !hen the Fcold !arG !as alread# ra"in" fiercel#, it !as less. This is indeed stran"e. .ome factors contributin" to this purel# statistical phenomenon areB @1A Part of the expenditure of the 4inistr# of the &nterior @7J/- or 4/-A ser e militar# purposesB @?A 1xpenditure on buildin" munitions factories, militar# installations, barrac%s, etc., is included in the bud"et of ministries other than that of defenceB @CA 1xpenditure on militar# schools is included in the bud"et of the 4inistr# of 1ducation. But all these factors, and other similar ones, "o onl# a short !a# to!ards explainin" the small defence bud"et. The main explanation lies in the extreme cheapness ) artificiall# induced ) of armaments. ,s a result of hea # turno er taxes on means of consumption and hu"e subsidies to hea # industries, especiall# armaments, the price relationships bet!een the products of hea # industr# and those of the rest of the econom# is drasticall# distorted. The coal and steel that "o into the production of the machine tools !hich produce the armaments, the coal and steel that "o into the direct production of armaments themsel es, are hea il# subsidised. Thus the prices of armaments are cumulati el# reduced b# the subsid# s#stem. &nsofar as turno er taxes made up about t!o*thirds of the prices of consumers5 "oods, and as subsidies, directl# and indirectl#, probabl# reduce the price of armaments to about one*third of the actual cost of their production, one should, to obtain a true picture, multipl# their price b# nine, and compare this fi"ure !ith that of the total price of consumers5 "oods @includin" social and cultural ser icesA. <nless this is done, the picture remains :uite out of touch !ith realit#. ;or instance, the plan for 1941 stipulated that the total price of the products of all defence industries !ould be 4=,C== million roubles, !hile that of the textile industr#, at 4',=== million roubles, !ould be hi"her. D1?=E -espite all these difficulties, ho!e er, !e ha e, than%s to Professor 4. 9ardner Clar%, of Cornell <ni ersit#, a reasonabl# accurate picture of the !ei"ht of armaments production in the Russian econom#. Rel#in" solel# on official sources he calculated the portion of all the iron and steel output of Russia !hich !as used in the production of munitions, as !ell as the portion of all iron and steel utilised for the construction of munitions factories. The results of his research are summed up in the follo!in" table D1?1E6
+onsum!tion of iron an, steel y munitions in,ustries in the @SSR, 1"#$31"#% *in 1!@@@ metric tons and "ercentages-

8 per cent of all iron and steel ) a er# hi"h percenta"e, as ma# be seen b# comparison !ith the percenta"e of ?9.? in 19C8, a #ear !hen !ar preparations !ere in full s!in". 4unitions plants accounted for nearl# half of all iron and steel used in the construction of machine*buildin" plants, and b# 19C8 nearl# all other machiner# plant construction had ceased, munitions construction accountin" for 94.C per cent of all iron and steel consumed in machine*buildin" construction. The armed forces also too% a lar"e part of the output of consumers5 "oods. Thus 7.,. /o8nessens%#, !ritin" as chairman of the Plannin" Commission @9osplanA, stated that in 194= onl# 4' per cent of the cotton "oods produced and (9 per cent of the shoes !ere sold Fon the broad mar%etG, the rest presumabl# "oin" almost entirel# to the arm# @except for a small portion "i en o er to the production of !or%in" clothes for factories, transport, etc.A. D1??E -urin" the !hole Plan era, the armament industr# occupies a decisive place in Russia5s economic s#stem.

The "roductivit( of labour and the orker

&n a !or%ers5 state a rise in the producti it# of labour is accompanied b# an impro ement in the conditions of the !or%ers. ,s Trots%# said in 19?8, real !a"es Fmust become the main criterion for measurin" the success of socialist e olutionG. The Fcriterion of socialist ups!in" is constant 23

impro ement of labour standardsG. Let us see !hat the relations bet!een the rise in the producti it# of labour and the standard of li in" of the !or%ers !as in Russia. The follo!in" table "i es an indication of this6
Pro,uctivity of la our 01233 Year 1"1# 1"$% 1"#9 inde 1@@ 1@&$@ 331$9 Num er of :foo, as;ets< !er average monthly /ages 01243 inde 1@@ 1%1$4 &4$9

Thus till 19?8 not onl# !ere !a"es abo e pre*!ar, but the# rose much more than the producti it# of labour. Bet!een 19?8 and 19C', !hile the producti it# of labour more than trebled, real !a"es !ere actuall# cut b# more than $= per cent. The same conclusion can be reached in another !a# b# comparin" the le el of producti it# in Russia !ith that of other countries on the one hand, and the standard of li in" of the Russian !or%ers !ith that of !or%ers in other countries on the other. &n 191C the a era"e producti it# of labour in Russian industr# !as about ?$ per cent of that in the <.,, C$ per cent of that in 9erman#, and 4= per cent of that in Britain. , committee of the 9osplan, appointed in 19C( to in esti"ate the producti it# of labour in Russian industr#, found that it !as 4=.$ per cent of producti it# in <. industr#, and 9( per cent of that in 9erman#. D1?$E There is "round for the assumption that this calculation is exa""erated, and that the producti it# of labour in Russian industr# in 19C( !as about C= per cent of that in the <.,, (= per cent of that in 9erman#, and about the same percenta"e of that in Britain. , detailed explanation of ho! !e arri ed at this conclusion !ould be too len"th#. But as the conclusions of the 9osplan committee do not in alidate our ar"ument, and on the contrar# onl# stren"then it, the exact fi"ure is of minor importance. To resume, !hile the Russian !or%er produces about (= per cent as much as a British !or%er, his standard of li in" is er# much lo!er. &n the follo!in" table !e assume that the Russian !or%er earns $== roubles a month, !hich is the a era"e !a"e of all state emplo#ees @the bureaucrac# includedA, planned for the end of the ;ourth ;i e*Hear Plan in 19$=. 2n the other hand, !e ha e ta%en as the basis of the price calculation prices from None 1, !here prices are lo!est in Russia. D1?'E ;or Britain !e ha e ta%en the $orkers a era"e !ee%l# earnin"s of T$ Cs. 'd. D1?(E The basis of the price calculation is the official fi"ures published b# the Board of Trade.
Num er of units average /ee;ly /ages can uy !nit -heat rea, 7first gra,e8 lbs$ -heat rea, 7secon, gra,e8 lbs$ Rye rea, lbs$ Beef lbs$ Butter lbs$ Mil; "ints Sugar lbs$ 5ggs number Tea lbs$ +offee lbs$ Beer "ints +igarettes number MenCs shoes "airs -omenCs shoes "airs -omenCs Dac;ets, semi3/ool number Russia 41$< &3$3 91$@ 9$@ 4$1 %<181 18$% 82111% 1$& 3$4 14$4 4&4$@ @$4 @$4 @$& Britain 48@$< CC CC <9112< <<$2 24<$2 412$@ <@&$3 3&$4 41$2 88$2 &18$@ 214$% 114$@ 1$112$3

24

Stoc;ings, /omenCs cotton +rE!e3,e3chine MenCs suits? single3 reaste,, semi3/ool MenCs suits, /ool Ru er overshoes -omenCs cotton ,resses -omenCs /oollen ,resses Matches +om s, /omenCs toilet Framo!hones Ra,io receiving sets 7) valve8 -rist /atches

"airs (ards number number "airs number number bo'es number number number number

1&$2 1$4 @$3 @$1 2$& @$2 @$& %<<$@ 28$8 @$12 @$2@ @$12

2%12<$@ 2312%$@ @$&11$% @$21@$3 9$% 3$%1&$@ @$812$1 824$@ 1@311%4 @$& @$1< @$31@$%

&f the producti it# of labour of a !or%er in Russian industr# is about four*fifths of that of a !or%er in Britain, !hile his standard of li in" is a :uarter or a third of that of the British !or%er, can !e conclude other!ise than that if the British !or%er is exploited, his Russian brother is much more soI D-E

Footnotes

C. Jitchen, bathroom, hall, etc., space not included. -. That the Russian !or%er toda# compared to the British !or%er toda# is !orse off than the Russian !or%er under the Tsar compared !ith the British !or%er of that time is clear if !e compare the abo e table !ith the follo!in" remar% of 4. -obb6 F&n Tsarist Russia ... the a era"e !a"e in mines and factories in 191C is usuall# estimated to ha e been bet!een ?= and ?$ roubles per month, or the e:ui alent of bet!een 4= shillin"s and $= shillin"s in 1n"lish mone# at its purchasin" po!er at the time @i.e., about 1= to 1C shillin"s a !ee%A. This represents a fi"ure rather less than a half the le el in Britain at that date.G @4. -obb, Soviet 2conomic 8evelopment Since #$#%, London, 1948, p.$9A.

References
89. 4ive(@ear lan of National 2conomic Construction of ;SSR , Crd ed. @hereafter referred to as I lanA @RussianA, 4osco! 19C=, /ol.&, p.1C?B The Second 4ive(@ear lan for the 8evelopment of the National 2conomy of ;SSR @hereafter referred to as II lanA @RussianA, 4osco! 19C4, /ol.&, p.4?9. 9=. I lan, /ol.&&, Part & p.?$=B II lan, /ol.& pp.1(?, $??, /ol.&& pp.?91*?9?, ?9'B ravda, 19 ;ebruar# 1941B Socialist Construction of the ;SSR1 Statistical @ear!oo, #$*0 @hereafter referred to as Socialist Construction #$*0A @RussianA, 4osco! 19C', pp.19?, 19$, ?=1, ?=4, ?='B Socialist Construction of the ;SSR "#$**(#$*3' @hereafter referred to as Socialist Construction #$**(#$*3A @RussianA, 4osco! 19C8, p.(CB ravda, 1= 4arch 19$=B I9vestia, 1( ,pril 19$1. 91. Socialist Construction @19CC*19C8A, pp.xxi *xx . 9?. ,. Ba#%o , Soviet 4orei-n Trade, Princeton 194', ,ppendix Tables &/ and /&. 9C. I lan, /ol.&, pp.14$, 14(B /ol.&&, Part &, pp.?48*?$1B II lan, /ol.&, pp.1(?, $??B /ol.&&, pp.?(', ?(8*?8=. ?91*?9?, ?9'B :a+ on the 4ive(@ear lan for the Reconstruction and 8evelopment of the National 2conomy of ;SSR for #$&0(/B @hereafter referred to as I= lanA @RussianA, 4osco! 194', pp.11*1CB ravda, ' 2ctober 19$?. 94. Calculated from6 I lan, /ol.&, pp.14$, 14(B /ol.&&, Part &, pp.?48*?$1B Summary of the 4ulfilment of the 4irst 4ive(@ear lan of 8evelopment of the National 2conomy of ;SSR @hereafter referred to as 4ul. I lanA @RussianA, 4osco! 19CC, pp.8C, 9$, 1=$, 1?1B II lan, /ol.&, pp.1(?, $??B /ol.&&, pp.?(', ?(8* ?8=, ?91*?9C, ?9'B I= lan, pp.11*1CB I9vestia, 1( ,pril 19$1. @There is no reference to the fulfilment of the Third ;i e*Hear Plan @19C8*4?A because the !ar interrupted it and no fulfilment fi"ures !ere published.A 9$. Socialist Construction #$*0, p.C. 9'. ..7. Pro%opo ic8, Russlands =ol,s+irtschaft unter den So+Cets, Nurich 1944, p.C=?.

2%

9(. I lan, /ol.&, p.?=B /.P. -iachen%o @ed.A 4inance and Credit in ;SSR @RussianA, 4osco! 19C8, p.184B I= lan, p.9B National 2conomy of ;SSR @RussianA, 4osco! 1948, /ol.&&, p.18$. 98. National 2conomy of ;SSR @RussianA, 4osco! 1948, /ol.&&, p.1?9. 99. Pro%opo ic8, op. cit., p.C='. 1==. 7. Jasn#, The Socialised A-riculture of ;SSR, .tanford 1949, pp.(((*((8. 1=1. J. Jauts%#, 8ie A-rarfra-e, .tutt"art 1899, pp.?4, C1. 1=?. 7.,. /o8nessens%#, The ?ar 2conomy of the ;SSR in the eriod of the atriotic ?ar @RussianA, 4osco! 1948, p.1?'. 1=C. 7. Jasn#, The Soviet 2conomy 8urin- the lan 2ra, .tanford 19$1, p.(4. 1=4. I!id., p.('. 1=$. Calculated from fi"ures of the output of consumers5 "oods in this chart. 1='. /./. Juib#she , Articles and Speeches1 #$*B(#$*/ @RussianA, 4osco! 19C$, p.1C1. 1=(. I lan, /ol.&&, Part ?, pp.?9?*?9CB 4ul. I lan, p.18'B II lan, /ol.&, p.$CC. 1=8. ?or,ers and 2mployees <ud-et1 =ol.I. The <ud-et of a ?or,ers 4amily in #$))(#$)% @RussianA, 4osco! 19?9, p.$$B II lan, /ol.& p.$CCB B.B. /eselo s%#, Course of 2conomics and lanninof Communal 2conomy @RussianA, 4osco! 194$, p.1(4. 1=9. <nited 7ations, The 2uropean 6ousin- ro!lem, 9ene a 1949, p.41. 11=. <nited 7ations, 2conomic Survey of 2urope in #$&$, 9ene a 19$=, p.C1. 111. International :a!our Revie+, 4a# 19C?, p.'?(. 11?. Soviet Ne+s, ?C Januar# 19$?. 11C. /.L. Jobale s%#, .r-anisation and 2conomics of 6ousin- in ;SSR @RussianA, 4osco!*Lenin"rad 194=, p.1=9. 114. /eselo s%#, op. cit. p.1('. 11$. I= lan, p.$$. 11'. /eselo s%#, op. cit. pp.1C?, 4(C. 11(. Soviet Ne+s, ?C Januar# 19$?B ravda, 18 2ctober 19C(. 118. International :a!our Revie+, 4a# 19C?, p.'?(. 119. ,.9. N ere , State <ud-ets of the ;SSR1 #$*3D#$&/ @RussianA, 4osco! 194', pp.1$, ??, 4(, 1=4B J.7. Plotni%o , <ud-et of a Socialist State @RussianA, 4osco! 1948, pp.14?, 14', ?1', ?18B The National 2conomy of the ;SSR @RussianA, 4osco! 19$1, /ol.&/, pp.1?(, C4=B lanovoe Aho9iaistvo @monthl# or"an of the .tate Plannin" CommissionA, 4osco! 19$?, 7o.?, p.?4. 1?=. These fi"ures are ta%en from State lan of 8evelopment of National 2conomy of the ;SSR for #$&#, 7o.1?(, 1( Januar# 1941, op. cit., p.11. 1?1. L.P..hul%in, Consumption of Iron and Steel in the ;SSR @RussianA, 4osco!*Lenin"rad 194=, pp.?=ffB 4. 9ardner Clar%, Some 2conomic ro!lems of the Soviet Iron and Steel Industry @unpublished dissertationA, Cornell <ni ersit# 19$=, p.4?. 1??. /o8nessens%#, op. cit. p.1?'. 1?C. ,rutinian and 4ar%us, op. cit. p.484. 1?4. Pro%opo ic8, op. cit. p.C='. 1?$. ;SSR and the Capitalist CountriesE Statistic 6and!oo, @RussianA, 4osco! 19C9, pp.($*8=. 1?'. Soviet ?ee,ly, .upplement, 18 -ecember 194(. 1?(. 4inistr# of Labour, :a!our Survey of <ritish ?or,ers, ,pril 194(.

Chapter 1: Socio-economic relations in Stalinist Russia (Part 3)

The e'"ro"riation of the "easantr(
The 2ctober Re olution expropriated the bi" landlords, the Church and the monarch#. The rural bour"eoisie ) the %ula%s ) !ere not expropriated, and durin" the 71P period not onl# did the %ula%s

2&

thri e, but man# ne! ones rose out of the middle peasantr#. The %ula%s, to"ether !ith the pri ate merchants, exploited the rural poor. Pri ate capitalism continued to rule a"riculture until 19?8. Collecti isation chan"ed the situation fundamentall#. >e shall not discuss the effect of collecti isation on the class differentiation among the a"riculturalists, but shall deal !ith onl# the follo!in" :uestion6 +o! did collecti isation affect the total income recei ed b# the a"ricultural sector of the econom#I The most important factor to deal !ith in ans!erin" this :uestion is the influence collecti isation had on the state5s cut out of a"riculture, that is, its influence on obli"ator# deli eries6 taxes, pa#ment for !or% done b# 4achine Tractor .tations @4T.A and "o ernment flour mills. 2bli"ator# deli eries are taxes in %ind, in fact if not in name, for the prices paid to the %ol%ho8 are extremel# lo!. &n 19C$, the price fixed for obli"ator# deli er# of oats, !hich the "o ernment !as re*sellin" retail for $$*1== %ope%s per %ilo"ram, !as 4*' %ope%s per %ilo"ram. The fi"ures for r#e !ere '=*1== %ope%s and 4.'*'.9 %ope%s respecti el#. The retail price of farina @of poor :ualit#A !as '=*(= times the price at !hich !heat !as bou"ht. D1?8E The price paid for other a"ricultural products !as e:uall# ni""ardl#, and, since then, the differences ha e become "reater. FThe "o ernment still pa#s producers about 1= %ope%s per %ilo"ram for deli ered !heat, !hile ) since the fall of 194' ) char"in" the consumer 1C roubles for a %ilo"ram of !heat flour @probabl# of 8$ per cent extractionA, more than 1== times as much in terms of "rain.G D1?9E .econdl#, the state recei es a considerable proportion of the product as pa#ment in %ind for ser ices rendered b# the 4T.. ,s the 4T. ha e a monopol# of the suppl# of a"ricultural e:uipment, the# are able to char"e hi"h rates for its use. The follo!in" table sho!s ho! the "rain produced b# the %ol%ho8es !as disposed of in 19C8 @in percenta"esA D1C=E6
G ligatory ,eliveries Payment to MTS Return of loans Sales to government an, on the mar;et Allocation to see, reserves Allocation to fo,,er reserves Reserves for assistance to invali,s an, chil,renCs nurseries Aistri ution to mem ers [5] Miscellaneous allocations 1%$@ 1&$@ 2$@ %$1 18$& 13$& @$8 2&$9 2$%

7ot onl# this, but the state also ) a"ain these are 19C8 fi"ures ) appropriated the follo!in" exceedin"l# lar"e shares D1C1E6 These fi"ures ma# be compared !ith the fru"al share of the %ol%ho8ni%s themsel es in the output of their so*called Fcollecti el#*o!nedG farms @19C(A D1C?E6
Frain Sunflo/er see, .insee, 1lax 0em!see, 0em! Potatoes

,t the same time the %ol%ho8ni%s ha e been compelled to !or% harder and harder on the collecti e farms, as is sho!n b# the follo!in" fi"ures D1CCE6
Average num 4ear 1932 1933 1934 er of Tru,o,ni [1] !er househol, Num er 6n,ex 2%< 1@@$@ 31% 122$% 3%4 133$4

2<

193% 193& 193< 1938

3<8 393 438 43<

14<$1 1%2$8 1<@$< 1<@$@

,s far as the length of the labour*da# in the %ol%ho8 is concerned, it is no shorter than it !as under the tsars. ,t that time it !as 14 hours for a"ricultural !or%ers, !hilst for horses it !as onl# 11 hours and for oxen 1= hours. D1C4E , "o ernment decree of 1 ,u"ust 194=, la#s do!n that durin" har est the !or%*da# in %ol%ho8es, so %ho8es and 4T. should be"in at fi e or six in the mornin" and end at sunset. ,"ain, a pamphlet describin" the !or% of a %ol%ho8 chairman in an exemplar# %ol%ho8 stated that in sprin" and at har est*time the !or%in" da# !as 1$ hours, e%clusive of meal times. D1C$E , current Russian textboo% cites the follo!in" time*tables as models6 a$ 5For s"ring so ing and harvest "eriods! ork starts at 4 a$m$E break for breakfast from 8 to 9 a$m$! break for dinner from 1 to 3 "$m$E ork till $$$ 1@ "$m$7 013&3 b$ 5For harvest! ork is from %$3@ a$m$ to 9 "$m$7 *breaks not given-$ 013<3 c$ Stablemen looking after horses a""ear to have to ork from % a$m$ to 9 "$m$! or "ossibl( midnight in inter! and from 3 a$m$ to 1@ "$m$ in summer$ 01383 d$ =air(maids $$$ start ork at 4$3@ a$m$ and finish at 8 "$m$ all the (ear round! ith breaks of one and a half hours a da( 01393! and even larger s"readovers are cited else here$ *.( the a(! the norm demands that dair(maids ork the full 3&% da(s a (ear$- 014@3 e$ ?ours at a "ig farm are from % a$m$ to 8 "$m$! ith t o breaks of 2 hours each$ 01413 &t is interestin" to note that in his boo%, The A-rarian Fuestion in Russia at the 2nd of the Nineteenth Century @19=8A, Lenin !rote6 FThe horseless and one*horse peasants Di.e., the er# poor peasantsE pa# in the form of taxes one-seventh and one-tenth respecti el# of their gross expenditure. &t is doubtful !hether serf dues !ere as hi"h as that ...G D14?E The a"ricultural toilers in the F.ocialist ;atherlandG pa# much more than thatM Collecti isation not onl# transformed those !ho came into industr# into proletarians, but also those !ho remained in a"riculture. The o er!helmin" maKorit# of a"riculturalists are in realit#, if not in theor#, people !ho do not o!n means of productionB indeed, !e should ha e less Kustification in callin" the Russian a"riculturalists of toda# o!ners of means of production, then the serfs of the nineteenth centur#. Collecti isation has resulted in the freein" of a"ricultural products for the needs of industrial de elopment, the Ffreein"G of the peasantr# from its means of production, the transformation of a section of them into reser es of labour po!er for industr#, and the transformation of the rest into part*!or%ers, part*peasants, part*serfs in the %ol%ho8es. .imilar "eneral results, althou"h different in some important particulars, !ere achie ed b# the 1n"lish bour"eoisie in the sixteenth and se enteenth centuries throu"h the e iction of the peasantr# from the land. 4arx called this process Fprimiti e accumulationG. D9E +e !rote6 FThe histor# of this ... is !ritten in the annals of man%ind in letters of blood and fire.G D14CE 4uch more blood flo!ed durin" the primiti e accumulation in Russia than in Britain. .talin accomplished in a fe! hundred da#s !hat Britain too% a fe! hundred #ears to do. The scale on !hich he did it and the success !ith !hich he carried it out completel# d!arf the actions of the -uchess of .utherland. The# bear stern !itness to the superiorit# of a modern industrial econom# concentrated in the hands of the state, under the direction of a ruthless bureaucrac#. 1n"els5 pro"nosis about the future of primiti e accumulation in Russia has been full# realised, althou"h in circumstances different from !hat he ima"ined. &n a letter to -anielson, dated ?4 ;ebruar# 189C, he !rote6
The circumstances of +ussia being the last countr( sei,ed u"on b( the ca"italist grande industrie! and at the same time the countr( ith b( far the largest peasant population! are such as must render the bouleversement *u"heaval- caused b( this economic change more acute than it has been an( here else$ The "rocess of re"lacing some %@@!@@@ pomeshchiki *lando ners- and some eight( million "easants b( a ne class of bourgeois landed "ro"rietors cannot be carried out but

28

under fearful sufferings and convulsions$ .ut histor( is about the most cruel of all goddesses! and she leads her trium"hal car over hea"s of cor"ses! not onl( in ar! but also in F"eaceful4 economic develo"ment$ 01443

The turnover ta'

.ince 19C= the main contribution to capital in estment and defence has been from the turno er tax. ,s 4. -obb !rites6 F&ndeed !e can trace a fairl# close correlation, as one mi"ht expect, bet!een the mountin" cur e of expenditure on in estment and defence o er the decade and the mountin" re enue from the turno er tax. &n 19C? re enue from this tax, as !e ha e seen, !as Kust o er 1( milliard. The combined fi"ure for expenditure out of the bud"et for defence and for financin" the national econom# !as ?$ milliard. &n 19C4 the t!o fi"ures !ere respecti el# C( and C(B in 19C8 the# !ere 8= and ($B in 19C9 the# !ere 91 and 1==B in 194= the# !ere 1=' and 11CB and in the 1941 estimates the# !ere 1?4 and 144 @the !idened "ap in this #ear bein" approximatel# co ered b# an increase in taxed profitsA.G D14$E The turno er tax is the most important sin"le source of Russian state re enue. &t ma%es up the follo!in" proportions of the total "o ernment income @excludin" loansA D14'E6 The turno er tax is similar to the British purchase tax, bein" le ied upon commodities at the time of fabrication and upon "o ernment obli"ator# purchase of a"ricultural products from the peasants. &t is included in the price of the commodit#, and so paid to the full b# the consumer. The tax is imposed almost solel# on a"ricultural products and on the consumer "oods5 industries, as can be seen from the follo!in" table re"ardin" the proportion of different industries in total output and in "o ernment re enue from turno er tax @19C9A D14(E6
"ommissariat Petroleum in,ustry Meat an, ,airy in,ustry 1oo, in,ustry Textile in,ustry .ight in,ustry Agricultural re>uisitions Gther commissariats 7chiefly for heavy in,ustry8 Per cent of total gross out!ut 3$1 4$% 11$< 1@$2 <$9 2$% &@$1 Per cent of turnover tax revenue 8$@ <$3 29$< 13$@ 2$& 34$4 %$@

Thus !e find that in 19C9 almost 9= per cent of the turno er tax re enue came from impositions on food and consumer "oods. .ince the turno er tax is not added to the sellin" price but is included in it in ad ance, a turno er tax of, sa#, $= per cent actuall# increases the price of the commodit# b# 1== per centB a turno er tax of ($ per cent raises the prices b# C== per cent, and a 9= per cent tax results in a tenfold increase in the actual price. Thus must be borne in mind !hen examinin" the follo!in" fi"ures re"ardin" the rate of turno er tax D148E6
+ommo,ity Rate = Frain, @;raine *roubles "er ;uintal-G :heat! soft <3$@@ :heat! hard <4$@@ +(e &@$@@ .arle( 4&$@@ Aats 2%$@@ .uck heat 289$%@ Potatoes *"er cent of retail "rice-G 481&2 Aate effective

1 A"ril 194@

24 #anuar( 194@

29

Meat *"er cent of retail "rice-G .eef &<1<1 Heal! "ork! mutton &21&< /oultr( 2@143 Sausage! frankfurters! smoked meat %@1&9 1ish *"er cent of retail "rice-G Fish! other than herring 391%3 ?erring! 8as"ian 3%1%@ 8aviare 4@ 8anned fish! according to kind %1%@ Salt *"er cent of holesale "rice-G .ulk <@18@ :ra""ed! in small "ackages 3%142 Beverages *"er cent of retail "rice-G Hodka 84 Ather li;uors %%1<8 Soft ,rin;s 2@ To acco *"er cent of retail "rice-G 8igarettes <%188 Bakhorka <@ +otton goo,s *"er cent of holesale "rice-G 8alico %% Ather goods &21&%

24 #anuar( 194@

1@ A"ril 194@

1 Ba( 194@

1 Ba( 194@ 1@ A"ril 194@

1 #une 193<

1 #anuar( 1938

The retro"ressi e nature of this tax is sho!n b# the fact that !hile it falls li"htl# on cars @a mere ? per centA, radio sets @?$ per centA and ca iare @4= per centA, it bears do!n hea il# on !heat @(C*(4 per centA, salt @(=*8= per centA, su"ar @(C per centA, laundr# soap @'1*(1 per centA and ci"arettes @($*88 per centA. &n the li"ht of these facts it is rather surprisin" to read the follo!in" statement of 4. -obb, in !hich he tal%s of the turno er tax6 Fit !as a means of ensurin" that the bul% of the price*rise should be concentrated on luxuries or non*essentials and as little as possible on necessities. This !as done b# ratin" the tax on turno er different for different commodities, the differences ran"in" from 1 or ? per cent up to nearl# 1== per cent.G ... Fthe tax has the effect of a pro"ressi e "eneral expenditure tax ) a pro"ressi e tax on income !hen it is s#ent.G D149E ,nd a"ain6 FThe hi"her rates of tax are apt to be on luxur# "oods, since these tend to be in particularl# scarce suppl#. The "eneral effect of the differential ratin" apparentl# is, therefore, to cause the price structure to discriminate a"ainst non* essentials @and hence to ma%e real differences of income smaller than an inspection of money differences !ould lead one at first si"ht to supposeA.G D1$=E To "au"e the real burden imposed b# the turno er tax upon consumers it !ill be useful to examine simultaneousl# the total amount of turno er tax and the correspondin" net retail turno er D1$1E6
Turnover tax 11!&43 19!%14 2&!983 3<!&1% %2!@2& &%!841 <%!911 8@!411 Net retail 1%!822 2@!843 22!8@& 24!2@@ 29!&8& 4@!92@ %@!@32 %8!1&3 Rate of tax !er cent <3$& 93$& 118$3 1%%$4 1<%$3 1&@$9 1%1$< 138$2

3@

9&!8@@ 1@%!849 18<!1@@

&&!&%& &8!&%1 8<!9@@

14%$2 1%4$2 212$9

The turno er tax, bein" an indirect, retro"ressi e tax, openl# contradicts the ori"inal pro"ramme of the Bolshe i% Part#. 1 en the 4inimum Pro"ramme of the Bolshe i%s, that is, a pro"ramme that could be realised under capitalism, called for the Fa&olition of all indirect ta%ation' and the esta&lishment of a #rogressive ta% on incomes and inheritance .G D+E D1$?E The 1le enth Part# Con"ress @19??A declared that6 FTaxation polic# must aim at re"ulatin" the process of accumulatin" resources b# means of direct taxation of propert#, incomes, etc. Taxation polic# is the principal instrument of the re olutionar# polic# of the proletariat in a transitional epoch.G D1$CE To sol e the contradictions bet!een precept and practice, the authorities ha e ceased to call the turno er taxes taxes at all. Jasn# has pointed out that the 19C$ #ear*boo% listed the turno er taxes amon" taxes D1$4E, but in the next edition of the same #ear*boo% the turno er taxes !ere detached from the item Fincome from taxesG. D1$$E This chan"e is terminolo"# enabled the 4inister of ;inance of <..R to declare before the .upreme .o iet6 F&t is %no!n that the o er!helmin" part of the re enues of the .o iet bud"et is composed of pa#ments b# the national econom#. &n 19C9 the total sum of taxes from the population amounted to '.$ milliard roubles, !hich made up onl# 4.? per cent of all bud"etar# incomes.G D1$'E

The subordination of man to "ro"ert(

,rticle ' of the .o iet Constitution states that6 FThe land, its deposits, !aters, forests, mills, factories, mines, rail!a#s, !ater and air transport, means of communication, lar"e state*or"anised form enterprises @state farms, machine*tractor stations, etc.A and also the basic housin" facilities in cities and industrial localities are state propert#, that is, the !ealth of the !hole people.G &t is odd that althou"h the people thus, throu"h the state, o!n the countr#5s !ealth, the Russian state should "o to such extraordinar# len"ths to defend this !ealth from themM <nder a la! of ( ,u"ust 19C?, (n the Protection of the Pro#erty of State !nter#rises' Collective "arms and Co-o#eratives and Institutions of Socialist Pro#erty , the theft of propert# belon"in" to the state, %ol%ho8es and co*operati es and theft on the rail!a#s or !ater!a#s, became punishable b# death b# shootin", accompanied b# the confiscation of all propert#. &f there !ere extenuatin" circumstances, the penalt# incurred !as imprisonment for not less then ten #ears and confiscation of all propert#. D1$(E .talin christened this la! Fthe foundation of re olutionar# le"alit#.G D1$8E &n point of fact this la! !as seldom applied in cases of minor theft. Therefore, !hen the Presidium of the .upreme .o iet of the <..R passed a decree on 4 June 194(, on Protection of Citi)ens Private Pro#erty, the first article of !hich reads D1$9E6 FTheft ) that is, co ert or open appropriation of the pri ate propert# of citi8ens ) in punishable b# confinement in a reformator# labour camp for a period of fi e to six #ears. Theft committed b# a "an" of thie es or for a second time is punishable b# confinement at a reformator# labour camp for a period of six to ten #earsG D1'=E, an# miti"ation of se erit# in dealin" !ith crimes a"ainst propert# !as more apparent than real. 2n the same da# the Presidium also passed a decree on !m&e))lement of State and Pu&lic Pro#erty, !hich included the follo!in" articles6
1$ Theft! a""ro"riation! defalcation or other embe,,lement of state "ro"ert( is "unishable b( confinement in a reformator( labour cam" for seven to ten (ears! ith or ithout confiscation of "ro"ert($ 2$ Imbe,,lement of state "ro"ert( for a second time! as ell as hen committed b( an organised grou" or on a large scale! is "unishable b( confinement in a reformator( labour cam" for ten to t ent( (ears! ith confiscation of "ro"ert($ 3$ Theft! a""ro"riation! defalcation or other embe,,lement of collective farm! co1o"erative or other "ublic "ro"ert( is "unishable b( confinement in a reformator( labour cam" for five to eight (ears! ith or ithout confiscation of "ro"ert($

31

4$ Imbe,,lement of collective farm! co1o"erative or other "ublic "ro"ert( for a second time! as ell as that committed b( an organised grou" or gang or on a large scale! is "unishable b( confinement in a reformator( labour cam" for eight to t ent( (ears! ith confiscation of "ro"ert($ 01&13

, month later the Public Prosecutor5s 2ffice "a e ten examples of ho! the decrees !ere bein" carried out6
1$ In the cit( of Saratov! H$F$ 2udin! ho had been "reviousl( convicted for theft $$$ stole fish from a smoke factor($ An 24 #une 194< $$$ 2udin as sentenced to fifteen (ears4 im"risonment in corrective1labour cam"s$ 2$ An 11 #une 194<! an electrician on the "o er lines of the Bosco 1+ia,an railroad! =$A$ Jiselov! stole fur goods from a railroad car $$$ An 24 #une 194<! the ar tribunal of the Bosco 1+ia,an railroad sentenced =$H$ Jiselov to ten (ears4 im"risonment in the corrective1labour cam"s$ 3$ In the to n of /avlov1/osad! in the Bosco region! 9$>$ Barkelov $$$ stole clothing from the /avlov1/osad te'tile factor($ An 2@ #une 194< $$$ Barkelov as sentenced to eight (ears4 im"risonment in corrective1labour cam"s$ 4$ In the +odnikov district of the Ivanov region! 2$H$ Smirnov and H$H$ Smirnov $$$ stole 3<% "ounds of oats from a kolkho,$ An 2& #une 194< $$$ both ere sentenced to eight (ears4 im"risonment in corrective1labour cam"s$ %$ In the Jirov district of Bosco ! I$J$ Smirnov! a chauffeur! as arrested for stealing 22 "ounds of bread from a baker($ The "eo"le4s court $$$ sentenced I$J$ Smirnov to seven (ears4 im"risonment in corrective1labour cam"s$ &$ In Saratov! I$I$ Korde(ev $$$ stole various "roducts from a arehouse$ An 21 #une 194< $$$ Korde(ev as sentenced to seven (ears4 im"risonment in corrective1labour cam"s$ <$ In Juib(shev! I$T$ /olubo(arov stole a allet from a train traveller $$$ An 4 #ul( he as sentenced to five (ears4 im"risonment in corrective1labour cam"s$ 8$ An < #une 194<! in Ja,an! at the kolkho, market! :$I$ .ukin snatched mone( from the hand of 8iti,eness /ustinsk( $$$ An 2@ #une 194< $$$ .ukin as sentenced to eight (ears4 im"risonment in corrective1labour cam"s$ 9$ An & #une 194<! in the village of Subovka in the Jutu,ovsk district of the Juib(shev region! A$A$ 8hubarkin and H$K$ Boro,ov stole from a cellar 88 "ounds of "otatoes belonging to 8iti,eness /resn(akov$ An 1< #une 194< $$$ both ere sentenced to five (ears4 im"risonment in corrective1labour cam"s$ 1@$ An % #une 194<! in Bosco $$$ J$H$ Kreen ald! ho had been "reviousl( convicted for theft! took advantage of the absence of his neighbour! entered the room of 8iti,eness Jovalev and stole various household articles $$$ Kreen ald as sentenced $$$ to ten (ears4 im"risonment in corrective1labour cam"s$ 01&23

That the se erit# of this branch of .o iet la! is in mar%ed contrast to the relati e lenienc# !ith !hich murder, %idnappin", and other iolent forms of crime, are dealt !ith, is hi"hl# si"nificant. &t becomes clear that, in .talinist Russia, the indi idual is rated much lo!er than propert#. Thus the Criminal La! of R.;.R la#s it do!n that6
Art$ 13&$ /remeditated murder! if committedG *a- for mercenar( motives! for )ealous( *unless covered b( Art$ 138- or from an( other base incentive! *b- b( a "erson ho has alread( been tried for "remeditated murder or for inflicting grievous bodil( harm! and his undergone the measure of social defence im"osed b( the court! *c- in a manner endangering the life of man( "eo"le or causing e'treme suffering to the victim! *d- ith the aim of facilitating or concealing some other serious crime! *e- b( a "erson ho had a "articular res"onsibilit( for the victim4s elfare! *f- b( taking advantage of the hel"less condition of the victim! entails C de"rivation of libert( for a "eriod of u" to ten (ears$ Art$ 13<$ /remeditated murder! if not committed in an( of the circumstances described in Art$ 13&! entails C de"rivation of libert( for a "eriod of u" to eight (ears$ Art$ 138$ /remeditated murder committed under the sudden im"ulse of strong emotional e'citement aroused b( violence or gross insult on the "art of the deceased! entails C de"rivation of libert( for a "eriod of u" to five (ears! or forced labour for a "eriod of u" to one (ear$ 01&33

.ome of the other punishments laid do!n for iolent crimes a"ainst persons are6
Art$ 14<$ Dnla full( de"riving an( "erson of libert( b( the use of force! entails C de"rivation of libert( or forced labour for a "eriod of u" to one (ear$ =e"riving an( "erson of libert( b( an( method endangering the life or health of the victim of causing him "h(sical suffering entails C de"rivation of libert( for a "eriod of u" to t o (ears$ Art$ 148$ /lacing a "erson kno n to be of sound mind in an as(lum for mercenar( or other "ersonal motives! entails C de"rivation of libert( for a "eriod of u" to three (ears$ Art$ 149$ Jidna""ing! concealment or e'changing of another "erson4s child for mercenar( motives! out of revenge! or ith an( other "ersonal ob)ect! entails C de"rivation of libert( for a "eriod of u" to three (ears$ 01&43

This reli"ion of propert#*!orship subKects e en the !ea%est members of the communit# ) children ) to it. ,s !e ha e seen, the maximum punishment of %idnappin" a child, is a mere three #ears

32

imprisonment, !hereas the punishment meted out to a child for stealin" is much "reater. ,lthou"h .talinist la!, in its dealin"s !ith Ku enile delin:uents, accounts children of t!el e to be mature and full# responsible for their offences, in ci il affairs the# are rated as onl# children. ;or instance, the Code of :a+s on Marria-e1 4amily and 5uardianship of RS4SR, declared6 F9uardians shall be appointed for minors !ho ha e not reached the a"e of fourteen #ears.G D1'$E ,nd a"ain6 FCurators shall be appointed o er minors !ho are bet!een the a"es of fourteen and ei"hteen #ears.G D1''E ,nd #et, on ( ,pril 19C$, a la! !as promul"ated !hich abolished Ku enile courts. F>ith the aim of the :uic%est li:uidation of criminalit# amon"st minors,G it stated that Fthe Central 1xecuti e Committee and the Council of People5s Commissars decree6 @1A Houn" people from t!el e #ears of a"e cau"ht at theft, iolence, infliction of bodil# inKur#, mutilation, homicide, or attempts at homicide, are to be brou"ht before the criminal la! courts and punished in accordance !ith all measures of the Criminal Code.G D1'(E @,pparentl# capital punishment !as still prohibited for those under ei"hteen, since ,rticle ?? of the Code, !hich co ered this point, !as nor cancelled.A This la! !as soon put into effect, as !itnesses I9vestia, !hich on ?9 4a# 19C$, made it %no!n that in a little more than t!o !ee%s a special tribunal had alread# distributed man# #ears of imprisonment to sixt# F#oun" banditsG. D1'8E &n some cases the hand of the la! !as e en hea ier, imposin" the death sentence on #ouths. Thus, t!o !ee%s after the promul"ation of the terrible la! a"ainst Ku enile delin:uents, a 4osco! court sentenced a #outh con icted of robber# in a train to death. D1'9E The official apolo"ia for usin" such harsh measures, namel#, the doublin" of the number of cases of Ku enile delin:uenc# in 4osco! bet!een 19C1 and 19C4 D1(=E, is no Kustification, and certainl# belies the le"end about the F ictor# of socialismG and the Fprosperous and happ# life of the peopleG. &n 194=, the la! of 19C$ !as extended to include children of t!el e or o er !ho commit acts endan"erin" rail!a# traffic, such as loosenin" rails, placin" obKects on the rails, and so on. The decree of C1 4a# 1941 D1(1E, expressl# states that the la! of 19C$ applies not onl# to deliberate offences, but to offences due to ne"li"ence as !ell. 2n 1$ June 194C, the "o ernment ordered the establishment of special reformator# colonies under the 7J/- for confinement $ithout *uridical #rocedure of children from ++ to +, years of age , !ho are a"rants, ha e committed larcen#, and such*li%e minor offences. D1(?E There is e idence that children are also to be found amon" the "ro!n*up inmates of sla e camps. -allin !rites that Fthe Na%amens% Camp in 1astern .iberia has a considerable number of children from the 4osco! re"ion amon" its internees, bo#s and "irls sentenced for criminal offences. The# !or% in mines and nearb# industrial plants.G D1(CE ,ll that has been said abo e ser es as a ne! illustration of the statement of 4arx6 FLa! as !ell as crime, i.e., the stru""le of the isolated indi idual a"ainst dominant relationships has an ori"in !hich is not purel# arbitrar#. 2n the contrar#, crime is rooted in the same conditions, as the "o ernin" po!er existin" at the time.G D1(4E &n .talin5s Russia the concept of the nature of crime, and the punishments meted out to the offenders, are rooted in the subordination of humanit# to propert#, of labour to capital, that is, in the basic contradiction propellin" the bureaucratic state capitalist order.

Footnotes

1. This includes the remuneration of the administrati e apparatus. ,ccordin" to an article b# ,. Terae a, (rganisational-!conomic Strengthening of Unified -olkho)es , =oprosy 2,onomi,i, 19$=, 7o.1?, the pa#ments to the administrati e apparatus, ta%in" into account the si8e of the %ol%ho8, made up the follo!in" proportions of all trudodni6 %ol%ho8es !ith up to ?=,=== trudodni, 8 per centB ?=*C$ thousand, ( per centB C$*$$ thousand, ' per centB $$*($ thousand, $ per centB ($*1== thousand, 4 per centB o er 1== thousand, C per cent. ;. Trudoden ) literall#, a !or%da# but actuall# used as an abstract unit of %ol%ho8 labour. 2ne da# of the most uns%illed labour e:uals one half a trudoden, a da# of the most hi"hl# s%illed labour e:uals t!o and a half trudodni.

33

9. &n one fundamental point the process connected !ith collecti isation is dissimilar to the process !hich too% place in Britain. &n Britain the e iction of the peasants created a surplus of a"ricultural products !hich !as sold in the to!ns. &n Russia the o er!helmin" maKorit# of the surplus of a"ricultural products is appropriated b# the "o ernment as taxes !ithout an#thin" bein" "i en in exchan"e. +. Belo! in this chapter, !e deal !ith the present income and inheritance taxes in Russia.

References

1?8. 7. Jasn#, The Socialised A-riculture of ;SSR, op. cit., pp.C(4*C($. 1?9. i!id., p.C($. 1C=. ,. ,rina, -olkho)es in +./0, Sotsialistiches,oe Sels,o,ho9iaistvo @monthl# or"an of the Commissariat of ,"ricultureA, 4osco! 19C9, 7o.1?. 1C1. ,rina, op. cit. and Jasn#, The Socialised A-riculture of ;SSR, op. cit., p.'84. 1C?. T.L. Bas#u%, The .r-anisation of Aol,ho9 roduction @RussianA, 4osco! 194', pp.?(?*?(C. 1CC. Pro%opo ic8, op. cit., p.1'4. 1C4. ;. .emeno , ,. Pan%rato a and others, The roletariat in the Revolution of #$B/(#$B% @RussianA, 4osco!*Lenin"rad 19C=, p.?C?. 1C$. 4..P.2sad%o @ed.A ro!lems of .r-anisation of Aol,ho9 roduction @RussianA, 4osco! 194$, p.94. 1C'. i!id. 1C(. i!id., p.9$. 1C8. i!id., p.191. 1C9. i!id., p.?=1. 14=. i!id., p.?1?. 141. i!id., p.?1(. 14?. /.&. Lenin, Selected ?or,s, /ol.&, p.1(9. 14C. J. 4arx, Capital, 7e! Hor%, 4odern Librar# n.d.. /ol.&, p.19C. 144. J. 4arx and ;. 1n"els, Selected Correspondence, London 1941, pp.$=9*$1=. 14$. 4. -obb, Soviet 2conomic 8evelopment since #$#%, London 1948, p.C'4. 14'. ,.J. .och%o @ed.A, Revenues of the State <ud-et of ;SSR @RussianA, 4osco! 194$, p.14B Plot%ino , op. cit., pp.1(, ?', 1=?, 181, ?$9B 7.7. Ro ins%#, The State <ud-et of ;SSR @RussianA, 4osco! 19$=, p.C9CB The National 2conomy of ;SSR #$/B @RussianA. 4osco! 19$=, p.C9CB The National 2conomy of ;SSR #$/# @RussianA, 4osco! 19$1, p.CC(B lanovoe Aho9iaistvo 19$?, 7o.?, p.?=. 14(. .uch%o , op. cit., p.1'. 148. 7. Jasn#, The Soviet rice System, .tanford 19$1, pp.1'4*1'$. 149. 4. -obb, Soviet lannin- and :a!our in eace and ?ar, London 194?, pp.'1*'?. 1$=. 4. -obb, Soviet 2conomic 8evelopment since #$#%, op. cit., pp.C(1*C(?. 1$1. Pro%opo ic8, op. cit., p.C1'B <olshevi, 7o.1?, 19$=. 1$?. A;C in Resol., 4osco! 19C?, 4th ed. /ol.&, p.??. 1$C. i!id., p.$='. 1$4. Socialist Construction1 #$*/, p.'44B Jasn#, The Soviet rice System, op. cit., p.(8. 1$$. Socialist Construction1 #$*0, pp.'4'*'4(B Jasn#, i!id.. 1$'. N ere , op. cit., p.4C. 1$(. Coll. :a+s ;SSR 19C?, 7o.'?, ,rticle C'=. 1$8. J./. .talin, ?or,s @RussianA, /ol./&&&, p.?=9. 1$9. This extract and the follo!in" t!o are :uoted from 9luc%stein, op. cit., pp.9C*9$. 1'=. ravda, $ June 194(. 1'1. i!id.. 1'?. ravda, 9 Jul# 194(. 1'C. Criminal Code of RS4SR @RussianA, 4osco! 19C(, pp.(=*(1. 1'4. i!id., p.(4. 1'$. Code of :a+s on Marria-e1 4amily and 5uardianship of RS4SR @RussianA, 4osco! 1948, p.19, ,rticle '9. 1''. i!id., p.19, ,rticle (=. 1'(. Coll. :a+s ;SSR 19C$, 7o.19, ,rticle 1$$. 1'8. Ruoted b# 4. H on, :;RSS1 telle 7uelle est, Paris 19C8, p.?4C.

34

1'9. =echerniaia Mos,va, 19 ,pril 19C$, in 7... Timasheff, The 5reat Retreat, 7e! Hor% 194', p.C?$. 1(=. .ee Sovets,aia ;stitsiia, 19C$, 7o.1=. Ruoted b# Timasheff, op. cit., p.C?1. 1(1. Supreme Soviet ;SSR 5a9ette, 1941, 7o.?$. 1(?. &.T. 9olia%o @ed.A Criminal :a+ @RussianA Crd ed. 194C, p.1C(. Ruoted b# 9so s%i, op. cit. /ol.&, p.1??. 1(C. -allin and 7icolae s%#, op. cit., p.84. 1(4. J. 4arx and ;. 1n"els, ?or,s @RussianA, /ol.&/, p.C1?.

Chapter 1: Socio-economic relations in Stalinist Russia (Part 4)

8hanges in the relations of distribution
&n his April Theses Lenin stated that the Part#5s polic# !as, FTo pa# all officials, !ho are to be elected and subKect to recall at an# time, not more than the pa# of a "ood !or%er.G D1($E &n his State and Revolution @,u"ust*.eptember 191(A he posed the :uestion of the mode of pa#ment of !a"es and salaries immediatel# after the socialist re olution, in a societ# !hich Fis ... in e er# respect economicall#, morall# and intellectuall# still stamped !ith the birthmar%s of the societ# from !hose !omb it emer"esG. D1('E &n these circumstances the follo!in" is attained6 F1:ualit# for all members of societ# in relation to the o!nership of the means of production, that is, e:ualit# of labour and e:ualit# of !a"es.G D1((E FAll citi8ens are transformed into the salaried emplo#ees of the state, !hich consists of the armed !or%ers. All citi8ens become the emplo#ees and !or%ers of a single national state Os#ndicate5. ,ll that is re:uired is that the# should !or% e:uall# ) do their proper share of !or% ) and "et paid e:uall#.G D1(8E FThe !hole of societ# !ill ha e become a sin"le office and a sin"le factor#, !ith e:ualit# of !or% and e:ualit# of pa#.G D1(9E +ence Lenin posed as Fan immediate obKecti eG of the Bolshe i%s the follo!in"6 Ftechnicians, mana"ers and boo%%eepers, as !ell as all officials, shall recei e salaries no hi"her than a O!or%man5s !a"es5.G D18=E , fe! months after the re olution @in 4arch 1918A Lenin a"ain declared his support Ffor the "radual e:ualisation of all !a"es and salaries in all professions and cate"oriesG. D181E +e accepted the necessit# of certain exceptions to e:ualit# in the case of specialists, as he !ell %no! that in the face of their scarcit#, and their hostilit# to the !or%ers5 state, such an aim could not be achie ed, but he insisted that the income differences should ri"ht a!a# be much lo!er than under tsarism, that the tendency in future should be to!ards increasin" e:ualitarianism, and abo e all he did not shrin% from callin" an# ine:ualit# imposed b# bac%!ardness on the .o iet "o ernment a retreat from socialist, and a concession to capitalism. Thus he !rote6 F&n this transition period !e must "rant them Dthe specialistsE the best possible conditions of life ... >hen !e discussed the :uestion of rates of pa# !ith the Commissar of Labour, Comrade .chmidt, he mentioned facts li%e these. +e said that in the matter of e:ualisin" !a"es !e ha e done more than has been done an#!here and more than an# bour"eois state can do in scores of #ears. Ta%e the pre*par rates of pa#6 a manual labourer used to "et 1 rouble a da# ) ?$ roubles a month ) !hile a specialist "ot $== roubles a month ... The expert recei ed t!ent# times more than the !or%er. 2ur present rates of pa# ar# from six hundred roubles to three thousand roubles ) a difference of onl# fi e times. >e ha e done a "reat deal in the matter of e:ualisation.G D18?E The hi"h pa#ment to specialists !as Fpa#ment accordin" to bour"eois relationshipsG, Fa step bac%!ardG, a FconcessionG to capitalism imposed b# the obKecti e realit# on the .o iet "o ernment. D18CE &n 1919 the Russian Communist Part# stated its !a"es polic# in these terms6 F>hile aspirin" to e:ualit# of re!ard for all %inds of labour and to complete communism, the .o iet "o ernment cannot consider as its tas% the immediate realisation of this e:ualit# at the present moment, !hen

3%

onl# the first steps are bein" made to!ards the transition from capitalism to communism.G D184E The Tenth Part# Con"ress in 19?1 decided that !hile Ffor a ariet# of reasons differences in mone# !a"es correspondin" to :ualifications must temporaril# be maintained, ne ertheless the !a"e*rate polic# must be built, upon the "reatest possible e:ualit# bet!een !a"e ratesG. D18$E ,t the same con"ress it !as declared necessar# Fto !or% out completel# ade:uate measures to destro# ine:ualit# in the conditions of life, in !a"es, etc., bet!een the specialists and the responsible !or%ers on the one hand, and the toilin" masses on the other, as this ine:ualit# undermines democrac# and is a source of corruption to the Part# and lo!ers the authorit# of the communists.G D18'E Het under the re"ime of >ar Communism there !as practicall# complete e:ualit# of !a"es and salaries. ,ccordin" to data "i en b# the .o iet statistician, .trumilin, the !a"es of the most hi"hl# paid !or%ers !ere, in 191(, ?C? per cent of those of the lo!est paid, and b# the first part of 19?1 !ere onl# 1=? per cent, or practicall# e:ual. D18(E @2n the other hand, the conditions of scarcit# !hich pre ailed under >ar Communism fre:uentl# "a e officials the opportunit# of abusin" their control o er the sources of suppl# and distributionA. The irtual e:ualit# of !a"es ended !ith the introduction of the 7e! 1conomic Polic#. , unified scale of !a"es !as introduced in 19?1*??, !hich contained se enteen "rades ran"in" from apprentices to the top specialists, and !hich "a e the most hi"hl# s%illed !or%er three and a half times as much as the lo!est*paid uns%illed !or%er. .pecialists could earn a maximum of ei"ht times as much as the uns%illed !or%ers. @This did not appl# to Part# members, !ho had a special scale of maximum !a"es, much belo! that of non*Part# specialistsA. The income differences !ere er# much smaller than those existin" prior to the re olution. The !a"es and salaries of rail!a# emplo#ees before and after the re olution !ill illustrate this. &n 19=?, the income of si"nalmen !as 1=*?= roubles a month, of machinists, C=*'= roubles, !hile that of heads of a rail!a# ser ice !as $==*($= roubles, and of the director*in*chief, 1,===*1,$== roubles. D188E &n 4arch 19?4, the differences ran"ed bet!een 1C.?9 "old roubles a month for line*!or%ers and ?'.8= roubles for administrati e staff. D189E &n industr#, the a era"e !a"e of !or%ers in 4arch 19?', !as $8.'4 cher onets roubles, !hile a factor# mana"er recei ed 18(.9= cher onets roubles if he !as a Part# member, and C=9.$= cher onets roubles if he !as not a Part# member. D19=E There !ere some factors, ho!e er, !hich miti"ated these differences until the introduction of the ;irst ;i e*Hear Plan. ;irst of all, no member of the Communist Part# !as allo!ed to earn more than a s%illed !or%er. This pro ision !as of "reat importance, as the maKorit# of the directors of enterprises, departments of industr#, etc., !ere Part# members. &n 19?8, (1.4 per cent of the personnel of the mana"in" boards of the trusts !ere Part# members, as !ere 84.4 per cent on the boards of the s#ndicates, and 89.C per cent on those of indi idual enterprises. ,n additional factor, !hich made the differences much smaller than the# !ould seem from the unified scale of !a"es, !as that the total number of specialists @a section of !hom !ere Part# members !ho thus did not earn more than s%illed !or%ersA !as er# small. &n 19?8 the# constituted onl# ?.?( per cent of all those en"a"ed in industr#. , "eneral picture of the income differentiation in Russia !as "i en in the Statistical 6and!oo, of ;SSR #$)0 @RussianA, accordin" to !hich the annual a era"e income of manual !or%ers in pre*!ar roubles !as 4'$ in 19?'*?(. ,t the same time the maximum allo!ed to specialists !as 1,811. 1xcludin" the bour"eoisie, the 71P men and the %ula%s, there !ere onl# 114,=== people !ho earned this maximum. The# made up =.C per cent of all earners, and their income made up onl# 1 per cent of the national income. D191E >ith the inau"uration of the ;i e*Hear Plans under the banner of F/ictorious .ocialismG, all the Bolshe i% traditions of e"alitarianism !ere o erthro!n. .talin led the attac% declarin" F Uravnilovka Da term of abuse for e"alitarianismE has as its ori"in the peasant outloo%, the ps#cholo"# of e:ual di ision of all "oods, the ps#cholo"# of primiti e peasant Ocommunism5. Uravnilovka has nothin" in common !ith 4arxian .ocialism.G D19?E >oe betide an#one !ho !ould no! dare to oppose income differences in Russia, no matter ho! "reat the# !ere. 4oloto !ent as far as to declare at the 3&

.e enth Con"ress of .o iets of <..R6 FBolshe i% polic# demands a resolute stru""le a"ainst e"alitarians as accomplices of the class enem#, as elements hostile to socialism.G D19CE The rule limitin" the income of Part# members !as modified in 19?9 and later D&E abolished alto"ether. The la! b# !hich people !ho held t!o posts ) as man# specialists do ) could "et onl# one*and*a*half times the maximum salar# in force, !as abolished. The F"eneral la! of !a"esG of 1( June 19?= D194E, !hich laid do!n that an#one exceedin" the norm in piece*!or% !as not to recei e more than 1== per cent abo e the normal rate !as also repealed. 2n the other hand the la! prohibitin" the pa#ment to an# !or%er on piece*!or% of less than t!o*thirds of the norm !as abro"ated. D19$E 7o further restrictions on ine:ualit# of incomes remained, and the# "re! at an alarmin" rate. ,fter 19C4 the Russian statisticians ceased to publish fi"ures relatin" to the di ision of !or%ers and emplo#ees b# income, and published onl# the a era"e income of all !or%ers and emplo#ees, a fi"ure arri ed at b# a era"in" the incomes of char!omen, uns%illed labourers, s%illed !or%ers, specialists, chief en"ineers, mana"ers, and so on. DJE &n spite of this lac% of information, certain facts can be adduced, particularl# that there !as a sharp rise in the le el of salaries ta%en b# the bureaucrats, and sharp drop in !or%in" class !a"e le els. ;or instance, in 19C(, !hen plant en"ineers !ere earnin" 1,$== roubles a month, directors ?,=== roubles ) unless the "o ernment "a e special permission for more to be earned ) and s%illed !or%ers ?==*C== roubles, the .o iet "o ernment introduced a minimum !a"e of 11= roubles a month for piece*!or%ers and 11$ roubles for time*!or%ers. That man# !or%ers earned onl# the bare minimum is clearl# established b# the fact that the la! fixin" these minima led to a bud"et "rant of '== million roubles for 19C8. D19'E B# comparison !ith such !a"es as these, ?,=== roubles a month !as no mean salar#. 7ot onl# this, but in addition to fixed salar#, directors and plant en"ineers recei ed bonuses, the si8e of !hich depend upon the extent to !hich their enterprise exceeds production :uotas laid do!n in the economic plan. ;or instance, in 1948, it !as reported that the rates of bonuses paid to mana"ements of automoti e transport enterprises for the fulfilment and o erfulfilment of the plan !ere D19(E6 Bonus an, !ercentage of asic salary
1or fulfilment of !lan Senior management *director! chief engineer6nterme,iate management *chiefs of de"artmentsHunior management *sho" chiefs! etc$u" to 3@L u" to 2%L u" to 2@L 1or each !er cent of overfulfilment of !lan u" to 4L u" to 3L u" to 3L

,nd so a director of a plant that o erfulfils the plan b# onl# 1= per cent "et a bonus of up to (= per cent of his basic salar#B a ?= per cent o erfulfilment is re!arded b# a bonus of 11= per centB C= per cent o erfulfilment b# a bonus of 1$= per centB $= per cent o erfulfilment b# a bonus of ?C= per cent. Het another source of income is the -irector5s ;und, an institution !hich !as established on 19 ,pril 19C'. D198E ,ccordin" to the la!, 4 per cent of the planned profit and $= per cent of all profits abo e this, !ere to be put in the -irector5s ;und. 2ne Russian economist has "i en fi"ures for 19C( !hich sho! the sums in ol ed D199E6
AirectorCs fun, in million rou les 21$< %1$9 8&$@ AirectorCs fun, !er /or;er 7rou les8 344$92 <%2$&9 1!1<%$@@

.ince the a era"e !a"e of all !or%ers and emplo#ees in 19C( !as onl# ?$4 roubles per month D?==E, these fi"ures sho! that b# exceedin" the plan b# onl# a small percenta"e, the #ear5s -irector5s ;und 3<

a era"ed out per !or%ers amounted to more than one a era"e monthl# !a"e in the petroleum industr#, in the meat industr# three, and in the spirit industr# more than four*and*a*half. ,ccordin" to another .o iet economist6 F&n the fi e industrial Commissariats the -irector5s ;und per !or%ers !as '.C per cent the a era"e annual !a"e. +o!e er, in se eral branches, this percenta"e is considerabl# hi"her and reaches ?1.$ per cent in !ood!or%in", about ?$ per cent in the fur and leather foot!ear industries, and up to $$ per cent in the spirits, macaroni and food industries.G D?=1E &t is ob ious, therefore, that hu"e sums are concentrated in the hands of directors of industries emplo#in" thousands of !or%ers. The -irector5s ;und5s ostensible aim is to build houses for !or%ers and emplo#ees, clubs, canteens, crUches, %inder"artens, to "i e bonuses for outstandin" achie ements at !or%, etc. >e ha e no statistical data on ho! the -irector5s ;unds are distributed. The onl# indication !e ha e is "i en b# the paper >a Industriali9atsiya of ?9 ,pril 19C(, !hich published fi"ures concernin" the distribution of the -irector5s ;und in the Porchean plant in Jhar%o 6 2f the '=,=== roubles constitutin" the -irector5s ;und, the -irector appropriated ??,=== for himself, the secretar# of the Part# Committee 1=,===, the chief of the production office 8,===, the chief accountant ',===, the president of the trade union committee 4,===, the head of the !or%shop $,===. D?=?E 2ther sections of the pri ile"ed classes also enKo# exceptionall# hi"h incomes. , letter to ravda from the !riter, ,le%sei Tolsto#, and the pla#!ri"ht, /. /ishne s%#, !hich aimed at dispellin" Fthe misunderstandin" on the exceptionall# hi"h earnin"s of authors on the fantastic ro#altiesG D?=CE, "a e the follo!in" fi"ures of authors5 earnin"s6
Monthly earnings in 1"#9 Bore than 1@!@@@ roubles &!@@@11@!@@@ roubles 2!@@@1%!@@@ roubles 1!@@@12!@@@ roubles %@@11!@@@ roubles D" to %@@ roubles No? of !ersons 14 11 39 114 13< about 4!@@@

>hen it is recalled that, in that same #ear of 19C', the a era"e income of all .o iet !or%ers and emplo#ees !as ?,((' roubles, or ?C1 roubles a month D?=4E, comment becomes superfluous. Toda#, "o ernment officials !ho, accordin" to Lenin, should not earn more than the a era"e s%illed !or%er, ha e !idel# ar#in" incomes. B# a decision of the .upreme .o iet of the <..R of 1( Januar# 19C8, the Presidents and /ice*Presidents of the Council of the <nion and Council of 7ationalities ha e salaries of C==,=== roubles a #ear, and each deput# of the .upreme .o iet 1?,=== roubles a #ear, plus 1$= roubles per da# of session. D?=$E The President of the .upreme .o iet of the R.;.R and his deputies recei e 1$=,=== roubles a #ear. D?='E Presumabl# the presidents and ice* presidents of the other ;ederated Republics ha e the same salaries. , .o iet ,rm# pri ate "ot 1= roubles a month durin" the !ar, a lieutenant 1,=== and a colonel ?,4==. &n the <. arm#, !hich can b# no stretch of the ima"ination be called a socialist arm#, the monthl# rate of pa# of a pri ate !as $= dollars, of a lieutenant 1$= dollars, and of a colonel CCC dollars. D?=(E Bureaucrats ha e #et another possible source of income from arious state pri8es. The ori"inal decree announcin" the establishment of the .talin Pri8es in honour of the leader5s sixtieth birthda# limited their alue to a maximum of 1==,=== roubles each. D?=8E The maximum has since been raised to C==,=== roubles, and each #ear as man# as a thousand .talin Pri8es are a!arded, ran"in" from $=,=== to C==,=== roubles each, all tax*free. ,nother clear pointer to the tremendous income differences in Russia is the income tax rates. The income tax rates of 4 ,pril 194=, listed a ran"e of incomes that stretched from less than 1,8== roubles a #ear to more than C==,=== roubles. D?=9E , senior "o ernment official, a director or a successful author, has a house in 4osco!, a summer house in the Crimes, one or t!o cars, a number of ser ants, and so on, as a matter of course.

38

1 en durin" the !ar, !hen in the face of the emer"enc#, all efforts !ere made to "et the maximum production out of the !or%ers, there existed extreme differences in the conditions of the different classes. , maid !ith t!o children, one of ten and another of three, told ,lexander >erth in 194?6 FThe children li e chiefl# on bread and teaB the little one recei es substitute mil% ) !hat can #ou doI ) stuff made of so#a beans, !ithout taste and of little nutriti e alue. >ith m# meat coupons this month & onl# "ot a little fish. .ometimes & "et a little soup left o er at the restaurant ) and that5s about all.G D?1=E ,t the same time, ,lexander >erth could !rite in his diar#6 FThat lunch at the 7ational toda# !as a er# sumptuous affair, for, in spite of the food shorta"e in 4osco!, there al!a#s seems to be enou"h of the best possible food !hene er there is reason for an# %ind of bi" feed, !ith official persons as "uests. ;or )akuski there !as the best fresh ca iare, and plent# of butter, and smo%ed salmonB then stur"eon and, after the stur"eon, chic%en cutlets 1 la 2ar3chal, then ice and coffee !ith brand# and li:ueursB and all do!n the table there !as the usual arra# of bottles.G D?11E The differentiation of Russian societ# into pri ile"ed and pariahs !as sho!n er# "raphicall# in the rationin" s#stem durin" the !ar. , differential rationin" s#stem !as introduced, a thin" that no*one !ould ha e dared to su""est in the democratic capitalist states of the >est. &t is true that this !as shoc%in" e en to the .o iet people, so much so that neither ravda nor I9vestia mentioned the subKect at all and the rationin" s#stem as a !hole !as shrouded in m#ster#. D?1?E &n point of fact, the luxuries of the rich are relati el# much cheaper than the necessities of the poor. This !ill be clearl# percei ed if !e repeat a fe! fi"ures of the turno er tax rate D?1CE6
-heat Salt in ul; Meat 7 eef8 +aviare Ra,io sets Automo iles <31<4L <@18@L &<1&1L 4@L 2%L 2L

,s a result6 F&n mid*1948, the e:ui alent of the car 2oskvich Dcostin" 9,=== roublesE !as C1= pounds of butter Dbutter cost '?*'' roubles a poundE, !hile in the <nited .tates a some!hat better car !as !orth about as much as 1,($= pounds of butter.G D?14E &ncome differences lead to lar"e ariations in inherited propert#. &n the earl# da#s of the Re olution, b# the decree of ?( ,pril 1918, all inheritances of more than 1=,=== roubles !ere confiscated. D?1$E This !as in the spirit of the Communist 2anifesto !hich put for!ard as one of the demands of the transition from capitalism to socialism the abolition of all ri"ht of inheritance. , fe! #ears later the la! chan"ed radicall#, and b# 19?9 there !as alread# in existence a table of inheritance tax ran"in" from 1,=== roubles and less to $==,=== roubles and abo e. D?1'E ,t present, the inheritance tax does not "o be#ond 1= per cent. This is er# lo!, e en in comparison !ith the inheritance taxes in capitalist Britain and <nited .tates. -urin" the last !ar a spate of reports emanatin" from the Russian press told of people !ho "a e loans to the "o ernment of a million or more roubles. The O;riends of the .o iet <nion5 explained this in the follo!in" manner6 F&n the .o iet <nion the millionaire has ac:uired his roubles b# his o!n toil and b# ser ices to the .o iet .tate and people.G D?1(E &t !e examine this statement, !e find that, as late as 194=, the a era"e income of !or%ers and emplo#ees bein" onl# 4,=== roubles, to collect a million roubles !ould ha e ta%en an a era"e !or%er ?$= #ears ) pro ided he spent no mone# on himself at all. The .o iet millionaire "ets, in interest alone, $=,=== roubles for e er# million, !hich is man# times more than the income of an# !or%er. But the clearest expression of the differentiation of Russian societ# into the pri ile"ed and the pariahs is the "o ernment pensions scheme. &f an arm# pri ate, !ho !as a !or%er or emplo#ee before his call*up, dies, his famil# recei es a pension of bet!een $?.$ roubles and ?4= roubles a month. &f he !as not a !or%er or emplo#ee, his famil# recei es 4=, (= or 9= roubles, accordin" to !hether he had one, t!o, three or more dependents unable to !or%. People in rural areas "et onl# 8=

39

per cent of these rates. ,s a"ainst this, the famil# of a deceased colonel recei es 1,9?= roubles per month. D?18E -ependents of a !or%er %illed throu"h accident at !or% recei e a maximum of ?== roubles per month @except in some rare instances in !hich the# "et C==A. D?19E ,s a"ainst this, some pri ile"ed people recei e lar"e sums on the death of the head of the famil#. >hen 4.;. /ladimirs%#, deput# of the .upreme .o iet, died, his !ido! !as "ranted a lump sum of $=,=== roubles and a life pension of ?,=== roubles per month, !hile his sister "ot a life pension of ($= roubles a month. D??=E >hen Colonel*9eneral /.,. Hus%e ich died, his !ido! !as "ranted a lump sum of $=,=== roubles and a life pension of ?,=== roubles a month. D??1E The press is full of other such instances. Part and parcel of the anta"onistic relations of distribution is the ladder of education. ,rticle 1?1 of the .talin Constitution of 19C' declared6 FCiti8ens of the <..R ha e the ri"ht to education. This ri"ht is ensured b# uni ersal, compulsor#, elementar# education, b# education, includin" hi"her education, bein" free of char"e,G etc., etc. But e en !hen all education is free, there is no real e:ualit# of opportunit# for stud# bet!een the children of the poor and the rich, because the former ha e to start earnin" as soon as possible, and because man# parents cannot afford to maintain their children !hile the# stud#. &t is therefore not surprisin" that the proportion of children in the <..R benefitin" from education decreases as education becomes more ad ances. &n the school*#ear 19C9*4=, for instance, the total number of students attendin" all education institutes !as D???E6
Num er 7***s8 Ilementar( school *classes I1IH2@!4<1 #unior secondar( schools *classes H1HII- 9!<1% Full secondar( schools *classes HII1M1!8<@ Secondar( technical and factor( schools 94% Dniversities and higher technical schools &2@

&f !e %ne! the number of children of different a"es in the countr#, it !ould be possible to calculate !hat proportions of children of different a"es attended school. But e en !ithout this information, on the basis of the abo e fi"ures, the disparit# bet!een educational opportunities of children of different a"es is ob ious. ,ssumin" that all children a"ed ( to 11 attend school, less than half that number !ere luc%# enou"h to sta# for more than four #ears. 2nl# one in ten had more than se en #ears5 schoolin"B and less than one in t!ent# finished the ten*#ear course @as a"ainst ten #ears5 compulsor# schoolin" in capitalist BritainA. 1 en prior to the establishment of fees for uni ersities, technical colle"es and other hi"h schools man# of the pupils !ho succeeded in reachin" the uni ersities and hi"her technical schools had to lea e before finishin" their studies because of financial difficulties. Bet!een 19?8 and 19C8, the total number of people admitted to en"ineerin" colle"es trainin" for industr# and transport !as '=9,?==, !hile onl# ?4?,C== "raduated. The number admitted to technical colle"es !as 1,='?,===, and the number of "raduates onl# C'?,(==. D??CE &n 19C8, 4?.C per cent of all students in hi"her school !ere children of the intelli"entsia. D??4E .ince then so statistics of the social composition of student ha e been published, but no doubt the percenta"e of students from O"ood5 homes has increased, because of the imposition of fees from 194= on!ards. ,rticle 14' of the .talin Constitution states6 FThe Constitution of the <..R ma# be amended onl# b# the decision of the .upreme .o iet of the <..R adopted b# a maKorit# of not less than t!o*thirds of the otes cast in each of its chambers.G This did not pre ent the "o ernment from imposin" fees for hi"her secondar# and uni ersit# education !ithout e en con enin" the .upreme .o iet to amend ,rticle ?1 of the Constitution, cited abo e, !hich decreed that education should be free. The decree of the Council of People5s Commissars, published on ? 2ctober 194= D??$E, imposed a fee of 1$=*?== roubles a #ear for the hi"her classes of secondar# school @/&&&th, &Sth and Sth "rades of schoolA, and C==*$== roubles a #ear for colle"es. The si8e of these sums can be appreciated b# comparin" them !ith the a era"e !a"e and salar# of the period ) CC$ roubles a month, and !ith the !a"e of man#

4@

!or%ers actuall# standin" at a mere 1$= roubles a month. &t is ob ious that the imposition of fees is an effecti e barrier to hi"her education, especiall# in families !here there are three or four children. To ma%e matters !orse, the .o iet "o ernment had the temerit# to declare that the imposition of fees !as a si"n of the "ro!in" prosperit# of the people. The preamble to the decree declared6 FTa%in" into consideration the hi"her le el of material !ell*bein" of the toilers and the "reat expenses of the .o iet state for the buildin" up, maintenance and e:uipment of the constantl# "ro!in" net of secondar# and hi"h schools, the Council of People5s Commissars reco"nises the necessit# of imposin" a part of the expense of education in secondar# and hi"h schools of the <..R on the toilers themsel es, and therefore resol es ...G The same brand of lo"ic leads to the conclusion that a reall# prosperous countr# is one in !hich e en elementar# education has to be paid forM &t must ha e been ob ious to the students that the need to pa# fees !as no e idence of prosperous circumstances. Bet!een the school #ear 194=*41, durin" !hich fees !ere introduced, and 194?*4C, some ?= per cent left hi"h schools in the R.;.R due to Fthe siftin" out in connection !ith the introduction of fees for tuition and the chan"es in the methods of allottin" stipends.G D??'E ,nother decree issued the same da#, ? 2ctober 194=, on State 4a&our Reserves of USSR authorised the annual draft of 8==,=== to 1,===,=== bo#s bet!een fourteen and se enteen #ears of a"e @the a"e of classes /&&& to SA into compulsor# ocational education. The :uota of children to be supplied b# each area is stipulated, and the responsibilit# for carr#in" out the order !as to be that of the district and to!n .o iets. D??(E Commissions !ere set up consistin" of the Chairman of the to!n or district .o iet, a trade union representati e, and the local secretar# of the Jomsomol, !hich instruct each school to pro ide a certain :uota of children to be selected b# the teacher. ,s pupils of the /&&&th to Sth classes are exempt, this re"ulation falls almost exclusi el# on pupils from poor families. @The harshness of the discipline imposed on #ouths recruited to ocational schools is clear from the fact that for lea in" !ithout permission and other iolations of discipline, the# are subKect to punishment of up to one #ear5s confinement in a reformator#.A D??8E To !iden the net, the Presidium of the .upreme .o iet decreed on 19 June 194(, that the a"e limits for Labour Reser e should be raised6 in a number of industries it !as raised to nineteen #ears of a"e. D??9E Loo%in" at the t!o decrees issued on ? 2ctober 194=, one cannot but be reminded of the circular issued in 188( b# -eliano , Tsar ,lexander &&5s 4inister of 1ducation. FThe 4inister, desirous of impro in" the :ualit# of pupils in the secondar# schoolsG decided that Fthe children of coach*men, ser ants, coo%s, laundresses, small shop%eepers and such*li%e persons should not be encoura"ed to rise abo e the en ironment to !hich the# belon"G. &n conclusion, it is clear from !hat has been said abo e that the difference bet!een income differentiation before the ;i e*Hear Plan and that after its introduction necessaril# lea es the realm of :uantit# alone and becomes a :ualitati e difference also. &f a specialist or factor# mana"er recei es bet!een four and ei"ht times more than an uns%illed !or%er, it does not necessaril# mean that there is a relation of exploitation bet!een the t!o. , s%illed !or%er, specialist or mana"er produces more alues then an uns%illed !or%er per hour of !or%. 1 en if the specialist recei es more than the difference in the alues that the# produce, it still does not pro e that he exploits the uns%illed !or%er. This can be simpl# demonstrated. Let us assume that in a !or%ers5 state an uns%illed !or%er produces his necessities in six hours a da#, and that he !or%s ei"ht hours, the other t!o hours bein" de oted to the production of social ser ices, to increasin" the amount of means of production in the hands of societ#, etc. ,s these t!o hours of !or% are not labour for someone else, but for himself, it !ould be !ron" to call it surplus labour. But to a oid introducin" a ne! term, and to distin"uish the t!o hours from the first six hours, let us call it Fsurplus labourG, !hile the six hours !e shall call Fnecessar# labourG. ;or the sa%e of simplicit# let us sa# that an hour of uns%illed labour produces the alue embodied in 1 shillin". The uns%illed !or%er thus produces 8s. and recei es 's. Let us assume that the specialist produces $ units of alue, or $s., in an hour of his labour. &f the specialist earned fi e times more than the uns%illed !or%er, i.e., C=s., there !ould clearl# be no relation of exploitation bet!een them. 1 en if he earned six times more than the uns%illed !or%er, !hile he produced onl# fi e times more, there still !ould not exist a 41

relation of exploitation, as the specialist !ould be earnin" C' shillin"s a da#, !hile he produces 4=s. But if the specialist earned 1==s. or ?==s., the situation !ould be fundamentall# chan"ed. &n such a case a lar"e part of his income !ould necessarily come from the labour of others. The statistics at our disposal sho! conclusi el# that althou"h the bureaucrac# enKo#ed a pri ile"ed position in the period precedin" the ;i e*Hear Plan, it can on no account be said that in the maKorit# of cases it recei ed surplus alue from the labour of others. &t can Kust as conclusi el# be said that since the introduction of the ;i e*Hear Plans, the bureaucrac#5s income consisted to a lar"e extent of surplus alue.

.ureaucratic mismanagement

<nder capitalism based upon pri ate o!nership of the means of production, the capitalist uses for his financial compass the automatism of the mar%et, !ith its blind determination of the prices of factors of production as !ell as of the commodit# produced. +e must operate an accurate accountin" s#stem. +is punishment for miscalculation is a financial lossB for a "ra e mista%e, ban%ruptc#. <nder a statified econom#, !ere most of the prices are determined administrati el#, and !here the real income of the plant mana"er has no direct correlation to the real economic situation of his plant, accurate accountin" becomes e en more itall# necessar#, as the mana"er of a plant can conceal the defects of the enterprise for a lon" time should it become necessar#B he is not subKect to the mar%et la! alone. >ithout accurate accountanc# an# distortion in one enterprise can be assimilated as an element in the calculations of other enterprises, and so on cumulati el#. The Jremlin can punish the mana"er !ho fails, but the failure comes to li"ht onl# after the dama"e is done. ,"ain, the administrati e and extremel# harsh nature of the impendin" punishment @demotion, imprisonment, etc.A merel# "i es an added ur"enc# and encoura"ement to the dissemblin" mana"er, and pro ides "reater incenti e for such mana"ers to plot !ith other officials of the administration. ;urther, the same ruthless :ualit# of retribution en"enders a hi"h de"ree of circumspection, not to sa# timidit#, in an# mana"er faced !ith the need to ta%e a ris% or to ma%e a decision. +ence a mar%ed tendenc# throu"hout the mana"erial side of Russian industr# to Fpass the buc%G and to increase, ad nauseam, the number of unproducti e officials. Het a"ain, such mana"ers are sharpl# conscious of the implacabl# administrati e nature of the sanctions han"in" o er them, and, therefore, of the "reat extent to !hich their o!n fate depends upon arbitrar# decisions deri ed automaticall# from a current "enera polic# !hich can be and is fre:uentl# superseded o erni"ht b# one of an entirel# different character. ;inall#, it is a commonplace that the hi"h complexit# and di ersification of an# modern industrial econom# necessitates a maximum de"ree of local autonomous initiati e and the !idest field of mana"erial discretion. But this is a state of thin"s in direct conflict !ith the extreme bureaucratic rule in Russia. The .talinist industrialisation dri e is planned, if b# plannin" !e understand central direction. <nder pri ate capitalism the econom# operates blindl#, so that at an# "i en moment it represents the sum total of man# pri ate and autonomous decisions. DJE &n Russia, ho!e er, the "o ernment decides almost e er#thin". &f, ho!e er, b# the term Fplanned econom#G, !e understand an econom# in !hich all component elements are adKusted and re"ulated into a sin"le rh#thm, in !hich frictions are at a minimum, and, abo e all, in !hich foresi"ht pre ails in the ma%in" of economic decisions ) then the Russian econom# is an#thin" but planned. The ;irst ;i e*Hear Plan !as launched upon the assumption that a"riculture !ould remain mainl# in pri ate peasant hands @the %ol%ho8es !ere to produce onl# 11.$ per cent of the total "rain output of the countr# durin" the last #ear of the PlanA. D?C=E &t ended !ith (= per cent of a"riculture in %ol%ho8es and so %ho8es. &t forecast the follo!in" increase in li estoc%6 horses, '.1 millionB cattle, 14.$ millionB pi"s, 1?.? millionB sheep and "oats, ?8.8 millionB alto"ether '1.' million D?C1EB in fact the numbers of horses declined b# 1C.9 million, cattle b# C=.? million, pi"s b# 14.4 million, sheep and "oats b# 94.' million, alto"ether a decline of 1$C.1 42

million. D?C?E The Plan also assumed that the relations bet!een all branches of the econom# !ould be based upon mar%et*exchan"e ) and #et the period actuall# ended !ith total rationin". ,nother assumption !as that the number of !or%ers emplo#ed in state econom# !ould increase b# CC per cent D?CCE ) but in point of fact it rose b# 9'.' per cent. D?C4E .tandards of li in" !ere supposed to rise, instead the# declined. &t can be assumed that production tar"ets of different "oods are mutuall# lin%ed, #et the rate of fulfilment of the different tar"ets differed o er a er# !ide ran"e. The Plan assumed that the rural population !ould "ro! b# 9.= per cent, the urban population b# ?4.4 per cent, and the total population b# 11.8 per cent, but actuall# the correspondin" fi"ures !ere 1.1, 4=.? and 8.1 per cent. The same is true for the later Plans too. &nflation @a rise of no less than 1,$== per cent, in the price le el durin" the t!o decades of the Plan eraA, the terrible famine of 19C?*CC, the harsh administrati e measures a"ainst peasants and !or%ers ) these are some of the s#mptoms of the bureaucrac#5s lac% of foresi"ht in runnin" the econom#, and of the disharmon# bet!een the different interdependent elements of the econom#. There is a "reat lac% of co*ordination bet!een different plants. To "i e an example6 accordin" to the chief en"ineer of the .talin"rad tractor factor#, -emiano ich, there !ere ($C tractors !orth 18 million roubles piled up in the #ards of the factor# in 2ctober 194=, because parts to be bou"ht from small plants to the alue of 1==,=== roubles !ere missin". This led to a serious interruption of production. D?C$E The "reat dislocations in the econom# are re ealed also in a phenomenon that is stran"el# peculiar to Russia in such an extreme form6 different enterprises producin" the same product sho! tremendous differences in costs of production. Thus the annual output of pi" iron and steel per !or%er in arious plants in 19C9 !as D?C'E6
Pig iron 7tons8 Magnitogors; +om ine 2!84@ IuJnets; +om ine 2!324 #lant Irivoy Rog Plant :Ka!oroJhstal< :AJovstal< Iirov Plant AJerJhins;y Plant Petrovs;y Plant Iramators; Plant Gr,Jhoni;i,Je Plant 1runJe Plant 1!<33 1!&<9 1!&42 2!1@2 <8% <99 <2% <@< &3& 1!@<4 &&4 %23 %29 299 293 4@@ 4@3 Steel 7tons8 1!1&8 1!389

&n the boo% from !hich the abo e table is :uoted it is made :uite clear that the basic reason for these lar"e ariations in the producti it# of labour does not lie in differences in the natural conditions of production, but in the technical e:uipment of the enterprises. D?C(E &n man# cases, e en !here there are no bi" differences in the technical e:uipment of the plants concerned, the production costs ar# a lot. Thus, I9vestia !rote6 F2ften t!o enterprises under the same 4inistr# and !ith the same e:uipment sho! er# different costs of production, in one case administrati e costs bein" t!o or three times as "reat as in the other ... +undreds of thousands of superfluous !or%ers can be released and the cost of production can be considerabl# reduced if order is established !ith re"ard to shop personnel.G D?C8E ,nother cause of cost differences is the bi" ariation in the proportion of defecti e "oods. &n his report to the .upreme .o iet on the .tate Bud"et of 194(, the 4inister of ;inance, N ere , said of t!o factories producin" electric bulbs that in one the cost of production !as five times hi"her than in the other. The reason he "a e !as that in the one 4(.C per cent of the output !as defecti e, !hich in the other onl# (.C !as. D?C9E &t is ob ious that such differences in production costs could not exist under conditions of capitalism based on pri ate propert#. The bac%!ard enterprise !ould earl# ha e 43

been dri en out of production. 2b iousl# preser in" these plants !ithout e:ualisin" or nearl# e:ualisin" their costs of production in ol es, from a "eneral economic standpoint, immense !asta"e. This lac% of co*ordination amon" different industries and the inconsistenc# of their de elopment is sho!n in the spasmodic rise and fall of prices and in the absence of harmonious relations bet!een them. -r Jasn# has illustrated this er# clearl#. 2ne of the examples he "i es is this6
The develo"ment of the "rices of timber and lumber during the /lan era as fantasticall( inconsistent$ After a small decline in 192<128! the lumber "rices ere raised b( more than 1@@ "er cent! effective 1 A"ril 193&$ The( remained unchanged! thereafter! for almost 13 (ears in s"ite of inflation! the e'treme shortage of times! and the cutting of forests far in e'cess of hat as economicall( reasonable$ The lumber "rices ere raised almost three1fold! effective 1 #anuar( 1949! to become about < times as high as in 192&12<$ +ound timber! large ;uantities of hich are used directl( in construction in the DSS+! declined in "rice 14$< "er cent from 192&12< to 192<128 and then as raised onl( moderatel( in 193&$ Timber "rices ere raised slightl( again in 1944! but even after this the( still ere onl( moderatel( above "rices of 192&12<$ Then! to make u" for all such arrears! timber "rices ere boosted in one stroke more than 4$%1fold in 1949$ +oughl( the timber "rices ere close to %@ "er cent of those of lumber *sa n timber- in 192&12<E in 193& the( became little more than 2@ "er cent of the latterE the "ercentage as raised to about 3@ in 1944 and e'ceeded 4@ in 1949$ The "rices of rail a( ties! a sim"le timber "roduct! sho ed (et another courseG doubled in 193& and again more than doubles in 1943$ Again the( ere more than doubled in 1949! ith the result that the "rices effective 1 #anuar( 1949! ere almost 1@1fold their 192< level$ 024@3

&n another boo% Jasn# "i es #et another example of the lac% of tie*ins bet!een the prices of competin" "oods or bet!een the prices of ra! materials and finished products6 F&n 19CC,G he !rites, Fthe price of %erosene for technical purposes, f.o.b. destination, !as raised about 1=*fold, to a le el about 4$*fold that of "ood -onbass boiler coal, f.o.b. mine. &n 1949, the same %erosene most not :uite six times as much as coal. There is no Kustification ) there cannot e en be an# explanation ) for such shiftin" "round. The ar#in" rates bet!een %erosene and coal prices are an extreme case, but the number of unKustified lar"e shifts in price and rate relationships is almost infinite. &n 1949, important t#pes of rolled steel cost about $*' times as much as coalB in the second half of 19$= the relation !as onl# about three to one.G D?41E ,nd a"ain6 F&t !as a "reat blunder to raise machiner# prices C=*C$ per cent in one #ear @1949A and then to eliminate the entire increase and more the next #ear @19$=AB or to raise rail!a# frei"ht rates on short distances much less than on lon" distances @rate re ision of 19C9A and to do exactl# the opposite in the next re ision @1949A.G D?4?E The cro!nin" example of the crude methods emplo#ed in adKustin" prices and the absence of tie*in bet!een them !as "i en b# .talin himself6
our business e'ecutives and "lanners! ith fe e'ce"tions! are "oorl( ac;uainted ith the o"erations of the la of value! do not stud( them! and are unable to take account of them in their com"utations$ This! in fact! e'"lains the confusion that still reigns in the s"here of "rice1fi'ing "olic($ ?ere is one of man( e'am"les$ Some time ago it as decided to ad)ust the "rices of cotton and grain in the interests of cotton gro ing! to establish more accurate "rices for grain sold to the cotton gro ers! and to raise the "rice of cotton delivered to the state$ Aur business e'ecutives and "lanners submitted a "ro"osal on this score hich could not but astound the members of the 8entral 8ommittee! since it suggested fi'ing the "rice of a ton of grain at "racticall( the same level as a ton of cotton! and! moreover! the "rice of a ton of grain as taken as e;uivalent to that of a ton of baked bread$ In re"l( to the remarks of members of the 8entral 8ommittee that the "rice of a ton of break must be higher than a ton a grain because of the additional e'"ense of milling and baking! and that cotton as generall( much dearer than grain! as as also borne out b( the "rices in the orld market! the authors of the "ro"osal could find nothing coherent to sa($ The 8entral 8ommittee as therefore obliged to take the matter into its o n hands and to lo er the "rices of grain and raise the "rices of cotton$ 02433

>hat a muddleM ,nd in the er# hi"hest :uarters of the land. 2ne other peculiar phenomenon that re eals that lac% of inte"ration bet!een indi idual plants, is the rise of a "roup of middlemen !ho ma%e a li in" b# findin" out plants !ith surpluses and deficits and arran"in" barter a"reements bet!een them, iolatin" the prices fixed b# the authorities. lanovoe Aho9iaistvo reported a case in !hich a hea # machiner# factor# promised a buildin" or"anisation, in exchan"e for ?.$ million bric%s, not onl# the official price of the bric%s, but also the follo!in" extras6 8== tons of coal, ?$= tons of timer, 11 tons of %erosene and arious amounts of a number of

44

other commodities. D?44E ,ll this is ille"al, but ne ertheless er# !idespread6 the bureaucratic "o ernment that prohibits this, is, after all, the cause of its appearance. ,nother example of the same species is the %ol%ho8 mar%et, particularl# flourishin" durin" the !ar, !ith its food rationin", and !hich in all but name !as a Fblac% mar%etG. +ence, also, the appearance of the tolkach ) the suppl# expeditor ) !ho, :uite ille"all#, ta%es an enormous commission for ac:uirin" materials, machines, etc. +ence also the "reat importance of &lat, or personal influence, for ac:uirin" material, machines, etc., to !hich the factor# director is not entitled. Russian publications "i e ample testimon# that it is a maKor phenomenon there. The ast extent of the conflicts bet!een enterprises, trusts, "la %s, ministries, etc., is re ealed in the exceptionall# lar"e number of la!*suits bet!een them. &n 19C8, for instance, o er CC=,=== cases !ere liti"ated in 5osar&itra)h @.tate Board of ,rbitration, a special s#stem of courts for disputes bet!een economic or"ansA. D?4$E This fi"ure does not include the disputed bet!een economic units ) "la %s and plants !ithin an indi idual ministr# ) !hich are dealt !ith b# departmental arbitration boards. Berman !rites6 FThe t#pes of disputes that come before 5osar&itra)h are ama8in"l# di erse. 4an# arise o er the :ualit# of the "oods supplied under the contract. , lar"e number in ol e the :uestion of prices, for despite the fact that prices are fixed, man# de ices exist for a oidin" or e adin" the established prices.G D?4'E 2ne of the most important elements in bureaucratic mismana"ement is the s!ift, arbitrar# chan"in" of decisions b# the central "o ernment itself. , fe! examples !ill be "i en. ;or a number of #ears it had been an act of faith to belie e that the bi""er the enterprise the better it !as irrespecti e of optimal technical le els of efficienc#. Thus, for instance, .talin declared6 F,ll the ar"uments of Oscience5 a"ainst the possibilit# and expedienc# of creatin" lar"e "rain factories of $=,=== to 1==,=== hectares each ha e collapsed and crumbled into dust.G D?4(E &n 19C=, a %ol%ho8 !as or"anised, consistin" of $= illa"es and 84,=== hectaresB another encompassed ?9 illa"es and CC,$$C hectares. D?48E +o!e er, after terrible losses, the "o ernment beat a retreatB in 19C8 the a era"e %ol%ho8 had an area of 484 hectares of arable land. ;or nine #ears @19?8*C(A the enthusiasm for "i"antic enterprises held s!a# before a reaction set in, after !hich F"i"antomaniaG !as declared the result of the pernicious acti ities of FTrots%#ist*;ascistsG. ,t other times tar"ets of production !ere put at a ridiculousl# hi"h le el, leadin" to ad enturistic tempos, at a formidable cost in !rec%a"e, !ear and tear of machiner#, and !asta"e of material and labour. Thus, for instance, 9.J. 2rd8honi%id8e, Commissar of +ea # &ndustr#, stated at the .e enteenth Part# Conference @C= Januar# 19CA that the tas% for 19C? !as this6 F&n the course of one #ear !e must more than double the capacit# of the metal factories, raisin" it to 1C.$*14 million tons Dof pi"*ironE ... >hat does fulfillin" the production pro"ramme of the iron and metal industr# in 19C? meanI ... &t means to #ield in one #ear an increase of 4 million tons ... +o! much time did it ta%e the countries of capitalist to achie e the same thin"I ... 1n"land too% C$ #ears to accomplish this ... &t too% 9erman# ten #ears ... the <nited .tates ei"ht #ears. The <..R must co er the same "round in one #ear.G D?49E ,ctuall#, it too% not one #ear but six to se en. The or"an of 5os#lan adopted an e en more absurd position !hen draftin" tar"ets for the .econd ;i e*Hear Plan. &t announced that in 19C( <..R !ould produce6 4$=*$$= million tons of coal, 1$= million tons of crude oil, '= million tons of pi" iron, 1$= million %ilo!att hours of electrical ener"#. This plan had to be slashed b# more than half at the .e enteenth Part# Conference @Januar# 19C?A, and b# still more at the .e enteenth Part# Con"ress @Januar# 19C4A !hich passed the final draft. , simple comparison of the tar"ets sho!s ho! arbitrar# and ad enturistic is the plannin" of the "o ernment D?$=E6 ,nother curious #et t#pical incident. &n 19C1 an important member of the .upreme Council of 7ational 1conom# !as so bold as to sa# that he did not belie e that it !ould be possible to produce '= million poods of cotton, but onl# C= million. D?$1E +e !as brou"ht to court, and the prosecutor declared6 FJust the t!o fi"ures are enou"h to sho! the practical harm of .o%olo s%#5s !or%.G .o%olo s%# FconfessedG, and said that actuall# '= million poods could be achie ed. @The FconfessionG did not sa e him, and he had to pa# for his former scepticism !ith ten #ears5 imprisonmentA. ;our 4%

#ears later, in 19C$, at a conference of cotton "ro!ers, the Commissar of Li"ht &ndustr#, Lubimo , and the Commissar of ,"riculture, Cherno , informed .talin that "reat successes in the cotton pro"ramme !ould render it possible to produce in that #ear ... C? million poods of cottonM .talin considered it unattainable and scepticall# :uestioned6 F,re #ou not carried a!a# b# enthusiasmIG D?$?E &n summin" up, it ma# be said that, in Russia, instead of a real plan, strict methods of "o ernment dictation are e ol ed for fillin" the "aps made in the econom# b# the decisions and acti ities of this er# "o ernment. Therefore, instead of spea%in" about a .o iet planned econom#, it !ould be much more exact to spea% of a bureaucraticall# directed econom#. ,ctuall# the totalitarian, bureaucratic political dictatorship helps to o ercome the results of bad plannin", !hich at the same time, has its ori"in in this self*same bureaucratic set*up. 2ne should, ho!e er, a oid the mista%e of assumin" that the mismana"ement corrodin" Russia5s national econom# precludes er# substantial, na#, stupendous achie ements. ,ctuall#, bet!een the bureaucratic mismana"ement and the "reat up!ard s!eep of Russia5s industr#, there is a ti"ht, dialectical unit#. 2nl# the bac%!ardness of the producti e forces of the countr#, the "reat dri e to!ards their rapid expansion @to"ether !ith a !hole series of factors connected !ith thisA and, abo e all, the subordination of consumption to capital accumulation, can explain the rise of bureaucratic state capitalism.

+ussia C an industrial giant

The efforts and self*sacrifice of the people, ha e raised Russia, despite bureaucratic mismana"ement and !aste, to the position of a "reat industrial po!er, from bein", in terms of industrial output, fourth in 1urope and fifth in the !orld to bein" first in 1urope and second in the !orld. .he has stepped out of her sleep# bac%!ardness to become a modern, po!erful, industriall# ad anced countr#. The bureaucrac# has thus earned as much tribute as 4arx and 1n"els paid to the bour"eoisie. F&t has been the first to sho! that man5s acti it# can brin" about. &t has accomplished !onders far surpassin" 1"#ptian p#ramids, Roman a:ueducts and 9othic cathedrals ... The bour"eoisie ... dra!s all ... nations into ci ilisation ... &t has created enormous cities ... and has thus rescued a considerable part of the population from the idioc# of rural life. The bour"eoisie, durin" its rule of scarce one hundred #ears, has created more massi e and more colossal producti e forces than ha e all precedin" "enerations to"ether.G D?$CE The price paid for these achie ements has, of course, been human miser# on a scale impossible to estimate. ;rom a socialist standpoint, ho!e er, the decisi e criterion is not the "ro!th of production #er se, but the social relations accompan#in" this tremendous de elopment of the producti e forces. &s it or is it not accompanied b# an impro ement in the economic position of the !or%ers, b# an increase in their political po!er, b# a stren"thenin" of democrac#, a reduction of economic and social ine:ualit#, and a decline of state coercionI &s the industrial de elopment planned, and if so, planned b# !hom, and in !hose interestsI These are the basic socialist criteria for economic ad ance. 4arx isualised that the de elopment of the producti e forces under capitalism !ould dri e humanit# to!ards a crisis out of !hich there !ere onl# t!o !a#s6 the one, a socialist reor"anisation of societ#, the other, a decline into barbarism. The threat of barbarism ta%es the form, before our er# e#es, of hitchin" the producti e forces of humanit#, of industr# and science, to the chariot of !ar and destruction. The place of 4a"nito"ors% and 2a% Rid"e in man5s histor# !ill be decided not b# their tremendous material achie ements, but b# the social and political relations underl#in" them.

Footnotes

4&

&. This rule !as repealed in such secrec# that it is not %no!n exactl# !hen it happened, but it became e ident from ne!s in the Russian press that it !as not in existence in 19C4. J. &t is interestin" to note that a .o iet boo% on economic statistics criticises <. statistics for its custom of includin" in the !a"es and salaries bill the salaries of compan# directors thus raisin" the a era"e !a"e and salar#. @8ictionary 6and!oo, of Social(2conomic Statistics @RussianA, 4osco! 1948, p.1?.A >hat is sauce for the "oose is apparentl# not sauce for the "anderM J. &t is be#ond the pro ince of the present essa# to in esti"ate the interestin" subKect of centrall# directed plan !ithin existin" pri ate capitalism, especiall# as a manifestation of !ar*time expedienc#.

References

1($. /.&. Lenin, ?or,s @RussianA, /ol.SS&/, p.$. 1('. J. 4arx, Criti7ue of the 5otha ro-ramme. Ruoted b# Lenin, State and Revolution, London 194?, p.(=. 1((. Lenin, op. cit., p.('. 1(8. i!id., p.((. 1(9. i!id., p.(8. 18=. i!id., p.4=. 181. /.&. Lenin, ?or,s @RussianA, /ol.SS/&&, p.1C. 18?. i!id., /ol.SS&S, p.1$9. 18C. i!id., /ol.SSS&&&, p.'4. 184. A;C in Resol. 4th ed., /ol.&, p.CC(. 18$. i!id., p.444. 18'. Minutes of the Tenth Con-ress of the Russian Communist arty "<olshevi,s' held in Mosco+1 March #$)# @RussianA, 4osco! 19CC, p.C1(. 18(. ..9. .trumilin, ?a-es and :a!our roductivity in Russian Industry in #$#*()) @RussianA, 4osco! 19?C, p.C$. 188. 4.7. Po%ro s%# @ed.A #$B/ @RussianA, 4osco!*Lenin"rad 19?$, /ol.&, p.4C9. 189. :a!our in ;SSR1 Statistical(2conomic Survey1 .cto!er #$)) ( March #$)& @RussianA, 4osco! 19?4, p.1$8. 19=. .. Na"ors%#, ?a-es and Re-ulation of Conditions of :a!our in the ;SSR , 9ene a 19C=, pp.1(', 1(8. 191. L. La!ton, 2conomic 6istory of Soviet Russia , London 19C?, /ol.&&, pp.C$9*C'1. 19?. ;rom N.4. Chernilo s%# @ed.A, 6istory of State and :a+ @RussianA, 4osco! 1949, p.?9. 19C. Ruoted b# -.&. Chernomordi%, The 2conomic olicy of ;SSR @RussianA, 4osco!*Lenin"rad 19C', p.?4=. 194. :a!our Code #$)) @RussianA, 4osco! 19??, ,rticle $(, pp.9*1=. 19$. i!id. ,bro"ated 1( 4arch 19C4 @Coll. :a+s ;SSR 19C4, 7o.1$, ,rticle 1=9A. 19'. Coll. :a+s ;SSR 19C(, 7o.(1, ,rticle C4=. 19(. L.,. Bronstein and B.7. Budrin, lannin- and Accountin- in Automotive Transport @RussianA, 4osco! 1948, p.1$=. 198. Coll. :a+s ;SSR 19C', 7o.?=, ,rticle 1'9. 199. 9. Polia%, (n the Director6s "unds in Industrial !nter#rises, lanovoe Aho9iaistvo, 19C8, 7o.4. ?==. Socialist Construction #$**(*3, op. cit., p.1C8. ?=1. L. /ilens%i, "inancial 7uestions of Industry, lanovoe Aho9iaistvo, 19C8, 7o.4. ?=?. Ruoted b# H on, op. cit., p.111. ?=C. ravda, ?( June 19C(. ?=4. Socialist Construction #$*0, op. cit., p.$1C. ?=$. 4irst Session of the Supreme Soviet of the ;SSR1 Steno-raphic Report @RussianA, 4osco! 1948, pp.1?4, ?=$. ?='. Isvestia, 18 Januar# 19C8. ?=(. Ne+ @or, Times, ?C ,u"ust 194C. ?=8. ravda, ?1 -ecember 19C9. ?=9. Isvestia, ' ,pril 194=. ?1=. ,. >erth, The @ear of Stalin-rad, London 194', p.1?'. ?11. i!id., p.1=4.

4<

?1?. i!id. ?1C. .ee abo e chart. ?14. Jasn#, The Soviet rice System, op. cit., pp.44*4$. ?1$. Coll. :a+s RS4SR, 1918, 7o.C4, ,rticle 4$'. ?1'. Coll. :a+s ;SSR, 19?9, 7o.8, ,rticle (8. ?1(. R. Bishop, Soviet Millionaires, London 194$, p.C. ?18. &.&. 1 ti%hie and /. ,. /lasso , Administrative :a+ of ;SSR @RussianA, 4osco! 194', pp.1'4, 418. ?19. i!id., p.4=8. ??=. ravda, 4 ,pril 19$1. ??1. ravda, 1( 4arch 1949. ???. :ar-e Soviet 2ncyclopaedia, /ol.<..R @RussianA, Columns 1??$, 1??8 and 1?CC. ??C. Cultural Construction ;SSR @RussianA, 4osco! 194=, pp.111*11?. ??4. i!id., p.114. ??$. Coll. 8ecisions ;SSR, 194=, 7o.?(, ,rticle 'C(. ??'. The eopleGs 2ducation in RS4SR in #$&* @RussianA, 1944, p.4?. ??(. 8irective of the All(;nion Communist arty "<olshevi,s' and the 8ecisions of the Soviet 5overnment on 2ducation. Collection of 8ocuments #$#%(#$&% @RussianA, 4osco!*Lenin"rad 194(, /ol.&&, pp.1=9*111. ??8. -ecree of ?8 -ecember 194=, Supreme Soviet ;SSR 5a9ette @RussianA, 1941, 7o.1. ??9. i!id. 194(, 7o.?1. ?C=. I lan, /ol.&, Part 1, p.C?9. ?C1. i!id., pp.C?4*C?$. ?C?. Socialist Construction #$**(*3, op. cit., pp.xxi *xx . ?CC. I lan, /ol.&, p.94. ?C4. 4ul. I lan, p.1(=. ?C$. ravda, ?( 2ctober 194=. ?C'. &.P. Bardin and 7.P. Bann#, Iron and Steel Industry in the Ne+ 4ive(@ear eriod @RussianA, 4osco!*Lenin"rad 194(, p.1''. ?C(. i!id., p.1'$. ?C8. I9vestia, ?4 4a# 19$?. ?C9. Meetin- of the Supreme Soviet of ;SSR "Third Session'1 )B()/ 4e!ruary #$&% @RussianA, 4osco! 194(, p.?=. ?4=. 7. Jasn#, Soviet rices of roducersG 5oods, .tanford 19$1, pp.8C*84. ?41. Jasn#, The Soviet rice System, op. cit., pp.9*1=. ?4?. i!id., p.1=. ?4C. J./. .talin, 2conomic ro!lems of Socialism in the ;SSR , 4osco! 19$?, pp.?4*?$. ?44. lanavoe Aho9iaistvo, 194', 7o.C, pp.C8*C9. ?4$. +.9. Berman, Hustice in Russia: An Interpretation of Soviet :a+, Cambrid"e, 4ass. 19$=, p.''. ?4'. i!id., pp.('*((. ?4(. .talin in ravda, ( 7o ember 19?9, ro!lems of :eninism, p.C=1. &n .talin3s ?or,s @RussianA, /ol.S&&, p.1?9, the same article is reproduced !ith the substitution of 4=*$=,=== hectares for $=*1==,=== hectares.. ?48. I9vestia, ?= Januar# 19C=. ?49. 9.J. 2rd8honi%id8e, Industrial 8evelopment in #$*# and the Tas,s for #$*) , 4osco! 19C?, pp.4=*41. ?$=. lanovoe Aho9iaistvo, 19C1, 7os. $*', p.?9B II lan, /ol.&&, pp.?(', ?(8*?8=. ?$1. I9vestia, 8 4arch 19C1. ?$?. Aomsomols,aia ravda, ' -ecember 19C$. Ruoted b# 9ordon, op. cit., pp.C89*C9=. ?$C. J. 4arx and ;. 1n"els, The Communist Manifesto in Selected ?or,s, London 194?, /ol.&, pp.?=8* ?1=.

Chapter 2: State and party in Stalinist Russia

48

Marx and 2n-els on the nature of a +or,ers state The Russian Army The Soviets 2lections The party ?itherin- a+ay of state and la+ &n the last chapter the main facts of the social and economic relations in Russia !ere described. &n this chapter !e shall deal !ith the political aspects ) the state and the part#.

Marx an, 5ngels on the nature of a /or;ersC state

4arx and 1n"els used that rather ominous soundin" and !idel# misunderstood term, Fdictatorship of the proletariatG, to denote the content, not the form, of the state !hich !ould replace the capitalist state, that is to sa#, to define the rulin" class. To them, in this context, dictatorship simpl# meant class rule, and, therefore, the ,thenian cit# state, the Roman 1mpire, 7apoleon5s rule, British parliamentar# "o ernment, Bismarc%5s 9erman# and the Paris Commune !ere all dictatorships because, in all of them, a class or number of classes, !ere under the rule of another class. &n 4arx and 1n"els5 !ritin"s the form of the dictatorship of the proletariat is concei ed of as a er# full democrac#. ;or instance, in the Communist Manifesto it is stated that6 Fthe first step in the re olution b# the !or%in" class is to raise the proletariat to the position of rulin" class, to !in the battle of democrac#.G D1E 4ore than fort# #ears later, 1n"els !rote6 F&f one thin" is certain it is that our Part# and the !or%in" class can onl# come to po!er under the form of the democratic republic. This is e en the specific form for the dictatorship of the proletariat, as the "reat ;rench Re olution has sho!n.G D?E The ideas of 4arx and 1n"els re"ardin" the democratic form of the dictatorship of the proletariat !ere realised in the Paris Commune of 18(1. The latter !rote6 FLoo% at the Paris Commune. That !as the -ictatorship of the Proletariat.G DCE ,nd 4arx pointed out that6 FThe first decree of the Commune ... !as the suppression of the standin" arm#, and the substitution of it for the armed people.G ,nd then6 FThe Commune !as formed of the municipal councillors, chosen b# uni ersal suffra"e in arious !ards of the to!n, responsible and re ocable at short terms. The maKorit# of its members !ere naturall# !or%in" men, or ac%no!led"ed representati es of the !or%in" class ... &nstead of continuin" to be the a"ent of the Central 9o ernment, the police !ere at once stripped of their political attributes, and turned into the responsible and at all times re ocable a"ents of the Commune. .o !ere the officials of all other branches of the ,dministration. ;rom the members of the Commune do!n!ards, the public ser ice had to be done at $orkmen s $ages. The ested interests and the representation allo!ances of the hi"h di"nitaries of .tate disappeared alon" !ith the hi"h di"nitaries themsel es ... The Kudicial functionaries !ere to be di ested of sham independence ... Li%e the rest of the public ser ants, ma"istrates and Kud"es !ere to be electi e, responsible and re ocable.G D4E To :uote 1n"els once more6 F,"ainst this transformation of the .tate and the or"ans of the .tate from ser ants of .ociet# into the masters of .ociet# ) a process !hich had been ine itable in all pre ious .tates ) the Commune made use of t!o infallible expedients. &n the first place, it filled all posts ) administrati e, Kudicial and educational ) b# election on the basis of uni ersal suffra"e of all concerned, !ith the ri"ht of these electors to recall their dele"ate at an# time. ,nd in the second place, all officials, hi"h or lo!, !ere paid onl# the !a"es recei ed b# other !or%ers. The hi"hest 49

salar# paid b# the Commune to an#one !as ',=== francs. &n this !a# an effecti e barrier to place* huntin" and careerism !as set up, e en apart from the imperati e mandated to dele"ated to representati e bodies !hich !ere also added in profusion.G D$E 4arx declared that !ith its uni ersal suffra"e, the ri"ht of recall of e er# ci il ser ant, !or%men5s !a"es for all officials, maximum local self*"o ernment, and the absence of armed forces ele ated abo e the people and oppressin" them, the Paris Commune constituted !or%ers5 democrac#. The antithesis of the !or%ers5 state !as the monstrous bureaucrac# and arm# of the capitalist states, !hich, in 1n"els5 !ords, Fthreaten to de our the !hole of societ#G. D'E This, briefl#, is 4arx5s and 1n"els5 conception of a !or%ers5 state, a consistent, extreme democrac#. To this conception, let us no! counterpose the realit# of the Russian .talinist state.

The +ussian Arm(

The main factor in the state is the armed forces. To use Lenin5s formulation, the state Fconsists of special bodies of armed men !hich ha e prisons, etc., at their disposal.G D(E Therefore, the startin" point of an# anal#sis of the present Russian state apparatus, especiall# from the standpoint of 4arxism, must be the structure of the armed forces. ,s Trots%# so aptl# !rote6 FThe arm# is a cop# of societ# and suffers from all its diseases, usuall# at a hi"her temperature.G D8E The formation of a people5s militia !as traditionall# demanded b# socialist parties. D,E ,ccordin"l#, one of the first acts of the Bolshe i% leaders, on ta%in" po!er, !as to issue a decree !hich included the follo!in" clauses6
2$ Full "o er ithin an( arm( unit and combination of units is to be in the hands of its soldiers4 committees and soviets$ 4$ The elective "rinci"le for arm( commanders is hereb( introduced$ All commanders u" to the regimental commander are to be elected b( a general vote of 0the different units3 $$$ 8ommanders higher than regimental commanders! including the commander1in1chief! are to be elected b( a congress $$$ of committees of the arm( units 0for hich the commander is being elected3$ 01@3

7ext da# a further decree added6

In fulfilment of the ill of the revolutionar( "eo"le hich is concerned ith the immediate and decisive eradication of ever( ine;ualit(! the 8ouncil of /eo"le4s 8ommissar4s hereb( decreesG 1$ To abolish all ranks and title from the rank of cor"oral to that of general $$$ 2$ To abolish all "rivileges and the e'ternal marks formerl( connected ith the different ranks and titlesE 3$ To abolish all salutingE 4$ To abolish all decorations and other signs of distinctionE %$ To abolish all officers4 organisations $$$ &$ To abolish the institution of batmen in the arm($ 0113

But the Bolshe i%s5 desire for a real democratisation of the arm#, for its transformation into a people5s militia, met !ith disaster on the roc%s of obKecti e realit#. &n the earl# da#s, after the 2ctober Re olution, the re olutionar# armed forced consisted of small "roups of olunteers. The masses of the people !ere sic% and tired of !ar and !ere not read# to olunteer for the ne! re olutionar# armed forces. &n order to meet the challen"e of the >hite ,rmies !hich !ere bac%ed b# po!erful forei"n po!ers, the Bolshe i%s !ere forced to replace oluntar# principle b# conscription. &n addition, lac%in" experienced commanders, the# !ere forced to recruit tens of thousands of officers of the former Tsarist arm#. This clearl# made it necessar# to abandon the electi e principle in the choice of arm# commanders6 one could hardl# expect the peasants and !or%ers in uniform to elect to their command those officers !hom the# so hated as representati es of the old re"ime. The needs of battle also made it imperati e to abandon the ideal of an arm# built on a territorial basis ) of armin" the people ) and to return to the barrac%s. The Bolshe i% leaders ne er denied for a moment that these measured constituted a de iation from the socialist pro"ramme. @.ee, for instance, the resolution of the 1i"hth Part# Con"ress, 4arch, 1919. D1?EA 4oreo er, the# stron"l# opposed an# attempt to render them permanent. Thus, for instance, !hen a former "eneral of the Tsarist arm#, !ho fou"ht !ith the Bolshe i%s durin" the ci il !ar, stated that the arm# of a socialist countr# should not be based on a militia, but on the old, %@

established barrac% s#stem, the People5s Commissar of >ar, Trots%#, sternl# replied6 Fthe Communist Part# did not come to po!er in order to replace the tricolour barrac%s b# red ones.G D1CE The Bolshe i%s fre:uentl# reiterated their intention to introduce the militia s#stem as earl# as possible. Thus, for instance, at the .e enth Con"ress of the .o iets, held in -ecember 1919, Trots%# declared6 F&t is necessar# to be"in a transition to the realisation of the militia system of armin" the .o iet Republic.G D14E The 7inth Part# Con"ress decided to concretise this intention b# buildin" units of a !or%ers5 militia side b# side !ith the re"ular arm#, and it !as hoped to de elop these "raduall# until the# should replace the latter entirel#. D1$E But this resolution !as ne er carried out. ,n# plan to introduce a people5s militia !as inhibited b# obKecti e realities ) Russia5s bac%!ard producti e forces, the lo! cultural le el of the people, the fact that the proletariat !as a small minorit# of the population. This !as explained clearl# b# &. .mil"a, a leadin" Bolshe i% in the arm#, !ho said in 19?16
The militia s(stem! hose basic characteristic is the territorial "rinci"le! is faced ith an insu"erable "olitical obstacle in the "ath of its introduction in +ussia$ Kiven the numericall( eak "roletariat in +ussia! e are not able to ensure "roletarian guidance in the territorial militia units $$$ Iven greater difficulties in the "ath of the introduction of the militia s(stem arise from the vie "oint of strateg($ :ith the eakness of our railroad s(stem! e should not be able! in case of ar! to concentrate forces in the threatened directions $$$ Furthermore! the e'"erience of the 8ivil :ar has incontrovertibl( sho n that territorial formations were entirely unsuitable! the soldiers deserting and not ishing to leave their villages during offensive as ell as retreat$ Therefore! the return to this form of organisation ould be a crude! holl( un)ustifiable error$ 01&3

The bac%!ardness of the producti e forces, and, connected !ith it, the peasant nature of the countr#, !ere the t!o decisi e factors in ma%in" the Red ,rm# a re"ular arm# and not a militia @althou"h man# elements of democrac# and e:ualitarianism not normall# associated !ith re"ular armed forces !ere built into the structure of the Red ,rm#A. The economic le el of a "i en countr# is, after all, the decisi e historical factor. ,s 4arx said6 F2ur theor# that the or"anisation of labour is conditioned b# the means of production, is, it seems, no!here as brilliantl# corroborated as in the Ohuman slau"hter industr#5.G D1(E The material and cultural bac%!ardness of Russia re ealed itself also in the relations bet!een soldiers and officers. ;rom the be"innin" the Bolshe i%s found it an una oidable necessit# to appoint ex*Tsarist officers, not!ithstandin" their pre ious a"itation for the substitution of all appointed officers b# those elected b# the officers. &t !as impossible to !a"e the !ar a"ainst the >hite ,rmies !ithout tried commanders, and if the choice !ere left to the officers the# !ould not ha e elected ex*Tsarist officers. ;rom the be"innin" there !as a stru""le bet!een the political commissars on the one hand, and the Part# collecti e in the arm# on the other. This conflict con er"ed !ith another bet!een centralist and decentralist tendencies. 2ut of these t!o stru""les the political commissars emer"ed ictorious o er the Part# collecti es, and the Centre o ercame the "uerrilla tendencies. The con er"ence of these t!o stru""les reflected a stren"thenin" bureaucratic tendenc# in the arm#. &t !as not lon" before the ex*Tsarist officers be"an to influence the ne! commanders of proletarian ori"in. The Bolshe i%, Petro s%#, stated6 F>ithin the !alls of the militar# school !e encountered the old re"ime ie! of the peasant about the role of the officer !ith respect to the mass of the pri ate soldiers. >e had also noticed a certain trend to the upper class traditions of the cadets of the c8arist militar# schools ... Professionalism in the scour"e !hich lashed morall# officers of all times and in all countries ... The# Dthe Red ,rm# CommandersE became members of the ne! officers5 "roup, and no a"itation !hatsoe er, nor beautiful speeches about the necessit# of contact !ith the masses, !ould be of an# a ail. The conditions of existence are stron"er than %ind !ishes.G D18E The commanders, the political commissars, and others !ith authorit# in the Red ,rm#, be"an to use their positions to "ain ad anta"e for themsel es. Trots%# too% them se erel# to tas% for this, such as on the occasion @C1 2ctober 19?=A !hen he !rote to the Re olutionar# 4ilitar# Councils of ;ronts

%1

and ,rmies condemnin" the use of "o ernment cars b# those in authorit# for F"a# parties ri"ht before the e#es of the tired Red ,rm# soldiersG. +e spo%e an"ril# of Fcommanders D!hoE dress !ith extreme ele"ance !hile the fi"hters "o half*na%edG, and attac%ed the drin%in" bouts indul"ed in b# commanders and political commissars. ,nd he concluded6 Fsuch facts cannot but pro o%e exasperation and discontent amon" the Red ,rm# soldiers.G &n the same letter he expounds his aim6 F>ithout settin" the impossible "oal of immediate elimination of all and sundr# pri ile"es in the arm#, to endea our to reduce these s#stematicall# to the actuall# necessar# minimum.G D19E +is realistic re olutionar# conception clearl# re eals the immense difficulties of the situation. &n spite of these abuses, ho!e er, the existence of the Bolshe i% Part# !ith cells throu"hout the arm#, to"ether !ith the re olutionar# enthusiasm and self*sacrifice of the common soldiers and the presence of Trots%# at its head. ensured the maintenance of the proletarian character of the Red ,rm# durin" the ci il !ar. >ith the partial ictor# of the bureaucrac# in 19?C, arro"ance and a dictatorial attitude to!ards their troops became the rule amon" the officers rather than the exception. The %e# positions in the Part# cells !ithin the arm# !ere "raduall# ta%en o er b# the commanders themsel es until, in 19?', it !as noted b# the Political -epartment of the arm# that t!o*thirds of all positions in the Part# apparatus in the arm# !ere in the hands of commanders. D?=E &n other !ords, the officers became the political leaders !ho !ere supposed to defend the soldiers a"ainst the officersM 1 en so, this !as still not a com#letely inde#endent officer caste. ;or one thin", the li in" conditions of the commanders !ere hard and not er# different from those of the soldiers. ,ccordin" to >hite6 F&n 19?$ onl# C= per cent of the commandin" personnel !ere housed in a manner re"arded b# ;run8e DPeople5s Commissar of >arE at all as tolerable. .e ent# per cent had housin" facilities belo! that le el. ;run8e spo%e of arious localities !here se eral commanders !ith their families had onl# one room amon" them. &n other !ords, each famil# had onl# part of a room at its disposal. The reser e commanders, !hen called for re*trainin" outside of the ran%s of the arm#, !ere remunerated for the !or% on a basis !hich could not loo% attracti e to a Chinese coolie. Those emplo#ed or belon"in" to the peasantr# !ere paid fi e %ope%s per hour, !hich the unemplo#ed amon" them !ere paid nine %ope%s an hour, for the time the# !ere en"a"ed in their studies.G D?1E >ollenber", !ho !as himself a commander in the Red ,rm#, "i es these facts6
In 1924 the "a( of a cor"s1commander as 1%@ roubles a month! corres"onding roughl( to that earned b( a ell1"aid metal orker$ It as thus 2% roubles a month belo the 5/art( ma'imum7! i$e$! the largest monthl( salar( that a /art( member as allo ed to acce"t in those da(s $$$ There as at that time no s"ecial officers4 mess$ The meals of officers and men ere "re"ared in the same kitchens$ 8ommunist officers seldom ore the badges of their rank hen off dut(! and fre;uentl( dis"ensed ith them even hen on dut($ At that time the +ed Arm( ackno ledged a relationshi" of su"erior and subordinate onl( during the "erformance of a militar( dut(! and in an( case ever( soldier kne his commanding officer ith or ithout badges of rank$ Afficers4 servants ere abolished$ 0223

;urthermore, soldiers !ere allo!ed to, and did in fact, complain about their officers to the 4ilitar# Prosecutor5s 2ffice. There !ere on a era"e 1,89? complaints per month durin" 19?$, 1,9?C monthl# durin" 19?', and ?,=8? monthl# durin" 19?(. <ntil 19C1*CC Fnatural and eas# relations bet!een officers and menG D?CE existed. >hite puts the turnin" point to the consolidation of the officer caste a little earlier ) the ,rm# .tatutes of 19?8, !hich he describes as Fthe real di idin" lineG, and !hat follo!ed as Fthe de elopment of a trend alread# !ell establishedG. D?4E B# these statutes a life career !as opened to arm# officers, and >hite describes them, !ith ample Kustification, as the F4a"na Carta of the commandin" personnelG, as Fsomethin" closel# a%in to the Patrine Table of Ran%sG. D?$E &n 19?9 the F"radual transformation of Red ,rm# +ouses into 2fficers5 ClubsG D?'E be"an. ,lthou"h soldiers5 pa# remained er# lo!, officers5 salaries be"an to rise, as the follo!in" table sho!s D?(E6
6ncrease in officersC monthly allo/ances 1"#( 1"#" 6ncrease rou les rou les !er cent

%2

Platoon comman,er +om!any comman,er Battalion comman,er Regimental comman,er Aivisional comman,er +or!s comman,er

2&@ 28% 33% 4@@ 4<% %%@

&2% <%@ 8%@ 1!2@@ 1!&@@ 2!@@@

24@ 2&3 2%4 3@@ 3<< 3&4

&t has been estimated that in 19C( the a era"e annual pa# of pri ates and non*commissioned officers ta%en to"ether amounted to 1$= roubles, and of officers to 8,=== roubles. D?8E -urin" the second !orld !ar, pri ates in the .o iet ,rm# recei ed an allo!ance of 1= roubles a month, lieutenants, 1,===, and colonels, ?,4==. &n sharp contrast to this !ide differentiation ) !e do not :uote this appro in"l# but onl# for comparison ) pri ates in the <nited .tates ,rm# recei ed $= dollars a month, lieutenants, 1$=, and colonels, CCC dollars. D?9E ,lthou"h the alue of the rouble declines er# sharpl# durin" the last t!o or three decades, this has affected officers much less than ci ilians, for the# ha e been able to ta%e ad anta"e of the 8oentorg, an exclusi e co*operati e or"anisation !hich runs shops, restaurants, laundries, and tailorin" and boot*ma%in" establishments. .pecial houses !ith all con eniences are built for them. The# and their families tra el free on rail!a#s, buses, ships, etc. @The ordinar# soldiers "et none of these ad anta"esB the onl# concession made to them is free posta"e for their out"oin" letters and for their families5 letters comin" to them. DC=EA , decree of ?? .eptember 19C$, introduced the follo!in" ran%s into the arm# and air force6 lieutenant, senior lieutenant, captain, maKor, colonel, bri"adier, commander of di ision, commander of arm# corps, arm# commander of the second ran%, arm# commander of the first ran%, and, lastl#, marshal of the .o iet <nion. DC1E .imilar ran%s !ere introduced into the na #. ,dditional ones !ere "i en to the militar# technical ser ices. DC?E 2n ( 4a# 194=, more ran%s !ere introduced into the arm# and air forces6 maKor*"eneral, lieutenant*"eneral, colonel*"eneral, "eneral of the arm#B and into the na #6 rear*admiral, ice*admiral, admiral, admiral of the fleet. DCCE ;inall#, on ?' June 194$, the ran% of "eneralissimo of the .o iet <nion !as introduced. DC4E 2n C .eptember 194=, bad"es of ran% on the old Tsarist pattern, such as "old braid epaulettes, and "old, platinum and diamond star emblems @!orn b# 4arshalsA !ere restored. DC$E This !as a far cr# from the da#s of the ci il !ar !hen the >hites !ere dubbed F"old braid epaulettersG. , olume of the Small Soviet 2ncyclopaedia published in 19C= stated that epaulettes F!ere abolished b# the 7o ember, 191(, Re olution as s#mbols of class oppression in the arm#.G DC'E &n sharp contrast to this, the Red ,rm# paper !rote in 194C, after the introduction of the epaulettes6 FThe introduction of the traditional soldiers5 and officers5 epaulettes ... emphasises and s#mbolises the continuit# of the "lor# of Russian arms throu"hout the histor# of Russia ri"ht do!n to our times.G DC(E ;raternisation bet!een officers and soldiers !as prohibited. DC8E 1 en reser ists are di ided into the same ran%s as the arm# and the# ha e the ri"ht to !ear their militar# uniforms at an# time. F7o!ada#s,G !rote John 9ibbons, the 8aily ?or,er correspondent in 4osco!, Fpri ates, and 7C2s tra ellin" in a bus, tube or train, must "i e up their seats to men of superior ran%, should the# be standin".G DC9E &n order to %eep up the appearance of superior breedin", officers are not permitted to carr# lar"e parcels in the street, not to !ear felt boots !hen isitin" a theatre. +i"h officers are not allo!ed to tra el b# under"round or tramcar. D4=E There are special officers5 messes and officers5 clubs. 1 en on lea e, an officer is not allo!ed to sit at a table !ith other ran%s in public. 1 er# officer has his permanent batman. .pecial schools ha e been established for officers5 children, from %inder"arten on!ards. , former count and officer of the Tsarist bod#"uard, lieutenant*"eneral ,le%sei &"natie , has in effect become the director of manners and eti:uette in .talin5s arm#. -ancin" lessons are compulsor# at the 4ilitar# Colle"e. &t is doubtful !hether the officers of an# other arm# in histor# dispose of "reater disciplinar# po!ers than do the Russian officers. .tatutes introduced on 1? 2ctober 194=, stated that6 F&n case of

%3

insubordination, the commander has the ri"ht to appl# all measures of coercion up to and includin" the application of force and firearms. The commander bears no responsibilit# for the conse:uence in case he finds it necessar# to appl# force and firearms in order to compel an insubordinate to fulfil a command and to restore discipline and order ... The commander !ho does not in such instances appl# all necessar# measures to fulfil an order is remitted to trial before court martial.G D41E /. <lrich, !ho presided o er the 4osco! Trials, comments on these statues thus6 FThe disciplinar# statues considerabl# extend the ri"ht of commanders as re"ards the use of force and firearms ... Comradel# relations bet!een soldiers and officers are no more ... The hail*fello!*!ell*met spirit in the relationships bet!een a commander and a subordinate can ha e no place in the Red ,rm#. -iscussion of an# %ind is absolutel# prohibited amon" subordinates.G D4?E ,n article in ravda of the same period sheds li"ht on #et another aspect of these statues6 F9rie ances ma# be introduced onl# personall# and indi iduall#. .ubmission of "roup "rie ances for others is prohibited. 7o more "roup declarations, no more Koint discussions ) !hether concernin" an order, bad food, or an# other topic ) all this comes under the headin" of Oinsubordination5 and for it a soldier ma# be shot on the spot !ithout so much as a court*martial, hearin" or in esti"ation, if a superior officer solel# and personall# so decides.G D4CE Thus the officers ha e de eloped into as clearl# defined a militar# hierarch# as e er existed in an# societ# in histor#.

The Soviets

2fficiall#, the institutions in !hich so erei"nt# resides in the <..R are the .o iets, headed b# the .upreme .o iet @until 19C(, b# the Con"ress of .o ietsA. There are numerous indications that for man# #ears these bodies ha e been little else but rubber*stampin" or"ans, real po!er restin" else!here. &n the earl# da#s, thin"s !ere different. &n 1918, for example, Con"ress met fi e times. Bet!een 1919 and 19??, it met once a #ear, but since then the inter als bet!een meetin"s ha e len"thened considerabl#. &n 19?C other units Koined the Russian .o iet ;ederated .ocialist Republic @R.;.RA constitutin" the <nion of .o iet .ocialist Republics @<..RA. The first Con"ress of .o iets of <..R too% place in -ecember 19??B the second in Januar#*;ebruar# 19?4B the third in 4a# 19?$, and then once e er# t!o #ears until 19C1. The se enth Con"ress too% place in Januar#*;ebruar# 19C$, four #ears after the pre ious one. There has been no impro ement since @althou"h the !ar emer"encies doubtless ser es as an excuse, albeit a feeble one, to postpone sessionsA. This .o iet FparliamentG sat for onl# 1=4 da#s in the #ears 1918*C', or less than six da#s a #ear. D44E The fi"ure for later #ears in e en lo!er, and it is si"nificant that no con"ress at all !as con o%ed durin" 19C1*C$, the period of the "reatest and :uic%est transformation of Russia. 4an# maKor steps, such as the ;i e*Hear Plan, collecti isation and industrialisation !ere decided upon !ithout consultin" the Ohi"hest authorit#5 in the land. -urin" the period 191(*C' the po!er of ma%in" la!s !as formall# ested in the hands of the Con"ress of .o iets and its elected Central 1xecuti e Committee. .ince the ictor# of .talin, ho!e er, meetin"s of the Central 1xecuti e Committee ha e a era"ed not more than ten da#s a #ear. Russia has tra elled far since the time !hen the Chairman of the Central 1xecuti e Committee could sa#6 FThe Central 1xecuti e Committee, as the supreme or"an of the .o iet Republic ... la#s do!n the polic# ... for the .o iet of People5s Commissars to carr# out.G D4$E ,s re"ards the Presidium of the .upreme .o iet, it is not %no!n !hen it is con ened, nor !hat is discussed at its sessions, for no reports of its proceedin"s e er appear. .ince the end of the t!enties e er# decision made b# the Con"ress of .o iets and after!ards, b# the .upreme .o iet, has been carried out unanimousl#. 7ot onl# has no ote e er been cast a"ainst an# proposal put for!ard but there has ne er been a sin"le abstention, nor a proposal for amendment, nor e en a speech in opposition.

%4

The merel# ceremonial nature of the .upreme .o iet is clearl# sho!n up b# the character of its deliberations. Thus, for instance, !hen that maKor s!itch in forei"n polic# too% place, from alliance !ith ;rance and 1n"land to collaboration !ith +itler, the .upreme .o iet decided that there !as no need to discuss the problem Fbecause of the clarit# and consistenc# of the forei"n polic# of the .o iet 9o ernment.G D4'E The annual bud"et is sometimes brou"ht to the notice of the .upreme .o iet man# months after its measures are alread# operatin". Thus, for instance, the annual bud"et of 19$?, effecti e from 1 Januar# that #ear, !as announced b# the 4inister of ;inance, N ere , onl# on ' 4arch 19$?. D4(E The bud"et for 19$4 !as FdeliberatedG on 11 ,pril. D48E .imilarl# one finds that !hile the ;irst ;i e* Hear Plan came into operation on 1 2ctober 19?8, it !as appro ed onl# in ,pril 19?9. The .econd ;i e*Hear Plan come into operation on 1 Januar# 19CC, but !as not officiall# appro ed until t!ent#* t!o months later, on 1( 7o ember 19C4. The correspondin" dates for the Third ;i e*Hear Plan !ere 1 Januar# 19C9 and 4arch 19C9B for the ;ourth, 1 Januar# 194', and 4arch 194'B and for the ;ifth, 1 Januar# 19$1, and 2ctober 19$?. &n the li"ht of these facts, the follo!in" statement b# the -ean of Canterbur#, -r +e!lett Johnson, can onl# be called preposterous nonsense6 Fthe 1xecuti e DisE subordinate to the .upreme .o iet ... ,ll sections of the 1xecuti e must be ratified b# the .upreme .o iet6 OThe hi"hest or"an of the state5, runs ,rticle C=, Ois the .upreme .o iet.5 The si"nificance of the enforcement of this la! !ill be apparent at once to those !ho see !ith alarm precisel# the opposite tendenc# here, as for example, !hen the British Cabinet ta%es action !ithout consultin" Parliament or !ithout see%in" immediate and speed# ratification of its action b# Parliament. 4ore si"nificant still is the determination that the .upreme .o iet shall control the Bud"et. Those !ho hold the pursestrin"s hold the ultimate po!er.G D49E The chapter headin" in !hich this passa"e occurs is entitled6 The 2ost Democratic Constitution in the WorldM

Ilections

2n the e e of the 19C( "eneral elections, .talin declared6 F7e er before ) no, reall# ne er ) has the !orld e er seen elections so completel# free, and so trul# democraticM +istor# has recorded no other example of the %ind.G D$=E ,nd one enthusiastic ,merican supporter of .talin5s re"ime states6 F!ith secret ballotin", !ithout fear or fa our, he Dthe .o iet citi8enE can ote for the person or polic# that he reall# !ants.G D$1E Het in these Fcompletel# free, and so trul# democraticG elections there is never more than one candidate for the electors to choose in each constituenc#. ,lso, ne er in an# sin"le one of the hundreds of constituencies has the percenta"e of oters e er been less than 98 per cent. The poll has nearl# al!a#s been 99.9 per cent, and one candidate actuall# polled more than 1== per centM &t !as .talin !ho polled ?,1?? otes in the elections to the local .o iets that too% place on ?1 -ecember 194(, despite the fact that the constituenc# that FelectedG him had onl# 1,'1( otersM The sheer idioc# of this incident is onl# exceeded b# the outra"eous explanation offered b# ravda next da#. &t reads6 FThe extra ballot papers !ere put into the urns b# citi8ens of nei"hbourin" constituencies anxious to sei8e the opportunit# to express their "ratitude to their leaders.G D$?E <suall#, of course, matters are arran"ed !ith more care, and, conse:uentl#, er# little e idence of the Kerr#manderin" exists. 7e ertheless there are other cases on record. .uch a one !as the referendum in Lithuania, on 1? Jul# 194=, to settle the matter of the proposed amal"amation of Lithuania !ith the <..R. The Tass a"enc# in 4osco! !as not informed that the local authorities had decided to extend the referendum o er t!o da#s, and so 4osco! announced the results after the first da# of the referendum, althou"h the otes !ere not actuall# counted till the next da#. B# FaccidentG, the results turned out to be exactl# as forecast6 F&t !as an unfortunate slip b# !hich a London ne!spaper published the official results from a Russian ne!s a"enc# t!ent#*four hours before the polls !ere officiall# closed.G D$CE

%%

The 2lection Re-ulations stipulated that an# interference !ith the electoral ri"hts of citi8ens !ill be punished. Het, for example, bet!een the nomination of candidates and the actual results to the .upreme .o iet in -ecember 19C(, thirt#*se en candidates ) amon" them t!o members of the Political Bureau, Jassior and Chubar ) disappeared and !ere replaced b# others. 7o explanation !as offered to the electors, and no one, it !ould seem, considered it health# to en:uire into the matter. ;ifteen da#s before the same elections, the 4osco! correspondent of the Ne+ @or, Times cabled to his paper a forecast as to the composition and personnel of the next .upreme .o iet. +e stated that it !ould consist of ?4' hi"h Part# officials, C'$ ci il and militar# officials, (8 representati es of the intelli"entsia, 1C1 !or%men and ??C %ol%ho8 members, and "i e their names. D$4E 1xcept for the C( arrested at the last minute, his forecast exactl# corresponded to the results in e er# detail. +o! could that concei abl# happen in an# election that !as not ri""edI

The "art(

.ince the Communist Part# of the .o iet <nion is a state part#, anal#sis of its structure, composition and functionin" must also be an anal#sis of the state machine. Before anal#sin" the !or%in" of the Part# from the time .talin came to the helm, it is important to counterpose to its present monolithic and totalitarian character the actual democratic !or%in" of the Part# in the period prior to the rise of the bureaucrac#. The Bolshe i% had ne er been a monolithic or totalitarian part#. ;ar from it. &nternal democrac# had al!a#s been of the utmost importance in Part# life, but for one reason or another, this factor has been "lossed o er in most of the literature dealin" !ith the subKect. &t !ill therefore be !orth !hile to di"ress some!hat and de ote some space to settin" out a number of cases !hich illustrate inner Part# democrac# in the pre*.talinist #ears. >e shall be"in !ith a fe! examples from the period prior to the 2ctober Re olution. &n 19=(, after the final defeat of the re olution, the Part# suffered a crisis o er the :uestion of !hat attitude to ta%e to the elections to the Tsarist -uma. ,t the Third Conference of the Russian .ocial -emocratic >or%ers5 Part# @held in Jul# 19=(A, in !hich Bolshe i%s as !ell as 4enshe i%s !ere represented, a curious situation arose6 all the Bolshe i% dele"ates, !ith the sole exception of Lenin, oted in fa our of bo#cottin" the elections to the -umaB Lenin oted !ith the 4enshe i%s. D$$E Three #ears later, a plenum of the Central Committee of the Bolshe i%s passed a resolution callin" for unit# !ith the 4enshe i%sB a"ain the onl# dissentient oice !as Lenin5s. D$'E >hen the 1914*18 !as bro%e out, not one of the Part#5s branches adopted the re olutionar# defeatist position !hich Lenin ad ocated D$(EB and at a trial of some Bolshe i% leaders in 191$, Jamene and t!o Bolshe i% -uma dele"ates repudiated Lenin5s re olutionar# defeatist position. D$8E ,fter the ;ebruar# re olution one finds that the lar"e maKorit# of the Part# leaders !ere not for a re olutionar# .o iet "o ernment, but for support of the coalition pro isional "o ernment. The Bolshe i% faction had fort# members in the Petro"rad .o iet on ? 4arch 191(, but !hen the resolution to transfer po!er to the bour"eois coalition "o ernment !as put to the ote, onl# nineteen oted a"ainst. D$9E ,t a meetin" of the Petro"rad Committee of the Part# @$ 4arch 191(A, a resolution for a re olutionar# .o iet "o ernment recei ed onl# one ote. D'=E ravda, edited b# .talin at that time, had a position !hich can in no !a# be called re olutionar#. &t decisi el# declared its support for the Pro isional 9o ernment Fin so far as it stru""les a"ainst reaction or counter*re olutionG. D'1E ,"ain, !hen Lenin came to Russia on C ,pril 191(, and issued his famous April Theses ) a li"ht "uidin" the Part# to the 2ctober Re olution ) he !as for a time in a small minorit# in his o!n Part#. ravda5s comment on the April Theses !as that it !as FLenin5s personal opinionG, and F:uite unacceptableG. D'?E ,t a meetin" of the Petro"rad Committee of the Part#, held on 8 ,pril 191(, the Theses recei ed onl# t!o otes, !hile thirteen oted a"ainst it and one abstained. D'CE +o!e er, at the Conference of the Part# held 14*?? ,pril the Theses "ained a maKorit#6 (1 for, C9 a"ainst and 8 abstentions. D'4E The same conference defeated Lenin on another important :uestion, i8., !hether %&

the Part# should participate in the proposed .toc%holm Conference of the .ocialist Parties. ,"ainst his ie!s, it decided in fa our of full participation. D'$E ,"ain, on 14 .eptember, Jerens%# con ened a F-emocratic ConferenceG and Lenin spo%e stron"l# in fa our of bo#cottin" it. The Central Committee decided b# 9 otes to 8 to bo#cott it, but as the ote !as so nearl# e:ual, the final decision !as left to the Part# conference, !hich !as to be constituted out of the Bolshe i% faction in the F-emocratic ConferenceG. This meetin" decided b# (( otes to $= not to bo#cott it. D''E >hen the most important :uestion of all, the :uestion of the 2ctober insurrection, !as on the order of the da#, the leadership a"ain !as found to be sharpl# di ided6 a stron" faction led b# Nino ie , Jamene , R#%o , Piata%o , 4iliutin and 7o"in, opposed the uprisin". 7e ertheless, !hen the Political Bureau !as elected b# the Central Committee, neither Nino ie not Jamene !ere excluded. ,fter ta%in" po!er, the differences in the Part# leadership continued to be as sharp as before. , fe! da#s after the re olution, a number of Part# leaders came out !ith a demand for a coalition !ith other socialist parties. Those insistin" on this included R#%o , the People5s Commissar of the &nterior, 4iliutin, the People5s Commissar of ,"riculture, 7o"in, the People5s Commissar of &ndustr# and Trade, Lunachars%#, the People5s Commissar of 1ducation, .hliapni%o , the People5s Commissar of Labour, Jamene , the President of the Republic, and Nino ie . The# !ent as far as resi"nin" from the "o ernment, this compellin" Lenin and his supporters to open ne"otiations !ith the other parties. D'(E @The ne"otiations bro%e do!n because the 4enshe i%s insisted on the exclusion of Lenin and Trots%# from the coalition "o ernment. D'8EA ,"ain, on the :uestion of holdin" or postponin" the elections to the Constituent ,ssembl# @in -ecember 191(A, Lenin found himself in a minorit# in the Central Committee, and a"ainst his ad ice, the elections !ere held. D'9E , little later he !as a"ain defeated on the :uestion of the peace ne"otiations !ith 9erman# at Brest*Lito s%. +e !as for an immediate peace. But at a meetin" of the Central Committee and acti e !or%ers, held on ?1 Januar# 1918, his motion recei ed onl# 1$ otes a"ainst Bu%harin5s motion for Fre olutionar# !arG, !hich recei ed C? otes, and Trots%#5s, for Fneither peace nor !arG, !hich recei ed 1'. D(=E ,t a session of the Central Committee next da#, Lenin !as a"ain defeated. But at last he succeeded, under the pressure of e ents, in con incin" the maKorit# of members of the Central Committee of his point of ie!, and at its session on ?4 Januar#, his motion for peace "ained ( otes, !hile 4 oted a"ainst and another 4 abstained. D(1E The atmosphere of monolithism !hich has been imputed so assiduousl# to the Bolshe i% part# both before and immediatel# after the Re olution, lifts !hen faced !ith the facts. This atmosphere, ho!e er, became a realit# later. ;or a lon" time the most important bod# in the Part# !as the Con"ress. Lenin, for instance, declared6 FThe Con"ress ... DisE the most responsible assembl# of the Part# and the Republic.G D(?E But !ith the rise of po!er of the bureaucrac#, it pro"ressi el# lost its importance. The 1919, 19?? and 19?$ Part# Rules @Rules ?=, ?=, ?1 respecti el#A stipulated that Con"resses !ere to be held annuall# D(CE, and until the ;ourteenth Con"ress @in 19?$A this !as adhered to. But after that the# !ere held more and more infre:uentl#. The next Con"ress too% place t!o #ears laterB bet!een that one and the .ixteenth Con"ress @in 19C=A, t!o*and*a*half #ears elapsed, and bet!een the .ixteenth and .e enteenth @in 19C4A, three*and*a*half #ears. This latter Con"ress promul"ated ne! rules b# !hich Con"ress !as to be con ened Fnot less than once in three #earsG @Rule ?(A. D(4E But e en thus !as not obser ed. ;i e #ears elapsed bet!een the .e enteenth and 1i"hteenth Con"ress @19C9A, and then, bet!een the 1i"hteenth and 7ineteenth Con"ress @19$?A, there !as a lon" "ap of o er thirteen #ears. ,ccordin" to the Part# Rules, the Central Committee must con ene Part# Conferences bet!een Con"resses, and, under the re"ulations adopted at the 1i"hteenth Con"ress and still officiall# in force these must be held Fnot less than once a #earG. .ince 1919, Conferences ha e been held in 1919, 19?=, 19?1 @t!iceA, 19?C, 19?4, 19?$, 19?', 19?9, 19C?, 19C4, and most recentl# in 1941.

%<

Con"ress elects the Central Committee, the leadin" bod# of the Part#. ;ormall# the Central Committee is accountable to the Part# Con"ress, but, !hen the latter is not con ened for more than thirteen #ears, this pro ision can hardl# be other than a dead letter. ;ormall# the Central Committee elects the Political Bureau, and therefore the latter should be accountable to the former. &n actual fact, ho!e er, the Central Committee is entirel# subordinate to the Political Bureau. &f the Central Committee really exercised supreme authorit# in the Part#, it !ould ha e been impossible for a ma*ority ) o er three*:uarters in fact ) of its members to ha e been expelled and persecuted as Fenemies of the peopleG, as happened bet!een the .e enteenth and 1i"hteenth Con"resses. 2nl# 1' out of the (1 members of the Central Committee elected in 19C4 reappeared in the list of Central Committee members elected fi e #ears later, and of the '8 candidate members onl# 8 reappeared in the list. The Political Bureau, !hich has thirteen or fourteen members, selects the .ecretariat, the head of !hich is the 9eneral .ecretar#. ;or thirt# #ears this post has been held b# .talin. .ince the death of .talin the administrati e set*up has been more complicated. ,lthou"h to all appearances, 9eor"ii 4. 4alen%o is .talin5s heir, the Kob of 9eneral .ecretar# !as "i en to someone else ) 7i%ita .. Jhrushche . &t is no! clear that Jhrushche has the upper hand. The predominance of the bureaucrac# is illustrated b# the fact that the 9eneral .ecretar# !ho !as, ori"inall#, merel# an executor of the !ill of the Central Committee D($E, is, under .talin5s rule, omnipotent, !ieldin" "reater po!er than an# Tsar dared dream of. Lenin, for example, !as ne er a member of the Part# .ecretariat. &n his da#, it ne er included the most celebrated members of the Part#. ;or instance, immediatel# before .talin5s inclusion @19??A, the .ecretariat !as composed of 4oloto , Harosla s%# and 4i%hailo , none of !hom could concei abl# be placed in the top fli"ht of Bolshe i% leaders. 2nl# !ith the entrenchment of the bureaucrac# and the construction of a Part# hierarch# controlled from abo e did the post of 9eneral .ecretar# become all*important. &t is impossible to trace exactl# the chan"es in the social composition of the Part# since 19C=. .ince that #ear, the practice of publishin" such information has ceased. @The omission is in itself hi"hl# si"nificantA. 7e ertheless, it is possible to "ain some indication of the social composition of the Part# from the education le el of the members. &n Russia, onl# one in t!ent# children finishes secondar# school, not to spea% of the uni ersit#. DBE Het of the 1,$88,8$? Part# members in 19C9, 1?(,=== had recei ed a uni ersit# education, compared !ith onl# 9,=== in 19C4, and 8,C9' in 19?(B and CC$,=== had recei ed a secondar# education, compared !ith onl# 11=,=== in 19C4, and 84,111 in 19?(. D('E ,t the 19?4 Part# Con"ress, '.$ per cent of the otin" dele"ates had recei ed a uni ersit# educationB at the 19C= Con"ress, (.? per centB in 19C4, about 1= per centB in 19C9, C1.$ per centB and at the 1941 Part# Con"ress, 41.8 per cent. The percenta"e of dele"ates !ho had recei ed a secondar# education !ere6 in 19?4, 1(.9 per centB in 19C=, 1$.( per centB in 19C4 about C1 per centB in 19C9, ??.$ per centB and in 1941, ?9.1 per cent @includin" those !ith an incomplete uni ersit# educationA. D((E Thus @addin" the t!o to"etherA, the proportion of dele"ates !ho could be classified as belon"in" to the F.o iet intelli"entsiaG, !as6 in 19?4, ?4.4 per centB in 19C=, ??.9 per centB in 19C9, $4 per centB and in 1941, (=.9 per cent. ,t the 19C4 Con"ress, !hen 41 per cent of otin" dele"ates had recei ed secondar# and hi"her education, onl# 9.C per cent !ere industrial and a"ricultural !or%ers. The percenta"e must ha e been far smaller in 19C9 and 1941. ,s re"ards the Jomsomol, its secretar#, 7.,. 4i%hailo , stated6 F,t the present time more than half the secretaries of pro incial, territorial and central committees of the <nion Republics ha e a hi"her or incomplete hi"her education. The remainin" secretaries ha e a secondar# education. ,mon"st the secretaries of the district committees of the Jomsomol, '( per cent ha e a secondar# or hi"her education.G @ ravda, C 4arch 1949A. 4oreo er, of the manual !or%ers at Part# Con"resses, a considerable number !ere .ta%hano ites. -urin" the !ar, !hen the number of Part# members increased from t!o*and*a*half million to six %8

million, 4( per cent of all the candidates accepted had recei ed a hi"h school or uni ersit# education. D(8E 2n 1 Januar# 194(, of six million members and candidates, 4==,=== had had a uni ersit# education, 1,C==,=== had completed a course at hi"h school, and 1,$==,=== had an incomplete uni ersit# education. D(9E Local information on the social status of ne! entrants to the Part# sho!s the same trend. ;or example, durin" 1941 and the first t!o months of 194?, in the pro ince of Cheliabins%, of those admitted to probationar# membership, '== !ere !or%ers, 189 %ol%ho8 members, and ?,=C$ F!hite* collar !or%ersG. 2f those !ho completed their term of probation durin" that period and became full members, 9=9 !ere !or%ers, C99 %ol%ho8 members, and C,$1$ F!hite*collar !or%ersG. Thus, more than (= per cent of ne! candidates and ne! members !ere of the latter cate"or#. D8=E &n 19?C onl# ?9 per cent of the factor# directors !ere in the Part#. &n 19?$, !ith the partial ictor# of .talin5s faction, (C.( per cent of the members of the mana"in" boards of trusts, 81.$ per cent of those on the boards of s#ndicates, and 9$ per cent of the directors of lar"e enterprises !ere Part# membersB b# 19?( the correspondin" fi"ures !ere ($.1 per cent, 8?.9 per cent, and 9'.9 per cent. D81E &n 19C' bet!een 9(.$ and 99.1 per cent of this t#pe of personnel belon"ed to the Part#, and the fi"ure for the chiefs of trusts !as 1== per cent. D8?E ,s for Red ,rm# commanders, !hereas in 19?= onl# 1=.$ per cent belon"ed to the Part#, the fi"ure had reached C=.' per cent in 19?4 and $1.1 per cent in 19?9 D8CE, and, if !e include those belon"in" to the Jomsomol, it had soared to (1.8 per cent b# 19CC. D84E Toda# there is no doubt that the# all belon". &f !e consider that in 19C(, mana"erial personnel numbered 1,($1,=== D8$E, and that at least nine* tenths of these belon"ed to the Part#, it is ob ious that relati el# fe! people outside this class could possibl# ha e belon"ed, for the total number of Part# members and candidates !as onl# about t!o* and*a*half million. There is no exact fi"ure a ailable for 19C(, but the fi"ures for 19C4 and 19C9 !ere ?,8=(,=== and ?,4((,===. This conKecture is borne out b# examples such as that of the Presnia 4achine*Buildin" ;actor# in 4osco!. 2f the 1,C== emplo#ees in that factor#, members of the Part# numbered 119, of !hom more than a hundred !ere salaried emplo#ees and onl# about a do8en !ere manual !or%ers. D8'E These proportions !ould, no doubt, be similar in most other factories. Parallel !ith the chan"e in the social composition of the Part# membership came the elimination of the old "uard of the Part#. 2f the 1,$88,8$? Part# members on 1 4arch 19C9, onl# 1.C per cent had belon"ed since the 191( Re olution, and 8.C per cent since 19?=, that is, since the end of the ci il !ar. D8(E ,t the end of the 1i"hteenth Con"ress it !as, in fact, emphasised that (= per cent of the Part# members had Koined onl# since 19?9. 2n the e e of the ;ebruar# Re olution the Part# had ?C,'== membersB in ,u"ust 191(, ?==,===B and in 4arch 19?1, (C=,===. D88E &t is, therefore, ob ious that onl# about one*fourteenth of the 191( members and about one*sixth of the 19?= members !ere still in the part# in 19C9. This lar"e*scale disappearance of the old "uard cannot be explained b# natural causes, because the "reat maKorit# of Part# members in 191( and 19?= !ere er# #oun". 1 en in 19?(, $C.8 per cent of the Part# members !ere belo! ?9 #ears old, C?.= per cent !ere bet!een C= and C9, 11.4 per cent !ere bet!een 4= and 49, and onl# ?.8 per cent !ere older than $=. D89E , fe! additional facts !ill suffice to sho! ho! far .talin !ent in the ph#sical li:uidation of the old leaders of the Bolshe i% Part#. The first Political Bureau of 1= 2ctober 191( @it did not #et bear that nameA consisted of Lenin, Trots%#, Nino ie , Jamene , .o%olni%o , Bubno and .talin. D9=E &n 1918 Bu%harin !as added. &n 19?= Preobra8hens%# and .erebria%o !ere added, but a #ear later the# !ere replaces d b# Nino ie and Toms%#. &n 19?C R#%o too% Bu%harin5s place. D91E Throu"hout the ci il !ar the Bureau !as composed of Lenin, Trots%#, Jamene , Bu%harin and .talin. 2f all these leadin" fi"ures, onl# t!o, Lenin and .talin, ha e died a natural death. Nino ie , Jamene , Bu%harin, R#%o and .erebia%o !ere executed, each after a sho! trialB Trots%# !as murdered in 4exico b# a 9P< a"entB Toms%# committed suicide on the e e of his arrest, and, after %9

his death, !as deni"rated as an Fenem# of the peopleG and a FfascistGB .o%olni%o !as condemned to a lon" term of imprisonmentB and Preobra8hens%# and Bubno disappeared durin" F9reat Pur"eG. &n the document %no!n as his Testament, Lenin sin"les out six people for particular mention. 2f these six, four !ere shot b# .talin5s order after a FtrialGB these !ere Piata%o , Bu%harin @of these t!o Lenin !rote6 Fin m# opinion, the most able forces amon" the #oun"estGA, Nino ie and Jamene . Trots%# !as murdered. The onl# one of the six of !hom Lenin spo%e scathin"l# !as the executioner ) of the other fi eM 2f the fifteen members of the first Bolshe i% "o ernment e er to be or"anised @the Council of People5s Commissars of 2ctober, 191(A, onl# one, .talin, sur i ed the Fpur"eG. ;our members died a natural death6 Lenin, 7o"in, .% ortso *.tephano and Lunachars%#. The other ten ) Trots%#, R#%o , .hliapni%o , Jr#len%o, -#ben%o, ,ntono *2 sen%o, Lomo *2ppo%o , 4iliutin, 9lebo * , ilo and Teodoro ich ) !ere either executed b# .talin5s orders or died in his prisons. ,ll the hi"hest officials of the arious Commissariats ha e been Fpur"edG repeatedl#. Thus, for instance, one Commissar of Labour after another has been remo ed and then executed or held in prison. The first to hold this position !as .hliapni%o , then /. .mirno , later 4i%hail <"lano , and, finall#, /./. .chmidt. ,mon" those pur"ed as Ffascist do"sG, Trots%# had been so prominent in the Part# that both durin" and after the ci il !ar, the Part# !as called the FPart# of Lenin*Trots%#G, and the "o ernment !as similarl# %no!nB R#%o had replaced Lenin, after his death, as Chairman of the Council of People5s Commissars @or rou"hl# PremierAB Nino ie !as Chairman of the Presidium of the 1xecuti e Committee @or PresidentA of the Communist &nternationalB and Toms%# !as the President of the Trade <nion Con"ress. 2thers pur"ed included the arm# chiefs. 2ne -eput#*Commissar of -efence, 4.7. Tu%hache s%#, !as executed, and another, Jan 9amarni%, committed suicide !hen faced !ith arrest @accordin" to an official pronouncementAB another, 4arshal 1"oro , FdisappearedG a little later, and so did the Commissar of the 7a #, .mirno . 2f the fifteen commanders of armies appointed in 19C$, onl# one continued to enKo# his hi"h position after the pur"es. 2ne had died a natural death, but all the others had been branded as FtraitorsG and Fpur"edG. D9?E 7earl# all the ambassadors of the <..R !ere also Fpur"edG, as !ere t!o thirds of the political police6 Ha"oda, !ho had himself prepared the Nino ie *Jamene frame*up, and He8ho , !ho prepared the other, later trials, in one of !hich Ha"oda became a defendant. &f all those li:uidated b# .talin had reall# been FfascistsG and FtraitorsG, it is a complete m#ster# ho! the#, comprisin" as the# did at least nine*tenths of the leadership of the Part# and the .tate throu"hout the 2ctober Re olution and the ci il !ar, came to lead a socialist re olution. Thus b# their sheer ma"nitude the Fpur"esG pro ed their sham nature. To add a "rim touch of moc%er# to the tra"ed# of the Fpur"esG, .talin placed the responsibilit# for their enormous extent upon their first ictims, the Trots%#ites, !ho, he claimed, !ished thereb# Fartificiall# to so! discontent and bitternessGB thus Fthe Trots%#ite double*dealers can artfull# hoo% ... the embittered comrades and s%ilfull# dra" them into the bo" of Trots%#ite !rec%in".G D9CE Nhdano , in a speech to the 1i"hteenth Part# Con"ress, rounded out this fantastic alle"ation !ith a claim that b# extendin" the Fpur"eG the Trots%#ites had aimed Fto destro# the Part# apparatusG. B# the same lo"ic the &n:uisition could ha e accused their ictims of responsibilit# for the auto-da-f3M The follo!in" incident, cited b# Nhdano in the same speech, indicates !ith cruel iron#, the ast scope of the Fpur"eG. +e said6 FCertain Part# members ha e resorted to the aid of medical institutions in the effort to insure themsel es Dfrom bein" Opur"ed5E. +ere is a medical certificate issued to one of these citi8ens6 O2!in" to his state of health and mind Comrade @so and soA is not fit to be used as a tool b# an# class enem#. -istrict Ps#chiatrist, 2ctober -istrict, Cit# of Jie @.i"natureA5.G D94E

&@

:ithering a a( of state and la

4arx postulated that !ith the establishment of socialism and the abolition of social classes, the state !ould cease to exist. The absence of conflicts bet!een classes or other social "roups !ould ma%e superfluous an# permanent apparatus of coercion in the form of arm#, police and prisons. La!, too, !ould cease to exist, since Fla! is nothin" !ithout an apparatus capable of enforcin" the obser ance of la!.G D9$E <nder socialism all conflicts !ould be bet!een indi iduals. ;or the suppression of such indi idual !ron"doin" as !ould continue to manifest itself after the abolition of po ert# ) the chief cause of FcrimeG in present*da# societ# ) no special repressi e or"anisation !ill be needed. The F9eneral >illG ) to use Rousseau5s term ) !ould pre ail and deal !ith such problems. ,s .talin once said, lon" a"o, in 19?(6 F.ocialist societ# Dis aE societ# !ithout classes, societ# !ithout a state.G D9'E These ideas found expression in the Constitution of the R.;.R, issued on 1= Jul# 1918. &t stated6 FThe fundamental obKect of the Constitution of the Russian .ocialist ;ederated .o iet Republic, a Constitution desi"ned to ser e the present*da# period of transition, is the establishment, in the form of a stron" ,ll*Russian .o iet authorit#, of the dictatorship of the urban and rural proletariat to"ether !ith the peasant poor, to secure the complete suppression of the bour"eoisie, the abolition of the exploitation of man b# man, and the realisation of Socialism' under $hich neither class divisions nor state authority $ill any longer e%ist .G D9(E ,fter the ictor# of .talin, ho!e er, the line chan"ed entirel#. .talinist spo%esmen ha e stopped spea%in" of the F!itherin" a!a# of the stateG, and, indeed, ha e "one to :uite the other extreme, claimin" that Fsocialism in one countr#G and e en Fcommunism in one countr#G "oes hand in hand !ith the stren"thenin" of the state. Thus P.;. Hudin !rote in 19486 FThe .o iet .tate is the main force, the main instrument of the construction of socialism and the realisation of the construction of communist societ#.G D98E ,"ain6 FThe consolidation of the .o iet state b# e er# means has been the necessary condition for the buildin" of socialism, and no!, of communismB this is e:uall# one of the most important la!s of the de elopment of .o iet societ#.G D99E ,nother .o iet theoretician said6 Fcommunism pre*supposes the existence of a perfect apparatus administerin" the econom# and culture. The apparatus de elops "raduall# and finds its form in the conditions of the transition from socialism to communism ... That is !h# the rise of communism !ill be in accordance !ith the de"ree of perfectibilit# of our state and economic apparatus.G D1==E The stren"thenin" of the Russian state, its increasin" totalitarianism, can onl# be the result of profound class anta"onisms and not of the ictor# of socialism.

Footnotes

,. .ee, for instance, ,rticle 1? of the 19=C pro"ramme of the Russian .ocial -emocratic >or%ers5 Part#. D9E B. .ee the description of education in Chapter 1.

References

1. J. 4arx, Selected ?or,s, /ol.&, pp.??'*??(. ?. ;. 1n"els in Neue >eit, /ol.SS, 7o.1, p.8. Ruoted in J. 4arx and ;. 1n"els, Selected Correspondence, London 194C, p.48'. C. 1n"els5 &ntroduction to J. 4arx, The Civil ?ar in 4rance, London 1941, p.19. 4. i!id., pp.4=*41. $. i!id., p.18. '. ;. 1n"els, The .ri-in of the 4amily1 rivate roperty and the State, London 194C, p.19$. (. /.&. Lenin, The State and Revolution, London 194?, p.1=. 8. L. Trots%#, The Revolution <etrayed, London 19C(, p.?11. 9. A;C in Resol., 4th ed., /ol.&, p.??. 1=. Coll. :a+s RS4SR, 191(, 7o.9, ,rticle 1C8. 11. i!id., ,rticle 1C9.

&1

1?. Ha.L. Berman @ed.A The All(;nion Communist arty "<olshevi,s' and Military Affairs1 in Resolutions of Con-resses and Conferences of the A;C @RussianA, 4osco! 19?8, ?nd ed., pp.(1*(C. 1C. L. Trots%#, 6o+ the Revolution Armed Itself @RussianA, 4osco! 19?4, /ol.&&, Boo% &, p.118. 14. i!id., /ol.&&, Boo% ?, p.1'. The same idea is a"ain put for!ard in a thesis published b# Trots%# on 1' -ecember 1919, i!id., pp.CC*C'. 1$. Berman, op. cit., pp.84*8$. 1'. &. .mil"a, 4undamental ro!lems of the Construction of the Red Army @RussianA, 4osco! 19?1, pp.1'*1(. The same ideas are elaborated in 4.7. Tu%hache s%#5s article The Red Army and the 2ilitia in his ?ar of the Classes. Articles #$#$(#$)B, @RussianA, 4osco! 19?C, pp.'=*((. The onl# difference bet!een .mil"a5s ar"uments and those of Tu%hache s%# lies in the emphasis the latter puts upon the incompatibilit# of the militia s#stem !ith F.o iet Russia5s militar# mission of disseminatin" socialist re olution throu"hout the !orldG. 1(. Ruoted in Soviet Military 2ncyclopaedia @RussianA, 4osco! 19C?, /ol.&, Column '19. 18. -.;. >hite, The 5ro+th of the Red Army, Princeton 1944, pp.'C*'4. 19. Trots%#, 6o+ the Revolution Armed Itself, op. cit. /ol.&&, Boo% &, pp.84*8'. Ruoted b# >hite, op. cit., p.1?1. ?=. >hite, op. cit., p.C=C. ?1. i!id., p.??C. ??. 1. >ollenber", The Red Army, London 194=, pp.18?*18C. ?C. i!id., p.188. ?4. >hite, op. cit., p.C=C. ?$. i!id., p.C=4. ?'. i!id., p.C=$. ?(. J. /oroshilo , in The :and of Socialism Today and Tomorro+ , 4osco! 19C9, p.?88. ?8. ,. Ber"son, National Income and roduct of the ;SSR, ,ppendix6 Sources and 2ethods, 7e! Hor% 19$=, hecto"raphed, p.8. ?9. Ne+ @or, Times, ?C ,u"ust 194C. C=. 1 ti%hie and /lasso , op. cit. pp.1''*1'(. C1. Coll. :a+s ;SSR, 19C$, 7o.$(, ,rticles 4'8*4'9. C?. i!id., 19C(, 7o.$1, ,rticle ?19. CC. Supreme Soviet ;SSR 5a9ette @RussianA, 194=, 7o.1$. C4. i!id.1 194$, 7o.C'. ;or an enumeration of the decrees introducin" ran%s into the arm#, air force and na #, see 1 ti%hie and /lasso , op. cit., pp.1$'*1$(. C$. Arasnaia >ve9da @.o iet ,rm# dail#A, 4osco!, 4 .eptember 194=. C'. Small Soviet 2ncyclopaedia @RussianA, /ol./&, p.'?4. C(. Arasnaia >ve9da, ?? 2ctober 194C. C8. i!id.1 ?C 4a# 194=. C9. 8aily ?or,er, 9 Jul# 194C. 4=. Arasnaia >ve9da, ?? 2ctober 194=. 41. i!id., 1$ 2ctober 194=. 4?. i!id., ?? 2ctober 194=. 4C. ravda, ' 2ctober 194=. 44. J. To!ster, olitical o+er in the ;SSR, 7e! Hor% 1948, p.?1=. 4$. .peech of . erdlo , $ Jul# 1918. Ruoted b# J. Bun#an, Intervention1 Civil ?ar and Communism in Russia1 April(8ecem!er #$#3. 8ocuments and Materials, Baltimore 19C', p.?=$. 4'. I9vestia, 1 .eptember 19C9. 4(. ravda, ( 4arch 19$?. 48. ravda, 1? ,pril 19$4. 49. Johnson, op. cit., p.C$C. $=. J. .talin, Speeches at re(2lection Meetin-s of 2lectors of the Stalin 2lection 8istrict in Mosco+ rovince. ## 8ecem!er #$*% and $ 4e!ruary #$&% @RussianA, 4osco! 194', p.$. $1. ,.R. >illiams, The Soviets, 7e! Hor% 19C(, p.49. $?. ravda, ?? -ecember 194(. $C. B. 7e!man, The Ne+ 2urope, London 194?, p.1$9. $4. Ne+ @or, Times, ?$ 7o ember 19C(. $$. A;C in Resol., 4th ed., /ol.&, p.1?'.

&2

$'. A;C in Resol., 'th ed., /ol.&, pp.1$4*1'=. $(. L. Trots%#, 6istory of the Russian Revolution, London 19C?, /ol.&, p.$9. $8. i!id., and /. &. Lenin, ?or,s @RussianA, /ol.SS&, p.4C?. $9. ,. .hliapni%o , The @ear Seventeen @RussianA, 4osco! 19?4, /ol.&, p.19(. '=. ,... Bubno and others, The All(;nion Communist arty "<olshevi,s' @RussianA, 4osco!* Lenin"rad 19C1, p.11C. '1. ravda, 1$ 4arch 191(. Ruoted b# Trots%#, 6istory of the Russian Revolution, op. cit., /ol.&, p.C=$. '?. ravda, 8 ,pril 191(. 'C. Bubno , op. cit., p.114. '4. A;C in Resol., 4th. ed., op. cit., /ol.&, p.?$8. '$. /. &. Lenin, ?or,s @RussianA, Crd ed., /ol.SS, p.'$?. ''. i!id., /ol.SS&, p.$?'. '(. J. Reed, Ten 8ays that Shoo, the ?orld, London 19C?, pp.??C*??4. '8. i!id. '9. L. Trots%#, Stalin, London 194(, pp.C41*C4?. (=. Bubno , op. cit., p.$11. (1. i!id., p.$1?. (?. /.&. Lenin, ?or,s @RussianA, ?nd ed., /ol.SS/&, p.?C?. (C. A;C in Resol., 4th ed., /ol.&, pp.C(?, $4CB /ol.&&, p.?1?. (4. i!id., 'th ed., /ol.&&, p.$9?. ($. /.&. Lenin, ?or,s @RussianA, op. cit., /ol.SSS, p.414. ('. Social and National Composition of the All(;nion Communist arty I<olshevi,sJ @RussianA, 4osco!*Lenin"rad 19?8, p.41. ((. To!ster, op. cit., p.C?8. (8. ..7. +arper and R. Thompson, The 5overnment of the Soviet ;nion, ?nd ed., 7e! Hor% 1949, p.8=. (9. artiinaia >hi9n @2r"an of the Central Committee of the Part#A, 4osco!, 7o.?=, 2ctober 194(, p.8C. 8=. ravda, ?? ,pril 194?. 81. Bubno , op. cit., p.'?'. 8?. ;SSR1 The :and of Socialism @RussianA, 4osco! 19C', p.94. 8C. Bubno , op. cit., p.'?4. 84. J. /oroshilo , Articles and Speeches #$)/(#$*0 @RussianA, 4osco! 19C9, p.94. 8$. The :and of Socialism Today and Tomorro+ , op. cit., p.148. 8'. ravda, ?C Jul# 194=. 8(. 4alen%o 5s Report, ravda, 14 4arch 19C9. 88. Bubno , op. cit., p.'1?. 89. i!id., p.'?=. 9=. A;C in Resol., 4th ed., /ol.&, p.C1$. 91. L. Trots%#, Stalin, op. cit., p.484. 9?. >hite, op. cit. p.C8(. 9C. <olshevi,, 7o.$, 4arch 19C(. 94. The :and of Socialism Today and Tomorro+, op. cit., pp.19$*19'. 9$. /.&. Lenin, ?or,s @RussianA, op. cit., /ol.SS/, p.44?. 9'. J./. .talin, ?or,s @RussianA, op. cit. /ol.S, p.9$. 9(. Constitution1 <asic :a+1 of the Russian Socialist 4ederated Soviet Repu!lic , 4osco! 1919, ,rticle 9, pp.4*$. 98. P.;. Hudin, The 2ost Im#ortant Source of the Develo#ment of Soviet Society , .n Soviet Socialist Society @RussianA, 4osco! 1948, p.??. 99. i!id.1. 1==. Ts.,. .tepanian, The Conditions and the Paths of Transition from Socialism to Communism , .n Soviet Socialist Society, i!id., p.$?'.

Chapter 3: The economy of a workers state

&3

The transformation of capitalist relations of production into socialist relations of production The division of la!our and the division into classes ?or,ers and technicians :a!our discipline The +or,ers and the means of production The relations of distri!ution in the transition period easants and +or,ers In conclusion Before considerin" the fundamental features of the econom# of a !or%ers5 state, it is necessar# to mention one er# important factor. 4arx and 1n"els expected the re olution to be"in in the de eloped countries. The# thus assumed that the ne! societ# from its inception !ould be materiall# and culturall# more de eloped than the most ad anced capitalist countries. 1 er# pro"nosis, ho!e er, is conditional. +istor# did not unfold exactl# as 4arx and 1n"els had expected. &t !as in Russia, one of the most bac%!ard of capitalist countries, that the re olution first bro%e out and the !or%ers too% po!er, !hile the re olutions !hich follo!ed in the more de eloped countries failed.

The transformation of ca"italist relations of "roduction into socialist relations of "roduction

There are t!o sorts of producti e forces6 the means of production and labour po!er. The de elopment of these producti e forces under capitalism ) the centralisation of capital on the one hand and the socialisation of the labour process on the other ) creates the material conditions necessar# for socialism. 2f all the relations of production !hich pre ail under capitalism ) relations bet!een capitalists and capitalists, bet!een capitalists and !or%ers, bet!een the !or%ers themsel es, bet!een technicians and !or%ers, technicians and capitalists, etc. ) onl# one section is carried o er into the socialist societ#, namel# the relations obtainin" bet!een the !or%ers in the process of productionB the !or%ers united throu"h social production become the basis for ne! relations of production. .ome elements in the relations of production existin" under capitalism are abolished alto"ether b# socialism throu"h the abolition of the capitalists, !hile others, such as the Fne! middle classG @technicians, accountants, etc.A !ill be fitted into a ne! context. This Fne! middle classG constitutes part of the producti e forces, and as such is a necessar# element of production. +o!e er, its position in the hierarch# of capitalist societ# is a transitor# one, as transitor# as capitalism. .ocialist !ill do a!a# entirel# !ith this hierarchical position in the process of production abo e that of the proletariat. , ne! relationship !ill be created bet!een the different elements necessar# for the socialist mode of production, bet!een mental and manual labour. The ne! relationship @to be dealt !ith more full# later onA be"ins to ta%e shape !ith the transition period. The !or%in" class, !hich constitutes part of the producti e forces and a part of the capitalist relations of production at one and the same time, becomes the &asis for the ne! relations of production and the point of departure for the de elopment of the producti e forces on the foundation of these relations. &n the !ords of 4arx,

&4

Af all the instruments of "roduction! the greatest "o er is the revolutionar( class itself$ The organisation of the revolutionar( elements as a class "re1su""oses the e'istence of the "roductive forces hich could be engendered in the bosom of the old societ($ 013

The division of labour and the division into classes

1n"els !rites6
In ever( societ( in hich "roduction has develo"ed s"ontaneousl( C and our "resent societ( is of this t("e C it is not the "roducers ho control the means of "roduction! but the means of "roduction hich control the "roducers$ In such a societ( each ne lever of "roduction is necessaril( transformed into a ne means for the sub)ection of the "roducers to the means of "roduction$ This is most of all true of that lever of "roduction hich! "rior to the introduction of large1scale industr(! as b( far the most "o erful C the division of labour$ 023

The di ision of labour, expressed in the separation of manual from mental labour, is of an historicall# transitor# characterB it has its roots in the separation of the !or%ers from the means of production, and in the resultant anta"onism of these t!o elements to each other. &n the !ords of 4arx6
Intelligence in "roduction e'"ands in one direction because it vanishes in man( others$ :hat is lost b( the detail labourers! is concentrated in the ca"ital that em"lo(s them$ It is a result of the division of labour in manufactures! that the labourer is brought face to face ith the intellectual "otencies of the material "rocess of "roduction! as the "ro"ert( of another! and as a ruling "o er$ This se"aration begins in sim"le co1o"eration! here the ca"italist re"resents to the single orkman! the oneness and the ill of the associated labour$ It is develo"ed in manufacture hich cuts do n the labourer into a detail labourer$ It is com"leted in modern industr(! hich makes science a "roductive force distinct from labour and "resses it into the service of ca"ital$ 033

The complete ictor# of socialism means the complete abolition of the separation of mental and manual labour. Clearl# it !ould be impossible to abolish this separation immediatel# after the socialist re olution, but $orkers control over #roduction $ill &ecome an immediate &ridge &et$een mental and manual la&our' and the #oint of de#arture for their future synthesis' the total a&olition of classes9 +ere !e come to a problem !hich is fundamental from the standpoint of the transformation of the relations of production, of the brid"e bet!een mental and manual labour.

:orkers and technicians

Technicians constitute a necessar# element in the process of production, an important part of the producti e forces of societ#, !hether capitalist or communist. ,t the same time, as !e ha e alread# said, under capitalism the# form a la#er in the hierarch# of production. The# come into bein" as part and parcel of this hierarch#. Their monopolist position as re"ards the Fmental process of productionG @as Bu%harin terms itA is the result of the separation of the !or%ers from the means of production on the one hand, and the socialisation of labour on the other. .ocialist !ill abolish this hierarch#. &n the transition period it !ill continue to exist in one sense, but in another, be abolished. &nsofar as mental labour remains the pri ile"e of the fe!, the hierarchical relations !ill continue to exist in the factories, rail!a#s, etc., e en after the proletarian re olution. But seeing that the #lace of the ca#italist in the hierarchy $ill &e taken &y the $orkers state' i9e9' &y the $orkers as a collective' the technicians &eing su&ordinated to the $orkers' the mental hierarchy in this sense $ill &e a&olished9 Workers control over technicians means the su&ordination of ca#italist elements to socialist ones9 The more efficient $orkers control' the higher the material and cultural level of the masses' the more $ill the mono#olist #osition mental $orkers &y undermined' till it is com#letely a&olished and a full synthesis of mental and manual la&our achieved9 Because of the double role of technicians in their relation to !or%ers in the process of production, the founders of 4arxism pointed out that the subordination of the technicians to the interests of societ# as a !hole !ill be one of the "reatest difficulties experienced b# the ne! societ#. Thus 1n"els !rote6 F&f ... a !ar brin"s us to po!er prematurel#, the technicians !ill be our chief enemiesB the# &%

!ill decei e and betra# us !here er the# can and !e shall ha e to use terror a"ainst them but shall "et cheated all the same.G D4E

9abour disci"line

1 er# form of social production needs the co*ordination of the different people participatin" in itB in other !ords, e er# form of social production needs discipline. <nder capitalism this discipline confronts the !or%er as an external coerci e po!er, as the po!er !hich capital has o er him. <nder socialism discipline !ill be the result of consciousness, it !ill become the habit of a free people. &n the transition period it !ill be the outcome of the unit# of the t!o elements ) consciousness and coercion. The state institutions !ill be the or"anisation of the masses as a conscious factor. Collecti e o!nership of the means of production b# the !or%ers, i.e., the o!nership of the !or%ers5 state of the means of production, !ill be the basis for the conscious element in labour discipline. ,t the same time the !or%in" class as a collecti e, throu"h its institutions ) so iets, trade unions, etc. ) !ill appear as a coerci e po!er as re"ards the disciplinin" of the indi idual !or%ers in production. &ndi idualistic consumption, the Fbour"eois ri"htG as re"ards distribution, !ill ser e as a method of coerci e discipline. The technicians, super isors, etc., ha e a special place in labour discipline. <nder capitalism, the super isor is the transmission belt throu"h !hich capitalist coercion of the !or%er is exercised. <nder communism a super isor !ill not fulfil an# coerci e function. +is relations !ith the !or%ers !ill be analo"ous to those bet!een a conductor and his orchestra, as labour discipline !ill be based on consciousness and habit. &n the transition period, !hereas the !or%ers, as re"ards themsel es, !ill be both a disciplinin" and a disciplined factor, a subKect and an obKect, the technicians !ill ser e in realit# onl# as a transmission belt, this time of the !or%ers5 state, e en thou"h the# remain formall# discipliners of the !or%ers.

The orkers and the means of "roduction

The Communist Manifesto sa#s6
In bourgeois societ(! living labour is but a means to increase accumulated labour$ In communist societ(! accumulated labour is but a means to iden! to enrich! to "romote the e'istence of the labourer$ In bourgeois societ(! therefore! the "ast dominates the "resentE in communist societ(! the "resent dominates the "ast$ In bourgeois societ(! ca"ital is inde"endent and has individualit($ 0%3

&n communist societ# accumulation !ill be conditioned b# the needs of consumption of the people. &n capitalist societ# accumulation determines the extent of emplo#ment and the rate of !a"es ) i.e. the rate of consumption of the !or%in" people. 1 en as re"ards the capitalist himself the factor that ma%es him a capitalist is not consumption but accumulation. ,s 4arx said6
Accumulation for accumulation4s sake! "roduction for "roduction4s sakeG b( this formula classical econom( e'"ressed the historical mission of the bourgeoisie! and did not for a single instant deceive itself over the birth1throes of ealth$ 0&3

Because the !or%er is dominated b# the product of his labour, the process of capitalist accumulation determines, limits, and undermines consumption. Because the labourer !ill dominate his product, communist consumption !ill determine the accumulation of means of production. &n e er# societ#, !hate er form the relations of production ta%e, rationalisation of production "enerall# in ol es a more round*about !a# of production, i.e., an increase in the portion of the total social labour de oted to the production of means of production. This means an increase in the rate of FaccumulationG relati el# to rate of consumption. <nder communism, this increase in the rate of Oaccumulation5 as a"ainst the rate of consumption !ould at the same time mean a lar"e absolute increase in the consumption of the !or%ers. <nder capitalism, ho!e er, because of the anta"onistic !a# of distribution, the rate of surplus alue increases, and thus also the rate of accumulation, !hile the rate of consumption of the masses is subordinated to them.

&&

,ccumulation for accumulation5s sa%e under capitalism is the result of t!o factors6 one, the separation of !or%ers from the means of production, the other, the existence of competition bet!een the capitalists, !hether indi idual, monopolistic or state capitalists. .ocialism abolishes both these aspects of the relations of production. >or%ers5 control o er production and the abolition of national boundaries ) these are the t!o conditions for the full subordination of accumulation to consumption. <nder such conditions societ# !ill accumulate in order to consume. The subordination of accumulation to consumption, b# raisin" the material and cultural conditions of the masses !ill at the same time undermine the monopol# of the technicians o er the Fmental means of productionG, and thus stren"then the !or%ers5 control o er production.

The relations of distribution in the transition "eriod

The most exact and concise anal#sis of this :uestion !as "i en b# 4arx in his Criti7ue of the 5otha ro-ramme6
:hat e have to deal ith here is a communist societ(! not as it has developed on its o n foundation! but! on the contrar(! as it emerges from ca"italist societ(E hich is thus in ever( res"ect! economicall(! morall( and intellectuall(! still stam"ed ith the birth1marks of the old societ( from hose omb it emerges$ Accordingl( the individual "roducer receives back from societ( C after the deductions have been made 0deductions in the interests of societ( as a hole3 C e'actl( hat he gives to it$ :hat he has given to it is his individual amount of labour$ For e'am"le! the social orking da( consists of the sum of the individual labour hoursE the individual labour time of the individual "roducer is the "art of the social orking da( contributed b( him! his share in it$ ?e receives a certificate from societ( that he has furnished such and such an amount of labour *after deducting his labour for the common fund- and ith this certificate! he dra s from the social stock of means of consum"tion as much as costs the same amount of labour$ The same amount of labour hich he has given to societ( in one form! he receives back in another$ ?ere obviousl( the same "rinci"le "revails as that hich regulates the e'change of commodities! as far as this is e'change of e;ual values$ 8ontent and form are changed! because under the altered circumstances no one can give an(thing e'ce"t his labour! and because! on the other hand! nothing can "ass to the o nershi" of individuals e'ce"t individual means of consum"tion$ .ut! as far as the distribution of the latter among the individual "roducers is concerned! the same "rinci"le "revails as in the e'change of commodit(1e;uivalents! so much labour in one form is e'changed for an e;ual amount of labour in another form$ ?ence! e$ual right here is still in "rinci"le C bourgeois right! although "rinci"le and "ractice are no longer in conflict! hile the e'change of e;uivalents in commodit( e'change onl( e'ists on the average and not in the individual case$ In s"ite of this advance! this e$ual right is still constantl( stigmatised b( a bourgeois limitation$ The right of the "roducers is proportional to the labour the( su""l(E the e;ualit( consists in the fact that measurement is made ith an e$ual standard! labour$ .ut one man is su"erior to another "h(sicall(! or mentall(! and su""lies more labour in the same time! or can labour for a longer timeE and labour! to serve as a measure! must be defined b( its duration or intensit(! other ise it ceases to be a standard of measurement$ This e$ual right is an une;ual right for une;ual labour$ It recognises no class differences! because ever(one is onl( a orker like ever(one elseE but it tacitl( recognises une;ual individual endo ment and thus "roductive ca"acit( as natural "rivileges$ %t is therefore a right of ine$uality in its content like every right. +ight b( its ver( nature can consist onl( in the a""lication of an e;ual standardE but une;ual individuals *and the( ould not be different individuals if the( ere not une;ual- are measurable onl( b( an e;ual standard in so far as the( are brought under an e;ual "oint of vie ! are taken from one definite side onl(! e$g$! in the "resent case! are regarded only as workers! and nothing more seen in them! ever(thing else being ignored$ Further! one orker is married! another is notE one has more children than another and so on and so forth$ Thus ith an e;ual ca"acit( to ork! and hence an e;ual share in the social consum"tion fund! one ill in fact receive more than another! one ill be richer than another! and so on$ To avoid all these defects! right instead of being e;ual ould have to be une;ual$ .ut these defects are inevitable in the first "hase of communist societ( as it is hen it has )ust emerged after "rolonged birth "angs from ca"italist societ($ +ight can never be higher than the economic structure of societ( and its cultural develo"ment thereb( determined$ In a higher "hase of communist societ(! after the enslaving subordination of the individual to the division of labour! and there ith also the antithesis bet een mental and "h(sical labour! has vanished! after labour has become not merel( a means to live but has become itself the "rime necessit( of life! after the "roductive forces have also increased ith the

&<

all1round develo"ment of the individual! and all the s"rings of co1o"erative ealth flo more abundantl( C onl( then then can the narro hori,on of bourgeois right be full( left behind and societ( inscribe on its bannersG from each according to his abilit(! to each according to his needs$ 0<3

1 en thou"h the !or%ers differ from one another in s%ill, in their needs and those of their families, etc., in one thin" the# must be a&solutely e:ual in order that the same amount of labour !hich e er# !or%er "i es to societ# in one form be recei ed bac% in another6 in the o!nership of the means of production. The "ro!th of production, the increase of the amount of means of production belon"in" to societ#, i.e., o!ned e:uall# b# all the !or%ers, !ill pro"ressi el# undermine e:ual ri"hts in the distribution of the products. This in turn !ill pro"ressi el# increase e:ualit# amon" the people. ,nd thus does the bour"eois ri"ht of the transition period include its o!n ne"ation. ;ourgeois right in the transition #eriod' $hile it lays do$n that every $orker $ill receive means of consum#tion from society according to the la&our he gives it' is &ased on social e:uality as regards the means of #roduction' and there&y $ill $ither a$ay of itself9

/easants and orkers

The 2ctober Re olution !as the fusion of t!o re olutions6 that of the socialist !or%in" class, the product of mature capitalism, and that of the peasants, the product of the conflict bet!een risin" capitalism and the old feudal institutions. ,s at all times, the peasants !ere read# enou"h to expropriate the pri ate propert# of the lar"e estate o!ners, but the# !anted their o!n small #rivate properties. >hilst the# !ere prepared to re olt a"ainst feudalism, the# !ere not for that reason in fa our of socialism. ;rench histor# sho!s the same attitude on the part of the ;rench peasantr#. ,fter 1(89, the# al!a#s supported reactionar# "o ernments a"ainst the Fred menaceG of the Parisian !or%in" class. &t !as the# !ho formed the solid bac%in" for Bonaparte, and later, for his nephe!, 7apoleon &&&, for Ca ai"nac and for Thiers. &n >estern 1urope @excludin" .pain and &tal#A, !here lar"e estates ha e been abolished, the illa"es rarel# return a socialist or communist member of parliament. +ence it is not surprisin" that the ictorious alliance of the !or%ers and peasants in the 2ctober re olution !as immediatel# follo!ed b# er# strained relations. 2nce the >hite armies, and !ith them the dan"er of the restoration of landlordism, had been o ercome, er# little remained of the peasants5 lo#alt# to!ard the !or%ers. &t had been one thin" for the peasant to support a "o ernment !hich distributed land, but it !as :uite another matter !hen the same "o ernment be"an to re:uisition his produce to feed the hun"r# populations of the cities. This dualit# in the attitude of the peasants to!ards the .o iet "o ernment !as expressed b# a number of pro incial dele"ates to the T!elfth Con"ress of the Communist Part#, in ,pril 19?C. Their reports sho!ed that the peasants thou"ht of the Bolshe i%s and the Communists as :uite different people6 the former "a e them land, the latter imposed the #o%e of the state upon them. @This misunderstandin" !as facilitated b# the fact that it !as onl# at the .e enth Con"ress of the Part# ) 1918 ) that the name Communist Part# !as adoptedA. .ocialist !or%ers stand for socialised labour, state o!nership and socialist plannin"B the peasantr# for indi idual small*scale production, pri ate propert# and freedom to trade. &t is impossible to a oid permanent conflict bet!een the t!o s#stems of production. F.mall*scale production "i es birth to capitalism and the bour"eoisie, constantl#, dail#, hourl#, elementall# and in ast proportions.G D8E Bac%!ardness of a"ricultural production and its indi idual character are a serious impediment to the de elopment of planned industrial production. To paraphrase ,braham Lincoln6 FHou cannot ha e half #our house based on collecti ist, planned labour, and the other half anarchic and indi idualistic.G The conser atism of the Russian peasantr# !as accentuated after the 2ctober re olution b# the fact that the a"rarian re olution not onl# too% the re olutionar# !ind from the peasantr# b# abolishin" feudal land o!nership, but also b# the fact that it also "reatl# diminished the class differences !ithin the peasantr# itself. The number of proletarian and semi*proletarian a"riculturalists, the natural &8

allies of the urban !or%in" class, !as drasticall# reduced b# the a"rarian re olution, !hich !as more consistentl# democratic and !ent much farther in Russia than it had done in ;rance, in 1(89. &n the ;rench Re olution the lar"e estates !ere "enerall# sold and so fell into the hands of people !ho had mone# ) the urban and rural rich. &n Russia not onl# the lar"e estates, but man# of the rich peasant farms too, !ere sei8ed b# the peasants and the land freel# distributed. &t is an extremel# difficult matter to appl# social methods of production to a"riculture. <nli%e industr#, a"riculture, e en in the most ad anced countries, is based predominantl# on small*scale production units. 4an# industrial plants emplo# hundreds of thousands of !or%ers, but e en in the <nited .tates the small farm is predominant. Thus of all labour en"a"ed in <. a"riculture in 1944, (( per cent !as famil# labour. D9E That the sur i al of the small farm ma# in man# cases be due to the fact that the small farmer, !ho is !or%er, capitalist and land*o!ner combined, is prepared to !or% er# hard indeed ) harder than the industrial !or%er ) renouncin" rent and profit, and e en then "ettin" an income belo! that of the urban !or%er, is irrele ant to our ar"ument. The decisi e factor is that the technical superiorit# of lar"e*scale o er small*scale production is incomparabl# smaller in a"riculture than in industr#. This applies e en more to intensi e mixed farmin" than to "rain production. @,nd, b# the !a#, !e must not for"et that, as the population in the to!n increases and the standard of li in" rises, the importance of cereal production declines relati el# to that of intensi e a"riculture )l the production of mil%, e"etables, fruit, meat and so on.A &n man# countries, lar"e farms came into existence less as the result of small farmers bein" outdone in the course of free competition, than as the result of extra*economic factors ) enclosures, as sur i als of the feudal estates, and the li%e. 1n"els5 ie! of the attitude to be adopted to!ards the peasants after the socialist re olution !as as follo!s6
it is $$$ clear to us that if e ere in "ossession of state "o er! e ould not think of forcefull( e'"ro"riating the small "easant * ith com"ensation or ithout is immaterial- $$$ Aur aim in regard to the small "easant consists first of all in leading his small1scale "roduction and "rivate enter"rise into co1o"erative lines! though not b( force! but b( e'am"le and granting "ublic assistance for that "ur"ose$ And! of course! e shall have am"le means of sho ing the small "easant all the advantages connected ith such a transformation $$$ :e stand decisivel( on the side of the small "easantG e ill do ever(thing "ossible to make his lot more tolerable and facilitate his transition to the co1o"erative! if he decides to take this ste"$ If he cannot as (et bring himself to this decision! e ill give him "lent( of time to "onder over it on his holding$ 01@3

+e belie ed that it !ould ta%e generations for the peasantr# of >estern and Central 1urope to decide oluntaril# to Koin co*operati e farms. 2b iousl#, in a countr# !here the ast maKorit# of the population are en"a"ed in a"riculture and !here industr# is much less able to suppl# the needs of the peasants and thus attract them to collecti e production ) as in Russia, in 191( ) the obstacles to the voluntary enlistment of the peasants in producers5 co*operati es are e en "reater. /oluntar# co* operation demands a hi"hl# mechanised a"riculture, "ood prices for a"ricultural products, paid b# the state, a plentiful suppl# of cheap industrial "oods for the peasantr# and er# lo! taxes for them. &n short, "eneral plent#. .oon after the re olution, it became clear to a number of Bolshe i% theoreticians ) and primaril# to the economist 1 e"ni Preobra8hens%# ) that the surplus produced in industr# !ould not b# itself be enou"h for capital accumulation, especiall# as Ffrom the moment of its ictor# the !or%in" class ... cannot treat its o!n labour po!er, it health and !or%in" conditions in the same !a# as the capitalist did. This is a decisi e impediment to the tempo of socialist accumulation, as impediment !hich capitalist industr# did not %no! in the first period of its de elopment.G D11E &n opposition to Fsocialist accumulationG @defined as an addition to the functionin" means of production as a result of the surplus product produced in the socialist econom# itselfA Preobra8hens%# postulated the Vprimiti e socialist accumulationG D,E, !hich he defined as Fthe accumulation in the hands of the state of material resources obtained chiefl# from sources l#in" outside the state economic s#stemG. FThis accumulation !ill, necessaril#, in a bac%!ard a"rarian countr#, pla# a colossal role ... Primiti e

&9

accumulation !ill predominate durin" the period of industrialisation ... >e must, therefore, term this !hole sta"e as the period of primiti e or preparator# socialist accumulation.G D1CE This Fsource l#in" outside the state economic s#stemG !as a"riculture. Just as in the mercantilist period in >estern 1urope, earl# merchant*capitalists amassed !ealth b# colonial exploitation, so the socialist industr# !ould dra! on internal FcoloniesG @to use a term Preobra8hens%# ehementl# opposedA ) small indi idualistic a"riculture. Preobra8hens%# did not ad ocate follo!in" the mercantilist merchants in the use of iolence a"ainst the peasants nor raisin" an# class ) in this case the !or%in" class ) to the position of an exploitin" class. +e propounded measures !hich !ere far milder than those used b# the mercantilist bour"eoisie. +e proposed the partial suppression of the la! of alue b# chan"in" the terms of exchan"e bet!een industr# and a"riculture in fa our of the former and a"ainst the latter, so that a unit of labour in state industr# !ould be exchan"ed for more than a unit of labour in a"riculture. +e assumed that these terms of exchan"e !ould soon lead to such a :uic% rise in the "eneral le el of production in societ#, that not onl# !ould the income of societ# as a !hole rise, but also the income, in absolute terms, of the peasantr#. ,ctuall# the implementation of Preobra8hens%#5s Fsocialist primiti e accumulationG !ould lo"icall# ha e led to a er# different state of affairs from that !hich he isualised. ,n# attempt to Fs:uee8eG the peasants !ould be li%el# to be met b# a deliberate reduction in production, so that if the Fterms of tradeG bet!een a"riculture and industr# !ere in fa our of the latter, the amount of trade !ould fall. There !ould be onl# one !a# to deal !ith such a Fstri%eG, and that !ould be to use iolence a"ainst the peasants, to expropriate them, and to concentrate them on such lar"e farms that it !ould be possible for the state to control their !or% and output. &f the state used these methods, it !ould also be faced !ith serious opposition from the !or%ers, man# of !hom, in a bac%!ard countr# such as is under construction, bein" ne!l# recruited to industr#, !ould, naturall#, still ha e close famil# ties !ith the illa"es. 4oreo er, if the state, imposin" a Fprimiti e socialist accumulationG, resorted to oppression, !hat !ould there be to stop it from doin" the same as re"ards Fsocialist accumulationG proper, as re"ards the extortion of surplus alue from the !or%ers in state industr# itselfI 2ne solution to the conflict bet!een state industr# and indi idualist a"riculture in a bac%!ard countr# !ould ha e been to ma%e the rate of de elopment of industr# depend upon the rate at !hich a"ricultural surpluses increased. ,s a result of the a"rarian re olution there !as a "reat decline in the surpluses of a"riculture comin" on to the mar%et, because the lar"e lando!ners and the %ula%s had been the main contributors of those surpluses. The distribution of the land, b# increasin" the share of the middle peasant, !ho !or%ed mainl# for subsistence, reduced the sources of mar%etable a"ricultural produce. Lar"er surpluses could certainl# ha e been obtained b# increasin" the proportion of land held b# the rich peasants, termed in Russia kulaks. But to ma%e the de elopment of state industr# dependent upon that of %ula% a"riculture it !ould ha e been necessar# to ha e held the tempo of industrial de elopment do!n to a snail5s pace, and thus to ha e !ea%ened the industrial !or%in" class in relation to the %ula%s. &t !ould ine itabl# ha e led to a ictor# of pri ate capitalism throu"hout the econom#. ,lternati el#, the conflict bet!een industr# and a"riculture mi"ht ha e been resol ed b# rapid industrialisation based on Fprimiti e accumulationG ) b# expropriatin" the peasants and forcin" them into lar"e mechanised farms, thus releasin" labour po!er for industr# and ma%in" a"ricultural surpluses a ailable for the urban population. .uch a method of Fprimiti e accumulationG must also, ultimatel#, lead to the subordination of the industrial !or%ers to the needs of capital accumulation. &t is the path of the submersion of indi idual a"ricultural production in a state capitalist econom#. &n both cases it is ridiculous to expect socialist democrac# to flourish. 2n the contrar#, in the first case, the state must necessaril# come under increasin" pressure from the %ula%s and therefore must become more and more di orced from the !or%ers. &n the second case, the state must become omnipotent, and, it follo!s, its officials !ill become autocratic in their relations !ith both !or%ers and peasants. <@

@These t!o methods of dealin" !ith the problem !ere actuall# tried out, the first durin" the period of the F7e! 1conomic Polic#G @71PA ) 19?1*?8 ) and the second !ith the ;i e Hear Plans.A

In conclusion

The econom# of a !or%ers5 state and a capitalist econom# ha e man# common characteristics. The !or%ers5 state ) a transition sta"e bet!een capitalism and communism ) ine itabl# includes some of the features of the societ# from !hose ruins it rises, and some of the nuclei of the future societ#. These anta"onistic elements are, ho!e er, bound to"ether in the transition period, the former bein" subordinated to the latter, the past to the future. Common to both a !or%ers5 state and capitalism is the di ision of labour, primaril# the di ision bet!een mental and manual labour. The distin"uishin" feature is the existence or non*existence of !or%ers5 control o er production. >or%ers5 control forms the brid"e, albeit a narro! brid"e, to the abolition of the separation of manual and mental labour, !hich !ill be completel# realised !ith the establishment of communist societ#. Common to both a !or%ers5 state and capitalism is the fact that the technicians form a hierarch# abo e the !or%ers @althou"h in a !or%ers5 state it is not in essence a hierarch#A. The distin"uishin" feature lies in the fact that in a !or%ers5 state the technicians are not subordinated to capital, but to the !ill of the !or%ers5 state, to the collecti e of producers. This is the point of departure to the abolition of an# social hierarch# in production. 1lements of coercion in labour discipline !ill exist in a !or%ers5 state, as the# do in capitalism. But in a !or%ers5 state, as opposed to !hat obtains under capitalism, the# !ill not be the onl# elements, and the# !ill be more and more subordinated to elements of consciousness until such time as social solidarit#, harmonious relations bet!een people and education !ill render coercion in the process of production completel# superfluous. &n a !or%ers5 state as !ell as in the capitalist commodit# econom#, e:ui alents are exchan"ed, a product containin" a certain :uantit# of sociall# necessar# labour is exchan"ed for another product containin" an e:ui alent amount. But in a !or%ers5 state this result is achie ed firstl# throu"h the conscious direction of the econom# and not throu"h the action of blind forces, and secondl# ) and this is of fundamental importance ) the exchan"e of e:ui alents is based on the e:ualit# of ri"hts of all direct producers as re"ards the o!nership of the means of production. Bour"eois ri"ht under the bour"eoisie means exploitationB the bour"eois ri"ht of distribution in a !or%ers5 state Ftacitl# reco"nises une:ual indi idual endo!ment and this producti e capacit# as natural pri ile"esG, but at the same time it declared the e:ualit# of producers !ith re"ard to the means of production. The prere:uisites for the bour"eois ri"ht of distribution in a !or%ers5 state are the absence of an# exploitation !hatsoe er, and the de elopment to!ards the complete abolition of all economic ine:ualit#, includin" that resultin" from natural indi idual endo!ment.

Footnotes

,. The first to coin this term seems to ha e been the Bolshe i% economist /.4. .mirno . D1?E

References

1. J. 4arx, The overty of hilosophy, London n.d., p.14'. ?. ;. 1n"els, 6err 2u-en 8Khrin-s Revolution in Science "Anti(8Khrin-' , London n.d., p.C?=. C. J. 4arx, Capital, /ol.&, pp.C9'*C9(. 4. J. 4arx and ;. 1n"els, Selected Correspondence, London 194?, p.49C. $. J. 4arx, Selected ?or,s, op. cit. /ol.&, p.'$?. '. J. 4arx, Capital, op. cit., /ol.&, p.'$?. (. J. 4arx, Selected ?or,s, op. cit., /ol.&, pp.$'C*$''. 8. /.&. Lenin, ?or,s @RussianA, 4th. ed. /ol.SSS&, pp.(*8. 9. C. Clar%, The Conditions of 2conomic ro-ress, ?nd ed., London 19$1, p.?'8.

<1

1=. ;. 1n"els, The easant Fuestion in 4rance and 5ermany @RussianA, .t. Petersbur" 19?=, pp.C(, C9. 11. 1.,. Preobra8hens%#, The 4a$ of Primitive Socialist Accumulation , an article published in 19?4 and then included as a chapter in his Ne+ 2conomics @RussianA, 4osco! 19?', /ol.&, Part 1, p.1==. 1?. .ee Trots%#5s .peech to the T!elfth Part# Con"ress, T+elfth Con-ress of the Russian Communist arty I<olshevi,sJ Steno-raphic Report @RussianA, 4osco! 19?C, p.C?1. 1C. Preobra8hens%#, op. cit., pp.$(*$8.

Chapter 4: The material heritage of pre-October society

The material herita-e of the Tsarist period The rule of the +or,in- class +here the material conditions for the a!olition of capitalist relations of production do not exist Socialist relations of production Capitalist function ?hy the 4ive(@ear lan si-nifies the transformation of the !ureaucracy into a rulin- class &n the introduction to The Criti7ue of olitical 2conomy 4arx formulated concisel# the main conclusion of historical materialism. +e !rites6
>o social order disa""ears before all the "roductive forces! for hich there is room in it! have been develo"edE and ne ! higher relations of "roduction never a""ear before the material conditions of their e'istence have matured in the omb of the old societ($

The 4enshe i%s :uoted this sentence in order to pro e that capitalism in Russia !as not #et ripe for the socialist re olution, and that it !as assured a lon" future until it !ould reach such a sta"e. This simple conclusion, ho!e er, ne"lects a !hole series of factors !hich determine, limit or extend the possibilities of de elopment of the producti e forces. >hat determined the de elopment in Tsarist Russia !as, on the one hand, the relation of forces bet!een classes !ithin Russia itself, and, on the other, Russia5s dependence is*W* is !orld capitalism. These t!o factors are dialecticall# %nit to"ether. &f not for the unit# of the !orld, the une en, combined de elopment of the different countries could not be explained6 !h# the class stru""le should ta%e the deepest and most extreme form in such a bac%!ard countr# as Russia, ho! it !as that the Russian proletariat under Tsarism !as more concentrated in "i"antic enterprises e en than the proletariat of the <.,. These phenomena are e idence of the hi"h le el of social production !hich the $orld economy had reached, and the maturit# of the $orld for the substitution of socialist relations of production for capitalist ones. The ;irst >orld >ar !hich accelerated the do!nfall of Tsarism !as no proof of the hi"h le el of producti e forces in each of the belli"erent countries, but it did sho! that the material conditions !ere ripe for socialist re olution on a !orld scale. The series of militar# defeats, in !hich the Russian arm# suffered disastrous losses, sho!ed clearl# the industrial and militar# bac%!ardness of Russia !ithin the ad anced !orld. The fact that 4arxism ) the fruit of the s#nthesis of ;rench socialism, 1n"lish economic theor# and 9erman philosoph# ) !as imported to Russia !hen the !or%ers5 mo ement !as still in its cradle, is e idence of the spiritual unit# of the !orld. 2n the other hand, the fact that opportunism and re isionism struc% much !ea%er roots in the Russian labour mo ement than in the countries of the >est re eals the bac%!ardness of Russia

<2

in a !orld ripe for socialism6 the lo! standard of li in" of the !or%ers, %ept lo! b# the stream of peasant mi"ration into the to!nsB the fact that the Russian bour"eoisie had no o erseas in estments and could this not use part of the resultin" superprofits to bribe a la#er of !or%ers and impro e temporaril# the conditions of the masses as a !hole for a period of time, as !as done in the >estB the concentration of the !or%ers in "i"antic enterprisesB the fact that the countr# !as perched precariousl# on the po!der*barrel of the a"rarian re olution. The fact that the producti e forces de elop !ithin a frame!or% of national and international social relations, and not, as the# !ould ha e it, in a acuum, entirel# in alidated the 4enshe i%s5 dream of the tremendous possibilities of de elopment open to Russian capitalism. 2n the contrar#, the continued existence of Russian capitalism in the concrete national and international relations then extant !ould ha e conser ed the burden of feudalism. &t !ould ha e in ol ed the countr# in !ars !hich ni"ht !ell ha e resulted in transferrin" bac%!ard Russia into a colon# or semi*colon# of the >estern Po!ers. &t !ould ha e meant that the de elopment of the national minorities, !hich made up about half the population of Russia, !ould ha e continued to be hindered. The abo e :uotation from The Criti7ue of olitical 2conomy applies to the !orld s#stem, not to a countr# in isolation. The er# fact that the first proletarian re olution bro%e out in a bac%!ard countr# affirms thisB it is the best !itness to the ripeness of the !orld for the socialist re olution. 2ne of the fundamental causes for the insoluble crisis in the modern !orld, is the fact that, !ith the international di ision of labour, national boundaries ha e become too narro! a frame!or% for the de elopment of producti e forces. ;or a countr# li%e Russia, the existence of national frontiers not onl# places serious obstacles in the !a# of "ettin" material help from the more ad anced industrial countries, but imposes the hea # burden of an armaments race !ith other national states. <ntil Lenin5s death, no one in the Bolshe i% Part# su""ested that Russia could build socialism b# her o!n unaided efforts. Lenin himself repeatedl# emphasised the opposite. FThe Russian re olution,G he !rote, on 4 June 1918, F!as due not to the special merits of the Russian proletariat, but to the course of historic e ents, and this proletariat !as placed temporaril# in the leadin" position b# the !ill of histor# and made for a time the an"uard of the !orld re olution.G D1E F>e al!a#s sta%ed our pla# upon an international re olution and this !as unconditionall# ri"ht ... !e al!a#s emphasised ... the fact that in one country it is im#ossi&le to accom#lish such a $ork as a socialist revolution.G D,E 1 en after Lenin5s death, .talin, !ho later propounded the idea of Fsocialism in one countr#G, said6 FBut to o erthro! the po!er of the bour"eoisie and establish that of the proletariat in a sin"le countr# is still not to assure the complete ictor# of .ocialism. The chief tas%, the or"anisation of .ocialist production, is still to be accomplished. Can !e succeed and secure the definiti e ictor# of .ocialism in one countr# !ithout the combined efforts of the proletarians of se eral ad anced countriesI 4ost certainl# not. The efforts of a sin"le countr# are enou"h to o erthro! the bour"eoisie6 this is !hat the histor# of our re olution pro es. But for the definiti e triumph of .ocialism, the or"anisation of .ocialist production, the efforts of one countr# alone are not enou"h, particularl# of an essentiall# rural countr# li%e RussiaB the efforts of the proletarians of se eral ad anced countries are needed.G DBE &t need hardl# be mentioned that Trots%# expressed the same internationalist idea on man# occasions. The Russian re olution can be explained b# the la! of une en de elopment, !hich is one facet of the unit# of !orld de elopment. But this la! allo!s t!o possibilities of de elopment6 firstl#, that the Russian re olution, bein" e idence of the maturit# of the !orld for socialism, !ould be the prelude to a series of ne! re olutions !hich !ould brea% out immediatel# or after a certain inter alB secondl# ) and this is a reformulation of the first possibilit# ) because of the une enness, that this Fcertain inter alG !ould len"then into #ears, and lea e the Russian re olution isolated in a hostile capitalist !orld. Before 2ctober 191(, it !as impossible to determine !hich path humanit# !ould follo! b# basin" oneself simpl# of "eneral considerations relatin" to the uni ersalit# of !orld histor#B the contradictions contained in this uni ersalit#, i.e. the la! of une en de elopment, must also be <3

considered. +uman practice alone can decide !hich !a# histor# !ill "o. 7o!, !e ma# sa# in retrospect !hat human practice, i8., the support the social democratic parties "a e capitalism in >estern and Central 1urope, caused the failure of the re olutions that follo!ed in the !a%e of the 2ctober re olution. &n order that the producti e forces ma# de elop, the social order that existed under the Tsar had to disappear. But !hat social order !as to ta%e its placeI .eein" that the destruction of the social order of Tsarist Russia !as an expression of the maturit# of the !orld for socialism, there is no doubt that, had the re olution spread, the social order that !ould ha e ta%en its place !ould ha e been the first sta"e of communist societ#. But as the 2ctober re olution did not spread, !hat social order could appear in RussiaI The first step to ta%e in ans!erin" this :uestion is to anal#se the material herita"e handed do!n from the social order that existed before 2ctober.
Ben do not build themselves a ne orld ith 5earthl( goods7 as vulgar su"erstition believes! but ith the historical achievements of the old orld hich is about to go under$ In the course of evolution the( must begin entirel( b( themselves to "roduce the material conditions for a ne societ(! and no effort of the human mind or ill can release them from this fate$ 023

The material heritage of the Tsarist "eriod

&n 191C, 8= per cent of the population of Russia earned their li elihood from a"ricultureB onl# 1= per cent from industr#, minin" and transport. These fi"ures alone are sufficient to sho! up the bac%!ardness of Russia. 2f all the countries of 1urope onl# Hu"osla ia, Tur%e#, Rumania and Bul"aria sho! a similar occupational distribution of the population. ,s far bac% as the middle of the nineteenth centur# the countries of >estern and Central 1urope and the <., sho!ed a much hi"her percenta"e of their population occupied in industr#, minin" and transport than did Russia in 191C. Thus in Britain in 1841 the percenta"e of population occupied in a"riculture, fishin" and forestr# !as ??.(, that occupied in manufacture, buildin", minin" and transport 4(.C. ;rance, !hich la""ed a lon" !a# behind Britain, had, in 18C(, 'C per cent occupied in a"ricultureB in 18'' it had 4C per cent occupied in a"riculture and C8 per cent in industr#. 9erman# in 18== had nearl# t!o*thirds of the population occupied in a"ricultureB in 18$? it had 44.4 percent occupied in a"riculture and 4=.9 per cent occupied in industr# and handicrafts. The <.,, ori"inall# a countr# of a"ricultural settlement in the main, had (?.C per cent occupied in a"riculture, forestr# and fishin", and 1?.C per cent occupied in manufacture, buildin" and minin" in 1(8=B in 18$= it had '4.8 per cent and 1(.8 percent respecti el#. 7ational income statistics sho! clearl# ho! poor !as the material herita"e !hich the Bolshe i%s ac:uired on ta%in" po!erB not onl# in comparison !ith the contemporar# de eloped capitalist countries, but e en !ith these same countries in the infanc# of their capitalist de elopment. The most complete and accurate ) in so far as accurac# is possible in such a ast and complex calculation of the national income of different countries at different periods, !as underta%en b# Colin Clar% in his boo% The Conditions of 2conomic ro-ress @London, 194=A. Clar% estimates the real income per occupied person in Russia in 191C to be C=' &nternational <nits @&<sA. DCE ,s a"ainst this the real income per occupied person in some de eloped countries !as DCE6 Thus the a era"e income per occupied person in Russia in 191C !as onl# 8=.9 per cent of the correspondin" fi"ure for Britain in +,00 ) nearl# a hundred #ears before the &ndustrial Re olution.

The rule of the orking class here the material conditions for the abolition of ca"italist relations of "roduction do not e'ist

4arx and 1n"els deal more than once !ith the :uestion of !hat !ould happen if the !or%in" class too% po!er before the historical prere:uisites for the substitution of capitalist relations of production <4

b# socialist ones !ere present. The# concluded that in such an e ent the !or%in" class !ould lose po!er to the bour"eoisie. The !or%in" class !ould be in po!er onl# temporaril# and !ould bla8e a path for the de elopin" capitalism. Thus, for instance, 4arx !rote in 184(6
If it is true that the bourgeoisie "oliticall(! that is! through state "o er! 5maintains the in)ustice of "ro"ert( relations7 0?ein,en4s e'"ression3! then it is not less true that it does not create them$ The 5in)ustice of "ro"ert( relations7 is conditioned b( the modern division of labour! the modern form of e'change! com"etition! concentration! etc$! and does not o e its origin in an( a( to the "olitical domination of the bourgeois classE $$$ the "olitical domination of the bourgeois class flo s from $$$ the e'isting relations of "roduction$ Therefore! if the proletariat overthrows the political domination of the bourgeoisie its victory will only be temporary& a point in the process of the bourgeois revolution itself& and will serve its cause as it did in '()*. so long as the +movement, of history has not created the material conditions which make it necessary to abolish the bourgeois mode of production and therewith definitely overthrow the political domination of the bourgeoisie. The 5+eign of Terror7 in France therefore had to accom"lish the cleansing of the surface of France from feudal ruins b( its terrible hammer blo s$ The timid! cautious bourgeoisie ould not have manage to com"lete this task in decades$ The blood( acts of the "eo"le hence merel( serves to level the "ath for the bourgeoisie$ 043

1n"els !rote in similar ein.

The orst thing that can befall a leader of an e'treme "art( is to be com"elled to take over a government in an e"och hen the movement is not (et ri"e for the domination of the class hich he re"resents and for the realisation of the measures hich that domination ould im"l( $$$ he necessaril( finds himself in a dilemma$ :hat he can do is in contrast to all his actions as hitherto "ractised! to all his "rinci"les and to the "resent interests of his "art(E hat he ought to do cannot be achieved$ In a ord! he is com"elled to re"resent not his "art( nor his class! but the class for hom conditions are ri"e for domination$ In the interests of the movement itself! he is com"elled to defend the interests of an alien class! and to feed his o n class ith "hrases and "romises! ith the assertion that the interests of that alien class are their o n interests$ :hoever "uts himself in this a k ard "osition is irrevocabl( lost$ 0%3

>hat 4arx and 1n"els sa# about a re olution !hich brin"s the proletariat to po!er before the historical premises for the transition from capitalism to socialism exist, does not appl# directl# to the 2ctober re olution. This is so not onl# because the material historical premises $ere present on an international scale, but also because of the specific conditions obtainin" in Russia. 7ot onl# !as the Russian bour"eoisie o erthro!n politicall#, but it !as also expropriated economicall# a fe! months after 2ctober. The rural bour"eoisie that remained did not succeed in o erthro!in" the proletariat, and its social !ei"ht, especiall# from the time of the ;i e*Hear Plan, !as almost ne"li"ible. The isolation of 2ctober did not ma%e it Fa point in the processG of the de elopment of the Russian bour"eoisie because the Russian bour"eoisie !as annihilated. &f so, !hat relations of production could come after 2ctoberI

Socialist relations of "roduction

The establishment of socialist relations of production demands a much hi"her le el of producti e forces than !as the herita"e of Tsarism. 1n"els5 explanation of the reason for class di ision in societ#, for the di ision into exploiters and exploited, entirel# fitted Russia5s conditions even after (cto&er6
The division of societ( into an e'"loiting and an e'"loited class! a ruling and an o""ressed class! as the necessar( outcome of the lo develo"ment of "roduction hitherto$ So long as the sum of social labour (ielded a "roduct hich onl( slightl( e'ceeded hat as necessar( for the bare e'istence of allE so long! therefore! as all or almost all the time of the great ma-ority of the members of society was absorbed in labour& so long was society necessarily divided into classes. Alongside of this great ma)orit( e'clusivel( absorbed in labour there develo"ed a class! freed from direct "roductive labour! hich managed the general business of societ(G the direction of labour! affairs of state! )ustice! science! art and so forth$ It is therefore the la of the division of labour hich lies at the root of the division into classes$ .ut this does not mean that this division into classes as not established b( violence and robber(! b( dece"tion and fraud! or that the ruling class! once in the saddle! has ever failed to strengthen its domination at the cost of the orking class and to convert its social management into the e'"loitation of the masses$ 0&3

<%

8a"italist function

The historical mission of the bour"eoisie is summed up in Lenin5s t!o postulates6 F&ncrease in the producti e forces of social labour and the socialisation of labour.G 2n a !orld scale this tas% had alread# been fulfilled. &n Russia the re olution "ot rid of the impediments to the de elopment of the producti e forces, put an end to the remnants of feudalism, built up a monopol# of forei"n trade !hich protects the de elopment of the producti e forces of the countr# from the de astatin" pressure of !orld capitalism, and also "a e a tremendous le er to the de elopment of the producti e forces in the form of state o!nership of the means of production. <nder such conditions, all the impediments to the historical mission of capitalism ) the socialisation of labour and concentration of the means of production !hich are necessar# prere:uisites for the establishment of socialism and !hich the bour"eoisie !as not able to pro ide are abolished. Post-(cto&er Russia stood &efore the fulfilment of the historical mission of the &ourgeoisie9 1 en in an ad anced countr# there !ill be certain bour"eois tas%s !hich a ictorious proletarian re olution !ill ha e to accomplish. ;or instance, in certain parts of the <., @mainl# a"ricultureA the de elopment of the producti e forces is impeded under the capitalist s#stem, so that social production and the concentration of the means of production is not #et realised. But because the producti e forces of the <., as a !hole are er# !ell de eloped, these bour"eois tas%s !ill be onl# accessories, subordinate to the !or% of buildin" a socialist societ#. Thus, for instance, the establishment of social production and the concentration of the means of production !here the# do not #et exist, !ill not be achie ed b# the creation of a proletariat on the one hand and capital on the otherB the labourers from the be"innin" !ill not be di orced from the means of production. &n contrast to this, the fulfilment of the bour"eois tas%s !as the central problem in post*2ctober Russia !ith its lo! le el of national income. &n the <nited .tates the addition of ne! means of production necessar# for the socialisation of labour can be accompanied b# a rise in the standard of li in" of the masses, b# a stren"thenin" of the element of con iction in production discipline, b# the fortification of !or%ers5 control, b# the pro"ressi e d!indlin" of the differences in income bet!een manual and mental !or%ers, etc. But can this be achie ed in a bac%!ard countr# under conditions of sie"eI Can labour discipline based mainl# on con iction pre ail !hen the le el of production is er# lo!I Can a :uic% tempo of accumulation, necessitated b# the bac%!ardness of the countr# and the pressure of !orld capitalism, be accomplished !ithout the separation of societ# into the mana"ers of the "eneral business of societ# and the mana"ed, the directors of labour and the directedI Could such a separation be ended before those !ho directed production also directed distribution in their o!n interestsI Can a !or%ers5 re olution in a bac%!ard countr# isolated b# triumphant international capitalism be an#thin" but Oa point in the process5 of the de elopment of capitalism, e en if the capitalist class is abolishedI

:h( the Five12ear /lan signifies the transformation of the bureaucrac( into a ruling class

&n Chapters 1 and ? !e ha e seen that the inau"uration of the ;i e*Hear Plan mar%ed the turnin" point in the de elopment of the relations of distribution, in the relations bet!een accumulation and consumption, bet!een the producti it# of labour and the standard of li in" of the !or%ers, in the control o er production, in the le"al status of the !or%ers, in the institution of forced labour, in the relation of a"riculturalists to the means of production, in the tremendous s!ellin" of the turno er tax, and finall#, in the structure and or"anisation of the state machine. The realit# of industrialisation and collecti isation turned out to be in absolute contradiction to the hopes the masses placed in them, and e en to the illusions held b# the bureaucrac# itself. The# thou"ht the ;i e*Hear Plans !ould ta%e Russia far in the direction of socialism. +o!e er, this is not the first time in histor# that the results of human actions are in outri"ht contradiction to the !ishes and hopes of the actors themsel es. +o! can !e ans!er the :uestion6 >h# !as the ;irst ;i e*Hear Plan such a turnin" pointI <&

&t !as no!, for the first time, that the bureaucrac# sou"ht to create a proletariat and to accumulate capital rapidl#. &n other !ords, it !as no! that the bureaucrac# sou"ht to realise the historical mission of the bour"eoisie as :uic%l# as possible. , :uic% accumulation of capital on the basis of a lo! le el of production, of a small national income per capita, must put a burdensome pressure on the consumption of the masses, on their standard of li in". <nder such conditions, the bureaucrac#, transformed into a personification of capital, for !hom the accumulation of capital is the be*all and end*all here, must "et rid of all remnants of !or%ers5 control, must substitute con iction in the labour process b# coercion, must atomise the !or%in" class, must force all social*political life into a totalitarian mould. &t is ob ious that the bureaucrac#, !hich became necessar# in the process of capital accumulation, and !hich became the oppressor of the !or%ers, !ould not be tard# in ma%in" use of its social supremac# in the relations of production in order to "ain ad anta"es for itself in the relations of distribution. Thus industrialisation and technical re olution in a"riculture @Fcollecti isationGA in a bac%!ard countr# under conditions of sie"e transforms the bureaucrac# from a la#er !hich is under the direct and indirect pressure and control of the proletariat, into a rulin" class, into a mana"er of Fthe "eneral business of societ#6 the direction of labour, affairs of state, Kustice, science, art and so forthG. -ialectical historical de elopment, full of contradictions and surprises, brou"ht it about that the first step the bureaucrac# too% !ith the subKecti e intention of hastenin" the buildin" of Fsocialism in one countr#G became the foundation of the buildin" of state capitalism.

Footnotes

,. ' 7o ember 19?=. Lenin, ?or,s @RussianA Cd ed., /ol.SS/, pp.4(C*4. 4# emphasisB these !ords are struc% out of the fourth edition of Lenin5s ?or,s @RussianA. .ee /ol.SSS&, p.C(=. B. .talin, The Theory and ractice of :eninism , Communist Part# of 9reat Britain, 19?$, pp.4$*'. &n the second Russian edition of this boo%, !hich appeared in -ecember 19?4, the abo e section is omitted, and instead one reads6 F+a in" consolidated its po!er, and ta%in" the lead of the peasantr#, the proletariat of the ictorious countr# can and must build a socialist societ# ... .uch in "eneral are the characteristic features of the Leninist theor# of the proletarian re olution.G @.talin, ?or,s @RussianA /ol./&, pp.1=(*8B also .talin, ro!lems of :eninism, pp.?(*8.A C. Clar% defines the F&nternational <nitG as Fthe amount of "oods and ser ices !hich one dollar !ould purchase in <., o er the a era"e of the period 19?$*C4G. -. ,nnual a era"e.

References

1. /.&. Lenin, ?or,s @RussianA, /ol.SS/&&, p.C8(. ?. J. 4arx, 8ie Moralisierende Ariti, und die Aritische Moral. <eitra- 9ur deutschen Aultur-eschichte. 5e-en Aarl 6ein9en. Aus dem literarischen Nachlass von Marx 2n-els und :assalle, .tutt"art 19=?, /ol.?, p.4$'. C. C. Clar%, The Conditions of 2conomic ro-ress , London 194=, pp.(9, 8C, 91, 98. 4. J. 4arx, 8ie Moralisierende Ariti, und die Aritische Moral , op. cit. 4# emphasis. $. ;. 1n"els, The easant ?ar in 5ermany, London 19?(, pp.1C$*1C'. '. ;. 1n"els, Socialism ;topian and Scientific in 4arx*1n"els, Selected ?or,s, /ol.&, p.18C.

Chapter 5: The common and different features of state capitalism and a workers state
State capitalism L a partial ne-ation of capitalism

<<

State capitalism L a transition to socialism 7one of the 4arxist theoreticians doubted that if the concentration of capital could reach such a sta"e that one capitalist, a collecti e of capitalists or the state, concentrated the total national capital in its hands !hich competition on the !orld mar%et continued, such an econom# could still be a capitalist econom#. ,t the same time, all the 4arxist theoreticians emphasised that lon" before the concentration of capital could reach such a le el, either the anta"onism bet!een the proletariat and the bour"eoisie !ould brin" about a ictorious socialist re olution, or the anta"onisms bet!een the capitalist states !ould dri e them into such a destructi e imperialist !ar, that societ# !ould totall# decline. >hile state capitalism is possible theoretically it is indubitable that indi idual capitalism throu"h e olutionar# de elopment !ill in practice ne er arri e at the concentration of the entire social capital in one hand. Trots%# clearl# explained !h# this !ould not happen.
Theoreticall(! to be sure! it is "ossible to conceive a situation in hich the bourgeoisie as a hole constituted itself a stock com"an( hich! b( means of its state! administers the hole econom($ The economic la s of such a regime ould "resent no m(steries$ A single ca"italist! as is ell kno n! receives in the form of "rofit! not that "art of the sur"lus value hich is directl( created b( the orkers of his o n enter"rise! but a share of combined sur"lus value created throughout the countr( "ro"ortionate to the amount of his o n ca"ital$ Dnder an integral 5state ca"italism7! this la of the e;ual rate of "rofit ould be realised! not b( devious routes C that is! com"etition among different ca"itals C but immediatel( and directl( through state bookkee"ing$ Such a regime never e'isted! ho ever! and! because of "rofound contradictions among the "ro"rietors themselves! never ill e'ist C the more so! since! in its ;ualit( of universal re"ositor( of ca"italist "ro"ert(! the state ould be too tem"ting an ob)ect for social revolution$ 013

The last t!o factors ) the Fcontradictions amon" the proprietors themsel esG and the fact that if it !ere the Funi ersal repositor# of capitalist propert#, the state !ould be too temptin" an obKect for social re olutionG, explain !h# it is most improbable that traditional capitalism !ill de elop "raduall# till it reaches 1== per cent state capitalism. But do these t!o factors exclude the possibilit# that after a rulin" !or%in" class is o erthro!n, not traditional capitalism, but state capitalism, is restoredI The re olutionar# proletariat has alread# concentrated the means of production in the hands of one bod#, and so eliminated the first factor. ,s re"ards the second factor, in an# case an# oppression and exploitation of the !or%ers b# the state ma%es the state a Ftemptin" ... obKect for social re olutionGB the political expropriation of the !or%in" class is thus identical !ith its economic expropriation. The onl# ar"ument that could be "i en a"ainst the possibilit# of the existence of state capitalism is that if the state becomes the repositor# of all capital, the econom# ceases to become capitalistB in other !ords, theoretically state capitalism is impossible. This ar"ument, indeed, has been "i en b# Burnham, -!i"ht 4ac-onald and others. Thus, for instance, Burnham !rites6
The term 5state ca"italism7 seems to be due to a misunderstanding $$$ :hen the state o ns onl( a "art! and a minor "art! of the econom(! ith the rest of the econom( remaining ca"italist "rivate enter"rise! e might correctl( s"eak of Fstate ca"italism4 in connection ith that minor state1o ned "artG since! as e have seen the econom( remains in its balance ca"italist and even the state1o ned "art ma( be directed "rimaril( to the benefit of the ca"italist "art$ .ut the 5ca"italism7 in 5state ca"italism7 is derived not from the state1controlled "art$ :hen the latter disa""ears! or becomes negligible! then the ca"italism has disa""eared$ There is no "arado' in sa(ing that 1@ times 1@L state ca"italism! far from e;ualling 1@@L ca"italism! e;uals @L ca"italism$ The multi"lication is of state! not of capitalism$ Though the mathematics ould be much more com"le'! it ould be nearer an analog( to sa( that! )ust as 1@L state ca"italist econom( e;uals onl( 9@L capitalist econom(! so 1@@L *or even 8@L or <@L- state econom( ould have eliminated ca"italism altogether$ 023

2f course if state capitalism is a contradiction in terms, the name of such a societ# in !hich the competition on a !orld mar%et, commodit# production, !a"e labour, etc., pre ail, !ill be :uite arbitraril# chosen. 2ne ma# call it mana"erial societ#, or bureaucratic collecti ism, arbitraril# determinin" its la!s. Bruno R. tells us that bureaucratic collecti ism leads automaticall# to communism. Burnham tells us that in mana"erial societ# production !ill rise uninterruptedl# @pp.11$*'A, that a capitalist crisis of o erproduction !ill not brea% out @p.114A, that unemplo#ment <8

!ill ne er exist, that mana"erial societ# !ill de elop the bac%!ard countries @pp.1$4*$A, that it !ill become more and more democratic @pp.14$*(A, and because of all this it recei es the enthusiastic support of the masses @p.1'=A. ,s a"ainst this .hachtman tells us that bureaucratic collecti ism is barbarism. &f ,dam .mith came to life toda#, he !ould ha e found "reat difficult# in disco erin" an# similarit# bet!een the econom# of, let us sa#, 7a8i 9erman#, !ith its tremendous monopol# or"anisations, its state re"ulation of ra! material distribution, state re"ulation of the labour mar%et, state purchase of more than half the national product, etc., and the manufacture of the nineteenth centur# based on the emplo#ment of a fe! or at most a fe! score !or%ers, free competition bet!een enterprises, acti e participation of capitalists in or"anisin" production, non*existence of the capitalist crisis of o erproduction, etc. , perusal of the "radual de elopment of capitalism from one state to the next ma%es it easier to see !hat is common to both economies, and that the la!s of both are capitalist. The difference bet!een the Russian econom# and the 7a8i econom# is much smaller than the difference bet!een the 7a8i econom# and the econom# of ,dam .mith5s time. &t is onl# the absence of the "radualness of de elopment throu"h the sta"e of monopol# capitalism, !hich ma%es it difficult to "rasp the similarities and differences bet!een the Russian econom# and traditional monopol# capitalism, and the dissimilarit# of state capitalism and traditional capitalism on the one hand, and a !or%ers5 state on the other. .eein" that state capitalism is the extreme theoretical limit !hich capitalism can reach, it necessaril# is the furthest a!a# from traditional capitalism. &t is the ne"ation of capitalism on the basis of capitalism itself. .imilarl#, seein" that a !or%ers5 state is the lo!est sta"e of the ne! socialist societ#, it must necessaril# ha e man# features in common !ith state capitalism. >hat distin"uishes bet!een them cate"oricall# is the fundamental, the essential difference bet!een the capitalist s#stem and the socialist s#stem. The comparison of state capitalism !ith traditional capitalism on the one hand, and !ith a !or%ers5 state on the other, !ill sho! that state capitalism is a transition sta"e to socialism, this side of the socialist re olution, !hile a !or%ers5 state is a transition sta"e to socialism the other side of the socialist re olution.

State ca"italism C a "artial negation of ca"italism

The re"ulation of economic acti it# b# the state is, in itself, a partial ne"ation of the la! of alue D,E, e en if the state is, as #et, not the repositor# of the means of production. The la! of alue assumes the re"ulation of economic functions in an anarchical !a#. &t determines the exchan"e relations bet!een the different branches of the econom#, and explains ho! relations bet!een people appear, not as direct, cr#stal clear relations, but indirectl#, lost in m#sticism. 7o!, the la! of alue holds absolute s!a# onl# under conditions of free competition, i.e., !hen there is free mo ement of capital, commodities and labour po!er. Therefore, e en the most elementar# forms of monopolistic or"anisation alread# ne"ate the la! of alue to a certain extent. Thus !hen the state re"ulates the allocation of capital and labour po!er, the price of commodities, etc., it is most certainl# a partial ne"ation of capitalism. This is e en more the case !hen the state becomes an important bu#er of products. 2n this :uestion Lenin said6
:hen ca"italists ork for defence! i$e$! for the government treasur(! it is obviousl( no more 5"ure7 ca"italism! but a s"ecial form of national econom($ /ure ca"italism means commodit( "roduction$ 8ommodit( "roduction means ork for an unknown and free market$ .ut the ca"italist 5 orking7 for the defence does not 5 ork7 for the market at all$ ?e fills the order of the government! and in most cases for mone( that had been advanced to him b( the treasur($ 033

>ith the increasin" monopolisation of the econom#, the partial ne"ation of the la! of alue becomes pro"ressi el# more extensi e. Ban%in" capital recei ed a social form lon" before industrial capital. ,s 4arx noted6 FThe ban%in" s#stem ... presents indeed the form of common boo%%eepin" and distribution of means of production on a social scale, but onl# the form.G D4E This is e en more the case !hen the state becomes the main form of in estment for mone# capital. &t reached its extreme !hen the capitalist state ta%es the ban%in" s#stem into its o!n hands. <9

Capitalist pri ate propert# is also partiall# ne"ated b# the monopol# structure. >hereas under the capitalism of free competition, the capitalist !as the absolute o!ner of his o!n pri ate propert#, under monopol# capitalism, and especiall# its most extreme form, state capitalism, the indi idual capitalist no lon"er has absolute o!nership of the means of production. &n share companies, capital becomes Fdirectl# endo!ed !ith the form of social capital ... &t is the abolition of capital as pri ate propert# !ithin the boundaries of capitalist production itself.G D$E This is e en more true !hen the state re"ulates the flo! of capital. &n such a case, pri ate propert# is depri ed of its freedom of contact. Pri ate capital disappears, !hile indi idual appropriation continues. This reaches its extreme !hen the state ta%es the means of production into its o!n hands. The bondholder as an indi idual ceases to ha e an# control !hatsoe er o er his part of the social capital. ;urthermore, state capitalism is a partial ne"ation of labour po!er as a commodit#. ;or labour po!er to appear as a FpureG commodit# in the mar%et, t!o conditions are necessar#6 firstl#, the !or%er must be FfreeG of the means of production, and secondl#, he must be free of an# le"al impediments to the sellin" of his labour po!er. <nder state re"ulation of the labour mar%et, e."., under fascism, the !or%er ceases to be free to sell his labour po!er. &f them the state becomes the actual possessor of the means of production, the choice of emplo#er is entirel# abolished, !hile the choice of place of !or% is much restricted. ,nd if state capitalism is accompanied b# a free8in" of !a"es, compulsor# mobilisation, etc., this freedom is e en more ne"ated. Partial ne"ation of the la! of alue does not, ho!e er, free the econom# from this la!. 2n the contrar#, the econom# as a !hole is subordinated to it e en more. The difference lies onl# in the form in !hich the la! of alue expresses itself. >hen one monopol# increases its rate of profit as a"ainst other industries, it simpl# increases its share in the total surplus alue, or it increases the rate of exploitation of its !or%ers b# compellin" them to produce more surplus alue. >hen one industr# recei es subsidies from the state, and thus sells its commodities belo! its cost of production, a part of the total cost of production is simpl# transferred from one branch to another. >hen the state re"ulates prices, the point of departure is al!a#s costs of production. <nder all these conditions, !hate er their specific form, !a"e labour continues its anta"onism to capital, surplus alue continues to be produced, and continues to be con erted into capital. The total labour time of societ# and the total labour time directed to the production of the necessities of life of the !or%ers as a !hole determine the rate of exploitation, the rate of surplus alue. The total labour time allotted to the production of ne! means of production determines the rate of accumulation. >hile the price of e er# commodit# does not exactl# express its alue @this did not happen, except accidentall#, e en under indi idual capitalismA the di ision of the total product of societ# amon" the different classes, as also its allotment to accumulation and consumption is dependent on the la! of alue. >here the state o!ns all the means of production and the !or%ers are exploited !hile the $orld econom# is as #et disunited an atomised, this dependence recei es its purest, most direct and absolute form.XXPpY

State ca"italism C a transition to socialism

1 er#thin" that centralises the means of production centralises the !or%in" class. .tate capitalist brin"s this concentration to the hi"hest sta"e possible under the capitalist s#stem, state capitalism brin"s the !or%in" class to its "reatest possible concentration. The partial ne"ation of capitalism on the basis of capitalist relations of production, means that the producti e forces !hich de elop in the bosom of the capitalist s#stem so out"ro! it, that the capitalist class is compelled to use FsocialistG measures, and manipulate them in their o!n interests. F&n spite of themsel es, the capitalists are dra""ed, as it !ere, into a ne! social order, a transitional social order from complete free competition to complete socialisation.G D'E The producti e forces are too stron" for capitalism, and FsocialistG elements therefore enter into the econom# @1n"els called this Fthe in adin" socialist societ#GA. ;ut they are su&ordinated to the interests of the #reservation of ca#italism9 .imilarl#, in a !or%ers5 state, because the producti e 8@

forces are insufficientl# de eloped for socialism, the !or%in" class is compelled to use capitalist measures @e."., the capitalist la! applied to distributionA in the interests of buildin" socialism. .tate capitalism and a !or%ers5 state are t!o sta"es in the transition period from capitalism to socialism. .tate capitalism is the extreme opposite of socialism ) the# are s#mmetricall# opposed, and the# are dialecticall# united !ith one another. >hereas under state capitalism !a"e labour is partiall# ne"ated in that the !or%er is not free to choose his emplo#er, under the dictatorship of the proletariat, !a"e labour is partiall# ne"ated in that the !or%ers as a collecti e cease to be FfreeG of the means of production. ,t the same time, in a !or%ers5 state, !a"e labour ceases to be a commodit#. The FsaleG of labour po!er is different from the sale of labour po!er under capitalism, because under a !or%ers5 state the !or%ers as indi iduals do not sell their labour po!er but put it at their o!n ser ice in their role of a collecti e. Labour po!er ceases reall# to be a commodit#, as here the exchan"e ta%es place bet!een the !or%ers as indi iduals, and these same !or%ers as a collecti e, and not bet!een t!o entities !hich are totall# independent of one another except in their exchan"e. >hereas state capitalism brin"s about the fusion of the unions !ith the state until the# are ultimatel# annulled as unions, the !or%ers5 state raises the influence of the trade unions to the maximum. >hereas state capitalism si"nifies historicall# the totalitarianism of the state, a !or%ers5 state brin"s the hi"hest de"ree of democrac# societ# has e er %no!n. .tate capitalism si"nifies the extreme subKe"ation of the !or%in" class b# a capitalist class in control of the means of production. , !or%ers5 state means the suppression of the capitalists b# a !or%in" class in control of the means of production. Lenin clearl# formulated the relation bet!een state capitalism and socialism in these !ords6
the measure called 5 ar socialism7 b( the Kerman /lekhanovs *Scheidemann! 9ensch! and others- is in realit( ar1time state mono"ol( ca"italism$ Ar to s"eak more "lainl( and clearl(! it is militar( "enal labour for the orkers! militar( defence of the ca"italists4 "rofits$ .ut tr( and substitute for the #unker1ca"italist! for the lando ner1ca"italist state! a revolutionary democratic state! i$e$! such as ould destro( all "rivileges in a revolutionar( a( ithout being afraid of introducing in a revolutionar( a( the fullest "ossible democrac( C and (ou shall see that! in a trul( revolutionar( democratic state! state mono"ol( ca"italism inevitabl( and unavoidabl( means "rogress to ards Socialism$ $$$ For Socialism is nothing but the ne't ste" for ard from state ca"italist mono"ol($ In other ords! Socialism is nothing but state ca"italist mono"ol( made to benefit the whole peopleE b( this token it ceases to be ca"italist mono"ol($ 0<3

Bu%harin, !ho dealt extensi el# !ith the :uestion of state capitalism, formulated the relation bet!een state capitalism and the dictatorship of the proletariat er# clearl#6
In the s(stem of state ca"italism the economic sub)ect is the capitalist state! the collective ca"italist$ In the dictatorshi" of the "roletariat! the economic sub)ect is the proletarian state! the collectivel( organised orking class! 5The "roletariat organised as state "o er$7 Dnder state ca"italism! the "roduction "rocess is that of the "roduction of sur"lus value hich falls into the hands of a ca"italist class! hich tries to transform this value into sur"lus "roduct$ Dnder the dictatorshi" of the "roletariat the "roduction "rocess is a means for the "lanned satisfaction of social needs$ The s(stem of state ca"italism is the most com"lete form of e'"loitation of the masses b( a handful of oligarchs$ The dictatorshi" of the "roletariat makes an( e'"loitation hatsoever altogether unthinkable! as it transforms collective ca"italist "ro"ert( and its "rivate ca"italist form into collective1"roletarian 5"ro"ert(7N >ot ithstanding their formal similarit(! these are diametrical o""osites in content$ This antagonism determines also the antagonism of all the "arts of the s(stems under discussion! even if formall( the( are similar$ Thus! for instance! the general labour dut( under state ca"italism means the enslavement of the orking massesE as against this! under the dictatorshi" of the "roletariat it is nothing but the self1 organisation of labour b( the massesE in the former case the mobilisation of industr( means the strengthening of the "o er of the bourgeoisie and the strengthening of the ca"italist regime! hile in the latter it means the strengthening of socialism$ Dnder the state ca"italist structure all the forms of state com"ulsion re"resent a "ressure hich ill assure! broaden and dee"en the "rocess of e'"loitation! hile state com"ulsion under the dictatorshi" of the "roletariat re"resents a method of building u" communist societ($ In short! the functional contradiction bet een the formall( similar "henomena is here holl( determined b( the functional contradiction bet een the s(stems of organisation! b( their contradictor( class characteristics$ 083

4uch earlier than either Lenin or Bu%harin, 1n"els put for!ard !hat !ere fundamentall# the same ideas in Anti(8Khrun-.

81

The more "roductive forces it 0the state3 takes over! the more it becomes the real collective bod( of all the ca"italists! the more citi,ens it e'"loits$ The ca"italist relationshi" is not abolishedE it is rather "ushed to an e'treme$ .ut at this e'treme it changes into its o""osite$ State o nershi" of the "roductive forces is not the solution of the conflict! but it contains ithin itself the formal means! the handle to the solution$ 093

Footnotes

,. ;or a fuller explanation of this, see Chapter (.

References

1. L. Trots%#, The Revolution <etrayed, London 19C(, pp.?C?*?CC. ?. J. Burnham, The Mana-erial Revolution, London 194$, pp.1=C*1=4. C. /.&. Lenin, ?or,s @RussianA, /ol.SS/, p.$1. 4. J. 4arx, Capital, /ol.&&&, Chica"o 19=9, p.(1?. $. i!id., p.$1(. '. /.&. Lenin, Imperialism1 the 6i-hest Sta-e of Capitalism, London 194?, p.?=. (. /.&. Lenin, Collected ?or,s, London, /ol.SS&, Boo% 1, pp.?1=*?11. 8. 7. Bu%arin, .e,onomie des Transformationsperiode , +ambur" 19??, pp.1C1*1CC. 9. ;. 1n"els, Anti(8Khrin-, op. cit., pp.C='*C=(.

Chapter 6: Further consideration of Stalinist society, economics and politics

The Stalinist bureaucrac( is a class
,n examination of the definitions of a social class "i en b# different 4arxist theoreticians, !ill sho! that, accordin" to all of them, the .talinist bureaucrac# :ualifies as a class. Thus, for instance, Lenin !rites6
:e call classes large grou"s of "eo"le that are distinctive b( the "lace the( occu"( in a definite historicall( defined s(stem of social "roductionE b( their relations to ards the means of "roduction *in the ma)orit( of cases 0 not always3 fi'ed and formulated in la s-E b( their role in the social s(stem of labourE and conse;uentl(! b( their method of obtaining the share of national ealth hich the( dis"ose of! and b( the si,e of that share$ 8lasses are such grou"s of "eo"le one of hich can a""ro"riate the labour of another o ing to the difference in their "osition in a given s(stem of social econom($ 013

Bu%harin "i es a er# similar definition6

A social class $$$ is the aggregate of "ersons playing the same part in production& standing in the same relation toward other persons in the production process& these relations being also in things *instruments of labour-$ 023

&f there is an# doubt left about !hether the .talinist bureaucrac# is a class or not, !e need but peruse 1n"els5 anal#sis of the merchant class !hich did not e en ta%e a direct part in the process of production. +e !rites6
A third division of labour as added b( civilisationG it created a class that did not take "art in "roduction! but occu"ied itself merel( ith the e'change of "roducts C the merchants$ All former attem"ts at class formation ere e'clusivel( concerned ith "roduction$ The( divided the "roducers into directors and directed! or into "roducers on a more or less e'tensive scale$ .ut here a class a""ears for the first time that ca"tures the control of "roduction in general and sub)ugates the "roducers to its rule! ithout taking the least "art in "roduction$ A class that makes itself the indis"ensable mediator bet een t o "roducers and e'"loits them both under the "rete't of saving them the trouble and risk of e'change! of e'tending the markets of their "roducts to distant regions! and of thus becoming the most useful class in societ(G a class of "arasites! genuine social ichneumons! that skim the cream of "roduction at home and abroad as a re ard for ver( insignificant servicesE that ra"idl( amass enormous ealth and gain social significance accordingl(E that for this reason rea" ever ne honours and ever greater control of "roduction during the "eriod of civilisation! until the( at last being to light a "roduct of their o n C "eriodical crises in industr($ 033

82

&n the li"ht of this definition it is clear !h# 4arx could desi"nate the priests, la!#ers, etc., as Fideolo"ical classesG, !hich ha e a class monopol# o er !hat Bu%harin aptl# calls the Fmeans of mental productionG. &t !ould be !ron" to call the .talinist bureaucrac# a caste for the follo!in" reasons6 !hile a class is a "roup of people !ho ha e a definite place in the process of production, a caste is a Kudicial*political "roupB the members of a caste can be members of different classes, or in one class there can be members of different castesB a caste is the outcome of the relati e immobilit# of the econom# ) a ri"id di ision of labour and immobilit# of the producti e forces ) !hereas the .talinist bureaucrac# !as transformed into a rulin" class on the crest of the dynamism of the econom#.

The Stalinist bureaucrac( C the e'treme and "ure "ersonification of ca"ital

4arx !rote6
I'ce"t as "ersonified ca"ital! the ca"italist has no historical value! and no right to that historical e'istence $$$ .ut! so far as he is "ersonified in ca"ital! it is not values in use and the en)o(ment of them but e'change value and its augmentation! that s"ur him into action$ Fanaticall( bent on making value e'"and itself! he ruthlessl( forces the human race to "roduce for "roduction4s sakeE $$$ So far! therefore! as his actions are a mere function of ca"ital C endo ed as ca"ital is! in his "erson! ith consciousness and a ill C his o n "rivate consum"tion is a robber(! "er"etrated on accumulation $$$ Therefore! save! save! save! i$e$! reconvert the greatest "ossible "ortion of sur"lus value! or sur"lus1"roduct into ca"italN Accumulation for accumulation4s sake! "roduction for "roduction4s sake$ 043

The t!o functions ) the extraction of surplus alue and its transformation into capital ) !hich are fundamental to capitalism, become separated !ith the separation of control and mana"ement. >hile the function of mana"ement is to extract the surplus alue from the !or%ers, control directs its transformation into capital. ;or the capitalist econom# these t!o functions alone are necessar#B the bondholders appear more and more onl# as consumers of a certain part of the surplus alue. Consumption of a part of the surplus product b# the exploiters is not specific to capitalism, but existed under all class s#stems. >hat is specific to capitalism is accumulation for accumulation5s sa%e, !ith the obKect of standin" up to competition. &n capitalist corporations most of the accumulation is institutionalB the corporation finances itself internall#, !hile the "reater part of the di idends disbursed amon" the shareholders is used for consumption. <nder a state capitalism !hich e ol ed "raduall# from monopol# capitalism, the bondholders !ould appear mainl# as consumers !hile the state !ould appear as the accumulator. The more that part of the surplus alue de oted to accumulation increases as a"ainst the part consumed, the more purel# does capitalism re eal itself. The more the relati e !ei"ht of the factor of control increases as a"ainst that of bondholdin", in other !ords, the more the di idends are subordinated to internal accumulation b# the corporation or the state*o!ner, the more purel# does capitalism re eal itself. @1 er#one %no!s that those !ho ha e the control of capital in their hands, those !ho are the extreme personification of capital, do not den# themsel es the pleasures of this !orld, but the si"nificance of their spendin" is much smaller :uantitati el# and different :ualitati el# than that of accumulation, and is of no basic historical importance.A >e can therefore sa# that the Russian &ureaucracy, Fo!nin"G as it does the state and controllin" the process of accumulation, is the #ersonification of ca#ital in its #urest form9 +o!e er, Russia is different from the norm < the conce#t of state ca#italism evolving gradually from mono#oly ca#italism9 This di er"ence from the concept of state capitalism !hich e ol es "raduall#, or"anicall#, from monopol# capitalism, does not render the :uestion of the concept of state capitalism unimportant. ;ar from it, it is of the "reatest si"nificance to find that the Russian econom# approaches this concept much more closel# than e er could a state capitalism !hich e ol ed "raduall# on a capitalist foundation. The fact that the bureaucrac# fulfils the tas%s of the capitalist class, and b# doin" so transforms itself into a class, ma%es it the purest personification of

83

this class. ,lthou"h different from the capitalist class, it is at one and the same time the nearest to its historical essence. The Russian &ureaucracy as a #artial negation of the traditional ca#italist class is at the same time the truest #ersonification of the historical mission of this class9 To sa# that a bureaucratic class rules in Russia and stop at that, is to circum ent the cardinal issue ) the capitalist relations of production pre ailin" in Russia. To sa# that Russia is state capitalist is perfectl# correct, but not sufficientB it is also necessar# to point out the differences in the Kuridical relations bet!een the rulin" class in Russia and that in a state capitalism !hich e ol ed "raduall# from monopol# capitalism. The most precise name for the Russian societ# is therefore Bureaucratic .tate Capitalism.

The form of a""ro"riation of the bureaucrac( is different to that of the bourgeoisie

&n Russia the state appears as an emplo#er, the bureaucrats as mana"ers onl#. There is a complete separation bet!een the function on o!nership and that of mana"ement. This, ho!e er, is onl# formall# so. &n essence o!nership is in the hands of the bureaucrats as a collecti eB it is ested in the state of the bureaucrac#. But the fact that the indi idual mana"er appears not to o!n the means of production, and that the appropriation of his part in the national income is in the form of a salar#, ma# decei e one into belie in" that he recei es onl# the re!ard for his labour po!er in the same !a# as the !or%er recei es the re!ard for his labour po!er. &n addition, as the labour of mana"ement is necessar# for e er# process of social production, and as such has nothin" to do !ith relations of exploitation, the difference bet!een the function of the !or%er and that of the mana"er is befo""ed because both are included in the social process of production. ,nta"onistic class relations thus a##ear to be harmonious. The labour of the exploited and the labour of or"anisin" exploitation both appear as labour. The state appears to stand abo e the people, as personified o!nership, !hile the bureaucrats !ho direct the process of production and are therefore historicall# the personification of capital in essence, appear as labourers, and as such, producers of alues b# their la&our itself. &t is clear, ho!e er, that the income of the bureaucrac# has a direct ratio to the !or% of the !or%ers and not to its o!n !or%. The si8e of this income is in itself sufficient to re eal the :ualitative difference bet!een the income of the bureaucrac# and the !a"es of the !or%ers. &f there !ere no :ualitati e difference bet!een them, !e should ha e to sa#, for example, that Lord 4c9o!an, !ho recei es the hi"hest director5s salar# in Britain, does no more than sell his labour po!er. Besides this, the state, !hich is the emplo#er and appears to rise abo e all the people, is in realit# the or"anisation of the bureaucrac# as a collecti e. >hat determines the di ision of surplus alue bet!een the state and the bureaucrats as indi idualsI >hile the :uantitative di ision of the total alue produced bet!een !a"es and surplus alue is dependent on t!o elements :ualitatively different ) labour po!er and capital ) the di ision of the surplus alue bet!een the bureaucrac# as a collecti e @the stateA and indi idual bureaucrats cannot be based upon an# :ualitati e difference bet!een them. 2ne cannot therefore spea% of e%act "eneral la!s of the di ision of the surplus alue bet!een the state and the bureaucrac# or of the distribution of the share of the bureaucrac# bet!een the different bureaucrats. .imilarl# one cannot spea% about exact "eneral la!s re"ulatin" the distribution of profit bet!een profit of enterprise and interest, or bet!een the o!ners of different sorts of shares in capitalist countries. @.ee J. 4arx, Capital, /ol.&&&, p.4?8.A &t !ould be !ron", ho!e er, to assume that absolute arbitrariness "o erns this decision. The tendencies can be "eneralised. The# are dependent on the pressure of !orld capitalism !hich demands an acceleration of accumulation, the material le el !hich production has alread# reached, the tendenc# of the rate of profit to decline !hich relati el# decreases the sources of accumulation, etc. Ta%in" these circumstances into account, !e can see !h# a constantl# increasin" part of the surplus alue is accumulated. ,t the same time the bureaucrac# !hich administers the process of accumulation, does not o erloo% the "ratification of its o!n personal desires, and the :uantit# of surplus alue consumed b# it rises absolutel#. These t!o processes are possible onl# if there is a 84

constant increase in the rate of exploitation of the masses, and if ne! sources of capital are constantl# found. @This explains the process of primiti e accumulation in !hich the Russian peasantr# is pilla"ed, and the plunder of the countries of 1astern 1urope.A

+elations of "roduction and la

The o er!helmin" maKorit# of the means of production in Russia is in the hands of the state. Bonds or other forms of le"al claim co er so small a part of the means of production as to be of onl# minor si"nificance. >h# is this soI &s there no tendenc# to introduce such a form of pri ate claim on a lar"e scaleI >h# is there a difference bet!een the la! of propert# pre ailin" in Russia and that in the rest of the capitalist !orldI &n order to ans!er these :uestions !e must first anal#se the relationship bet!een the relations of production and the la! of propert#. La! is based on the econom#. Propert# relations are the Kuridical expressions of the relations of production. But there is no exact and absolute parallel bet!een relations of production and the de elopment of la!, in the same !a# as there is no exact and absolute parallel bet!een the economic basis and the other elements of the superstructure. This is because la! does not express the relations of production directl# but indirectl#. &f it reflected the relations of production directl#, e er# "radual chan"e in the relations of production bein" accompanied b# an immediate and parallel chan"e in la!, it !ould ha e ceased to be la!. The function of la! is, so to sa#, to brin" harmon# bet!een the anta"onistic interests of the classes, to fill up the "aps !hich tend to brea% in the socio*economic s#stem. &n order to achie e this, it must rise abo e the econom#, !hile basin" itself upon it. ;rom the standpoint of its content, la! is the indirect reflection of the material basis on !hich it is erected, but from the standpoint of its form, it is but the assimilation and completion of the la! inherited from the past. There is al!a#s a time*la" bet!een chan"es in the relations of production and chan"es in la!. The deeper and :uic%er the chan"e in the relations of production, the more difficult it is for la! to %eep pace and still formall# preser e continuit# !ith its past de elopment. There are numerous historical examples of the rise of a ne! class !hich has been reluctant to publicise its comin" to po!er and has accordin"l# tried to adapt its existence and ri"hts to the frame!or% presented b# the past, e en thou"h this frame!or% has stood in absolute contradiction to it. Thus, for a er# lon" time the risin" bour"eoisie endea oured to pro e that profit and interest are but some sort of rent ) at that time the rent of the landlord !as Kustified in the e#es of the rulin" classes. The 1n"lish capitalist class tried to base its political ri"hts on the 4a"na Carta, the charter of ri"hts of the feudal class, !hich is fundamentall# in contradiction to bour"eois ri"ht from the standpoint of both content and form. The attempt of a rulin" class to hide its pri ile"es under the cloa% of he la! handed do!n from the past is most stron"l# made in the case of a counter*re olution !hich dare not declare its existence. Re olutionar# socialism does not hide its aims, and the la! it dictates on ta%in" po!er is therefore re olutionar# both in content and form. +ad the armies of inter ention been ictorious after the 2ctober re olution, their blood# rule !ould ha e been accompanied b# the restoration of most of the old la!s scrapped b# the 2ctober re olution. But, as the bureaucrac# in Russia transformed itself "raduall# into a rulin" class, the chan"es in the relations of production !ere not expressed immediatel# in the complete chan"e of the la!. ;or arious reasons, the main one bein" the need .talinist forei"n polic# has of pseudo*re olutionar# propa"anda amon" the !or%ers all o er the !orld, the Russian bureaucrac# did not openl# declare that a counter*re olution had ta%en place. This, ho!e er, is insufficient to explain !h# the bureaucrac# does not restore pri ate propert# in the form of bonds or shares co erin" the !hole econom# in such a !a# that e er# member of the bureaucrac# should be able to be:ueath a safe economic position to his son. 2ther factors must be ta%en into account. The desires of a class, a caste or a social la#er are moulded b# its material conditions of life. 7ot onl# has each class its o!n special place in the process of production, but each 8%

o!nin" class has a different stron"hold in the social !ealth. &f the simple desire for the maximum material and cultural benefits in the abstract had been the dri in" force of humanit#, then not onl# !ould the !or%in" class ha e desired socialism, but also the pett# and middle bour"eoisie, and e en the bi" bour"eoisieB the more so as this "eneration li es under the shado! of atomic !arfare. But this is not the case. >hen people ma%e histor#, the# ma%e it accordin" to the external, obKecti e realit# in !hich the# find themsel es, and !hich moulds their desires. The feudal lord thus stri es to increase the area of his and his son5s domainsB the merchant endea ours to "i e his sons securit# b# be:ueathin" them a lar"e :uantit# of mone#B the ph#sician, the la!#er and the other professions attempt to pass their pri ile"es on to their sons b# "i in" them Fmental means of productionG ) education. There bein" no Chinese !all bet!een the different classes and la#ers, ho!e er, each !ill, of course, tr# to be:ueath more than its special pri ile"es6 professionals !ill inherit both material and mental means of productionB merchants !ill be pro ided !ith a hi"her education, and so on. The state bureaucrac#, as 4arx said in his Criti7ue of 6e-els hilosophy of :a+, possesses the state as pri ate propert#. &n a state !hich is the repositor# of the means of production the state bureaucrac# ) the rulin" class ) has forms of passin" on its pri ile"es !hich are different from those of the feudal lords, the bour"eoisie or the free professionals. &f co*option is the pre ailin" mode of selection the directors of enterprises, heads of departments, etc., e er# bureaucrat !ill tr# more to pass on to his son his FconnectionsG than he !ould, let us sa#, a million roubles @e en thou"h this has importanceA. 2b iousl# he !ill at the same time tr# to limit the number of competitors for positions in the bureaucrac# b# restrictin" the possibilities the masses ha e of "ettin" a hi"her education, etc.

The s(nthesis of the e'tremities of develo"ment

Russia presents us !ith the s#nthesis of a form of propert# born of a proletarian re olution and relations of production resultin" from a combination of bac%!ard forces of production and the pressure of !orld capitalism. The content of the s#nthesis sho!s historical continuit# !ith the pre* re olutionar# periodB the form sho!s historical continuit# !ith the re olutionar# period. &n the retreat from the re olution the form does not mo e ri"ht bac% to its point of departure. -espite its subordination to content, it #et has considerable importance. +istor# often leaps for!ard or bac%!ard. >hen it leaps bac%!ard, it does not return directl# to the same position, but "oes do!n a spiral, combinin" the elements of the t!o s#stems from !hich and to !hich the societ# passed. ;or example, because in the state capitalism !hich is an or"anic, "radual continuation of the de elopment of capitalism, a form of pri ate propert# !ould pre ail in the o!nership of shares and bonds, !e must not conclude that the same !ill appl# to state capitalism !hich rose "raduall# on the ruins of a !or%ers5 re olution. +istorical continuit# in the case of state capitalism !hich e ol es from monopol# capitalism, is sho!n in the existence of pri ate propert# @bondsA. +istorical continuit# in the case of state capitalism !hich e ol es from a !or%ers5 state that de"enerated and died, is sho!n in the non-e%istence of #rivate #ro#erty. The spiral de elopment brin"s about the s#nthesis of t!o extremes of capitalist de elopment in Russia, a s#nthesis of the hi"hest sta"e !hich capitalism can e er reach, and !hich probabl# no other countr# !ill e er reachB and of such a lo! sta"e of de elopment as has #et to demand the preparation of the material prere:uisites for socialism. The defeat of the 2ctober re olution ser ed as a sprin"board for Russian capitalism !hich at the same time la"s !ell behind !orld capitalism. This s#nthesis re eals itself in an extremel# hi"h concentration of capital, in an extremel# hi"h or"anic composition of capitalB and on the other hand, ta%in" the le el of techni:ue into account, in a lo! producti it# of labour, in a lo! cultural le el. &t explains the speed of the de elopment of the producti e forces in Russia, a speed far outstrippin" !hat #outhful capitalism experienced, and the er# opposite of !hat capitalism in deca# and sta"nation experiences. Houthful capitalism practiced inhuman brutalit# on the toilers, as sho!n b# the stru""le a"ainst F a"abondsG, the poor la!s, the forcin" of !omen and children to !or% fifteen to ei"hteen hours a 8&

da#, etc.B a"ed capitalism a"ain commits man# of the brutalities of its childhood, !ith the difference that it is able, as fascism has sho!n, to carr# them out much more effecti el#. Both periods are characterised b# the use of compulsion in addition to the automatic mechanism of the economic la!s. The s#nthesis of state capitalism !ith the #outhful tas%s of capitalism "i es the Russian bureaucrac# an unlimited appetite for surplus alue and capacit# for inhuman brutalit#, !hile enablin" it to practise at the same time the hi"hest efficienc# in carr#in" out its oppression. >hen 1n"els said that Fman spran" from the beasts, and had conse:uentl# to use barbaric and almost bestial means to extricate himself from barbarismG, he certainl# !as not describin" the socialist re olution, !hen histor# becomes Fconscious of itselfG. But he !ell described the pre*histor# of humanit#. Peter the 9reat !ill "o do!n in histor# as one of the fi"hters a"ainst barbarism usin" barbaric methods. +er8en !rote that he Fci ilised !ith a %nout in his hand and %nout in hand persecuted the li"htG. .talin !ill "o do!n in histor# as the oppressor of the !or%in" class, as the po!er !hich could ha e ad anced the producti e forces and culture of humanit# !ithout the %nout, because the $orld !as mature enou"h for it, but !hich ne ertheless ad anced them F%nout in handG, simultaneousl# endan"erin" all humanit# !ith the threat of decline throu"h imperialist !ars. The proletarian re olution s!ept all the impediments to the de elopment of the producti e forces from its path and abolished a lo! of the old barbarities. But bein" isolated, and ta%in" place in a bac%!ard countr#, it !as an:uished, lea in" the field free for the fi"ht a"ainst barbarism b# barbaric methods.

Iconomics and "olitics

The state is Fspecial bodies of armed men, prisons, etc.G ) a !eapon in the hands of one class to oppress another class or other classes. &n Russia the state is a !eapon in the hands of the bureaucrac# for the oppression of the mass of toilers. But this alone does not describe all the functions of the .talinist state. &t ans!ers also to the direct needs of the social di ision of labour, of the or"anisation of social production. , similar tas% !as fulfilled, mutatis mutandis, b# the states of ancient China, 1"#pt and Bab#lonia. There, because bi" irri"ation !or%s !hich could be or"anised at all onl# if done on a lar"e scale !ere so !holl# necessar#, the state de eloped not onl# as a result of the appearance of class di isions, and so indirectly as a result of the social di ision of labour, but also directly, as part of the process of production. &nterdependence and mutual influence of class di isions and the emer"ence and stren"thenin" of the state are so intricate as to ma%e an# separation of economics and politics impossible. .imilarl#, in Russia, the .talinist state did not rise onl# as a result of the !idenin" ab#ss bet!een the masses and the bureaucrac# and so the "ro!in" need for Fspecial bodies of armed menG, but also as a direct ans!er to the needs of the producti e forces themsel es, as a necessar# element of the mode of production. 2ne of the Chaldean %in"s said6
I have mastered the secrets of the rivers for the benefit of man $$$ I have led the aters of the rivers into the ildernessE I have filled the "arched ditches ith them $$$ I have atered the desert "lainsE I have brought them fertilit( and abundance! I have formed them into habitations of )o($

Ple%hano , !ho cites this, remar%s6 F;or all its boastfulness, this is a fairl# accurate description of the role of the oriental state in or"anisin" the social process of production.G D$E .talin could also claim that he built the industries, dro e the producti e forces of Russia for!ard, etc. ,lthou"h, of course, the t#rann# of the Chaldean %in" !as historicall# necessar# and pro"ressi e in its time, !hile that of .talin is historicall# superfluous and reactionar#. ,s in ancient societies, so in Russia toda#, the double function of the state, as a "uardian of the rulin" class and as or"aniser of social production, leads to a total fusion of economics and politics. This fusion is characteristic of capitalism in its hi"hest sta"e, as !ell as of a !or%ers5 state. But !hereas under a !or%ers5 state this fusion means that the !or%ers, bein" politicall# dominant, ad ance e en closer to a situation in !hich the F"o ernment of persons is replaced b# the administration of thin"s and the direction of the process of productionG D'E, under capitalism in its 8<

hi"hest sta"e it means that political coercion is added to the automatism of the econom# and is, indeed, "i en the maKor role. FThe ... special feature of the capitalist order is that all the elements of the future societ# appear in it in a form in !hich the# do not dra! nearer to socialism but dra! further a!a# from it.G Thus, for instance6
as regards the arm(! develo"ment brings general obligator( militar( service $$$ that is! an a""roach to the "eo"le4s militia$ .ut it is realised in the form of modern militarism! hich brings the domination of the militar( state over the "eo"le and "ushes the class character of the state to the e'treme$ 0<3

This fusion pro es that our period is so ripe for socialism that capitalism is compelled to absorb more and more elements of socialism. ,s 1n"els said, this is the in asion of socialist societ# into capitalism. +o!e er, this absorption does not li"hten the burden of exploitation and oppressionB on the contrar#, it ma%es it bear do!n much the more hea il#. @&n a !or%ers5 state the !or%ers are free economicall# because the# are politicall# free. , !or%ers5 state is also a fusion of economics and politics, but !ith s#mmetricall# opposite results.A >here er there is a fusion of economics and politics it is theoreticall# !ron" to distin"uish bet!een political and economic re olution, or bet!een political and economic counter*re olution. The bour"eoisie can exist as the bour"eoisie, o!nin" pri ate propert#, under different forms of "o ernment6 under a feudal monarch#, a constitutional monarch#, a bour"eois republic, under a Bonapartist re"ime such as that of 7apoleon & and &&&, a fascist dictatorship and for a certain time e en under a !or%ers5 state @the %ula%s and 71P*men existed till 19?8A. &n all these cases there is a direct relationship of o!nership bet!een the bour"eoisie and the means of production. &n all of them the state is independent of the direct control of the bour"eoisie, and #et in none of them does the bour"eoisie cease to be a rulin" class. >here the state is the repositor# of the means of production, there is an a&solute fusion bet!een economics and politicsB political expropriation also means economic expropriation. &f the Chaldean %in" :uoted abo e !ere politicall# expropriated, he !ould necessaril# also ha e been economicall# expropriated. The same applies to the .talinist bureaucrac#, and mutatis mutandis, also to a !or%ers5 state. .eein" that the !or%ers as indi iduals are not o!ners of means of production e en in a !or%ers5 state, and their o!nership as a collecti e is expressed throu"h their o!nership of the state !hich is the repositor# of the means of production, if they are #olitically e%#ro#riated they are also economically e%#ro#riated .

8an there be a gradual transition from a orkers4 state to a ca"italist stateO

The proletariat cannot ta%e o er the bour"eois state machine but must smash it. -oes it not follo! that the gradual transition from the !or%ers5 state of Lenin and Trots%# @191(*?CA to the capitalist state of .talin, contradicts the basis of the 4arxist theor# of the stateI This is one of the pi ots of the defence for the theor# that Russia toda# is still a !or%ers5 state. Those !ho hold to this theor# :uote Trots%# in 19CC @but omit to :uote his opposite statement of a later dateA. +e !rote in The Soviet ;nion and the 4ourth International6
The Bar'ian thesis relating to the catastro"hic character of the transfer of "o er from the hands of one class into the hands of another a""lies not onl( to revolutionar( "eriods! hen histor( madl( s ee"s ahead! but also to the "eriod of counter1revolution hen societ( rolls back ards$ ?e ho asserts that the Soviet Kovernment has been changed gradually from "roletarian to bourgeois is onl(! so to s"eak! running back ards the film of reformism$

The :uestion at issue is the alidit# or other!ise of the last sentence. Capitalist restoration can come about in man# !a#s. Political restoration ma# precede economic restoration6 this !ould ha e been the case if the >hite 9uards and armies of inter ention had succeeded in o erthro!in" the Bolshe i%s. 2r economic restoration, e en if not complete, ma# precede political restoration6 this !ould ha e been the case if the %ula%s and 71P*men !ho entrenched their economic pri ile"es until 19?8 had succeeded in o erthro!in" the re"ime. &n both cases the transition from a !or%ers5 state to a capitalist state !ould not ha e been "radual. &ndeed, to sa# that it mi"ht ha e been "radual could Kustifiabl# be branded as Fonl#, so to spea%, runnin"

88

bac%!ards the film of reformismG. But !here the bureaucrac# of a !or%ers5 state is transformed into a rulin" class, economic and political restoration are indissolubl# inter!o en. The state becomes "raduall# further di orced from the !or%ers, the relations bet!een it and the !or%ers become more and more li%e the relations bet!een a capitalist emplo#er and his !or%ers. &n such a case the bureaucratic cli:ue that first appears as a distortion, "raduall# transforms itself into a class !hich fulfils the tas%s of the bour"eoisie in capitalist relations of production. The "radual e olutionar# di orce of the bureaucrac# from the control of the masses, !hich continued until 19?8, reached the sta"e of a re olutionar# :ualitati e chan"e !ith the ;irst ;i e*Hear Plan. The :uestion, ho!e er, still stands6 does this not contradict the 4arxist theor# of the stateI ;rom the standpoint of formal lo"ic it is irrefutable that if the proletariat cannot "raduall# transform the bour"eois state into a !or%ers5 state but must smash the state machine, the bureaucrac# on becomin" the rulin" class also cannot "raduall# transform the !or%ers5 state into a bour"eois state, but must smash the state machine. ;rom the standpoint of dialectics, ho!e er, !e must pose the problem differentl#. >hat are the reasons !h# the proletariat cannot "raduall# transform the bour"eois state machine, and do these continue as an immo able impediment to the "radual chan"e of the class character of a !or%ers5 stateI 4arx and 1n"els said that onl# 1n"land could b#pass the smashin" of the state machine as the first step in the proletarian re olution. This did not appl# to the Continent of 1urope. The# said that in 1n"land the Fsocial re olution mi"ht b# effected entirel# b# peaceful and le"al meansG. 2n this Lenin comments6 FThis !as natural in 18(1, then 1n"land !as still the model of a purel# capitalist countr#, but !ithout militarism and, to a considerable de"ree, !ithout a bureaucrac#.G D8E &t is, then, the bureaucrac# and the standin" arm# that constitute the impediment to the !or%ers5 peaceful accession to po!er. But the !or%ers5 state has no bureaucrac# or standin" arm#. Thus a peaceful transition can be accomplished from a !or%ers5 state !here these institutions do not exist, to a state capitalist re"ime !here the# do. Let us no! see !hether !hat excludes a "radual social re olution excludes a "radual counter* re olution. &f the soldiers in a hierarchicall# built arm# stri e for decisi e control o er the arm#, the# immediatel# meet !ith the opposition of the officer caste. There is no !a# of remo in" such a caste except b# re olutionar# iolence. ,s a"ainst this, if the officers of a people5s militia become less and less dependent on the !ill of the soldiers, as !ell the# mi"ht, seein" that the# meet !ith no institutional bureaucrac#, their transformation into an officers5 caste independent of the soldiers can be accomplished "raduall#. The transition from a standin" arm# to a militia cannot but be accompanied b# a tremendous outbrea% of re olutionar# iolenceB on the other hand, the transition from a militia to a standin" arm#, to the extent that it is the result of tendencies inside the militia itself, can and must be "radual. The opposition of the soldiers to the risin" bureaucrac# may lead the latter to use iolence a"ainst the soldiers. But this is not essential. >hat applies to the arm# applies e:uall# to the state. , state !ithout a bureaucrac#, or !ith a !ea% bureaucrac# dependent on the pressure of the masses ma# "raduall# be transformed into a state in !hich the bureaucrac# is free of !or%ers5 control. The 4osco! trials !ere the ci il !ar of the bureaucrac# a"ainst the masses, a !ar in !hich onl# one side !as armed and or"anised. The# !itnessed the consummation of the bureaucrac#5s total liberation from popular control. Trots%#, !ho thou"ht that the 4osco! trials and the FConstitutionG !ere steps to!ards the restoration of indi idual capitalism b# le"al means, then !ithdre! the ar"ument that a "radual chan"e from a proletarian to a bour"eois state is Frunnin" bac%!ards the film of reformismG. +e !rote6
In realit(! the new constitution $$$ o"ens u" for the bureaucrac( 5legal7 roads for the economic counter1revolution! i$e$! the restoration of ca"italism b( means of a 5cold strike7$ 093

89

Stalinism C barbarismO

The !ord FbarbarismG denotes different thin"s. >e tal% about the barbaric exploitation of the !or%ers, the barbaric oppression of the colonial peoples, the barbaric murder of the Je!s b# the 7a8is, etc. FBarbaricG here does not denote a sta"e in the histor# of humanit#, a certain content of social relations, but a certain aspect of the actions of a class, !hich ma# e en be a risin", pro"ressi e class6 for instance, !e tal% about the barbaric e iction of the peasantr# in Britain at the time of risin" capitalism, or the barbaric lootin" of the population of .outh ,merica, etc. FBarbarismG ma#, ho!e er, denote somethin" !hich, e en thou"h it has some connection !ith the former meanin", is #et entirel# different. &t ma# denote the total destruction of ci ilisation b# the decline of societ# into an a*historical era. This sees FbarbarismG as a !hole sta"e in the histor# of humanit#. , particular e ent ma# indeed be barbaric in both senses. The acti it# of the rulin" classes in a third !orld !ar, for instance, !ould be barbaric in the first sense, and as the cause of the total decline of societ# it !ould be barbaric in the second sense also. 1ssentiall#, ho!e er, the meanin"s are different and must be %ept distinct. Barbarism used in connection !ith our epoch in the first sense si"nifies the price humanit# is pa#in" for the &elatedness of the socialist re olution. <sed in the second sense it si"nifies the loss of all hope in a societ# !hich has deca#ed and declined. ,ccordin" to this it !ould be !ron" to define 7a8ism as barbarism in the second sense, as Frene!ed feudalismG, as the Fstate of the termitesG, as an a*historical period, etc., as the 7a8i s#stem !as &ased on the labour of proletarians !ho are historicall# its "ra edi""ers and the sa iours of humanit#. &t !ould be e en less Kustified to desi"nate the .talinist re"ime as barbarism in the second sense, as this re"ime, in the face of Russia5s bac%!ardness and fear of annihilation throu"h international competition, is rapidl# increasin" the numbers of the !or%in" class. This :uestion is not a matter of philolo"ical hairsplittin", but of prime importance. To use the !ord barbarism in its second sense !ould be as !ron" as to use the !ord sla e to desi"nate the Russian !or%ers, if sla e is used as somethin" distinct from proletarian. .la er#, li%e barbarism in its first sense, used to denote one aspect of the condition of the Russian !or%er under .talin as !ell as of the 9erman !or%er under +itler ) his lac% of le"al freedom, his partial ne"ation of himself as a !or%er ) !ould be a correct term. But used as a basic definition of a re"ime it !ould be !ron". >e must therefore stron"l# oppose the use of the !ord barbarism in its second sense to denote the .talinist re"ime. >e must indeed oppose its use in "eneral to denote the sta"e societ# has reached toda#, and can onl# condone its use in the first sense, that is, used to describe certain aspects of declinin" capitalism as a !hole, !hether ,merican, Russian, British or Japanese. &s .talinist Russia an example of capitalist barbarismI Hes. ,s example of that barbarism !hich is a total ne"ation of capitalismI 7o.

Is the Stalinist regime "rogressiveO

, social order !hich is necessar# to de elop the producti e forces and prepare the material conditions for a hi"her order of societ#, is pro"ressi e. >e must emphasise the material conditions, because if !e include all the conditions @class consciousness, the existence of mass re olutionar# parties, etc., etc.A, then an# social order !ill be pro"ressi e, as its er# existence pro es that all the conditions for its o erthro! are not there. &t does not follo! from this definition that !hen a social order becomes reactionar#, becomes an impediment to the de elopment of the producti e forces, that these producti e forces cease to ad ance, or that the rate of ad ance falls absolutel#. There is no doubt that feudalism in 1urope became reactionar# in the thirteenth to ei"hteenth centuries, but this did not pre ent the producti e forces de elopin" at the same rate as before or indeed of de elopin" at an e en faster rate. .imilarl#, !hile Lenin said that the period of imperialism @be"innin" !ith the last decades of the nineteenth centur#A si"nified the decline and deca# of capitalism he at the same time said6

9@

It ould be a mistake to believe that this tendenc( to deca( "recludes the "ossibilit( of the ra"id gro th of ca"italism$ It does not$ In the e"och of im"erialism! certain branches of industr(! certain strata of the bourgeoisie and certain countries betra(! to a more or less degree! one or another of these tendencies$ .n the whole& capitalism is growing far more rapidly than before. .ut this gro th is not onl( becoming more and more uneven in generalE its unevenness also manifests itself! in "articular! in the deca( of the countries hich are richest in ca"ital *such as Ingland-$ 01@3

Lenin spo%e of the deca# of capitalism, and in the same breath he said that the democratic re olution in Russia, b# s!eepin" a!a# the remnants of feudalism, !ould "i e tremendous possibilities of de elopment to Russian capitalism, !hich !ould stride for!ard at an ,merican tempo. ,nd this ie! he held at the time that he belie ed that the F-emocratic -ictatorship of the Proletariat and Peasantr#G !ould perform the tas%s of the bour"eois re olution in Russia. Loo%in" at the fi"ures for !orld industrial production since 1891 !e can see that in the period of imperialism the producti e forces of the !orld are far from absolute sta"nation D11E6
-orl, in,ustrial !ro,uction *1913G 1@@1%"1 33 1"** %1 1"*9 <3 1"1# 1@@ 1"$* 1@2 1"$" 148

,s re"ards the capacit# of production, !e need but ta%e into account the control of atomic ener"# to see !hat strides ha e been made. >ere the bac%!ard countries isolated from the rest of the !orld, !e could certainl# sa# that capitalism !ould be pro"ressi e in them. ;or instance, if the countries in the >est declined and disappeared, &ndian capitalism !ould ha e no less lon" and "lorious a future than British capitalism had in the nineteenth centur#. The same is true of Russian state capitalism. Re olutionar# 4arxists, ho!e er, ta%e the !orld as our point of departure, and therefore conclude that capitalism, !here er it exists is reactionar#. ;or the problem humanit# must sol e toda#, under pain of annihilation, is not ho! to de elop the production forces, but to !hat end and under !hat social relations to utilise them. This conclusion as re"ards the reactionar# character of Russia state capitalism, not$ithstanding the rapid de elopment of its producti e forces, can be refuted onl# if one could pro e that !orld capitalism has not prepared the material conditions necessar# for the establishment of socialism, or that the .talinist re"ime is preparin" further conditions necessar# for the establishment of socialism than those prepared b# the !orld at lar"e. The former contention leads one to the conclusion that !e are not #et in the period of the socialist re olution. The most one can sa# to the latter is that .talinist Russia !ill be:ueath to socialism a hi"her concentration of capital and of the !or%in" class than an# other countr#. But this is onl# a :uantitative difference6 if !e compare the economies of the <., and 1n"land !e find that the concentration of capital and socialisation of labour is much hi"her in the former than in the latter, but this does not ma%e the present*da# capitalism in the <., historicall# pro"ressi e. 2ne ma# claim that plannin" inside Russia is an element !hich transforms the Russian econom# into a pro"ressi e one in comparison !ith the capitalism of other countries. This is totall# unsound. .o lon" as the !or%in" class has no control o er production, the !or%ers are not the subKect of plannin" but its obKect. This applied Kust as !ell to the plannin" !ithin the "i"antic enterprise of ;ord as to the !hole econom# of Russia. ,s so lon" as the !or%ers are the obKect, plannin" is important to them only as an element of the material conditions necessar# for socialism6 as an aspect of the concentration of capital and !or%ers. &n a factor# emplo#in" 1==,=== !or%ers plannin" is more elaborate and de eloped than in a factor# emplo#in" 1== !or%ers, and still more so it is in state capitalism !hich emplo#s 1=,===,=== !or%ers. This does not ma%e the relations of production in the bi" enterprise pro"ressi e relati el# to 91

those in the smaller one. The plan in each is dictated b# the blind external force of competition bet!een independent producers. The er# fact of the existence of the .talinist re"ime declares its reactionar# nature, as !ithout the defeated 2ctober re olution the .talinist re"ime !ould not ha e existed, and !ithout the maturit# of the !orld for socialism the 2ctober re olution !ould not ha e bro%en out.

References

1. /.&. Lenin, ?or,s @RussianA, /ol. SS&S, p.C88. ?. 7. Bu%harin, 6istorical Materialism, London 19?', p.?('. C. ;. 1n"els, The .ri-in of the 4amily1 rivate roperty and the State , op. cit., p.?=1. 4. J. 4arx, Capital, /ol.&, pp.'48*'$?. $. 9./. Ple%hano , The Materialist Conception of 6istory , London 194=, p.C?. '. ;. 1n"els, Anti(8Khrin-, op. cit., p.C=9. (. R. Luxembur", So9ialreform oder RevolutionM ?nd ed., Leip8i" 19=8, p.41. 8. /.&. Lenin, State and Revolution, op. cit., pp.C=*C1. 9. 4ourth International and the Soviet ;nion . Thesis adopted b# the ;irst &nternational Conference of the ;ourth &nternational, 9ene a, Jul# 19C'. 1=. /.&. Lenin, Imperialism1 the 6i-hest Sta-e of Capitalism, op. cit., p.1=9. 4# emphasis. 11. J. Juc8#ns%i, ?eltprodu,tion und ?elthandel in den let9ten #BB Hahren , Libau 19C$, pp.?=*?1.

Chapter 7: Russian economy and the Marxian law of value and theory of capitalist crisis (Part 1)
Introduction
,ccordin" to 4arx and 1n"els the fundamental la! of capitalism, as distinct from all other economic s#stems, the la! from !hich all the other la!s of capitalism deri e, is the la! of alue. FThe alue form of products therefore alread# contain in embr#o the !hole capitalist form of production, the anta"onism bet!een capitalists and !a"e !or%ers, the industrial reser e arm#, crises.G D1E The la! of alue is, therefore, the basic la! of 4arxian political econom#. &n the introduction to their text*boo% of political econom#, t!o leadin" .o iet economists, Lapidus and 2stro itiano , as%ed, Fdoes political econom# stud# all producti e relations bet!een peopleIG and the# ans!er6
>o$ Take for e'am"le the natural econom( of the "rimitive "atriarchal "easant hich satisfies all its needs from ithin and enters into no e'change relations ith other "easants$ ?ere e have a "eculiar t("e of relations of "roduction$ The( consist! let us sa(! in a collective organisation of labour $$$ in certain subordination of all to the head of the famil( $$$ >ot ithstanding the tremendous difference bet een "easant natural econom( and communist econom(! the( have one common featureG both are organised and directed b( conscious human ill $$$ There are! no doubt! certain la s regulating the unorganised relationshi" of ca"italist societ($ .ut these la s are s"ontaneous! inde"endent of the conscious and directed ill of the "artici"ants in this "rocess of "roduction $$$ /nd it is these elementary& spontaneous laws ... that are the sub-ect of political economy. 023

7ext the# as%ed6 F&n !hat !a#s and to !hat extent do the capitalist la!s of political econom# influence the .o iet econom#I >hat is the relation bet!een spontaneous acti it# and planned acti it# in the econom# of the .o iet <nionI >hat is the specific !ei"ht of these elements, and !hat is their tendenc# of de elopmentIG DCE The# come to the conclusion that political econom# applies onl# to spontaneous processes and not to a planned econom# such as socialism, and that it applied in

92

Russia onl# to the extent that the Russian econom# !as not #et socialist but merel# in a transition sta"e to!ards socialism. ,ll other .o iet economists concurred !ith this ar"ument at the time. ,t that time .o iet economists unanimousl# replied in the ne"ati e to the :uestion of !hether the la! of alue has a place in socialism. ,n# traces of its existence in the .o iet <nion !ere explained as the outcome of her transitional position, of her not #et ha in" full# arri ed at socialism. Thus Lapidus and 2stro itiano !rote6
If the ;uestion ere "osed before usG Is Soviet econom( ca"italist or socialist! e should! of course! re"l(! that to ans er! 5ca"italist7 or 5socialist7 is im"ossible! since the "eculiarit( of the Soviet econom( consists $$$ in the ver( fact that it is of a transitional nature! "assing from ca"italism to socialism$ In e'actl( the same a( e should have to ans er an(one ho demands from usG C either or C hether the la of value o"erates full( here! or hether it has ceased altogether to o"erate and has been re"laced b( conscious regulation$ To assert that Feither the one or the other4 is correct! is im"ossible! because neither one "ostulate nor the other is correct! but a thirdG that we are living through a process of transition from the one to the other$ The la of value has not (et ithered a a( but continues to o"erate in our conditionsE but it does not o"erate in the same form in hich it o"erates in the ca"italist s(stem! since it is "assing through the process of withering away$ 043

The same ar"ument !as used b# Preobra8hens%#6 FThe la! of alue and the element of plannin" !hose basic attribute is expressed in socialist accumulation, are stru""lin" !ith one anotherG in the transition period form capitalism to socialism, and !ith the ictor# of the latter Fthe la! of alue !ill !ither a!a#G. D$E ,nother economist, Leonte , !rote6 FThe la! of alue is the la$ of motion of capitalist commodit# productionG, the "erms of all the Fcontradictions of capitalism are inherent in alueG. D'E The .o iet economists could dra! extensi el# on the !or%s of 4arx and 1n"els in support of their ar"uments. The extract from Anti(8Khrin-, :uoted abo e, confirms their ie!point. 1lse!here in the same boo%, 1n"els ridicules -Zhrin"5s conception that the 4arxian la! of alue applies to socialism6 under socialism, he !rites, Fpeople !ill be able to mana"e e er#thin" er# simpl#, !ithout the inter ention of the famous O alue5.G D(E &t !ould be sheer absurdit#, he ar"ued, Fto set up a societ# in !hich at last the producers control their products b# the lo"ical application of an economic cate"or# D alueE !hich is the most comprehensi e expression of the subKection of the producers b# their o!n product.G D8E 2r to :uote 4arx6 F/alue is the expression of the s#ecifically characteristic nature of the capitalist process of production.G D9E 2n #et another occasion, on criticisin" ,. >a"ner5s All-emeine oder Theoretische =ol,s+irtschaftslehre, 4arx ridicules Fthe presupposition that the theor# of alue, de eloped for the explanation of bour"eois societ#, has alidit# for the Osocialist state of 4arx5.G D1=E .uch ar"uments as these !ere almost axiomatic for all .o iet economists durin" the first decade and a half after the re olution. ,fter a decade of almost complete silence of the :uestion, a bombshell !as dropped in 194C. The theoretical or"an of the Part#, od >namenem Mar,si9ma, published a lon", unsi"ned article entitled Some 7uestions of Teaching Political !conomy , !hich made a complete brea% !ith the past. D11E The reader !as informed that Fthe instruction of political econom# in our colle"es has been rene!ed after a lapse of se eral #ears. Before this interruption, the teachin" of political econom#, as !ell as the existin" textboo%s and the curricula, suffered from serious defects.G F>ith respect to the economic la!s of socialism, man# fundamental mista%es and faults often crept into the curricula and textboo%s of political econom#.G The main mista%e Fof the former teachin"G, the article alle"ed, !as Fin den#in" the operation of the la! of alue in socialist societ#G. ,ll .o iet economists immediatel# toed the ne! line. This volte face can be explained b# a ne! readiness of the authorities to declare openl# then much that in the past had been accepted in practice but publicl# denied as characteristic of Russian life, such as 9reat Russian chau inism, the "lorification of Tsarist traditions, and man# other thin"s of a similar character.

93

&t does seem, ho!e er, that the .o iet economists ha e become so in ol ed in contradictions !ith the !ritin"s of 4arx and 1n"els that the problem has to be tac%led o er and o er a"ain. 1 en as late as ;ebruar# 19$?, .talin himself found it necessar# to !rite6
It is sometimes asked hether the la of value e'ists and o"erates in our countr(! under the socialist s(stem$ 2es! it does e'ist and does o"erate$ 0123

Contrar# to all 4arxian teachin" on the subKect, .talin states6 F&s the la! of alue the basic economic la! of capitalismI 7o.G D1CE 4arx states that !here labour po!er is a commodit#, the natural, ine itable result of its sale is the appearance of surplus alue, of exploitationB .talin finds it con enient to declare that !hile the la! of alue pre ails in Russian econom#, there is no sale of labour po!er and therefore no surplus alue. +e !rites6 FTal% of labour po!er bein" a commodit#, and of Ohirin"5 of !or%ers sounds rather absurd no!, under our s#stem6 as thou"h the !or%in" class !hich possesses means of production, hires itself and sells its labour po!er to itself.G D14E @The tacit, if untenable, assumption of .talin5s ar"ument, of course, is that the state that o!ns the means of production and bu#s labour po!er is actuall# Fo!nedG and controlled b# the !or%ers and not b# an omnipotent bureaucrac#.A ;urthermore, he !rites6 F& thin% that !e must ... discard certain other concepts ta%en from 4arx5s Capital ) !here 4arx !as concerned !ith an anal#sis of capitalism ) and artificiall# pasted on to our socialist relations. & am referrin" to such concepts, amon" others, as Onecessar#5 and Osurplus5 labour, Onecessar#5 and Osurplus5 product, Onecessar#5 and Osurplus5 time.G D1$E &t is, of course, of the utmost importance to disco er the true relationship bet!een the 4arxian la! of alue and Russian econom#, !hile rememberin" that 4arx sa! a close connection bet!een this la! and all the contradictions of capitalism.

The mar'ian la of value

4arx5s theor# of alue ma# be explained briefl# as follo!s. <nder capitalism, and onl# under capitalism, Fall, or e en a maKorit# of the products, ta%e the form of commodities.G D1'E ;or products to become commodities a di ision of labour must exist !ithin societ#. But this alone is not enou"h. There !as a di ision of labour !ithin primiti e tribes, but commodities !ere not produced. 7or !ere the# in the s#stem of societ# based on the ancient Roman latifundia !ith their sla e labour and self*sufficienc#. >ithin an# one capitalist factor#, too, there is a di ision of labour, !ithout the fruit of each !or%er5s labour becomin" a commodit#. 2nl# bet!een primiti e tribes, bet!een latifundia or bet!een one capitalist factor# and another, are products exchan"ed, and thus ta%e the form of commodities. 4arx !rites6 F2nl# such products can become commodities !ith re"ard to each other, as result from different %inds of labour, each %ind bein" carried on independentl# and for the account of pri ate indi idualsG D1(E, or F"roups of indi idualsG. D18E /alue is defined as the characteristic common to all commodities on the basis of !hich the# are exchan"ed. 2nl# as commodities do products ha e exchan"e* alueB exchan"e* alue bein" an expression of the social relations bet!een producers of commodities, that is, of the social character of the labour of e er# producer. &t is, in fact, the only expression of labour in a societ# of independent producers. 4arx !rites6 F.ince the producers do not come into social contact !ith each other until the# exchan"e their products, the specific social character of each producer5s labour does not sho! itself except in the act of exchan"e. &n other !ords, the labour of the indi idual asserts itself as a part of the labour of societ#, onl# b# means of the relations !hich the act of exchan"e establishes directl# bet!een the products, and indirectl#, throu"h them, bet!een the producers.G D19E >hen he !rites that a commodit# is alue, 4arx is assertin" that it is materialised abstract labour, that it is the result of a certain portion of the total producti e labour of societ#. F4a"nitude of alue expresses a relation of social production, it expresses the connection that necessaril# exists bet!een a certain article and the portion of the total labour*time of societ# re:uired to produce it.G D?=E

94

>h# is exchan"e alue the onl# expression of this connection, and !h# cannot this relation b# expressed directly, instead of throu"h the medium of thin"sI The ans!er is that the onl# social connection bet!een independent producers that there can be is throu"h thin"s, throu"h the exchan"e of commodities. &n a societ# of independent producers the la! of alue determines6 a$ the e'change relation bet een different commodities! b$ the total ;uantit( of commodities of one kind hich ill be "roduced com"ared ith commodities of another kind! and therefore! c$ the division of the total labour time of societ( among different enter"rises$ +ence it determines the exchan"e relation bet!een labour po!er as a commodit# and other commodities, and so the di ision of the !or%in" da# into time spent on Fnecessar# labourG @in !hich the !or%er reproduces the alue of his o!n labour po!erA and Fsurplus labourG @in !hich he produces surplus alue for the capitalistA. The la! of alue also controls the proportion of social labour de oted to the production of producer and consumer "oods, that is, the relation bet!een accumulation and consumption @a corollar# of a. abo eA. 4arx contrasted the di ision of labour in capitalist societ# as a !hole @!hich is expressed in the appearance of aluesA and the di ision of labour !ithin a sin"le factor# @!hich is notA6
=ivision of labour in societ( is brought about b( the "urchase and sale of the "roducts of different branches of industr(! hile the connection bet een the detail o"erations in a orksho"! are due to the sale of the labour1"o er of several orkmen to one ca"italist! ho su""lies it as combined labour1"o er$ The division of labour in the orksho" im"lies concentration of the means of "roduction in the hands of one ca"italistE the division of labour in societ( im"lies their dis"ersion among man( inde"endent "roducers of commodities$ :hile ithin the orksho" the iron la of "ro"ortionalit( sub)ects definite numbers of orkmen to definite functions! in the societ( outside the orksho"! chance and ca"rice have full "la( in distributing the "roducers and their means of "roduction among the various branches of industr($ The different s"heres of "roduction! it is true! constantl( tend to an e;uilibriumG for! on the one hand! hile each "roducer of a commodit( is bound to "roduce a use1value! to satisf( a "articular social ant! and hile the e'tent of these ants differs ;uantitativel(! still there e'ists an inner relation hich settles their "ro"ortions into a regular s(stem! and that s(stem one of s"ontaneous gro thE and! on the other hand! the la of the value of commodities ultimatel( determines ho much of its dis"osable orking1time societ( can e'"end on each "articular class of commodities$ .ut this constant tendenc( to e;uilibrium! of the various s"heres of "roduction! is e'ercised! onl( in the sha"e of a reaction against the constant u"setting of this e;uilibrium$ The a priori s(stem on hich the division of labour! ithin the orksho"! is regularl( carried out! becomes in the division of labour ithin the societ(! an a posteriori! nature1im"osed necessit(! controlling the la less ca"rice of the "roducers! and "erce"tible in the barometrical fluctuations of the market1 "rices$ =ivision of labour ithin the orksho" im"lies the undis"uted authorit( of the ca"italist over men! that are but "arts of a mechanism that belongs to him$ The division of labour ithin the societ( brings into contact inde"endent commodit(1"roducers! ho ackno ledge no other authorit( but that of com"etition! of the coercion e'erted b( the "ressure of their mutual interests$ 0213

Thus in spite of the lac% of central plannin" !ithin a societ# of commodit#*producers, the la! of alue creates order out of disorder, b# the continuous chan"e in demand and suppl# produced b# competition. , certain e:uilibrium is established in the production of different "oods, in the di ision of the total labour time of societ# bet!een the different branches of the econom# and so on. >ithin the indi idual factor#, on the other hand, it is not impersonal anarch#. but the conscious !ill of the capitalist !hich determines the di ision of labour and the :uantit# of different "oods to be produced. &t is :uite ob ious that in all the different forms of societ#, from the primiti e communism of the ancient past to the future socialist societ#, there must be a certain di ision of the labour time of societ# amon" the different branches of the econom# in order to produce suitable :uantities of the "oods !hich are needed. But the !a# in !hich this di ision is carried out has aried !ith e er# form of societ#. F1 er# child %no!s,G !rote 4arx,
that a countr( hich ceased to ork! I ill not sa( for a (ear! but for a fe eeks! ould die$ Iver( child kno s too that the mass of "roducts corres"onding to the different needs re;uire different and ;uantitativel( determined masses of the total labour of societ($ That this necessit( of distributing social labour in definite "ro"ortions cannot be done a a( ith b( the particular form of social "roduction! but can onl( change the form it assumes! is self1evident$ >o natural la s can be done a a( ith$ :hat can change! in changing historical circumstances! is the form in hich these la s o"erate$ And

9%

the form in hich this "ro"ortional distribution of labour o"erates! in a state of societ( here the interconnection of social labour is manifested in the private e change of the individual "roducts of labour! is "recisel( the e change value of these "roducts$ 0223

The necessar# condition for exchan"e alue to be the manifestation of the di ision of the total labour time of societ# bet!een the production of different "oods, is that the acti it# of people in the process of production should be Opurel# atomic5, there must be free competition bet!een independent producers and bet!een the o!ners of different commodities, includin" the sellers of labour po!er. The relation bet!een the members of societ# in the course of production must not be determined b# conscious action.

The a""licabilit( of the la of value to ca"italist mono"ol(

&n Capital, 4arx too% as the norm of capitalism a s#stem of absolutel# free competition. The onl# marxian economist !ho discussed in detail the la! of alue in relation to monopol# capitalism !as Rudolf +ilferdin" in his boo%, 8as 4inan9,apital @/ienna, 191=A. +e states that it is impossible to deduce from 4arx5s theor# of alue an# "eneral la! b# !hich to explain the :uantitati e effect on monopol# on the exchan"e relations bet!een different commodities. +e !rites6
:hat is undetermined and immeasurable under the rule of mono"olies is demand$ ?o this reacts on the raising of "rices cannot be ascertained$ Bono"ol( "rices can be determined em"iricall(! but their level cannot be determined theoreticall( $$$ 8lassical econom( 0in this ?ilferding includes Bar'3 conceives "rices as the form of a""earance of anarchical social "roduction! their level as de"endent on the social "roductivit( of labour$ The ob)ective "rice la is realised onl( through com"etition$ :hen the mono"olist associations abolish com"etition! the( remove ith this the onl( means b( hich an ob)ective "rice la can be realised$ /rice ceases to be an amount determined ob)ectivel(! and becomes a "roblem of calculation for those ho determine it ith ill and consciousnessE instead of a result it becomes an assum"tion! instead of being ob)ective! sub)ective! instead of being inevitable and inde"endent of the ill and consciousness of the actors it becomes arbitrar( and accidental$ The realisation of the Bar'ian theor( of concentration C the mono"olistic merger C seems to lead to the invalidation of the Bar'ian theor( of value$ 0233

&t is e:uall# impossible to determine !hat :uantities of different commodities !ill be produced, and ho! the total labour time of societ# !ill be di ided bet!een different branches of the econom#. But it is possible to estimate !hat the tendency of the abo e factors !ill be under monopol# conditions in comparison !ith !hat the# !ould ha e been under conditions of free competition. <nder conditions of e:uilibrium, the exchan"e alue of commodities produced b# monopolies !ill rise in relation to others, fe!er of them !ill be produced compared !ith non*monopol# commodities, hence the proportion of the total labour time of societ# absorbed b# monopolised industr# !ill be smaller. &t can be asserted that under conditions of monopol# the exchan"e relations bet!een commodities, the :uantities produced and the di ision of the total labour time of societ# are modifications of the same factors as the# !ould appear under free competition. The la! of alue is partiall# ne"ated, but appears in modified form in essence to continue to exist. Competition, e en thou"h it is not absolutel# free, exists, and therefore, 4arx5s thesis is still correct, i8., that Fthe beha iour of men in the social process of production is purel# atomic. +ence their relations to each other in production assume a material character independent of their control and conscious indi idual actions.G D?4E Because of the competition bet!een different monopolies either in the same branch or in different branches of the econom#, the relations of exchan"e bet!een commodities are related to, e en if not exactl# e:ui alent to, the labour time spent on their production or their deri ed cost of production ratios. ,lthou"h the di ision of labour !ithin societ# as a !hole is not absolutel# independent of the conscious actions of indi iduals or "roups @such as monopoliesA this di ision can be aried onl# !ithin relati el# narro! limits from !hat it !ould ha e been under completel# free competition. &n spite of Fplannin"G b# monopolies, the di ision continues to be arbitrar# and :uite different from the di ision of labour $ithin a factor#, Fnot onl# in de"ree, but also in %indG. 4onopol# capitalism means a partial ne"ation of the 4arxian la! of alue but on the basis of the la! of alue itself. But =determinatio est negatio>. The #artial ne"ation of the la! of alue &orders on its total ne"ation. 9&

State mono"ol( ca"italism and the la of value

+o! does the la! of alue operate !hen the state inter enes in the economic s#stem b# re"ulatin" the price of commodities, bu#in" a substantial part of the products of the national econom#, allocatin" ra! materials, and re"ulatin" capital in estmentI ,ccordin" to Lenin,
:hen ca"italists ork for the defence! i$e$! for the government treasur(! it is obviousl( no more 5"ure7 ca"italism! but a s"ecial form of national econom($ /ure ca"italism means commodit( "roduction$ 8ommodit( "roduction means ork for an unknown and free market$ .ut the ca"italist 5 orking7 for the defence does not 5 ork7 for the market at all$ ?e fills the order of the government! and in most cases for mone( that had been advanced to him b( the treasur($ 02%3

-oes this mean that the suppl# of products to the state b# capitalist enterprises is outside the la! of alueI &n 7a8i 9erman# !here the state bou"ht more than half the total national product, concentrated in its hands the allocation of ra! materials, re"ulated the flo! of capital into the different branches of the econom#, fixed the prices of commodities, and re"imented the labour mar%et, it !as not left to the blind, automatic acti it# of the mar%et to re"ulate the exchan"e relations of different commodities, the relati e :uantities of different "oods produced and the di ision of the total labour time of societ# amon" the different industries. &t is true that the 7a8i state did not ta%e all the decisions re"ardin" production, but it did ta%e the more decisi e ones. &n the 7a8i econom# the state fixed the :uantit# of consumer "oods producedB there !as no freedom in sellin" labour po!er, and the di ision of the total labour time of societ# amon" the different branches of industr# !as determined not b# the automatism of the mar%er, but b# the state5s allocation of orders and ra! materials and b# its control o er capital in estment. , er# narro! field remained for the autonomous acti ities of different entrepreneurs !ithin 9erman#. ,s +ilferdin" !rote6 F&n 9erman# ... the .tate, stri in" to maintain and stren"then its po!er, determines the character of production and accumulation. Prices lose their re"ulatin" function and become merel# means of distribution. The econom#, and !ith it the exponents of economic acti it#, are more or less subKected to the .tate, becomin" its subordinates.G D,E The term Fstate capitalismG can denote both a capitalist !ar econom# and the sta"e in !hich the capitalist state becomes the repositor# of all the means of production. Bu%harin, for example, used it to denote both. ,lthou"h, as !ill be seen, there is no basic :ualitative difference bet!een the t!o as re"ards their effect on @aA the exchan"e relation bet!een commodities, @bA the relati e :uantities produced, and @cA the distribution of the total labour time of societ#, !e thin% that it !ill be preferable to distin"uish bet!een the t!o in order to a oid confusion. The term Fstate capitalismG !ill be used onl# to denote the sta"e in !hich the capitalist state becomes the repositor# of the means of production, !hile a capitalist !ar econom# !ill be termed Fstate monopol# capitalismG. .tate monopol# capitalism is, in the last anal#sis, at the merc# of blind economic forces, and is not "o erned b# the conscious !ill and decisions of an# man or men. ;or example, "o ernment orders are allocated accordin" to the relati e stren"ths @expressed in production capacit#A of the different companies tenderin" for them. +ence each compan# has to tr# and achie e a certain rate of capitalist accumulation. The# are dri en to raise profits at the expense of !a"es. The# create an increased demand for means of production relati e to the demand for means of consumption, and so on. &n 9erman#, under 7a8i rule, the di ision of the total national product bet!een the different social classes, and the distribution of the total labour time bet!een the production of consumer and capital "oods, !as not determined b# an arbitrar# decision of the "o ernment, but b# pressure of competition. The same resulted from the competiti e pressure ) economic and militar# ali%e ) of the Po!ers a"ainst !hich 9erman# fou"ht. 7ot!ithstandin", therefore, the distortions of competition and of the la! of alue under state monopol# capitalism, this la! is, in the last anal#sis, all*decisi e.

9<

The Bar'ian la of value and the +ussian econom( vie ed in isolation from orld ca"italism

,t first si"ht the relationship bet!een the different enterprises in Russia appears to be the same as that bet!een different enterprises in the traditional capitalist countries. But this is onl# formall# so. &n a societ# of pri ate producers the essential different bet!een the di ision of labour !ithin societ# as a !hole, is that in the former the o!nership of the means of production is concentrated in the hands of one man or one bod# of men, !hile in capitalist societ# as a !hole there is no centre of decisions, but onl# the Fblindl# !or%in" a era"eG, !hich determines ho! man# !or%ers shall be emplo#ed in different enterprises, !hat commodities shall be produced, and so on. 7o such distinction exists in Russia. Both indi idual enterprises and the econom# as a !hole are subordinated to the planned re"ulation of production. The difference bet!een the di ision of labour !ithin, sa#, a tractor factor# and the di ision of labour bet!een it and the steel plant !hich supplies it, is a difference in de"ree onl#. The di ision of labour !ithin Russian societ# is in essence a species of the di ision of labour !ithin a sin"le !or%shop. ;ormall#, products are distributed amon" the different branches of the econom# throu"h the medium of exchan"e. But as the o!nership of all the enterprises is ested in one bod#, the state, there is no real exchan"e of commodities. F2nl# such products can become commodities !ith re"ard to each other, as result from different %ids of labour, each %ind bein" carried on independentl# and for the account of pri ate indi idualsG D?'E or F"roups of indi idualsG. D?(E &n a societ# of pri ate producers, connected !ith one another onl# throu"h exchan"e, the medium re"ulatin" the di ision of labour in societ# as a !hole is the monetar# expression of exchan"e alue ) price. &n Russia there is a direct connection bet!een the enterprises throu"h the medium of the state !hich controls production in nearl# all of them and so price ceases to ha e this uni:ue si"nificance of bein" the expression of the social character of labour, or re"ulator of production. &f the demand for shoes exceeds the suppl# in a traditionall# capitalist countr#, the price of shoes !ill automaticall# rise relati el# to the price of other commoditiesB profits in the shoe industr# !ill increase, capital and labour !ill pour into it and more of the total labour time of societ# !ill be spent in shoe production. The la! of alue tends to e:ualise suppl# and demand, a situation in !hich price is e:ual to alue, or more correctl#, is e:ual to price of production. DBE &f in Russia the demand for shoes exceeded the suppl#, althou"h there !ould be a rise in the price of shoes either officiall# or on the blac% mar%et, there !ould be no increase in the production of shoes, nor, therefore, in the labour time de oted to their production. To ta%e another example. &n the traditional capitalist countries, the ratio bet!een the production of production of producer and consumer "oods is determined b# the la! of alue. &f the suppl# of shoes is belo! demand and the suppl# of machiner# is abo e, the price of shoes !ill rise and the price of machiner# !ill declineB capital and labour are transferred from one branch of the econom# to the other until the correct balance is restored. But in Russia the state o!ns &oth sections of industr#, and, therefore, a hi"h rate of profit in the production of consumer "oods !ill not attract capital and labour into that section and out of the other, and vice versa, because the ratios existin" bet!een them are not deri ed from the uncontrolled mechanism of the Russian internal mar%et. The relationship bet!een the production of the t!o departments @the production of consumer "oods, and of consumer "oodsA is directl# dependent on the relationship bet!een accumulation and consumption. >hile in the traditionall# capitalist countries competition bet!een different factor# o!ners causes them to accumulate and increase the or"anic composition of capital, in Russia this factor does not exist as all the factories are o!ned b# one authorit#. +ere accumulation and technical impro ement are not underta%en as measures of defence a"ainst an attac% in the competiti e !ar !ith other enterprises. >e ha e seen that the price is not the medium throu"h !hich Russian production and the di ision of labour in Russian societ# as a !hole are re"ulated. &t is the "o ernment !hich re"ulates. Price is onl# one of the !eapons the state uses in this acti it#. &t is not the motor, but the transmission belt.

98

This does not mean that the price s#stem in Russia is arbitrar#, dependin" purel# on the !him of the bureaucrac#. The basis of price here, too, is the cost of production. @The lar"e*scale use of subsidies on the one hand, and the turno er tax on the other, do not contradict this.A 7e ertheless there is a fundamental difference bet!een this price s#stem and the t#pe operatin" in traditional capitalism. The latter expresses the autonomous acti it# of the econom# @!hich is freest under free competition, less so under monopol#AB the former is a si"n that the econom# is not self*propelled at all. The difference bet!een these t!o %inds of price !ill probabl# be clearer if an analo"# is made !ith a less complex societ#, for instance, that of the Pharaohs in ancient 1"#pt. Pharaoh had to calculate ho! to di ide the total labour time ) !hich is the real cost of production in an# societ# ) of his sla es amon" the needs of his societ#. +is method of doin" so !as direct. , certain number of sla es !as put to the production of food, a certain number to the production of luxur# "oods, others to the construction of the irri"ation s#stem, #et others to the buildin" of the p#ramids, and so on. ,s the process of production !as relati el# simple, there !as no necessit# for an# chec%s be#ond seein" that the number of sla es !as distributed accordin" to the plan. &n Russia, too, the state directl# ma%es an almost DCE complete plan of the di ision of the total labour time, but as the process of production is much more complicated than it !as a fe! thousand #ears a"o, it is not sufficient simpl# to chec% the number of !or%ers en"a"ed in the different branches, for the econom# to run accordin" to the plan. Certain ratios must be fixed bet!een the emplo#ment of machiner# and !or%ers, the use of machiner# of one sort or another, the :uantit# produced, the ra! material and fuel used, and so on. ;or this tas% it is necessar# to ha e a measure common to all costs and all products. Price ser es as this common measure. The difference bet!een the di ision of labour !ithout a price s#stem under the Pharoahs, and that !ith a price s#stem under .talin is a difference in de"ree, but not in essence. .imilarl#, !hether ;ord directs all his enterprises as one administrati e unit, or brea%s them up into smaller units in order to ma%e it easier to calculate and direct, the difference is onl# in de"ree, so lon" as the same !ill directs production. There is one thin" in Russia that appears on the surface to fulfil the re:uirements of a commodit#6 labour po!er. &f it is a commodit#, then the consumer "oods that the !or%ers recei e in exchan"e for their labour po!er are also commodities, bein" produced for exchan"e. >e should then ha e, if not a hi"hl# de eloped circulation of commodities, a hu"e truc% or barter s#stem comprisin" the total consumption of the !or%ers. But 4arx ar"ues that FThe circulation of commodities differs from the direct exchan"e of products @barterA, not onl# in form, but in substance.G D?8E +e "oes on to point out that !ith the circulation of commodities, Fexchan"e ... brea%s throu"h all local and personal bounds inseparable from direct barter, and de elops the circulation of the products of social labourB ... it de elops a !hole net!or% of social relations spontaneous in their "ro!th and entirel# be#ond the control of the actors.G D?9E &n order to see !hether labour po!er in Russia is reall# a commodit#, as it is under traditional capitalism, it is necessar# to see !hat specific conditions are necessar# for it to be so. 4arx states t!o conditions for this6 first, that the labourer must sell his labour po!er as he has no other means of subsistence, bein" FfreeG of the means of productionB secondl#, that the labourer can sell his labour po!er as he is the sole o!ner of it, that is, he is free to do so. The freedom of the !or%er on the one hand, his bonda"e on the other, are sho!n b# the Fperiodic sale of himself, b# his chan"e of masters, and b# the oscillations in the mar%et price of labour po!erG. DC=E 4arx therefore sa#s that in order for labour po!er to become a commodit# it is necessar# that the o!ner of the labour*po!er should sell it onl# for a definite period, for it he !ere to sell it rump and stump, once for all, he !ould be sellin" himself, con ertin" himself from a free man into a sla e, from an o!ner of a commodit# into a commodit#. +e must constantl# loo% upon his labour* po!er as his o!n propert#, his o!n commodit#, and this he can onl# do b# placin" it at the disposal of the bu#er temporaril#, for a definite period of time. B# this means alone that he can a oid renouncin" his ri"hts of o!nership o er it. DC1E &f there is onl# one emplo#er, a Fchan"e of mastersG is impossible, and the Fperiodic sale of himselfG becomes a mere formalit#. The contract also becomes onl# a formalit# !hen there are man# sellers 99

and onl# one bu#er. @That e en this formal side of the contract is not obser ed in Russia is clear from the s#stem of fines and punishments, the Fcorrecti e labourG, and so on.A There is no doubt that Foscillations in the mar%et price of labour po!erG ta%e place in Russia, perhaps more so than in other countries. But here, too, the essence contradicts the form. The point needs some elaboration. &n the traditional capitalist econom#, !here there is competition bet!een sellers of labour po!er, bet!een bu#ers of labour po!er, and bet!een sellers and bu#ers, the price of labour po!er is determined b# the resultin" anarch#. &f the rate of accumulation is hi"h, there is extensi e unemplo#ment, !hich, under normal conditions, raises the nominal !a"es. This increases the demand for consumer "oods, the production of !hich dul# increases, raisin" the real !a"es. @<nder normal conditions of free competition this is a true picture of de elopmentB monopolies distort it some!hat.A This rise of real !a"es ad ersel# influences the rate of profit, !hich, in turn, slo!s the rate of accumulation, and so on. &n contrast to this, in Russia the total amount of real !a"es and salaries is fixed in ad ance b# the :uantit# of consumers5 "oods planned. &t ma# ) and usuall# does ) happen, that because of defects in the !or%in" out an realisation of the plan, the :uantit# of mone# distributed as !a"es and salaries is lar"er than the total price of the consumers5 "oods produced. &f the difference is not ta%en b# the state, it !ill cause a rise in prices @either on the official mar%er or the blac% mar%etA but not a rise is real !a"es. The onl# !a# it could cause a rise in real !a"es !ould be b# causin" the state to increase the production of that branch !hich experiences a rise in prices. The Russian state, ho!e er, does not do this. @There is a point belo! !hich real !a"es cannot fall for an# len"th of time. This is the ph#sical minimum, !hich applies to Russia as much as to an# other societ#, !hether based on sla e labour, serf labour, or !a"e labour. The fact that real !a"es are not distributed e:uall# amon" Russian !or%ers is, apropos the problem under discussion, of secondar# importance to the fact that the total real !a"es are directl# fixed b# the state.A +ence if one examines the relations !ithin the Russian econom#, abstractin" them from their relations !ith the !orld econom#, one it bound to conclude that the source of the la! of alue, as the motor and re"ulator of production, is not to be found in it. &n essence, the la!s pre ailin" in the relations bet!een the enterprises and bet!een the labourers and the emplo#er*state !ould be no different if Russia !ere one bi" factor# mana"ed directl# from one centre, and if all the labourers recei ed the "oods the# consumed directl#, in kind.

The Bar'ian la of value and the +ussian econom( vie ed in its relation ith orld ca"italism

The .talinist state is in the same position vis-1-vis the total labour time of Russian societ# as a factor# o!ner vis-1-vis the labour of his emplo#ees. &n other !ords, the di ision of labour is planned. But !hat is it that determines the actual di ision of total labour time in Russian societ#I &f Russia had not to compete !ith other countries, this di ision !ould be absolutel# arbitrar#. But as it is, .talinist decisions are based on factors outside of control, namel# the !orld econom#, !orld competition. ;rom this point of ie! the Russian state is in a similar position to the o!ner of a sin"le capitalist enterprise competin" !ith other enterprises. The rate of exploitation, that is, the ratio bet!een surplus alue and !a"es @sP A does not depend on the arbitrar# !ill of the .talinist "o ernment, but is dictated b# !orld capitalism. The same applies to impro ements in techni:ue, or, to use !hat is practicall# an e:ui alent phrase in 4arxian terminolo"#, the relation bet!een constant and ariable capital, that is, bet!een machiner#, buildin", materials, etc., on the one hand, and !a"es on the other @cP A. The same therefore applies to the di ision of the total labour time of Russian societ# bet!een production of the means of production and of means of consumption. +ence !hen Russia is ie!ed !ithin the international econom# the basic features of capitalism can be discerned6 Fanarch# in the social di ision of labour, and despotism in that of the !or%shop are mutual conditions the one of the other ...G

1@@

&f Russia tried to flood the !orld mar%et !ith her products, or if other countries flooded the Russian mar%et !ith theirs, the Russian bureaucrac# !ould be forced to cut the costs of production b# reducin" !a"es relati el# to the producti it# of labour or absolutel# @increasin" sP A, impro in" techni:ue @increasin" cP A, or increasin" production of producer "oods relati e to consumer "oods. The same tendencies !ould manifest themsel es if !orld capitalism too% the form of militar# pressure instead of normal, commercial competition. <p to no!, Russia5s econom# has been too bac%!ard for her to be able to flood forei"n mar%ets !ith her "oods. +er o!n mar%ets are protected a"ainst the possibilit# of bein" flooded !ith forei"n "oods b# irtue of the state5s monopol# of forei"n trade !hich can onl# be destro#ed b# militar# po!er. +ence the commercial stru""le has so far been of less D-E importance than the militar#. Because international competition ta%es mainl# a militar# form, the la! of alue expresses itself in it opposite, i8. a stri in" after use alues. This point re:uires elaboration. &n so far as alue is the onl# expression of the social character of labour in a societ# of independent producers, a capitalist tries to stren"then himself a"ainst his competitors b# increasin" the total alues !hich he o!ns. ,s alue is expressed in mone#, it ma%es no difference to him !hether he in ests, sa# a million pounds in shoe production and recei es a profit of T1==,=== or in the production of armaments and recei es a profit of T1==,===. ,s lon" as his product has some use alue, he is not concerned !ith !hat particular use alue it is. &n the formula of the circulation of capital, 4one#)Commodit#)4one# @41)C)4?A, C onl# appears as a brid"e bet!een 41 and 4? @4?, if e er#thin" runs smoothl# for the capitalist, bein" lar"er than 41A.
6m!ort an, ex!ort of @SSR in current !rices [#$] 5x!orts 6m!orts Turnover 1"1# &!%9&$4 &!@22$% 12!&18$9 1"$( 1!4<&$1 1!138$8 2!&14$9 1"$% 3!%18$9 4!1<4$& <!&93$% 1"#* 4!%39$3 4!&3<$% 9!1<&$8 1"#' 1!<28$& 1!341$3 3!@&9$9

&f Russia traded extensi el# !ith countries outside her empire, she !ould tr# to produce commodities !hich !ould fetch a hi"h price on the !orld mar%et, and to bu# the cheapest possible commodities from abroad. Thus she !ould be aimin", li%e a pri ate capitalist, at increasin" the sum of alues at her disposal b# producin" some use alue or another, re"ardless of !hat use it !ould be. @This factor has "reat bearin" on Russia5s trade !ith her satellites. DCCEA But as competition !ith other countries is mainl# militar#, the state as a consumer is interested in certain specific use alues, such as tan%s, aeroplanes, and so on. /alue is the expression of competition bet!een independent producersB Russia5s competition !ith the rest of the !orld is expressed b# the ele ation of use alues into an end, ser in" the ultimate end of ictor# in the competition. <se alues, !hile bein" an end, still remain a means. , similar process ta%es place in the countries of traditional capitalism also, althou"h in a less ob ious !a#. &t ma%es no difference to the indi idual armament manufacturer !hether he in ests his capital in the production of "uns or butter, pro ided he ma%es a profit. But the state to !hich he belon"s is extremel# interested in the use alue of his products. +is relations !ith the state are those of seller and bu#er, the former bein" interested onl# in alue and the latter in use alue. But in fact these relations of exchan"e are onl# formal. The state does not offer another commodit# in exchan"e for armaments. &t pa#s for them out of taxes and loans le ied on the !hole econom#. &n other !ords, the burden of armaments is spread more or less o er the !hole econom#. @This becomes cr#stal clear !hen the state, instead of collectin" taxes and raisin" loans in order to but arms from pri ate firms, produces them itself.A The slo"an O"uns before butter5 means the sta"e !here the international di ision of labour is disrupted, and competition throu"h bu#in" and sellin" is replaced b# direct militar# competition. <se alues ha e become the aim of capitalist production.

1@1

;urther e idence of this is the difference bet!een technical ad ance in !ar and in peace. &n a !ar econom# there is irtuall# no limit to the mar%et, nor an# need to cut costs of production in the interests of commercial competition. The o er!helmin" need is to increase the :uantit# of "oods a ailable. +ence durin" >orld >ar && technical impro ements !ere introduced !hich had been opposed in peacetime b# the monopolies and cartels. The fact that the Russian econom# is directed to!ards the production of certain use alues does not ma%e it a socialist econom#, e en thou"h the latter !ould also be directed to!ards the production of @ er# differentA use alues. 2n the contrar#, the t!o are complete opposites. The increasin" rate of exploitation, and the increasin" subordination of the !or%ers to the means of production in Russia, accompanied as it is b# a "reat production of "uns but not butter, leads to an intensification, not a lessenin" of the oppression of the people. The la! of alue is thus seen to be the arbiter of the Russian economic structure as soon as it is seen in the concrete historical situation of toda# ) the anarchic !orld mar%et.

Footnotes

,. R. +ilferdin", State Ca#italism or Totalitarian !conomy, :eft, .eptember 194(. >ritten in 194=. B. The relation bet!een the alue and price of production is a er# complicated one, and cannot be dealt !ith here. @.ee Capital, /ol.&&&, Part &&.A C. F,lmostG, because there are some border cases in !hich the control of the state is not complete. The labour time of the %ol%ho8 member on his pri ate plot is an example of this. Li%e!ise the labour of the artisan. But e en if these are not consciousl# planned b# the state, the# are not :uite free of control. Throu"h the le ers of prices, taxes, and especiall# the state5s plannin" of the main field of production, these peripheral acti ities are also dra!n into channels desired b# the state. -. Thus durin" the period of the ;i e*Hear Plans, !hen industrial production multiplied man# times, imports and exports both declined in a most phenomenal manner.

References

1. ;. 1n"els, Anti(8Khrin-, op. cit., p.C41. ?. &. Lapidus and J. 2stro itiano , olitical 2conomy in Connection +ith the Theory of Soviet 2conomy, 4osco!*Lenin"rad 19?8, pp.8*9. C. i!id., p.1=. 4. i!id., pp.1C1*1C?. $. 1.,. Preobra8hens%#, Ne+ 2conomic , op.cit., pp.?8*?9, C'*C(. '. ,. Leontie , olitical 2conomy. A <e-inners Course1 London 194C, p.('. ;or the same ideas see ,. Leontie and 1.L. Jhmelnits%aia, .utlines of Transition 2conomics @RussianA, Lenin"rad 19?(, especiall# p.1C?. (. ;. 1n"els, Anti(8Khrin-, op.cit., p.C4=. 8. i!id., p.C41. 9. Marx and 2n-els Archives @RussianA, 4osco! 19CC, /ol.&& @/&&A pp.'*(. 1=. i!id., /ol./, p.$9. 11. od >namenem Mar,si9ma1 7o.(*8, 194C, translated in full in American 2conomic Revie+1 .eptember 1944. Ruotations are ta%en from that translation. 1?. .talin, 2conomic ro!lems of Socialism in the ;SSR , op.cit., p.?C. 1C. i!id., p.4?. 14. i!id., p.??. 1$. i!id., p.?1. 1'. J. 4arx, Capital, /ol.&, p.188. 1(. i!id., p.49. 18. i!id., p.84. 19. i!id. ?=. i!id., p.114. ?1. i!id., pp.C9=*C91.

1@2

??. 4arx and 1n"els, Selected Correspondence, op.cit., p.?4'. ?C. R. +ilferdin", 8as 4inan9,apital1 /ienna 191=, p.?8'. ?4. J. 4arx, Capital, /ol.&, p.1=$. ?$. /.&. Lenin, ?or,s @RussianA, /ol.SS/, p.$1. ?'. J. 4arx, Capital, /ol.&, p.49. ?(. i!id., p.84. ?8. i!id., p.1?'. ?9. i!id. C=. i!id., p.'CC. C1. i!id., pp.18'*18(. C?. 4orei-n Trade of the ;SSR for )B @ears1 #$#3(#$*%1 Statistical 6and!oo, @RussianA, 4osco! 19C9, p.1=. CC. .ee H. 9luc%stein, op.cit., pp.'?*'(.

Chapter 7: Russian economy and the Marxian law of value and theory of capitalist crisis (Part 2)
8an there be orld state ca"italismO

&f the production of the !hole !orld !ere controlled b# one authorit#, that is, if the .talinist bureaucrac# could unite the !orld under its rule and the masses !ere forced to accept such a r["ime, the resultin" econom# !ould be a s#stem of exploitation not subKect to the la! of alue and all its implications. 1xaminin" the problem ) in h#pothetical form at that date @191$A, of course ) Bu%harin reached this er# conclusion. &n his boo%, ?orld 2conomy and Imperialism, he explains that if the national state !ere to or"anise the national econom#, commodit# production !ould remain Fin the first place DinE the !orld mar%etG, and the econom# !ould be, therefore, state capitalist. But if Fthe or"anisation of the !hole $orld econom# as one "i"antic state trustG too% place @!hich, incidentall#, Bu%harin did not belie e possibleA, F!e !ould ha e an entirel# ne!, uni:ue, economic form. This !ould be capitalism no more, for the production of commodities !ould ha e disappearedB still less !ould it be socialism, as the domination of one class o er the other !ill ha e remained @and e en "ro!n stron"erA. .uch an economic structure !ould, most of all, resemble a sla e*master5s econom#, !ith the absence of the sla e mar%et.G DC4E @Because of national and social conflicts, it is er# unli%el# that such a !orld empire could e er in fact exist.A

Bar'4s theor( of ca"italist crisis

&t is impossible !ithin the frame!or% of the present !or% to deal ade:uatel# !ith 4arx5s anal#sis of the capitalist crisis of o erproduction. >e shall ha e to limit oursel es to a short summar#. <nli%e all pre*capitalist forms of production, capitalism is forced to accumulate more and more capital. But this process is hampered b# t!o complementar#, and #et contradictor#, factors, both arisin" out of the s#stem itself. 2ne is the decline in the rate of profit, !hich means the shrin%in" of the sources of further accumulation. The other is the increase in production be#ond the absorpti e capacit# of the mar%et. &f it !ere not for the first contradiction, the FunderconsumptionistG solution of the crisis ) to raise the !a"es of the !or%ers ) !ould be a simple and excellent ans!er. &f it !ere not for the second contradiction, fascism could, b# continuousl# cuttin" !a"es, ha e sta es off the crisis for a lon" period at least. -ealin" !ith the second horn of capitalism5s dilemma, the lo! purchasin" po!er of the masses, 4arx !rote6

1@3

The entire mass of commodities! the total "roduct! hich contains a "ortion hich is to re"roduce the constant and variable ca"ital as ell as a "ortion! re"resenting sur"lus1value! must be sold$ If this is not done! or onl( "artl( accom"lished! or onl( at "rices hich are at belo the "rices of "roduction! the labourer has been none the less e'"loited! but his e'"loitation does not realise as much for the ca"italist$ It ma( (ield no sur"lus1value at all for him! or onl( realise a "ortion of the "roduced sur"lus1value! or it ma( even mean a "artial or com"lete loss of his ca"ital$ The conditions of direct e'"loitation and those of the realisation of sur"lus1value are not identical$ The( are se"arated logicall( as ell as b( time and s"ace$ The first are onl( limited b( the "roductive "o er of societ(! the last b( the "ro"ortional relations of the various lines of "roduction and b( the consuming "o er of societ($ This last1named "o er is not determined either b( the absolute "roductive "o er nor b( the absolute consuming "o er! but b( the consuming "o er based on antagonistic conditions of distribution! hich reduces the consum"tion of the great mass of the "o"ulation to a variable minimum ithin more or less narro limits$ The consuming "o er is furthermore restricted b( the tendenc( to accumulate! the greed for an e'"ansion of ca"ital and a "roduction of sur"lus1value on an enlarged scale$ 03%3

,nd he adds6
The stu"endous "roductive "o er develo"ing under the ca"italist mode of "roduction relativel( to "o"ulation! and the increase! though not in the same "ro"ortion! of ca"ital values *not their material substance-! hich gre much more ra"idl( than the "o"ulation! contradict the basis! hich! com"ared to the e'"anding ealth! is ever narro ing and for hich this immense "roductive "o er orks! and the conditions! under hich ca"ital augments its value$ This is the cause of crises$ 03&3

1lse!here he expressed the same idea in these !ords6

The last cause of all real crises al a(s remains the "overt( and restricted consum"tion of the masses as com"ared to the tendenc( of ca"italist "roduction to develo" the "roductive forces in such a a(! that onl( the absolute "o er of consum"tion of the entire societ( ould be their limit$ 03<3

&n the final anal#sis, the cause of the capitalist crisis is that a "reater and "reater part of the income of societ# falls into the hands of capitalist class, and a "reater and "reater part of this is directed not to!ards bu#in" means of consumption, but, instead, means of production, that is, it is directed to!ards the accumulation of capital. Bas, as all means of production are #otentially means of consumption ) that is, after a certain lapse of time, the alue of the means of production becomes incorporated into means of consumptions ) the relati e increase in the part of the national income directed to accumulation compared !ith the part directed to!ards consumption, must lead to o erproduction. ,nd this is a cumulati e process. The increase in accumulation is accompanied b# rationalisation, resultin" in an increased rate of exploitation. The "reater the rate of exploitation, the "reater is the fund from !hich accumulation is dra!n, as compared !ith the !a"es of the !or%ers and the re enue of the capitalist. ,ccumulation breeds accumulation. &f Fthe po ert# and restricted consumption of the massesG !ere the onl# cause of the capitalist crisis, the crisis !ould be permanent, because the !a"es of the !or%ers, on the !hole, al$ays la" behind a rise in the producti it# of labour. >e should then not ha e %no!n the one*time catastrophic e:uation of different elements, but a permanent slump. But there is the other horn of the dilemma, the decline in the rate of profit. The process of capital accumulation is accompanied b# a rise in the or"anic composition of capital, that is, there is a substitution of dead labour @embodied in machiner#, etc.A for li in" labour. .ince the latter produces surplus alue and the former does not, there is a constant tendenc# for the rate of profit to decline. This decline in its turn ma%es competition bet!een the capitalists %eener, for each must tr# to increase his total profits at the expense of his ri als. Competition leads to rationalisation, and so to an e er "reater rise in the or"anic composition of capital. ;rom this icious circle there is no escape. This tendenc# is not b# itself the cause of the c#cle of re i al, boom, crisis, and depression. 4arx explains that the decline of the rate of profit is a very slo! process DC8E, !hich is subKect to man# counteractin" forces. 7e ertheless is constitutes the bac%"round of the economic c#cle. The immediate causes of the c#cle are chan"es in the !a"e rate resultin" from the chan"es in the demand for labour po!er !hich accompan# the process of accumulation. 2n the decline of the rate of profit 4arx !rote6 F&t promotes o er*production, speculation, crises, surplus*capital alon" !ith surplus* population.G DC9E FThe barrier of the capitalist mode of production becomes apparent ... &n the fact

1@4

that the de elopment of the producti e po!er of labour creates in the fallin" rate of profit a la! !hich turns into an anta"onism of this mode of production at a certain point and re:uires for its defeat periodical crises.G D4=E 2n the rise of the le el of !a"es follo!in" on increased emplo#ment durin" a boom, he declared that if it !ere said Fthat the !or%in" class recei e too small a portion of their o!n product, and the e il !ould be remedied b# "i in" them a lar"er share of it, or raisin" their !a"es, !e should repl# that crises are precisel# al!a#s preceded b# a period in !hich !a"es rise "enerall# and the !or%in" class actuall# "et a lar"er share of the annual product intended for consumption.G D41E 2n the connection bet!een the trade c#cle, the rate of profit, the le el of !a"es, and the extent of unemplo#ment, !hen this last factor is of decisi e importance as mar%in" the end of the boom and the be"innin" of the crisis, 4arx !rote6
The hole form of the movement of modern industr( de"ends! therefore! u"on the constant transformation of a "art of the labouring "o"ulation into unem"lo(ed or half1em"lo(ed hands $$$ As the heavenl( bodies! once thro n into a certain definite motion! al a(s re"eat this! so is it ith social "roduction as soon as it is once thro n into this movement of alternate e'"ansion and contraction$ Iffects! in their turn! become causes! and the var(ing accidents of the hole "rocess! hich al a(s re"roduces its o n conditions! take on the form of "eriodicit($ 0423

,ccordin" to his anal#sis, the rate of profit determines the rate of accumulation, the rate of accumulation determines the extent of emplo#ment, the extent of emplo#ment determines the le el of !a"es, the le el of !a"es determines the rate of profit, and so on in a icious circle. , hi"h rate of profit means a :uic% accumulation, hence an increase in emplo#ment and a rise in !a"es. This process continues to a point !here the rise in !a"e rates so ad ersel# affects the rate of profit that accumulation either declines catastrophicall# or ceases alto"ether. The c#cle of the rate of profit and the c#cle of accumulation and the c#cle of emplo#ment, is the life* c#cle of fixed capital @i.e. machiner#, buildin"s, etc.A6
To the same e'tent that the volume of the value and the duration of the fi'ed ca"ital develo" ith the evolution of the ca"italist mode of "roduction! does the life of industr( and of industrial ca"ital develo" in each "articular investment into one of man( (ears! sa( of ten (ears on an average$ If the develo"ment of fi'ed ca"ital e'tends the length of this life on the one side! it is on the other side shortened b( the continuous revolution of the instruments of "roduction! hich like ise increases incessantl( ith the develo"ment of ca"italist "roduction$ This im"lies a change in the instruments of "roduction and the necessit( of continuous re"lacement on account of virtual ear and tear! long before the( are orn out "h(sicall($ Ane ma( assume that this life1c(cle! in the essential branches of great industr(! no average ten (ears$ ?o ever! it is not a ;uestion of an( one definite number here$ So much at least it is evident that this c(cle com"rising a number of (ears! though hich ca"ital is com"elled to "ass b( its fi'ed "art! furnishes a material basis for the "eriodical commercial crises in hich business goes through successive "eriods of lassitude! average activit(! overs"eeding and crisis$ It is true that the "eriods in hich ca"ital is invested are different in time and "lace$ .ut a crisis is al a(s the starting "oint of a large amount of ne investments$ Therefore it also constitutes! from the "oint of vie of societ(! more or less of a ne material basis for the ne't c(cle of turn1over$ 0433

This theor# explains !h#, in spite of the anta"onistic mode of distribution and the tendenc# of the rate of profit to decline, there is not a permanent crisis of o erproduction, but a c#clical mo ement of the econom#. -urin" the period !hen fixed capital is bein" rene!ed and added to, the introduction of ne! means of production does not result directl# in an added suppl# of finished "oods. But after a time, ma#be after a fe! #ears, the alue of the ne! means of production be"ins to be incorporated in ne! products, in the form of both means of production and means of consumption. This ta%es place !ithout an#, or !ith onl# a relati el# small amount of capital bein" in ested at that time. &n other !ords, for a fe! #ears in estments in the construction of ne! industries of the expansion of existin" ones are er# lar"e compared !ith the increase in the output of finished "oods. These are the #ears of boom, and the# are follo!ed b# a period in !hich the output of finished "oods expands considerabl#, almost simultaneousl# !ith a decline in the rate of accumulation. This is the crest of the boom and the harbin"er of the comin" crisis. Then comes the crisis6 production declines catastrophicall# !hile in estment stops or e en "i es place to disin estment. There is another factor !hich must be considered in this connection ) the disproportion bet!een different industries. This ma# be the direct result of the anarchic character of capitalist production.

1@%

The capitalists of one industr# ma# o er*estimate the demand for its products and therefore o erexpand its producti e capacit#. ,s there are man# capitalists, it is onl# after the "oods are produced that the capitalist becomes a!are, throu"h the mar%et, that suppl# has exceeded demand. This leads to a fall in prices, decline of profits, restriction and a decline in the demand for labour po!er, ra! materials and machiner# produced b# other factories, and so on. This restriction is not necessaril# compensated for b# the expansion of production in other industries. 2n the contrar# the contraction of production in one industr# can lead to similar results in other industries !hich are directl# or indirectl# dependent on it. &f the industr# !hich suffers first from o er*production is an important one, a general crisis ma# result. FThat a crisis @and hence also o erproductionA be "eneral it is enou"h that it sei8e hold of the leadin" articles of commerce.G D44E &n this case the disproportion bet!een different industries is the cause of the decline of the rate of profit and the decline of the consumption of the masses, and these three factors to"ether brin" about the crisis. But disproportion bet!een different industries ma# be the result of the decline of the rate of profit or the underconsumption of the masses as !ell as, in its turn, their cause. &f on the basis of a certain rate of profit there is a certain rate of accumulation, the rate of profit determines the demand for means of production and leads to a certain relationship bet!een the demand for producer and consumer "oods. , decline in the rate of profit, b# causin" a decline in the rate of accumulation, immediatel# chan"es the pattern of demandB and so upsets the balance of the demand for the t!o t#pes of production. , similar relation exists bet!een the underconsumption of the masses and the proportion or disproportion bet!een the different industries. FThe Oconsumin" po!er of societ#5, and Othe proportionalit# of the arious branches of production5 ) these are absolutel# not indi idual, independent, unconnected conditions. 2n the contrar#, a certain state of consumption is one of the elements of proportionalit#.G D4$E 2ne of the s#mptoms of disproportion bet!een different industries is a chan"e in the relation bet!een the output of ra! materials and the demand for them. 9enerall# at the be"innin" of the re i al the suppl# of ra! materials exceeds the demand, and their prices are therefore lo!. ,s economic acti it# increases, these prices rise, thus increasin" the cost of production, !hich ad ersel# affects the rate of profit. D4'E -urin" a boom the prices of ra! materials usuall# rise more than those of finished "oods, and durin" a crisis fall much more steepl#6 the reason for this is that the suppl# of ra! materials is far less elastic than that of finished "oods. ,nother indication of the same disproportion, !hich is a result rather than a cause of the economic c#cle, but !hich has ne ertheless and important reflex influence, is the rate of interest. The capitalist entrepreneurs do not recei e the !hole surplus alue produced in their underta%in"s, but onl# !hat remains after the deduction of rent, taxes and interest. ,t the be"innin" of a trade re i al, there is "enerall# an excess of credit o er the demand for it. +ence the rate o interest is lo!, and this in turn encoura"es the re i al. -urin" a boom the rate of interest continues to be lo!, until shortl# before its end, !hen it rises sharpl#, reachin" its maximum !ith the onset of the crisis. ,fter this it falls er# sharpl#. D4(E Thus, !hile the cur e of the "eneral rate of profit and the cur e of the economic c#cle as a !hole rou"hl# correspond, the rate of interest cur e sho!s much "reater 8i"*8a"s !hich cut across the cur e of the economic c#cle. The chan"es in the rate of interest spur the re i al on at an e er !ilder pace on the one hand, and on the other plun"e the economic s#stem into e er*deepenin" crises. Credit has made it possible for capitalism to de elop at an unprecedented tempo, but it also increases the instabilit# of the s#stem. &t blinds the industrialists to the real condition of the mar%et, so that the# continue to expand production be#ond the point at !hich the# !ould ha e stopped if all pa#ments !ere made in cash. This postpones the onset of the crisis, onl# to ma%e it more serious. 2ne further factor contributin" to the onset of a crisis is the existence of a chain of middlemen bet!een the industrial capitalist and the consumers. 2!in" to their acti it#, production can, !ithin certain limits, increase !ithout a correspondin" increase in the sale of products to consumers. The

1@&

unsold products remain as stoc%s in the hands of merchants, ma%in" the crisis, !hen it comes, more se ere. This, in brief, is 4arx5s theor# of the capitalist crisis.

State ca"italism and the crisis C the "osing of the "roblem

&t is ob ious that some of the causes of crises of o erproduction in traditional capitalism !ould not exist in a s#stem of state capitalism. ;or instance, middlemen not onl# !ould not exist under state capitalism, but e en in pri ate enterprise can be eliminated b# the industrialist sellin" his product directl# to the consumer throu"h his o!n tradin" net!or%. ,"ain, credit !ould cease to be a factor if all pa#ments !ere made in cash. ,lso, under state capitalism, the rate of interest !ould not contribute to the fluctuations in the tempo of production. ,s the state !ould o!n all the capital, the use of credit !ould be no different from the use b# each capitalist of his o!n capital. Het a"ain, the disproportion bet!een different branches of the econom# li%e!ise !ould not act as the initial cause of the crisis. ,lthou"h there mi"ht be miscalculations in in estment, and the suppl# of a certain product mi"ht exceed the demand, the fact that the state !ould plan production and demand ma%es an# serious disproportion impossible. 4oreo er, as the state !ould o!n all the industries, there !ould not be a cumulati e process of decline in prices and a decline of the rate of profit spreadin" from one industr# to another, but the effect of a partial o er*production !ould be spread directly o er the !hole econom#. >hen the next c#cle of production be"an, the production of certain "oods !ould be decreased and e:uilibrium restored. These factors !ould, it is true, cease to ha e an effect onl# if the state capitalist econom# !ere self* sufficient. &f it !ere to produce for the !orld mar%et, to recei e credit from other countries, etc., the factors !ould then ha e a certain influence. But !hat of the fundamental dilemma !hich faces traditional capitalismI +o! can a hi"h rate of profit be achie ed !hile surplus alue is realisedI +o! can capital be :uic%l# accumulated !ithout underminin" the mar%et !hich it re:uiresI &n a certain phase of the c#cle ) the boom ) traditional capitalism temporaril# sol es the problem6 a hi"h rate of profit leads to :uic% accumulation, that is, a bi" increase in the production of means of production compared !ith production of means of consumption. +ence a bi" part of the surplus alue can be realised in the industries manufacturin" means of production, that is, in the s#stem of production itself. @This alone is a sufficient explanation !h# the underconsumption of the masses does not cause a permanent crisis, and pre ent an# expansion of production under capitalism.A &f capitalism could transform the boom from a temporar# phase to a permanent condition, there !ould be no o erproduction. Can state capitalism do thisI Can it ensure a hi"h rate of profit, a hi"h rate of accumulation, a hi"h le el of production, !hile #et preser in" the anta"onistic !a# of distribution, Fthe po ert# and restricted consumption of the massesGI

.ukharin on the crisis in state ca"italism

The onl# 4arxian economist to consider the theoretical problem of the crisis of o er*production !ithin a state capitalist econom# !as Bu%harin. &n his discussion of Rosa Luxembur"5s theor# of accumulation, he poses, amon" other problems, the :uestion of ho! reproduction on an enlar"ed scale !ould ta%e place under state capitalism D1E and discusses !hether there !ould be a crisis of o erproduction. +e !rites6
Is accumulation "ossible hereO >aturall($ The constant ca"ital gro s! since the consum"tion of the ca"italists gro s$ >e branches of "roduction corres"onding to ne needs are al a(s established$ The consum"tion of the orkers! although definite limits are "laced u"on it! gro s$ =es"ite this 5underconsum"tion7 of the masses no crisis arises! as the demand of the various branches of production for each other,s products as well as the demand of the consumers !

1@<

ca"italists as ell as orkers! is fi'ed in advance$ *Instead of 5anarch(7 of "roduction a hat is! from the stand"oint of ca"ital! a rational "lan$- If a mistake is made in "roduction goods! the sur"lus is added to inventor( and a corres"onding correction is made in the nat "roduction "eriod$ If a mistake is made in orkers4 consum"tion goods! the sur"lus can be divided among the orkers or destro(ed$ Also in the case of a mistake in the "roduction of lu'ur( goods 5the a( out7 is clear$ Thus there can be no kind of crisis of general over"roduction$ The consum"tion of the ca"italists is the motive "o er for "roduction and for the "roduction "lan$ 8onse;uentl( there is in this case not a specially ra"id develo"ment of "roduction*there is a small number of ca"italists-$ 0493

Bu%harin5s !ords Fin this case not a s#ecially rapid de elopment of productionG ma# be misleadin". 7ot onl# !ill production be Fnot especiall# rapidG, but it !ill be slo!ed do!n compared !ith the tremendous producti e capacit# of a FfreeG capitalist econom#6 there !ill be irtual sta"nation. &t is interestin" to note that 4arx connected sta"nation or Fa dormant stateG !ith a decrease in the number of capitalists to a mere handful in the !hole !orld. FThe rate of profitG, he !rote, Fthat is, the relati e increment of capital, is abo e all important for all ne! offshoots of capital see%in" an independent location. ,nd as soon as the formation of capital !ere to fall into the hands of a fe! established "reat capitals, !hich are compensated b# the mass of profits for the loss throu"h a fall in the rate of profits, the ital fire of production !ould be extin"uished. &t !ould fall into a dormant state.G D$=E

Tugan1.aranovsk(4s 5solution7

Could there not be a capitalist mode of production !ith a hi"h and continuousl# risin" le el of production to"ether !ith the present anta"onistic mode of distributionI &t !ould be possible to construct a model on the follo!in" lines. 1 er# rise in the producti it# of labour !ould be accompanied b# a correspondin" rise in the production of means of production, !hile production of means of consumption !ould not outpace the rate of "ro!th of the population and the consumption of the capitalist class. ,s techni:ues chan"ed, !or%ers and capital !ould be transferred from the production of means of consumption to the production of means of production6 more people and capital !ould be en"a"ed in the production of machiner# in order to produce machiner# in order to produce machiner#, and so on, !hile the production of means of consumption !ould not increase in proportion to the rise in the producti e capacit# of societ#. Production !ould become more and more roundabout, and so the mar%et for !hich capitalism !ould produce !ould be !ithin itself. Pro ided the correct relationship !ere %ept bet!een the t!o sectors of industr#, there !ould be no crisis of o erproduction, ho!e er lo! the purchasin" po!er of the masses. This !as the ar"ument of 4i%hail Tu"an*Barano s%#, a Russian non*4arxist economist. +e !rote6
The schemes ;uoted above ere to "rove a "rinci"le hich might meet ith ob)ectionsE unless the "rocess be ade;uatel( understood! namel(! the "rinci"le that ca"italist "roduction creates a market for itself$ So long as it is "ossible to e'"and social "roduction C if the "roductive forces are ade;uate for this1the "ro"ortionate division of social "roduction must also bring about a corres"onding e'"ansion of the demand! as under such conditions each ne l( "roduced good re"resents a ne l( aeated "urchasing "o er for the ac;uisition of other goods$ From the com"arison of sim"le re"roduction of the social ca"ital ith its re"roduction on an e'"anded scale! the most im"ortant conclusion to be deduced is that in a ca"italist econom( the demand for commodities is in a sense inde"endent of the total volume of social consum"tionG it is "ossible that the aggregate volume of social consum"tion as a hole goes do n hile at the same time the total social demand for commodities gro s! ho ever absurd it ma( seem to 5common sense7$ 0%13

2nl# a disproportion in the rate of expansion of the t!o sectors of industr# can cause a crisis. F&f ... the expansion of production is practicall# unlimited, then !e must assume that the expansion of mar%ets is e:uall# unlimited, for if social #roduction is distri&uted #ro#ortionately' there is no limit to the e%#ansion of the market other than the #roductive forces availa&le to society .G D$?E
Technical "rogress is e'"ressed b( the fact that the im"ortance of the means of labour! the machine! increases more and more as com"ared to living labour! to the orker himself$ Beans of "roduction "la( an ever gro ing role in the "rocess of "roduction and in the conmodit( market$ 8om"ared to the machine! the orker recedes further into the background and so also the demand resulting from the consum"tion of the orkers as com"ared ith the demand resulting from "roductive consum"tion of means of "roduction$ The entire orkings of the ca"italist econom( take on the character of a

1@8

mechanism e'isting for its o n sake! in hich human consum"tion a""ears as a sim"le moment of the "rocess of re"roduction and the circulation of ca"itals$ 0%33

&n another !or%, Tu"an*Barano s%# reduced the idea to an absurdit#6

If all orkers e'ce"t one disa""ear and are re"laced b( machines! then this one single orker ill "lace the hole enormous mass of machiner( in motion and ith its assistance "roduce ne machines C and the consum"tion goods of the ca"italists$ The orking class ill disa""ear! hich ill not in the least disturb the self1e'"ansion "rocess *0erwertungspro1ess- of ca"ital$ The ca"italists ill receive no smaller mass of consum"tion goods! the entire "roduct of one (ear ill be realised and utilised b( the "roduction and consum"tion of the ca"italists in the follo ing (ear$ Iven if the ca"italists desire to limit their o n consum"tion! no difficult( is "resentedE in this case the "roduction of ca"italists4 consum"tion goods "artiall( ceases! and an even larger "art of the social "roduct consists of means of "roduction! hich serve the "ur"ose of further e'"anding "roduction$ For e'am"le! iron and coal are "roduced hich serve al a(s to e'"and the "roduction of iron and coal$ The e'"anded "roduction of iron and coal of each succeeding (ear uses u" the increased mass of "roducts turned out in the "receding (ear! until the su""l( of necessar( minerals is e'hausted$ 0%43

Clearl#, as Tu"an*Barano s%# himself remar%s, the main point of his anal#sis is not Fthe !holl# arbitrar# and unreal assumption that the replacement of manual labour b# machiner# leads to an absolute diminution in the number of !or%ers ... but rather the thesis that, "i en a proportional distribution of social production, no decline in social consumption is capable of producin" a superfluous product.G D$$E Tu"an*Barano s%#5s FsolutionG is impossible of application under indi idual capitalism because of the dependence on one another of the t!o sectors of the econom#, and because of the uncontrolled exchan"e bet!een them. <nder capitalism there is production both of use alues and of alues. The purpose of the former is the satisfaction of human needs, independent of the particular form of the econom#B but the purpose of the latter @the production of aluesA is FaccumulationG ) in order, as 4arx expressed it, Fto con:uer the !orld of social !ealth, to increase the mass of human bein"s exploited b# him Dthe capitalistEG. D$'E ,lthou"h the capitalist ma# consider use alue onl# as the bearer of alue, and althou"h he ma# consider consumption onl# as a means and not an end, the means is ne ertheless ital, because !ithout it the end could not be achie ed. FConsumption produces production b# creatin" the necessit# for ne! production ... 7o !ants, no production. But consumption reproduces the !ant.G D$(E The dependence of accumulation on consumption means that the sector of the econom# producin" capital "oods depends on the sector producin" means of consumption. <nder pri ate capitalism this relationship is achie ed !ithout conscious plannin". &f the suppl# of capital "oods exceeds the demand for them to a "reater extent than the suppl# of consumer "oods exceeds the demand for them, the price of the former decreases relati el# to the price of the latter. +ence the rate of profit decreases in industries producin" means of production and increases in industries producin" means of consumption. This leads to a fallin" off of accumulation in the first and an increase in the rate of accumulation in the other sector of the econom#. Capital !ill then be transferred from the first to the second until a balance is restored bet!een the t!o. This process re:uires free mo ement in the price of commodities, free mo ement of capital from one sector to the other, and a rise in !a"e rates conse:uent on the expanded emplo#ment in the first sector !hich ori"inall# causes an an increase in the demand for the products of the consumer "oods industries. These factors ma%e the application of the Tu"an*Barano s%# FsolutionG impossible under indi idual capitalism. 7e ertheless, from a capitalist standpoint it has a sound element in it. &n actualit# it is the extension of the phase of re i al and boom in the economic c#cle, a phase durin" !hich accumulation increases more than consumption, and the production of means of production increases more :uic%l# than the production of means of consumption. ;or a number of #ears accumulation can far exceed consumption !ithout disturbin" the balance of the econom#. This and the fact that the lin% bet!een the c#cles of the rate of profit, accumulation and emplo#ment is the rate at !hich fixed capital @machiner#, buildin"s, etc.A !ear out, su""est that if increased production 1@9

of consumer "oods could be pre ented !hile production of capital "oods steadil# increased, the boom !ould last lon"er than is usual in the decennial c#cle. This is possible under state capitalism, because the state o!ns all the capital of societ#, and can control its mo ement bet!een one sector and another. .tate capitalism eliminates another factor !hich under pri ate capitalism causes the turn from boom to crisis, and thus ma%es tine Tu"an*Barano s%# FsolutionG possible for a time. <nder pri ate capitalism, a hi"h rate of profit leads to rapid accumulation, a hi"h le el of emplo#ment and hi"h !a"es. This process reaches a point at !hich !a"es are so hi"h that the# eat into the rate of profit, !hich falls steepl#, dra""in" do!n !ith it accumulation, emplo#ment and !a"es. The !or%ers, bein" FfreeG to bar"ain o er the sale of their labour po!er, the Frelati e surplus population is ... the pi ot upon !hich the la! of demand and suppl# of labour !or%s. &t confines the field of action of this la! !ithin the limits absolutel# con enient to the acti it# of exploitation and to the domination of capitalG. D$8E <nder a totalitarian state capitalist re"ime, e en if there is practicall# no surplus population, and full emplo#ment exists, !a"es can for a lon" time remain F!ithin the limits absolutel# con enient to the acti it# of exploitation and to the domination of capitalG. The Tu"an*Barano s%# FsolutionG is therefore possible under state capitalism, if it is bac%!ard compared !ith !orld capitalism, if means of production are scarce and if, therefore, the paramount need of the econom# is the production of machiner# in order to produce more machiner#, and so on. But !hen the production of machiner# succeeds in brin"in" the econom# up to the le el of the rest of the !orld, !ill this state capitalist s#stem be faced !ith o erproductionI There can be onl# one repl# to this :uestion, the repl# "i en b# Bu%harin, i8, that the econom# !ill be practicall# sta"nant. ,t first "lance Bu%harin5s description of the relation bet!een state capitalism and the crisis of o erproduction appears to be the exact opposite of Tu"an*Barano s%#5s FsolutionG. Tu"an* Barano s%# spea%s of a capitalist s#stem in !hich there is a er# rapid rise of production and accumulationB Bu%harin of a s#stem in !hich production and accumulation are on a er# small scale. The former describes accumulation increasin" independentl# of consumption, the latter as accompan#in" and bein" dependent on consumption. Het the t!o theories ha e this in common6 both point to the fundamental contradiction in capitalism bet!een accumulation and consumption. The former su""ests that this contradiction can be resol ed b# freein" accumulation and production entirel# from consumptionB the latter b# slo!in" do!n accumulation and production to the pace of consumption. The former sa#s that increased production can ta%e place !ith accumulation onl# benefitin" from itB the latter ar"ues that :uic% accumulation is impossible and that production must therefore slo! do!n. The former reflects the boom, the latter the crisis in the capitalist c#cle. Both FsolutionsG lea e the !or%er subordinated to capital. The Tu"an*Barano s%# FsolutionG is possible under a s#stem of state capitalism in a bac%!ard countr#. Bu%harin5s description applies to state capitalism !hich reaches saturation point in the means of production. The latter is a capitalism !hich, althou"h apparentl# free from crisis is reall# in permanent crisis, for if production does not rise abo e demand, production is restricted to demand. Both art a product of the contradiction bet!een the producti e forces and the capitalist relations of production and distribution. But besides these FsolutionsG, there is another means !hereb# state capitalism can eliminate the crisis, i8. a !ar econom#.

/roduction and consum"tion of means of destruction

, uni:ue feature of the consumption of the capitalists, accordin" to 4arx, is that it does not constitute part of the process of reproduction. The FconsumptionG of means of production @depreciation of machiner#, etc.A leads to the creation of ne! means of production or ne! means of consumption, the consumption of the !or%ers results in the reproduction of labour po!er, but the 11@

products consumed b# the capitalists do not contribute at all to the ne! production c#cle. There is, ho!e er, one form of consumption !hich, althou"h possessin" this characteristic, is ne ertheless a means to ac:uire ne! capital and ne! possibilities of accumulation, Fto con:uer the !orld of social !ealth, to increase the mass of human bein"s exploitedG. This is !ar production. Li%e the crisis of o erproduction, the !ar econom#, !hile bein" an inte"ral part of capitalism, thro!s into relief the obstacles to the capitalist mode of production, !hich are present in the s#stem itself. ;urthermore, a capitalist !ar leads not onl# to a stoppa"e of accumulation and a destruction of capital on such a scale that accumulation becomes possible ane!, but to such destruction that there is a tendenc# to!ards the complete ne"ation of capitalism and a re ersion to barbarism. &n spite of superficial resemblances, ho!e er, a !ar econom# and a socialist econom# are opposite poles. &n a !ar econom#, as in a socialist econom#, the state ta%es control of the econom# and plans production and distribution. &n a !ar econom#, as in a socialist econom#, there is the maximum possible production. But if the relations of distribution are anta"onistic, and if the enormous accumulation of the past impedes ne! accumulation, maximum production is possible onl# if a lar"e proportion of the products is not exchan"ed, that is, is not produced as alues, but as use alues. &n a socialist econom#, the aim of production is the creation of use aluesB the main aim of a !ar econom#, too, is the production of use alues. But in a socialist societ# use alues are those needed b# the people, !hile in a !ar econom# the# are "uns, militar# e:uipment, and stores ) use alues inimical to the interests of the people. , !ar econom# is ine itabl# accompanied not b# a crisis of o erproduction, but b# a crisis of underproduction, because the demand for "oods outstrips the producti e capacit# of the econom#. &nflation, on a lar"e or small scale, al!a#s accompanies a crisis of underproduction. The part pla#ed b# !ar preparations and !ar in Russian state capitalism is such that it has not #et had to face the Bu%harin FsolutionG. &n so far as the econom# is directed to the production not of means of destruction but of means of production in order to produce means of production, and so on, it follo!s the Tu"an*Barano s%# FsolutionG. &n an# case the production of means of consumption la"s far behind the production both of !ar materials and capital "oods. 9i en the !orld situation toda#, it appears that the !ar* econom# FsolutionG is the onl# expedient of the Russian bureaucrac# until such time as either socialism or barbarism !ill render a FsolutionG to the contradictions inherent in capitalism ) orthodox or state ) superfluous.

Footnote

1. Bu%harin defines state capitalism in these !ords6 Fthe capitalist class united in one united trust, an or"anised econom#, but one !hich is at the same time, from the standpoint of the classes, anta"onistic.G D48E

References

C4. 7. Bu%harin, ?orld 2conomy and Imperialism @RussianA, Crd ed., 4osco! 19?=, p.1$(n. C$. J. 4arx, Capital, /ol.&&&, p.?8'. C'. i!id., pp.C1?*C1C. C(. i!id., p.$'8. C8. .ee, for example, 4arx, Capital, /ol.&&&, p.199. C9. i!id., p.?8C. 4=. i!id., p.C=C. 41. i!id., /ol.&&, p.4('. 4?. i!id., /ol.&, pp.'94*'9$. 4C. i!id., /ol.&&, p.?11. 44. J. 4arx, Theorien K!er den Mehr+ert, /ol.&&, Boo% ?, p.?9C. 4$. J. 4arx, 8as Aapital, 4arx*1n"els*Lenin ed., /ol.&&, p.$'?. Ruoted b# P.4..!ee8#, The Theory of Capitalist 8evelopment, London 194', p.18'. 4'. J. 4arx, Capital, /ol.&&&, pp.14=*141. 4(. i!id., pp.$'9*$('.

111

48. 7. Bu%harin, 8er Imperialismus und die A,,umulation des Aapitals , /ienna*Berlin 19?', p.8=. 49. i!id., pp.8=*81. $=. J. 4arx, Capital, /ol.&&&, p.C=4. $1. 4. Tu"an*Barano s%#, Studien 9ur Theorie und 5eschichte der 6andels,risen in 2n-land , Jena 19=1, p.?$. $?. i!id., p.?C1. $C. i!id., p.?(. $4. 4. Tu"an*Barano s%#, Theoretische 5rundla-en des Marxismus, p.?C=. Ruoted b# .!ee8#, op.cit., p.1'8. $$. i!id., pp.?C=*?C1. Ruoted b# .!ee8#, i!id., p.1'9. $'. J. 4arx, Capital, /ol.&, p.'49. $(. J. 4arx, A Contri!ution to the Criti7ue of olitical 2conomy , Chica"o 1918, pp.?(8*?(9. $8. J. 4arx, Capital, /ol.&, p.(=1.

Chapter 8: The imperialist expansion of Russia

1mpires existed before the monopolistic sta"e of capitalism, and e en before capitalism itself. The imperialism of e er# period, ho!e er, is different in its moti es and results, and the use of the one !ord, imperialism, to describe the different phenomena is therefore liable to brin" about more confusion than clarit#. Lenin used the term for the hi"hest sta"e of capitalism, for capitalism in decline, !hen the proletarian re olution is on the order of the da#. But the empires of e en this one period ha e er# different characters. Nino ie sa#s in his article, What is Im#erialism?6
In doing this 0defining hat modern im"erialism actuall( is3 e must not forget that there are various t("es of im"erialism$ .ritish im"erialism differs from Kerman im"erialism! etc$ There is a Iuro"ean im"erialism! an Asiatic im"erialism and an American im"erialismE there is a hite im"erialism and a (ello im"erialism$ #a"anese im"erialism doesn4t resemble the French t("eE +ussian im"erialism is of ;uite a uni;ue t("e! because it is a back ard *it is not even "ossible an( longer to sa( an Asiatic- im"erialism! develo"ing on the basis of an e'traordinar( back ardness$ 013

&f, as Lenin explains, the ty#ical feature of imperialism is the search for fields for capital export, !hile for #outhful capitalism the t#pical feature !as the search for mar%ets, it seems !ron" to ha e called Tsarist Russia imperialist. But all the 4arxists includin" Lenin and Trots%#, did call it imperialist. ,nd the# !ere correct. ;or in the context of !orld econom#, and the relations pre ailin" bet!een Tsarist Russia and the hi"hl# de eloped countries, !hich is the criterion for its definition, Tsarist Russia !as imperialist in the Leninist sense. Lenin5s definition of imperialism "i es the follo!in" fi e essential features6
1$ The concentration of "roduction and ca"ital develo"ed to such a stage that it creates mono"olies hich "la( a decisive role in economic life$ 2$ The merging of bank ca"ital ith industrial ca"ital! and the creation! on the basis of 5finance ca"ital7! of a financial oligarch($ 3$ The e'"ort of ca"ital! hich has become e'tremel( im"ortant! and distinguished from the e'"ort of commodities$ 4$ The formation of international ca"italist mono"olies hich share the orld among themselves$ %$ The territorial division of the hole orld among the greatest ca"italist "o ers is com"leted$ 023

.tate capitalism certainl# bears the first feature, as it consists of one "eneral state monopol#. ,s re"ards the second feature, the mer"in" of ban% and industrial capital reaches the hi"hest sta"e !hen the state is the industrial and ban%in" capitalist to"ether. ,s re"ards the fourth feature, the increasin" competition bet!een the imperialist po!ers dri es the state especiall# emphasised in 9erman# and Japan ) to cut across international capitalist monopolies. &t is clear that the economic in asion of an international capitalist monopol# is nearl# excluded in a state capitalist econom#. @.ome forei"n concessions are, of course, concei able.A The third and fifth features ) the relation of Russian state capitalism to the export of capital, and to the territorial di ision of the !orld, need further elaboration.

112

The e'am"le of #a"anese im"erialism

2f all the countries in the !orld except .talinist Russia, that !hich reached the hi"hest centralisation of capital !as Japan. &t !as estimated that the FBi" ;ourG 8aibatsu @famil# monopol# or"anisationsA controlled sixt# per cent of the capital in ested in all Japanese Koint stoc% companies, and that 4itsui alone accounted for nearl# ?$ per cent of the total. &n 19C8 the six bi""est 8aibatsu to"ether held $( per cent of all funds deposited in ban%s, trust companies and insurance companies. @The correspondin" fi"ure for 19?9 !as 4$ per cent.A @This is an indication !h# it is not excluded theoreticall#, althou"h in practice there is no "round to assume that it !ill happen, that all the national capital !ill be concentrated in the hands of one trust.A 7e ertheless, althou"h the centralisation of capital in Japan is much hi"her than in an# other capitalist countr#, excludin" .talinist Russia, the producti e forces of Japan la" far behind these of the countries of the !est. This combination of hi"hl# centralised capital and the "reat bac%!ardness of the countr# as a !hole, explain the specific character of Japanese imperialism, as distinct from other imperialisms, and its great similarity in man# respects to .talinist imperialism. ,n outline of the specific features of Japanese imperialism !ill therefore help us to clarif# some of the aspects of .talinist imperialism. The industrial output of Japan increased er# rapidl# durin" the present centur#. &n the #ears 191C to 19?8, the tempo of this ad ance !as about three times that of Britain in the #ears 18'= to 191C, that is, e er# #ear, the# produced on an a era"e ' per cent more than the #ear before. Bet!een 19?( and 19C' the industrial output of Japan increased b# approximatel# 1== per cent, and 1.B. .chumpeter could Kustifiabl# !rite6
It is no longer "ossible to state! as one careful and ell informed riter did in 193@! that #a"an can never become a manufacturing nation of ma)or im"ortance because of the lack of fuel and iron! hich are essential in "eace as ell as ar$ #a"an has become a ma)or manufacturing nation$ The rise of the heav( industries has been the striking develo"ment of recent (ears$ .efore the de"ression it as the te'tile industries! food "re"aration! "otter(! and "a"er manufacturing hich "redominated$ In 193% )ust under half! in 193< about %% "er cent! and in 1938 about &1 "er cent of the total value of industrial "roduction as accounted for b( metals! chemicals! machiner(! and engineering "roducts$ This meant that #a"an "roduced her o n shi"s and man( of her o n air"lanes! but im"orted automobiles and "artsE she as no longer de"endent on the outside orld for a large "art of her steel! fertiliser! arms! ammunition and machiner(! although she still had to im"ort a substantial "art of the ra materials from hich the( ere manufactured$ Since 193<! #a"an has made a great effort to develo" the ra material resources of the 2en .loc and of ad)acent regions in the /acific area$ 033

;rom 19?= to 19C' the output of pi"*iron increased four times, that of steel ei"ht times, and the %ilo!att capacit# of electric po!er stations fi e and a half times. The main increase in industrial output too% place in the means of production6 the alue of the output of the chemical., metal and machine industries rose from about ?.=== million #en in 19?' to more than 9.=== million in 19C(, i.e. four and a half times. The output of all the other industries increased from about $,1$= million #en to (.4?= million., i.e. an increase of 44 per cent. &n the same #ears prices rose b# 4= per cent, so that !e ma# conclude that the output of means of production rose about three times, !hile the output of means of consumption remained unchan"ed. -urin" this rapid rise of industrial output in Japan, the result of its "eneral bac%!ardness on the one hand and its hi"h concentration of capital on the other, FsuperfluousG capital did not appear and the rate of profit remained hi"h. ,nother important factor permittin" this hi"h rate of profit !as the extremel# lo! le el of !a"es. F, era"e corporate earnin"s in 19C' and 19C( !ere from 1' to ?= per cent of paid*up capital and di idends a era"ed 8 to 9 per cent.G D4E &n the li"ht of this, it !ould be !ron" to sa# that Japanese imperialism sou"ht fields of capital in estment because it !as faced !ith a Fsuperfluit#G of capital and a lo! rate of profit in Japan herself. That the rate of profit !as hi"h and that she did not suffer from an abundance of capital but from a lac% of it, is, ho!e er, but the expression of her bac%!ardness. This caused a er# interestin"

113

dialectical de elopment6 her er# bac%!ardness dro e her to export capital on an extremel# lar"e scale, and to con:uer a tremendous empire. &n the !ords of ;. .ternber"6
:hen Kreat .ritain and France founded their em"ires the( ere both leading industrial countries$ Their em"ires ere never intended to strengthen their o n industrial "osition$ #a"an as in a ver( different situation$ ?er aim as to achieve a rate of develo"ment hich ould reduce the industrial ga" bet een her and the other ca"italist countries! and to become at least as strong and if "ossible still stronger than the( ere$ 0%3

,fter the >orld >ar &, forei"n in estments of all the hi"hl# de eloped countries !hich suffered from an enormous Fsuperfluit#G of capital, except the <.,, did not increase, but on the contrar#, decreased. 1 en !ith the <., included, the forei"n in estments of these countries did not rise be#ond the le el of 1914, as the table sho!s D'E6 Thus, !hile in the #ears 18'=*1914 the :uantit# of capital in ested abroad b# the ad anced capitalist countries "re! almost uninterruptedl#, from 1914 on!ards, !hen imperialism had reached maturit#, the :uantit# of capital in ested abroad ne er rose abo e the le el of 1914 , and e en declined belo! it. ,s a"ainst this, Japan undertoo% an immense export of capital, especiall# to 4anchuria, her onl# important colon# until the .ino*Japanese !ar.
Ha!anese investments in Manchuria ['] 7million yen8 1"#$ 9<$2 1"#' 348$3 1"## 1%1$2 1"#% 439$% 1"#( 2<1$< 1"#" 1!1@3$< 1"#) 3<8$& 1"(*3(# 2!34@$@ 1"#9 2&3$@

The 4anchurian ;i e*Hear Plan @19C(*41A planned an in estment of ?,8== million #en, !hich !as subse:uentl# raised to ',=== million #en. This fi"ure !as impossible of achie ement o!in" to the lac% of capital and the scarcit# of s%illed labour in Japan. &n estments reached onl# about half the tar"et in the period laid do!n b# the plan. But e en this caused a er# bi" rise in production, as the follo!in" table sho!s D8E6 The steel industr#, established in 19C$, !as producin" more than a million tons per annum after a fe! #ears. 4achiner# factories !hich supplied the maKor part of the e:uipment of 4anchurian industr# !ere established. &n 19C9 a car industr#, planned to emplo# 1==,=== !or%ers, !as established. , lar"e aeroplane factor# !as also built. The construction of ships !as be"un. The rail!a# net!or% of 4anchuria increased b# nearl# three times bet!een 19C? and 194C ) and outstripped the !hole net!or% of China proper. .ternber" remar%ed6
The given historical conditions in hich #a"anese im"erialism develo"ed caused it to encourage and force the develo"ment of industrialisation in its em"ire! hilst different historical conditions caused the Iuro"ean im"erialists to "revent or retard industrial develo"ment in their em"ires$ In the ten (ears bet een #a"an4s invasion of Banchuria and her entr( into the Second :orld :ar *1931141- she so accelerated the industrialisation of Banchuria that although Banchuria4s "o"ulation is onl( about 11@ "er cent of .ritish India4s! as much! if not more! industr( as created there in one decade! as as created in India in a centur( of im"erialist rule$ 093

The industrialisation of 4anchuria !as not left to the blind acti it# of the different Japanese companies, but !as carried out accordin" to a plan b# mixed companies of the monopolies and the state. .uch or"anisation !as found necessar# for rapid industrialisation.

The motives for the e'"ansion of the Stalinist bureaucrac(

The pri ile"es of the Russian bureaucrac#, as those of the bour"eoisie, are conditioned b# the unceasin" ad ance of accumulation. But, unli%e the bour"eoisie of the !est, Russian state capitalism in its FTu"an*Barano s%# sta"eG suffers neither from a Fsuperfluit#G of capital, i.e. from a restriction of the possibilities of accumulation !hich the anta"onistic mode of distribution causes in traditional 114

capitalist countries, nor from a rise of !a"es !hich !ould threaten the rate of profit. &n these respects Russian state capitalism is more similar to Japanese imperialism before its defeat in the >orld >ar && than to the !estern imperialist countries. .eein" that nearl# all the means of production in Russia belon" to the state, the industrial de elopment of her colonial re"ions, i.e. the areas of the nations oppressed b# the Russian bureaucrac#, is directly a part of the "eneral industrial de elopment of Russia herself. The Japanese state sa! in 4anchuria Fan extension of the homelandG. The .talinist state loo%s upon the <%raine, the Caucasus, Rumania, Bul"aria, etc. in the same !a#, and, because of her monopolistic economic position, her de elopment of these re"ions is and !ill be more efficient than Japanese imperialism5s de elopment of 4anchuria. &n the same !a# as Japanese imperialism loo%ed upon the a*de elopment of 4anchuria as a necessar# step to brid"e the distance bet!een it and the ad anced po!ers of the !est, so the .talinist bureaucrac# is dri en to an imperialist polic# for the same reason. The same relati e bac%!ardness dri es Russia to!ards the establishment of industries in the countries of the oppressed nations, and as the ob erse of the same, to loot capital !here er she can la# hold of it. Japanese imperialism carried out lar"e*scale plunder in China. ,s re"ards 9erman#6 F&n the con:uered territories, 9erman firms ha e ta%en o er the assets of resident concerns b# ri"ht of con:uest, not throu"h Obusiness as usual5.G D1=E .talinist Russia looted the countries of 1astern 1urope and 4anchuria. .he did so b# transferrin" factories to Russia, and, as 7a8i 9erman# did, b# concludin" barter a"reements !ith her assals !hich !ere ruinous to them. The concentrated monopol# capitalism of Japan and 9erman# and the state capitalism of Russia thus re eal another feature characteristic of the period of the primiti e accumulation of capital ) that trade and plunder !ere indistin"uishable. &f ,lfred 4arshall could sa# of that time that Fsil er and su"ar seldom came to 1urope !ithout a stain of bloodG, toda# the looted propert# is much bloodierB and it is not sil er or su"ar that is plundered, but means of production. ,n additional moti e for the imperialist expansion of Russia is the lac% of certain ra! materials. ;or example, 4iddle 1ast oil and that of 7orthern &ran in particular, pla#s a bi" role in the plans of the .talinist bureaucrac#. This is the result primaril# of the tard# execution of the oil extraction plans in Russia. Thus, for instance, the .econd ;i e*Hear Plan set the increase in production from ?C.C million tons in 19C?, to 4(.$ million tons in 19C(. &n fact, it increased onl# to C=.$ million tons. &n 194= production did not reach more than C$ million tons, althou"h the plan laid do!n a le el of more than $= million tons. >ith these miscalculations, the ;ourth ;i e*Hear Plan set a more moderate aim for 19$= ) C$.4 million tons. 2n examinin" the "eneral plan for increased production, it is clear that oil !ill be one of the most important bottlenec%s in Russia. The .talinist bureaucrac# tried to o ercome this bottlenec% b# ta%in" o er Rumania and 7orthern &ran. @.he did not succeed in the latter.A ,nother factor moti atin" the expansion of Russia is the need for ne! labour po!er. &n hi"hl# de eloped countries the export of capital is a reaction to the rise of !a"es !hich cuts into the rate of profitB it is directed to areas !here labour po!er is cheap, and thus increases the amount of labour exploited b# the same :uantit# of capital. The same result !as achie ed in a different !a# !hen 7a8i 9erman# brou"ht millions of !or%ers from the con:uered countries, particularl# of the 1ast, into 9erman#. Cheaper labour po!er than that of the Russian !or%er, especiall# of the sla e labourer, is not to be found in 1urope, ho!e er, so that the annexation of ne! areas to Russia cannot be moti ated b# the need to find cheaper labour po!er. But this does not mean that it is not moti ated b# the necessit# to find an additional :uantity of labour po!er. 1 en thou"h the :uantit# of capital relati e to the population in Russia is er# small, she still suffers from a lac% of labour po!er. This is to be explained b# its !asteful use caused b# the lac% of capital, so that side b# side !ith the lac% of capital appears the lac% of labour po!er6 hence sla e labour and the lo! producti it# of labour in a"riculture. 1 er# factor that impedes the producti it# of labour ) the bureaucrac# itself included ) !ill increase the !asta"e of labour po!er. Thus in spite of the "i"antic population of Russia, the "o ernment finds it necessar# to ta%e special measures to increase it, such as the prohibition of 11%

abortion, fines for bachelors, and pri8es for families !ith man# children. .o a icious circle is created6 lac% of capital causes a !asta"e, of labour po!er !hich ma%es it difficult to accumulate sufficient :uantities of capital, and so on. The addition to Russia of a hundred million people from the countries of 1astern 1urope is therefore an important moti e for the expansion of Russian imperialism, correspondin" to the export of capital from the countries of ad anced capitalism. ,nother moti e for the expansion of .talinist Russia is strate"ical considerations.

The record of im"erialist e'"ansion C +ussian ingestion of Iastern Iuro"e

The traditional imperialist countries exploited their colonies in three !a#s6 b# bu#in" the products of their colonies for lo! pricesB b# sellin" them the products of the FmotherG countries for hi"h pricesB and b# establishin" enterprises o!ned b# the capitalists of the FmotherG countr# and emplo#in" Fnati esG. Russian state capitalism uses the same three methods to exploit its colonies. There are numerous statistics pro in" that Russia pa#s er# lo! prices for the products she bu#s from her satellites. To "i e a fe! examples. The Russo*Polish ,"reement, dated 1' ,u"ust 194$, stipulated that from 194' on!ards, Poland !as to deli er to Russia at a special price @said to be ? dollars per tonA the follo!in" :uantities of coal6 194' ) 8 million tons, from 194( to 19$= ) .1C million tons each #ear, and subse:uentl# 1? million tons annuall#, as lon" as the occupation of 9erman# continued. This coal is not to be paid for b# Russian products, but b# reparations ta%en from 9erman# b# Russia. ,s far as is %no!n, Poland did not "et an#thin" on this account. ,n#ho!, 1?*1C million tons of coal at ? dollars a ton, !hen the price of coal on the !orld mar%et is 1?*1$ dollars a ton, "i es a net profit to Russia of 1=*14 dollars a ton, or alto"ether 1?=*18= million dollars a #ear @a sum comparable !ith the maximum annual profits of British capitalists from their in estments in &ndiaA. <or!a, the Hu"osla dail# of C1 4arch 1949, !rites that a ton of mol#bdenum, an essential in"redient of steel, that cost Hu"osla ia $==,=== dinars to produce, !as sold to <..R durin" the .talin*Tito hone#moon period for 4$,=== dinars. The former Bata plants of C8echoslo a%ia had to suppl# Russia !ith shoes @the leather for !hich !as supplied b# RussiaA for 1(= C8ech cro!ns, althou"h the actual cost price per pair !as C== cro!ns. , particularl# fla"rant case of capitalist exploitation !as that of Bul"arian tobacco6 bou"ht b# Russia for =.$ dollars, it !as resold b# her in >estern 1urope for 1.$*?.= dollars. D11E >hat applies to Russia5s trade relations !ith her 1uropean satellites, applies e:uall# to her trade relations !ith China. Chinese pi", bristles and tun" oil, !hich constitute a lar"e proportion of Chinese exports, are offered at present in the >estern 1uropean mar%ets at prices belo! those in .han"hai and Tientsin, the main ports of export of these products. Russia is the exclusi e a"ent sellin" Chinese products in the >estern mar%ets, and the fact that she can afford to sell them at prices belo! those pre ailin" in China itself ) and there is no :uestion that Russia ma%es a profit on the transaction ) indicates clearl# that she pa#s exceptionall# lo! prices for them. &t partiall# also explains !h# Pe%in" is ma%in" such efforts to open direct trade relations !ith the >est, thus eliminatin" the Russian intermediar#. .o much for underpa#ment. ,s far as o erchar"in" the satellites for Russian products is concerned, !e shall cite the follo!in" blatant examples6 Russia char"es China much hi"her prices for its "oods than are char"ed, for instance, in nearb# +on" Jon" b# >estern capitalist sellers. Thus, for instance, a .o iet Nis 4*ton truc% in Tientsin !as sold b# Russia for a price e:ui alent to $=,=== +on" Jon" dollars, !hile a comparable six*ton truc% of >estern ma%e is sold in +on" Jon" for 1$,=== +on" Jon" dollars. C8echoslo a%ian saccharine, imported ia Russia, is sold in Tientsin for a price e:ui alent to 1='.4= +on" Jon" dollars per lb., !hile 9erman saccharine of the same :ualit# is sold in +on" Jon" for '.$= +on" Jon" dollars. D1?E The position of Russian*o!ned enterprises in 1astern 1urope sho!s up most blatantl# the third means of capitalist exploitation carried out b# Russia6 exploitation of the Fnati esG emplo#ed in enterprises o!ned b# forei"n capital.

11&

&n the Russian 2ccupation None of 9erman#, the Russian state too% outri"ht as its propert# about a third of all industr#. This is o!ned b# !hat is called F.o iet .hareholdin" CompaniesG @.,9sA. The importance of the .,9s is er# "reat. 7earl# all the lar"e*scale enterprises are o!ned b# them. 1 er# .,9 emplo#ed in 19$= on the a era"e ?,4== !or%ers, as a"ainst 1C914' in the L1Bs @enterprises o!ned b# the so*called 9erman -emocratic RepublicA and about 1= in the pri ate industries. The importance of the .,9s !ill be e en clearer if !e ta%e into account that the# control hea # industr# entirel#. &n the .,9s 9erman !or%ers produce surplus alue ta%en b# the Russian bureaucrac#. &n Rumania, +un"ar# and Bul"aria there are mixed companies, in !hich Russia o!ns $= per cent and !hich are in realit# completel# under its control. Thus, for instance, such a compan# controls the richest oilfields in RumaniaB others control steel, en"ineerin", coal*minin", shippin", air communications , timber, chemical production, tractor production, the buildin" material industries, the exploitation of natural "as deposits, ban%s, insurance companies, etc. ) alto"ether ma%in" up far more than half the industries, transport, ban%in" and insurance of Rumania. &n +un"ar# and Bul"aria there are also mixed companies, but their importance is much smaller. Ta%in" up half the profits of the mixed companies, !hile all the !or%ers are Fnati esG ) is not this a clear case of colonial exploitationI

The idealisation of the Tsarist Im"ire

The .talinist bureaucrac# cannot but "i e its appro al to its forerunners in empire*buildin" ) Tsarist imperialism. ;or "enerations Russian socialists and democrats thou"ht Tsarist Russia a Fprison of the peoplesG and Tsarist imperialist oppression of the Poles, ;inns, Lithuanians, 1sthonians, <%rainians, 9eor"ians, ,rmenians, <8be%s, Ja8a%hs, etc. a most reactionar# force. .talinist Russia teaches differentl#. Thus a Russian Kournal stated6 Fannexation b# Russia represented the onl# path of socio*economic and cultural de elopment and also the sal ation of the national existence of the peoples of the Caucasus and Transcaucasus ... annexation b# Russia !as the onl# means of sa in" themsel es, preser in" their ancient cultures and de elopin" economicall# and culturall#.G D1CE ,nother Kournal !rote that from the sixteenth centur# on!ards, the feudal monarchies of Tur%e# and &ran conducted a lon" and stubborn stru""le to sei8e arious territories in the Caucasus. 4an# Caucasian people, unable because of their dispersed character, to !ithstand forei"n a""ression, Fsou"ht sal ation and intercession from the Russian state, turnin" to it for assistance and patrona"e.G D14E &n the middle of the sixteenth centur# the Circassian @JarbadianA princes appealed to & an &/ to "i e them Russian citi8enship and to protect them from the raids and plunderin"s of Tur%e# and the Tur%ish assal, the Crimean Jhan. The Transcaucasian peoples established ties !ith Russia to!ards the end of the fifteenth centur#, and those ties !ere stren"thened in proportion as the militar# dan"er presented b# Tur%e# and &ran increased. B# their actions a"ainst Tur%e# and &ran, FRussian troops often sa ed the peoples of the Caucasus from militar# dan"er.G +o! !ell putM The Tsarist troops !hich occupied the Caucasus sa ed it from militar# dan"erM , Russian literar# Kournal stated6
The anne'ation of Ja,akhstan b( +ussia! hich took "lace in the 18th centur(! as of "rofoundl( "rogressive significance$ This historic act as conditioned b( economic and "olitical causes! b( the entire course of historical develo"ment of the Ja,akh "eo"le tormented b( incessant raids from the feudal states of the Boslem Iast$ It created the conditions for the might( im"act of +ussian econom( and culture in Ja,akhstan$ The Ja,akh "eo"le made their historic choice isel( and correctl($ At that time! besides +ussia! the Ja,akhs could have fallen into the bondage of 8entral Asiatic Jhanates backed b( .ritain$ >ot re)ecting an( means! .ritish ca"ital cre"t u" on Ja,akh lands and resources! calculating on rich gains$ 01%3

&t said further6

the orking "eo"le 0of Ja,akhstan3 through their dail( e'"erience! com"rehended the advantages of life in a might( state! +ussia$ 01&3

11<

The Ja8a%h people chose to be annexed b# Tsarist RussiaM The# preferred to be in Fa mi"ht# stateGM ravda underlined the point6 FThe Ja8a%h !or%in" people !ere itall# interested in the annexation of Ja8a%hstan to Russia.G D1(E Russian propa"anda since .talin5s death pursues the same line. The follo!in" slant !as "i en to the occupation of Lat ia b# Tsarist Russia6
Ban( centuries have "assed since the 9atvians4 ancestors settled on the shores of the .altic Sea $$$ =uring all these centuries the +ussians have been good neighbours of the 9atvians$ The con;uest and enslavement of the .altic b( the Kerman knights is a gloom( histor( filled ith killings! "lundering and violence b( the bloodthirst( :estern invaders$ The freedom1loving 9atvian and Isthonian tribes ere not strong enough to defend their freedom and inde"endence$ .ut "ro'imit( and friendshi" ith the +ussians enabled the ancestors of the 9atvians to defend their lands from enslavement b( turning for hel" to +ussian "rinces$ 0183

The struggle for national freedom C 5Titoism7

The nations oppressed b# 9reat Russian imperialism, or threatened directl# b# it, react !ith a stru""le of e er*"ro!in" intensit# for national independence, a stru""le bearin" the recentl#*coined name of FTitoismG. The most numerous non*Russian people in the <..R are the <%rainians. Their national aspirations ha e constantl# been suppressed b# a series of pur"es. &n 19C= the <%rainian ,cadem# of .ciences !as dissol ed and members of it arrested for Fnational de iationsG. &n 19CC, .%r#pni%, the most prominent leader of the <%rainian Communist Part# and a member of its Central Committee and Political Bureau, committed suicide in order to a oid arrest. ,t the same time Jostubins%#, the /ice* President of the Council of People5s Commissars of the <%raine @the <%rainian 9o ernmentA, Jo nar, the Commissar of ,"riculture, and a fe! score of hi"h officials !ere shot as nationalists. To pre ent further de iations, Post#she !as sent to <%raine from 4osco! in 19CC to reor"anise the part# and the state administration. +e !as "i en dictatorial po!ers. ,t the 1?th Con"ress of the <%rainian Communist Part# in 19CC, he said6
In Dkraine our leading /art( members and 8omrade Stalin himself are s"eciall( hated$ The class enem( has been to a good school in this countr( and has learned ho to struggle against Soviet rule$ In Dkraine have settled the remnants of man( counter1revolutionar( "arties and organisations$ Jharkov has graduall( become the centre of attraction for all sorts of nationalistic and other counter1revolutionar( organisations$ The( have all been dra n to this centre and the( have s"read their eb all over the Dkraine! making use of our /art( s(stem for their o n ends$ 2ou remember! 8omrades! hen t ent( Secretaries of /art( +egional 8ommittees dared to declare that it as im"ossible to fulfil the ?arvest /lan$ 0193

Post#she expelled more than a :uarter of the members of the <%rainian Communist Part#. Three #ears later he himself suffered a similar fate. +e !as expelled and arrested. &n his place came Josior, from 4osco!. +e also !as arrested in due course. &n 19C(, L#ubchen%o, Chairman of the Council of People5s Commissars of <%raine, committed suicide in order to a oid arrest. The Commissars Petro s%# and 1iche !ere li:uidated. L#ubchen%o5s successor !as arrested t!o months after his appointment for FnationalistG tendenciesB his successor !as li:uidated a fe! months later. &n ,pril 19C(, there !ere thirteen members on the <%rainian Political BureauB b# June 19C8, not one of these !as left. 2ther republics ha e a similar histor#. 9oloded, !ho for ten #ears !as Chairman of the Council of People5s Commissars in the Republic of >hite Russia, !as arrested as a Trots%#ist in 19C(. .ome months later his successor as chairman, Cher ia%o , committed suicide to a oid arrest. +e had been Chairman of the Central 1xecuti e Committee of >hite Russia @i.e. President of the RepublicA for se enteen #ears. &n TadKi%istan, the Chairman of the 1xecuti e Committee !as pur"ed as a nationalist in 19C4. +is successor held the position for three #ears and then suffered a similar fate. The follo!in" is a short list of some of the foremost people in the national republics !ho !ere li:uidated as FnationalistsG in the bi" pur"es of the 5thirties6

118

residents /etrovsk( 8herv(akov Jung 9uft K(llig Arku"ov Jhod,hibaev Shotemur Baksum =olgat Samursk( 9ordki"anid,e

Repu!lic Dkraine :hite +ussia Holga Kerman Holga Kerman Jarelian Jarelian Tad)ikistan Tad)ikistan Tadiikistan =aghestan =aghestan Ad)ar

rime Ministers Repu!lic 9(ubchenko Dkraine .ondarenko Dkraine 8hubar Dkraine Koloded :hite +ussia :elsch Holga Kerman +akhimba(ev Tad)ikistan +akhinov Tadiikistan Bgalobishvili Keorgia Jhod)aev D,bekistan Abdurakhmanov Jirghi,stan Avakabelashvili Transcaucasia These are Kust a fe! of the ictims. ,lto"ether in the bi" pur"e of 19C(*C8 the !hole or the maKorit# of thirt# national "o ernments !ere li:uidated. The main accusation a"ainst them !as their desire for secession from the <..R. The stron"est proof that Russia5s national polic# does not create harmonious and fraternal relations bet!een the different people is the dissolution of a number of national republics. , #ear before the !ar, !hen there !as tension bet!een Russia and Japan, on the 4anchurian border, the entire Jorean population on the Russian side of the border !as transferred to Ja8a%stan and <8be%istan. 2n ?8 ,u"ust 1941, the entire population of the /ol"a 9erman Republic !as transferred 1ast of the <rals. The 9erman Republic !as one of the oldest national republics of Russia. ,s earl# as 19 2ctober 1918, the >or%ers5 Commune of /ol"a 9ermans !as constituted, and on 19 -ecem ber 19?C, it !as reconstituted as the ,utonomous .o iet .ocialist Republic of /ol"a 9ermans. &t !as one of the first republics to achie e almost complete collecti isation. International ress Correspondence @the Comintern paperA of 18 ,pril 19C', said6
The Kerman Soviet +e"ublic on the Holga is a living "roof of the cultural and national "rogress hich follo s on the victor( of socialism and a living dis"roof of the lies and slanders s"read b( the fascist enemies of the "roletariat$

Just t!o #ears before their expulsion, an article appeared in Mosco+ Ne+s called6 8olga 5erman Re#u&lic' a 8ivid Illustration of Soviet @ational Policy in Practice Then, after the /ol"a 9ermans

119

had for so man# #ears been commended for their unanimous support of the re"ime, came the decree of the dissolution of their republic, !ith the follo!in" explanation6
According to reliable information received b( militar( authorities there are thousands and tens of thousands of diversionists and s"ies among the Kerman "o"ulation of the Holga region ho are "re"ared to cause e'"losions in these regions at a signal from Kerman($ >o Kermans 0living in the Holga districts3 ever re"orted to Soviet authorities the "resence of such great numbers of diversionists and s"ies$ Therefore! the Kerman "o"ulation of the Holga regions are covering u" enemies of the Soviet "eo"le and the Soviet "o er$

&n the areas of the <..R formerl# occupied b# the 9ermans, a number of republics !ere dissol ed. These dissolutions !ere not e en mentioned in the press, and it !as onl# !hen ravda, on 1( 2ctober 194$, "a e a list of the constituencies for the comin" "eneral elections, that it !as disco ered that a number of republics had disappeared, since !hen one cannot %no!6 the autonomous Crimean Tartar, Jalmu% and Checheno*&n"ush .o iet Republics and the autonomous Jarache re"ion !ere abolished, and the nonRussian populations deported. The Jabardinian*Bal%ar autonomous Republic became the Jabardinian Republic after the expulsion of the Bal%ars. &n <%raine, Jhrushche , head of the "o ernment, declared in ,u"ust 194', that half the leadin" personalities of the <%rainian Part# had been expelled durin" the pre ious ei"hteen months. &t !ould be too much e en for the 9reat Russian bureaucrac# to expel C= million <%rainians and dissol e their FrepublicG. ,fter the >orld >ar && the national stru""le a"ainst Russian imperialism spread to the ne!l# created Russian colonies of 1astern 1urope. The most prominent instance !as the successful re olt of Hu"osla ia a"ainst the Jremlin. The other FPeople5s -emocraciesG in 1urope also had FTitoistG, i.e. nationalist resistance mo ements a"ainst Russian rule, but mainl# because of the pressure of Russian troops these mo ements did not succeed. Proof of the broad scope of these national resistance mo ements is the fact that most of the leaders of the Communist Parties of the FPeople5s -emocraciesG !ere accused of bein" FTitoistsG b# the Jremlin. 2f the six people !ho filled the post of 9eneral .ecretar# of the Part# immediatel# after the establishment of the FPeople5s -emocraciesG, the follo!in" four !ere accused of Titoism6 Tito, 9eneral .ecretar# of the Hu"osla Communist Part#B Josto , 9eneral .ecretar# of the Bul"arian Part# @executedAB 9omul%a, 9eneral .ecretar# of the Polish Part# @arrestedA, and .lans%#, 9eneral .ecretar# of the C8echoslo a%ian Part# @executedA. 2f the six ;orei"n 4inisters, the follo!in" four !ere accused of the same crime6 JardelK of Hu"osla ia, ,nna Pau%er of Rumania @arrestedA, Clementis of C8echoslo a%ia @executedA, RaK% of +un"ar# @executedA. The list could be len"thened considerabl#. D?=E The stru""le for national independence a"ainst Russian imperialism is sure to continue as lon" as Russian imperialism does. &t is one of the most important factors !hich could seal the fate of the .talinist re"ime.

References

1. Ne+ International @marxist monthl#A, 7e! Hor%, ;ebruar# 194?. ?. /.&. Lenin, Imperialism1 the 6i-hest Sta-e of Capitalism1 op. cit. , p. 81. C. 9.C. ,llen, 4... 9ordon, 1.;. Penrose, 1.B. .chumpeter, The Industrialisation of Hapan and Manchu,uo1 #$*B(#$&B, 7e! Hor% 194=, pp.1=*11. 4. i!id., pp.?'*?(. $. ;. .ternber", The Comin- Crisis, London 194(, p.(C. '. 1. /ar"a and L. 4endelsohn @eds.A, Ne+ 8ata for =.I. :enins Imperialism1 the 6i-hest Sta-e of Capitalism, London 19C9, p.141. (. .chumpeter, op. cit., p.C99B ,.J. 9raKdan8e , 2anchuriaA an Industrial Survey, acific Affairs, -ecember 194$. 8. J.L. 4itchell, Industrialisation of the ?estern acific, 7e! Hor% 194?, pp. ($*(8B ,llan Rod"ers, The 2anchurian Iron and Steel Industry and its Resource ;ase , 5eo-raphical Revie+, 7e! Hor%, Januar# 1948B ,.J. 9raKdan8e , op. cit. 9. .ternber", op. cit., pp.(4, (C.

12@

1=. R.,. Brad#, <usiness as a System of o+er, 7e! Hor% 194C, p.C. 11. 9luc%stein, op. cit., pp.''*'(. 1?. 4ar 2astern 2conomic Revie+, ?( 7o ember 19$?. 1C. renodavaniye istorii v Sh,olye, 19$=, 7o.'. 14. =oprosy Istorii, 19$=, 7o.1=. 1$. :iteraturnaia 5a9eta @!ee%l# or"an of the <nion of .o iet >riters of the <..RA 4osco!, 1= Jul# 19$?. 1'. i!id. 1(. ravda, ?' -ecember 19$=. 18. :iteraturnaia 5a9eta, 1' 4a# 19$C. 19. roletarian, Jhar%o 19C4, 7os.1$*?1. Ruoted b# >.1.-. ,llen, The ;,raine, Cambrid"e 194=, p.C?'. ?=. ;or further particulars see 9luc%stein, op. cit., pp.?81*C1=.

Chapter 9: The class struggle in Russia

It is rong to s"eak of a Stalinist e"och

The rise of the bureaucrac# to the status of a rulin" class expresses the fact tat the historical mission of the .talinist bureaucrac#, !hich is to establish capitalism in Russia, has alread# been exhausted on an international plane, but not #et exhausted on a national one. ,t the same time, the bureaucrac#, b# rel#in" on plannin", an element of the Fin adin" socialist societ#G, !hich it applies to its capitalist mission of the accumulation of capital, runs trou"h the traditional historical course !hich the bour"eoisie of the !est too% about t!o hundred #ears to co er, in a fe! decades. Rel#in" on elements of the future societ# in order to fortif# relations of the past, the bureaucrac# :uic%l# undermines these er# relations and in so doin" prepares a ne!, "lorious edition of the proletarian re olution on a much stron"er historical base than in 191(. ,lread# in its first #ears as a rulin" class the bureaucrac# has adopted the totalitarian characteristics of deca#in", a"ein" capitalismB it alread# pro es its nature as a historical anomal# !it no future. The bureaucrac# is compelled to carr# on a ast propa"anda campai"n a"ainst bureaucrats, to pose as the defender of the !or%ers a"ainst the bureaucrac#6 the bureaucrac# has a "uilt# conscience, it is a usurper lac%in" historical le"itimac#. Capitalist state o!nership raises the ire of the masses. ;rom the be"innin" of the bureaucrac#5s formation as a class, therefore, the s!ord of -amocles has hun" ominousl# abo e its head. >hereas the capitalist of the sixteenth to nineteenth centuries could isualise a "lorious future !it himself as the representati e of the !hole of humanit#, the .talinist bureaucrac#, toda# fulfillin" the historical function of this capitalist, cannot but feel that its roots are in a temporar# and transient concatenation of national and international circumstances. +ence its totalitarianism. The bureaucratic terror, stri%in" at the bureaucrats themsel es, re eals the anomalous position of this h#brid. &n traditional capitalism, competition bet!een the capitalists ensures that each !ill be as efficient as possible. &n a socialist econom#, social consciousness, care for the interests of societ#, harmonious relations bet!een people, is the basis for efficienc#. The .talinist bureaucrac#, ho!e er, is both a result and a cause of the lac% of harmon# in the relations bet!een people, of class and personal anta"onisms, of the unlimited e"oism pre ailin" in Russia. Therefore the moti e of a planned socialist econom# * the control of producers in the interests of the producers themsel es * does not exist in Russia and cannot ensure the efficienc# of productionB on the other hand the direct connection bet!een the efficienc# of the indi idual enterprise and the income of its directors, a connection that exists under indi idual capitalism, also does not exist. The one important means of ensurin" efficienc# left to the bureaucratic state is terror directed a"ainst the indi idual bureaucrats. The terror of the bureaucrac# a"ainst the bureaucrats has an additional function besides this. ,s Cili"a !rites6

121

This original method of calming the anger of the "eo"le 0the terrorist "urges3 reminded me of Barco /olo4s re"ort of the Bongol Im"eror ho reigned in /ekin at that time$ It as customar( once ever( ten or fifteen (ears to deliver over to the cro d the minister most abhorred b( it! hich allo ed the em"eror ;uietl( to o""ress his "eo"le for the ne't ten or fifteen (ears$ :hat I sa in +ussia as to bring this Bongol Im"eror re"eatedl( to m( mind$ 013

,s a much deeper ab#ss exists bet!een the .talinist bureaucrac# and the masses than e er existed in histor# bet!een rulers and ruled, it is of the utmost importance to the bureaucrac# that scape"oats be found. ,lthou"h the bureaucrac# !as born !ith all the mar%s of a declinin" class, it !ould be too "reat a simplification to sa# that e er# ad ance of the producti e forces, e er# addition to the !or%in" class, !ill directl# and immediatel# undermine the position of the bureaucrac#. 7o, realit# is much more complicated than that.

The initial direct influence of industrialisation and 5collectivisation7 on the relation of forces bet een the "roletariat and the bureaucrac(

The number of !or%ers in Russia increased er# rapidl# durin" the ;irst ;i e*Hear Plan. &n 19?8 the number of people occupied in manufacturin" industries and the extraction of minerals !as three million, in 19C? it reached ei"ht million, an increase of 1'= per cent. The o er!helmin" maKorit# of the !or%in" class !ere thus ra! elements ne!l# come from the illa"es, not #et educated and or"anised b# the process of social production. ,t the same time the :uic% industrial de elopment, and the ensuin" acute shorta"e of technicians, s%illed !or%ers, officials, etc., opened the "ates of the bureaucrac# to man# eteran !or%ers. ,nd of course the more experienced and intelli"ent the !or%er, the "reater his opportunit# for risin" in the hierarch#. These t!o factors, the dilution of the !or%in" class b# ra! elements and the exodus of militant elements from it, !ere a "ra e impediment to the rise of an independent !or%ers5 mo ement some decades a"o in the different historical circumstances of the <.,. &n Russia the difficulties of the !or%ers5 mo ement durin" the ;i e*Hear Plans are much "reater than those experienced b# the ,merican labour mo ement. Besides the terrible pressure of the secret police, besides the !eariness of the masses after man# #ears of super*human effort, besides the ideolo"ical disorientation !hich appears both as a result and cause of the !ea%ness of the Russian !or%ers5 mo ement at the time, there is another factor6 the creation b# the bureaucrac# of a la#er of elite amon" the oppressed. This is one of the most efficient !eapons the oppressor can !ield in its oppression of the masses. >hen 7apoleon said that e en the hea iest cannons could not stand up a"ainst empt# stomachs, he !as not entirel# correct. 1mpt# stomachs under certain circumstances lead not to re olt but to submission. .uch !as the case in the first #ears of industrialisation b# the .talinist bureaucrac#. ,s /ictor .er"e said6
A vast miser( ill s"ring from its 0the bureaucrac(4s3 "olic(! but in this miser( the tiniest material benefits become "recious$ It ill no suffice to offer a orker a "late of sou" the least bit nourishing and a shelter the least bit habitable in the inter for him to attach himself to the "rivileged amid the general destitution $$$ In that a( a stratum of subordinate bureaucrats ill be formed in the enter"rises! in the "art( cells! and in the villages here the collectivisation is to result in a ne differentiation bet een leaders and led$ Bound the former ill gravitate a clientele eager to serve$ The miser( ill consolidate those ho con)ured it u"$ 023

The "ressure of the totalitarian "olice machine

2ne cannot o erestimate the difficulties !hich the police machine ma%es for the independent or"anisation of the !or%ers in Russia. The !or%in" class is atomised and an# attempt at buildin" up an# independent or"anisation !hatsoe er or at "i in" expression to the desires of the masses is brutall# suppressed. The !or%ers are compelled to belon" to or"anisations led and controlled b# the 122

state and teemin" !ith its spies. The combination of propa"anda and terror desi"ned to ensure the bureaucrac#5s monopol# of propa"anda puts no limit to the lies it spreads, to the rape of the soul of the masses, dri in" tern to mass demonstrations and public meetin"s, compellin" them to debase themsel es and sin" the praises of their oppressors. ,ll these !eapons of the bureaucrac# ma%e the molecular process of the or"anisation and education of the !or%ers er# difficult. There is e er# indication that e en the experienced, cultured 9erman proletariat !ould ha e ta%en man# #ears, perhaps decades, to smash the oppressi e 7a8i machine b# its o!n stren"th. 1 en in the hours of 7a8i 9erman#5s "reatest militar# defeats no mass re olt of !or%ers bro%e out on the home front. @&n connection !ith this, one must not o erloo% the important effect &l#a 1hrenbur"5s chau inistic propa"anda had in helpin" the 7a8is to cement the attac%s in the !all of 9erman Fnational unit#G.A The ra! Russian proletariat, the o er!helmin" maKorit# of !hom came but a fe! #ears a"o from the illa"es, of !hom probabl# less than 1= per cent %ne! the conditions under Tsarism !hen trade unions !ere le"al, !hen the different !or%ers5 parties had a le"al press, !ill find the utmost difficult# in learnin" the ,BC of or"anisation and socialist ideolo"# under the rule of .talin.

The militar( victories of +ussia

, factor !hich stren"thened the rule of the bureaucrac# !as its militar# ictories. 4an# factors contributed to them. ;irstl#, the absolute suppression of the masses allo!s .talin to de ote a lar"er portion of the national income to !ar aims than is possible in the countries of the >est. +e could, for instance, achie e the Fmiracle of the e acuation of Russian industr#G b# transferrin" millions of !or%ers to the 1ast, housin" them in holes in the "round. .econdl#, police oppression ensures :uiet on the home front, another Fad anta"eG Russia has o er the democratic capitalist countries. The same t!o factors caused the absolute supremac# of 9erman# o er ;rance and Britain, !hich !as e entuall# out!ei"hed onl# b# the co*operation of the ,merican industrial machine @producin" four times as much as 9erman#A and the Russian. >hile the Russian militar# ictories !ere to a lar"e extent the result of the F:uietG on the home front, of the depression and despair of the toilin" masses, the# become in turn an important factor in the stabilisation of the .talinist re"ime. To ma%e an analo"#, one cannot underestimate 7a8i 9erman#5s ictories in the .aar, ,ustria, .udetenland, C8echoslo a%ia, Poland and ;rance as a factor in influencin" the ps#cholo"# of the 9erman masses.

The bureaucrac( creates its gravedigger

The initial result of the industrialisation and Fcollecti isationG in Russia !as to stren"then the position of the bureaucrac#. ,fter a fe! #ears an opposite process be"anB no! e er# step for!ard of the producti e forces undermines the position of the bureaucrac#. &n the ;irst ;i e*Hear Plan the number of !or%ers emplo#ed in manufacture and minin" rose from C million to 8 million, a rise of 1'= per cent. &n the .econd ;i e*Hear Plan it rose from 8 million to onl# 1=.1 million, a rise of ?$ per cent. The Third ;i e*Hear Plan planned an increase to 11.9 million in 194?, a rise of 1'.( per cent. Thus despite the li:uidation of man# of the !or%ers in the Fpur"esG, the number of eteran !or%ers !ith man# #ears of participation in the process of production behind tern is steadil# "ro!in". ,t the same time the "ates to the bureaucrac# dra! to"ether as more and more obstacles are put in the !a# of hi"her education, and the recruitment of the best elements amon" the !or%ers into the bureaucrac# diminishes. The cr#stallisation of the proletariat due to the d!indlin" stream of ra! elements comin" into it and the d!indlin" stream of experienced elements "oin" out of it is a process of the "reatest importance. The historical tas% of the bureaucrac# is to raise the producti it# of labour. &n doin" this the bureaucrac# enters into deep contradictions. &n order to raise the producti it# of labour abo e a certain point, the standard of li in" of the masses must rise, as !or%ers !ho are undernourished, 123

badl# housed and uneducated, are not capable of modem production. The bureaucrac# approaches the problem of the standard of li in" of the masses much in the same !a# as a peasant approaches the feedin" of his horses6 F+o! much shall & "i e in order to "et more !or% doneIG But !or%ers, besides ha in" hands, ha e heads. The raisin" of the standard of li in" and culture of the masses, means raisin" their self* confidence, increasin" their appetite, their impatience at the lac% of democratic ri"hts and personal securit#, and their impatience of the bureaucrac# !hich preser es these burdens. 2n the other hand, not to raise the standard of li in" of the masses means to perpetuate the present lo! producti it# of labour !hich !ould be fatal for the bureaucrac# in the present international situation, and !ould tend to dri e the masses sooner or later to re olts of despair. The bureaucrac# increases the !or%in" class on the basis of the hi"hest concentration histor# has %no!n. ,nd tr# as it ma# to brid"e the ab#ss bet!een concentrated !a"e labour and concentrated capital, tr# as it ma# to eil it under the slo"an of Fsocialist propert#G, the bureaucrac# is brin"in" into bein" a force !hich !ill sooner or later clash iolentl# !it it. The fact that onl# a fe! #ears after the industrialisation and Fcollecti isationG !hen the !or%in" class !as #et #oun" and relati el# ra!, .talin !as compelled to be entirel# totalitarian and to ma%e such mass frame*ups as ha e no precedence in histor#, indicates the :uic% tempo at !hich the class stru""le in Russia de elops.

The declining efficienc( of Stalinist "ro"aganda

The diminishin" efficac# of .o iet propa"anda and its infirmit# !hen the hard facts of life "i e it the lie, are indicated b# t!o phenomena not to be other!ise explained. 2ne is a mass scale on !hich .o iet P2>s oluntaril# Koined the 7a8i arm#B the other is the lar"e numbers of Russian Fnon* returnersG. -urin" the !ar half a million or more .o iet nationals ser ed in the 7a8i arm# ) in the (sttru##en ) under 9erman command. DCE 2f some fift# .o iet "enerals captured b# the 9ermans, about ten collaborated !ith +itler a"ainst .talin. D4E 7o other national "roup of P2>s sho!ed a comparable readiness to Koin the 7a8is. ,fter the !ar, man# .o iet nationals did not return to their homeland. That these Fnon*returnersG are, on the !hole, not the same people !ho Koined the 7a8i troops is clear from the fact that the latter !ere forcibl# repatriated b# the .o iet arm#, as !ell as b# the <nited .tates, Britain and ;rance. The number of non*returners is considerable, althou"h for ob ious reasons it cannot be "au"ed accuratel#. ,ccordin" to a .o iet official statement, the number of .o iet citi8ens !ho had not returned to the <..R after the !ar !as 4==,=== @as a"ainst fi e and a half millions !ho hadA. D$E 7o other nationals displa#ed such reluctance to "o home, such preference for the ha8ards and hardships of the -P camps. This is a reflection on .o iet realit# and a pointer to the limited capacit# of .talinist propa"anda.

The social goals of anti1Stalinist o""osition

,nti*.talinist opposition forces in the <..R, ho!e er unor"anised and inarticulate, stri e consciousl# or semiconsciousl#, e en unconsciousl#, to!ards a "oal !hich, b# and lar"e, can be inferred from the economic, social and political set*up of bureaucratic state capitalism, the set*up !hich these forces aim to o erthro!. ;rom a state*o!ned and planned econom# there can be no retracin" of steps to an anarchic, pri ate*o!nership econom#. ,nd this not onl#, or e en mainl#, because there are no indi iduals to claim le"al or historical ri"ht to o!nership of the maKor part of the !ealth. The replacement of lar"e*scale state industr# !ith pri ate industr# !ould be a technical* economic re"ression. ,nd so for the mass of the people, the o erthro! of .talinist totalitarianism 124

could ha e real meanin" onl# if political democrac# had transformed the "eneral !ealth into the real propert# of societ#, thus establishin" a socialist democrac#. This deduction of the probable pro"ramme of the anti*.talinist opposition from the obKecti e data of bureaucratic state capitalism is clearl# supported b# the actual pro"rammes of t!o or"anised anti*.talinist mo ements !hich appeared durin" the >orld >ar &&* the /lasso mo ement and the <%rainian Resur"ent ,rm# @<P,A. 9eneral 4al#sh%in, former .o iet "eneral and one of 9eneral /lasso 5s chief assistants, said6
:e take the "osition $$$ that all those industries hich during the "eriod of .olshevism ere erected at the e'"ense of the blood and s eat of the hole "eo"le! must become the "ro"ert( of the state! national "ro"ert( $$$ Should it a""ear "referable! and be in the interests of the "eo"le- ho ever! the state ill raise no ob)ections to the "artici"ation of "rivate initiative $$$ /rivate initiative ill be made "ossible not onl( in "easant holdings and industr( $$$ :e believe that "rivate initiative must also "artici"ate in other facets of economic life! for instance! in trade! handicrafts! artisan ork $$$ To all former "artici"ants of the :hite Bovement! e can sa( definitel( the follo ingG an(one does not belong to us ho believes in the restoration in +ussia of nobles and large lando ners! in the restoration of "rivileges based on origin! caste! or ealth! in the restoration of outlived governmental forms$ 0&3

>hether the /lasso leaders !ere sincere or not is irrele ant. The mere fact that the# too% a stand for state o!nership of lar"e industr# * and that in 7a8i 9erman# * is proof that onl# such a stand could ha e appealed to the .o iet P2>s !hom the# tried to recruit. , similar position !as held b# the <P,. This "roup conducted "uerilla !arfare a"ainst both 9erman and Russian armies and mana"ed to maintain an under"round resistance in .o iet <%raine. &n 194C, in its publications in /olh#nia, it put as its foremost slo"an6 F2nl# in an independent <%rainian state can the true realisation of the "reat slo"ans of the 2ctober Re olution be attained.G D(E The <P, proposed the follo!in" as its pro"ramme for a ne! social order in the <%rainian state6
*1- For state1nationalised and co1o"erative1social "ro"ert( in industr(! finance and trade$ *2- For state1national "ro"ert( in land ith agriculture to be conducted either collectivel( or individuall(! de"ending on the ishes of the "o"ulation$ *3- A return to ca"italism in an( instance is a regression$ 083

,nother publication of the <P, stated6

The com"lete li;uidation of the class struggle demands the destruction of the source of classes itself! i$e$! in the ca"italist countries 1 the institution of "rivate "ro"ert( in the means of "roductionE in the case of the Soviet Dnion! the "olitical mono"ol( of the Stalinist /art(! the dictatorial! totalitarian regime$ 093

,nd a"ain6
The Soviet order $$$ is not a socialist order! since classes of e'"loited and e'"loiters e'ist in it$ The orkers of the DSS+ ant neither ca"italism nor Stalinist "seudo1socialism$ The( as"ire to a trul( classless societ(! to a true "o"ular democrac(! to a free life in free and inde"endent states$ Toda( Soviet societ(! more than an( other! is "regnant ith social revolution$ In the DSS+! the social revolution is strengthened b( the national revolutions of the o""ressed nationalities$ 01@3

In conclusion

&n the countries of capitalist democrac#, and to a lar"e extent e en in Tsarist Russia and the colonial countries, the class stru""le of the proletariat initiall# ta%es the form of partial, peaceful5 or"anised and planned5 economic stru""les. &n .talinist Russia, because of the brutal police oppression, such stru""les are excluded. +ere, as in the armies of the capitalist countries !here the soldiers are continuousl# under the !hip of martial la!, the molecular process of cr#stallisation of mass opposition to the rulers does not recei e clear direct external expression. 2nl# !hen conditions ha e become unendurable and it becomes clear to the masses that a decisive ictor# is possible, are the# able to Koin battle. &t is e en more difficult for the Russian masses to stri%e toda# than it !as for the soldiers in Tsarist Russia. The Tsarist soldiers rebelled onl# after the# sa! that the mass of the people !as in re olt. The !or%ers5 barricades "a e the soldiers confidence in the people5s stren"th and inspired them to re olt a"ainst their officers. &n Russia toda# there is no "roup of people !hich is not under closer sur eillance than e er the Tsarist arm# !as. 2nl# !hen the an"er and resentment

12%

embedded in the hearts of the masses cumulates till it is read# to burst, !ill the masses brea% out in re olt. @, proletarian re olution in the !est can ob iousl# accelerate this process to an incalculable extentA. The class stru""le in .talinist Russia must inevita&ly express itself in "i"antic spontaneous outbursts of millions. Till then it !ill seem on the surface that the olcano is extinct. Till then the omnipotent s!a# of the secret police !ill ma%e it impossible for a re olutionar# part# to penetrate the masses or or"anise an# s#stematic action !hatsoe er. The spontaneous re olution, in smashin" the iron heel of the .talinist bureaucrac#, !ill open the field for the free acti it# of all the parties, tendencies and "roups in the !or%in" class. &t !ill be the first chapter in the ictorious proletarian re olution. The final chapter can be !ritten onl# b# the masses, self*mobilised, conscious of socialist aims and the methods of their achie ement, and led b# a re olutionar# marxist part#.

Notes
1. Cili"a, op. cit., p.9(. ?. .er"e, op. cit., p.1''. C. 9. ;ischer, Soviet (##osition to Stalin9 A Case Study in World War II , Cambrid"e @4ass.A 19$?, p.1='. 4. i!id., p.1C8. $. Ans+ers to Fuestions of Interest to Soviet Citi9ens :ocated A!road as 8isplaced ersons @RussianA, 4osco! 1949, p.C. Ruoted b# 9. ;ischer, i!id., pp.111*11?. '. ;ischer, i!id., p.?='. (. .ee the <P, ne!spaper in /olh#nia, 7o.1, 194C, Defence of the Ukraine. Ruoted b# /s.;. in The Russian Ukrainian Underground, Ne+ International, ,pril 1949. 8. .ee the boo%, The osition of the ;,rainian :i!eration Movement , published b# the <P, ille"all# in the <%raine in 194( and re*issued b# the emi"ration in 9erman# in 1948. i!id. 9. i!id. 1=. i!id.

+hris 0arman

Postscript 1988:

From Stalin to Gorbachev

The first edition of this boo% D1E appeared !hen .talinism !as at its stron"est ) after the Russian occupation of 1astern 1urope and before the split bet!een Tito and .talin. &n 4arch 19$C .talin died and !ithin months enormous crac%s !ere isible in the edifice he had created. +is former lieutenants !ere soon :uarrellin" bitterl#. ,t first 4alen%o seemed to inherit .talin5s po!er, closel# supported b# the notorious police chief Beria. Then Beria !as suddenl# executed and Jhrushche displaced 4alen%o from the dominatin" position in the leadership. The :uarrels !ere accompanied b# sudden and sharp chan"es in polic#. The terror machine that had been so important in .talin5s time suddenl# !ent into re erse. The most recentl# disco ered conspirac# @the so*called Fdoctors5 plotGA !as denounced as a frame*up, and those !ho had alle"edl# insti"ated the arrests !ere themsel es rested. &n the three #ears that follo!ed, 9= per cent of those in the labour camps !ere freed. The ne! Russian leadership publicl# admitted that enormous Fmista%esG had been made. ;or the first three #ears it heaped the blame for these on Beria and a F"an" of anti*socialist spiesG !ho had FinfiltratedG the state machine. But then in 19$' Jhrushche denounced .talin himself @althou"h in secretA at the ?=th Con"ress of the CP.<, and in 19'? made part of the denunciation public b# remo in" .talin5s bod# from the Lenin mausoleum in 4osco!.

12&

The ar"uments at the top of .talin5s empire !ere accompanied b# a sudden unleashin" of discontent belo!. The sla e labourers in the camps in Russia did not simpl# !ait for the re"ime to reprocess their cases6 in Jul# 19$C the inmates of the bi""est and most notorious of the camps !ent on stri%e, despite the shootin" of 1?= stri%e leaders. &n 1ast Berlin buildin" !or%ers reacted to an increase in !or% norms b# a stri%e !hich turned into a near*insurrection b# the !hole !or%in" population of 1ast 9erman#. &n June 19$' this example !as repeated b# the !or%ers of Po8nan in Poland, and in 2ctober 19$' b# the !or%ers of the !hole of +un"ar#. These rebellions !ere put do!n in the bloodiest fashion. But not before the# had sha%en the illusions man# socialists still held about Russia ) and bad also challen"ed an# ie! of the 1astern states as lifeless monoliths in !hich rebellion !as inconcei able. The belief that Russia !as different from and intrinsicall# superior to the >est continued, ho!e er, to be ta%en for "ranted b# most of the left internationall#. ,s late as 19'= the British Labour politician Richard Crossman @pre iousl# editor of the Cold >ar boo%, The 5od That 4ailedA ar"ued D?E that the superiorit# of Russian Fplannin"G o er >estern capitalism !ould e entuall# force >estern states in a socialist direction. ;urther to the left the leadin" intellectual of the ;ourth &nternational, 1rnest 4andel, ar"ued in 19$'6
The Soviet Dnion maintains a more or less even rh(thm of economic gro th! "lan after "lan! decade after decade! ithout the "rogress of the "ast eighing on the "ossibilities of the future $$$ all the la s of develo"ment of the ca"italist econom( hich "rovoke a slo do n in the s"eed of economic gro th are eliminated $$$ 033

.uch reasonin" led 4andel to express a preference for the attempt to reform the s#stem from abo e b# 9omul%a in Poland to the !or%ers5 rebellion in +un"ar#. D4E &t led the bio"rapher of Trots%#, &saac -eutscher, e en further ) to support the crushin" of the +un"arian re olution. .uch hopes in the reformin" intentions of the rulers of the 1astern states !ere !idespread in the #ears after 19$'. ,lthou"h the# !ere dashed !hen Jhrushche !as remo ed from po!er in 19'4, the# re i ed briefl# durin" the -ubce% period in C8echoslo a%ia in the first half of 19'8. The# are no! re i in" a"ain !ith 9orbache 5s pro"ramme of glasnost @opennessA and #erestroika @restructurin"A.

The Jhrushchev "eriod

Ton# Cliff had extended his !or% on .talinism !ith studies on the 1astern 1uropean states D$E and China D'E !ritten in 19$= and 19$(. &n the late 19$=s and earl# 19'=s he set out to deepen his anal#sis of Russia so as to explain the reforms of the Jhrushche period and to point to their inbuilt limitations. &n 194( he had alread# pointed to the central contradiction in Russia, !hich "uaranteed "ro!in" crisis and an e entual !or%ers5 rebellion. The bureaucrac#5s role !as to industrialise Russia b# raisin" the le el of producti it# of labour. &t could do so up to a point b# coercion and the most minimal of li in" standards. But be#ond a certain point, Cliff !rote, Fin order to raise the producti it# of labour the standard of li in" of the masses must rise, as !or%ers !ho are undernourished, badl# housed and uneducated are not capable of modem production.G +e su""ested that the failure to raise li in" standards mi"ht alread# be leadin" to a decline in the rate of producti it# "ro!th and to FKer%# de elopments of productionG. D(E But the paucit# of reliable information on the Russian econom# and the ne!ness of this theor# of Russia meant that Cliff5s ar"uments here !ere necessaril# unde eloped ) as !as his ar"ument about the form ta%en b# economic crisis in state capitalism @the latter part of chapter ( of the present editionA. B# the late 19$=s much more information !as a ailable, althou"h it still too% a massi e labour to exca ate it from the mass of official statistics, ne!spaper reports and leadership speeches. This Cliff did, first in a series of articles D8E and a short pamphlet D9E, then in a 14=*pa"e update for the 19'4 edition of the present !or%, !hich !as published under the title of Russia: A Marxist Analysis. 12<

The additional material related specificall# to the Jhrushche period, and has not been included in subse:uent editions because b# the time the# appeared it !as er# dated. Het man# of the points Cliff made in it are !orth summarisin". Cliffs central ar"ument !as that Jhrushche had inherited from .talin an econom# more and more pla"ued b# elements of crisis. +e had pushed throu"h reforms because, !ithout them, there !as the dan"er of re olution. .talin5s method of approach to each ne! failure or difficult# !as to increase pressure and terrorism. But this ri"id method became not onl# more and more inhuman, but also more and more inefficient. 1ach ne! crac% of the !hip increased the stubborn, if mute, resistance of the people. Ri"id, .talinist oppression became a bra%e on all modern a"ricultural and industrial pro"ress. The crisis in Russia has not been limited to the economic base, but has en"ulfed the cultural, ideolo"ical and political superstructures too. &t has affected not onl# the internal situation in Russia, but also the relations bet!een Russia and the 1ast 1uropean satellites, and the international communist mo ement. Cliff then carried throu"h a detailed examination of each of these areas of crisis.

The crisis in agriculture

The le"ac# .talin left in the countr#side is an a"riculture bo""ed do!n in a slou"h of sta"nation that has lasted o er a :uarter of a centur#. 9rain output in 1949*$C !as onl# 1?.8 per cent hi"her than in 191=*14, !hile at the same time the population increased b# some C= per cent. Producti it# of labour in .o iet a"riculture has not e en reached a fifth of that in the <nited .tates ... This sta"nation became a threat to the re"ime for a number of reasons. ;irst, after the hidden unemplo#ment in the countr#side !as lar"el# eliminated, it became impossible to siphon off labour to industr# on the former scale !ithout raisin" labour producti it# in a"riculture. .econdl#, it became impossible be#ond a certain point to siphon off capital resources from a"riculture to aid the "ro!th of industr#. .talin5s method of Fprimiti e accumulationG from bein" an accelerator became a bra%e, !hich slo!ed do!n the entire econom#. D1=E Jhrushche attempted to deal !ith this crisis in t!o !a#s ) Fthe carrot and the stic%G. The carrot in ol ed reforms !hich raised the prices paid to a"ricultural producers, increased state in estment in a"riculture, "i in" the collecti e farms "reater freedom to plan their o!n production and relaxin" controls on production throu"h the peasants5 pri ate plots of land. But such reforms !ere Ffrau"ht !ith difficultiesG6
There have been some 2% (ears of Stalinist disincentives $$$ It is ver( "robable that a moderate rise in ca"ital resources for agriculture! in consumer goods for agriculturalists! in "rices "aid b( the state for agricultural out"ut ma( for a time C "erha"s for an e'tended time C have a disincentive rather than an incentive effect on the "easants$ :ith higher "rices! the ill to ork ma( decrease$ Anl( massive incentives su""lied over a ver( long "eriod can overcome the "ast and s"ur agriculturalists on to increased activit($ Dnfortunatel(! Jhrushchev lacks both ca"ital sur"luses of an( si,e and also timeE and their ac;uisition is rendered im"ossible b( the international situation hich causes a fantastic aste on armaments and the bureaucratic management of the econom( *of hich the crisis in agriculture is one of the most im"ortant as"ects-$ 0113

&t !as this !hich led Russian leaders to resort repeatedl# to the stic% of "reater central control, e en if5 this contradicted their attempts to suppl# "reater incenti es. .o the mo e to "i e peasants "reater freedom on their pri ate plots !as follo!ed b# a ti"htenin" s:uee8e on these plotsB the mo e to collecti e farm autonom# !as follo!ed b# a campai"n to build up the hi"hl# centralised state farms. ,nd as both the stic% and the carrot failed to deli er the "oods, the leadership !ould storm round the countr# pushin" "reat campai"ns !hich !ere supposed to allo! Russian a"riculture to catch up !ith ,merica o erni"ht, such as the /ir"in lands and mai8e campai"ns of the mid*19$=s. But there !as no !a# out of the crisis. 9rain output !as supposed to rise b# 4= per cent bet!een 19$' and 19'=B instead it rose a mere ?.( per cent and then sta"nated so much that in 19'C the

128

Russians had to bu# millions of tons of "rain from abroad. 4eat production in 19'= !as little more than a third of the ori"inal tar"et. F.ol in" the a"ricultural crisis,G Cliff !rote of Jhrushche , Fis meant to be the main plan% in his pro"rammeB failure to deli er the "oods ma# be his undoin".G D1?E , fe! months later Jhrushche !as remo ed from po!er b# the rest of the politbureau, !ho complained of Fhare*brained schemesG that ne er !or%ed.

The crisis in industr(

&ndustr#, unli%e a"riculture, bad expanded massi el# throu"h the .talin period ) and continued to "ro! under Jhrushche . But the rate of "ro!th declined. ,nd producti it#, !hich had "ro!n more rapidl# than in the >est in the 19C=s, !as no! stuc% at a considerabl# lo!er le el than in the Russian bureaucrac#5s maKor ri al, the <nited .tates. ,s Cliff noted6
At the end of 19%< the number of industrial orkers in the DSS+ as 12 "er cent larger than in the DSA $$$ >evertheless! even according to Soviet estimates! the "roduct turned out annuall( b( industr( in the DSS+ in 19%& as half that in the DSA$ 0133

Because of the crisis in a"riculture, the lo!er le el of producti it# in industr# could no lon"er be compensated for b# a massi e "ro!th in the number of industrial !or%ers. .o the Russian bureaucrac# had to pa# increasin" attention to the proliferation of !aste and lo!*:ualit# output !ithin the Russian econom#. Cliff spelt out se eral of the sources of !aste6 the compartmentalism that led enterprises to produce internall# "oods that could be produced more cheapl# else!here D14EB the hoardin" of supplies b# mana"ers and !or%ers D1$EB the tendenc# of mana"ers to resist technolo"ical inno ation D1'EB the stress on :uantit# at the expense of :ualit# D1(EB the ne"lect of maintenance D18EB the proliferation of Fpaper !or% and muddleG D19EB the failure to establish the efficient and rational price mechanism !hich mana"ers re:uired if the# !ere to measure the relati e efficienc# of different factories. D?=E +e concluded6
If b( the term 5"lanned econom(7 e understand an econom( in hich all com"onent elements are ad)usted and regulated into a single rh(thm! in hich frictions are at a minimum and above all! in hich foresight "revails in the making of economic decisions! then the +ussian econom( is an(thing but "lanned$ Instead of a real "lan! strict methods of government dictation are evolved for filling the ga"s made in the econom( b( the decisions and activities of this ver( government$ Therefore! instead of s"eaking about a Soviet "lanned econom(! it ould be much more e'act to s"eak of a bureaucraticall( directed econom( $$$ 0213

There had been accounts of the inefficiencies of Russian industr# before Cliff, and there ha e been man# since. The# ha e pro ided the empirical Fe idenceG of all those ) on the left as !ell as the ri"ht ) !ho claim that the Russian s#stem is :ualitati el# inferior to the >estern one. >hat characterised Cliff5s account !as not the stress on !aste and inefficienc#, but rather the !a# he sa! these as follo!in" from the state capitalist nature of the s#stem. The immediate cause of the arious sorts of !aste !as the !a# in !hich the planners set tar"ets for production hi"her than !hat could easil# be achie ed. &n order to protect themsel es from these pressures, mana"ers hoarded materials and supplies of labour. ,nd in order to protect themsel es from suddenl# increased pressures from mana"ers, !or%ers !or%ed at much less than full tempo. ,!areness that this !as happenin" throu"hout the econom# led planners, in turn, to impose deliberatel# hi"h tar"ets. ,s Cliff put it6
:hat are the basic causes for anarch( and astage in the +ussian econom(O ?igh targets of "roduction together ith lo su""lies C like t o arms of a nutcracker C "ress u"on the managers to cheat! cover u" "roduction "otentialities! inflate e;ui"ment and su""l( needs! "la( safe! and in general act conservativel($ This leads to astage and hence to lack of su""lies! and to increasing "ressure from above on the manager! ho once more has to cheat! and on and on in a vicious circle$ ?igh targets and lo su""lies lead to increasing de"artmentalism$ Again a vicious circle$

129

?igh targets and lo su""lies make necessar( "riorit( a areness on the "art of managers$ .ut this "riorit( s(stem and 5cam"aign7 methods! lacking a dear ;uantitative gauge! lead to astage and hence to an increasing need to refer to "riorit( schedules$ Again a vicious circle$ All these re;uirements necessitate a multi"licit( of control s(stems! hich are in themselves asteful and in their lack of s(stematisation and harmon( make for even more astage$ ?ence the need for more control! for "a"er "(ramids and a "lethora of bureaucrats$ Again a vicious circle$ :hat has been said about the vicious circle resulting from the conflict bet een over1ambitious "lanned targets and lo su""l( basis a""lies! mutatis mutandis! to the effect of the "oor "rice mechanism$ Thus for instance! the "oor "rice mechanism leads to de"artmentalism! "riorit( cam"aigns and a "lethora of controls$ And these lead to increasing faultiness of the "rice mechanism$ Again a vicious circle$ 0223

Cliff5s F icious circleG has been described on innumerable occasions since 19'4 b# 1ast 1uropean economists. D?CE .ome of these ha e made the connection bet!een the o er*hi"h tar"ets @sometimes referred to as Fo erin estmentGA, shorta"es @sometimes referred to as the Finflation barrierGA, the hoardin" of supplies, and companmentalism in the econom#. , fe! ha e e en "one further than Cliff in one respect b# depictin" ho! these different factors fit to"ether into a c#cle of in estment and production some!hat a%in to the classic boom*slump pattern of >estern capitalist de elopment. D?4E But the# miss one all*important point made b# Cliff. The icious, apparentl# irrational, c#cle of inefficienc# and !aste has !hat is, from the rulin" bureaucrac#5s point of ie!, a rational startin" point. F2 erin estmentG is itself a result of the insertion of the bureaucraticall# run econom# into a competiti e !orld s#stem6
The great im"ediment on the "ath of lo ering out"ut targets are the orld com"etition for "o er and the tremendous militar( e'"enditure$ 02%3

The Russian s#stem cannot be re"arded, as man# of those !ho emphasise its !aste toda# re"ard it, simpl# as a "reat failure6
Ane should! ho ever! avoid the mistake of assuming that the mismanagement corroding +ussia4s national econom( "recludes ver( substantial! na(! stu"endous! achievements$ Actuall(! bet een the bureaucratic mismanagement and the great u" ard s ee" of +ussia4s industr(! there is a tight dialectical unit($ Anl( the back ardness of the "roductive forces of the countr(! the great drive to ards their ra"id e'"ansion *together ith a hole series of factors connected ith this- and! above all! the subordination of consum"tion to ca"ital accumulation! can e'"lain the rise of bureaucratic state ca"italism$ The efforts and sacrifices of the mass of the "eo"le have raised +ussia! des"ite bureaucratic mismanagement and aste! to the "osition of a great industrial "o er$ ?o ever! state ca"italism is becoming an increasing im"ediment to the develo"ment of the most im"ortant "roductive force C the orkers themselves C hich onl( a harmonious socialist societ( can liberate$ 02&3

To !hat extent lo! producti it# is a result of mismana"ement and blunders at the top or of resistance of !or%ers from belo! cannot be estimated. The t!o aspects naturall# cannot be di orced. Capitalism in "eneral and its bureaucratic state capitalist species in particular is concerned !ith cuttin" costs and raisin" efficienc# rather than satisf#in" human needs. &ts rationalit# is basicall# irrational, as it alienates the !or%er, turnin" him into a Fthin"G, a manipulated obKect, instead of a subKect !ho moulds his life accordin" to his o!n desires. That is !h# !or%ers sabota"e production. D?(E ,s in a"riculture, so in industr# .talin5s heirs tried to deal !ith this problem b# the carrot, found the# could not succeed li%e that and returned at least in part to the stic%. The dismantlin" of the "iant labour camps after .talin5s death !as follo!ed b# the annulment of la!s !hich had made !or%ers liable for le"al penalties if the# !ere absent or late for !or%. Cliff compares these chan"es !ith !hat happened in the course of the de elopment of >estern capitalism6 in the first sta"es of the industrial re olution all sorts of compulsions @the a"ranc# la!s, the !or%house s#stemA !ere used to compel people to accept factor# disciplineB but once the ne! capitalist s#stem had ta%en root, these tended to retard labour producti it# and "a e !a# to purel# FeconomicG forms of compulsion. D?8E

13@

But there !ere ti"ht limits on the si8e of the carrot that could be used to entice !or%ers to hi"her producti it#. &n 19$C4 the first post*.talin prime minister, 4alen%o , promised an increased output of consumer "oods at the expense of means of production. But the hone#moon period for li"ht industr# !as short*li ed. &n the frame!or% of international economic and militar# competition, the subordination of consumption to accumulation is una oidable. ,s earl# as the autumn of 19$4 an offensi e led b# Jhrushche , Bul"anin @then 4inister of -efenceA and .hepilo !as launched a"ainst the Fpamperin"G of the consumers, and sou"ht a return to a "reater emphasis on hea # industr#. &n Januar# 19$$ Jhrushche declared that6
The "aramount task! to the solution of hich the "art( devotes all its efforts! has been and remains the strengthening of the might of the Soviet state and! conse;uentl(! the accelerated develo"ment of heav( industr($

, fortni"ht later 4alen%o !as forced to resi"n as prime minister. The share of li"ht industr# and the food industr# in state industrial in estment, !hich had been bet!een 1' and 1( per cent in the fi e* #ear plans of the 19C=s and 1?.C per cent in the second half of the 194=s, fell e en lo!er in the 19$=s and earl# 19'=s ) to around 9 per cent. D?9E >ithout an# solution to the a"ricultural crisis and !ithout an# bi" increase in in estment in consumer "oods industries, there !as a limit to the possible rise in !or%ers5 li in" standards in the Jhrushche #ears. B# 19'C,
In absolute terms consumer goods out"ut has im"roved$ ?o ever! on the hole the results have not in man( cases reached the targets of even the first five1(ear "lan as regards out"ut "er head $$$ In s"ite of all the changes! living standards in +ussia are still far belo those in :estern Iuro"e and onl( marginall( above those in +ussia in 1928 *"rior to the "lan era-$ 03@3

.o e en thou"h thin"s !ere much better for !or%ers b# the end of the Jhrushche period than the# had been under .talin @after all, the# had fallen to onl# about three*fifths of the 19?8 le el in the mid*19C=sA, the impro ements !ere b# no means sufficient to produce massi e increases in labour producti it#. Cliff concluded his chapter on the Russian !or%er6
A central orr( for the +ussian leaders toda( is ho to develo" the "roductivit( of the orker$ >ever has the attitude of their orker meant more to societ($ .( the effort to convert the orker into a cog in a bureaucratic machine! the( kill in him hat the( most need! "roductivit( and creative abilit($ +ationalised and accentuated e'"loitation creates a terrible im"ediment to a rise in the "roductivit( of labour$ The more skilled and integrated the orking class the more ill it not onl( resist alienation and e'"loitation! but also sho an increasing contem"t for its e'"loiters and o""ressors$ The orkers have lost res"ect for the bureaucrac( as technical administrators$ >o ruling class can continue for long to maintain itself in the face of "o"ular contem"t$ 0313

8hanges in the 5su"erstructure7

Cliff5s dia"nosis of the Jhrushche period did not restrict itself to the econom#. +e !ent on to sho! ho! chan"in" economic needs !ere reflected in the social and political FsuperstructureG. The most notable feature of the post*.talin period !as the relaxation of terror. 4ost of the labour camps !ere closed don and the mass pur"es became a thin" of the past. &mportant elements of the rule of la! !ere restored, !ith the police losin" the po!er to imprison and execute people !ithout Kudicial erdicts. ;or Cliff, the main reason for these chan"es !as that the# !ere the other side of the shift from Fprimiti e accumulationG, based on a "reat deal of forced labour, to Fmature state capitalismG based on free labour. But the# also fitted in !ith the indi idual desires of the members of the bureaucrac#6
The ruling class in +ussia! for its o n sake! ants to rela'$ Its members ant to live to en)o( their "rivileges$ Ane of the "arado'es of Stalin4s regime as that even the sociall( "rivileged bureaucrats ere not at one ith it$ Too often the BH= *the old name for the JK.- laid their bands even on the e'alted bureaucrats$ It as estimated that in 193814@ some 24 "er cent of the technical s"ecialists ere im"risoned or e'ecuted$ The bureaucrac( sought no to normalise its rule$ 0323

Het Kust as there !ere limits to the FcarrotG in the economic sphere, there !ere limits to the reduction in the po!er of the police. The J9B continued to be a er# important centre of po!er !ithin the state. 7umerous la!s remained in effect to punish people for an# serious :uestionin" of the po!er of 131

the rulin" class or for or"anisin" stri%es and demonstrations. FComrades5 courtsG !ere set up to deal !ith Finfrin"ements of so iet le"alit# and code of socialist beha iourG. B# this !as meant a ran"e of acti ities !hich challen"ed the bureaucrac#5s monopol# of state propert# or the obli"ation of the rest of societ# to !or% for the bureaucrac# ) Fille"al use of state or public material e:uipment or transport ... shir%in" sociall# useful !or% and li in" as a parasite ... poachin" ... dama"e to crops or plantations b# animals ... pett# profiteerin" ... drun%enness ...bad lan"ua"e ...G DCCE ;or Cliff, further reduction in the arbitrariness of state po!er !as ruled out because of the "eneral scarcit# of "oods, the inabilit# to deal !ith Fbureaucratic arbitrariness and administrati e fiatF in the econom#, and b# Fthe fact that the state is the repositor# of all means of the production, the centre of educational and cultural or"anisationG and so, the focus for Fall criticism, of !hate er aspect of the s#stemG.
?ence state ca"italism b( its ver( nature! unlike "rivate ca"italism! e'cludes the "ossibilit( of ide! even if onl( formal! "olitical democrac($ :here the state is the re"ositor( of the means of "roduction! "olitical democrac( cannot be se"arated from economic democrac($ 0343

Behind the limitations on political reform la# the fact that po!er continued to lie !ith a narro! bureaucratic class6
The mono"ol( of "o er is not less the "rerogative of the 8/SD under Jhrushchev than it as under Stalin$ Its social com"osition has not changed much either$ And the concentration of the commanding heights of the "art( in the bands of the bureaucrac( is even more the case than under Stalin $$$ Ardinar( orkers and collective farmers "robabl( do not com"rise more than a fifth! certainl( no more than a ;uarter of the "art( membershi"$ The higher one rises in the "art( hierarch(! the more scarce are orkers and collective farmers$ 03%3

The tensions bet!een Jhrushche 5s attempts at pushin" throu"h reform and his inabilit# to do so be#ond a certain point found expression in the relations bet!een the different nationalities inside the <..R.
Stalin4s death occurred at the height of the +ussification cam"aign $$$ Stalin4s heirs had to decide hether the( should continue these "olicies or offer concessions to the national minorities$ 03&3

,t first concessions seemed on the cards6

The self1assurance of the non1+ussian "eo"les of the DSS+ follo ing their economic and cultural advance must lead to increasing o""osition to national o""ression $$$ :here the retreat from Stalin4s overcentralisation in economic management as made $$$ the harshness and e'tremism of Stalin4s nationalities "olic( became intolerable $$$

Pointers to chan"e be"an to appear shortl# after .talin5s death. Cliff "a e a number of examples of part# leaders in the different republics !ho had been demoted for too 8ealous an identification !ith .talin5s nationalities polic# and of others !ho !ere ac:uitted of pre ious accusations of Fbour"eois nationalismG. Jhrushche , in his ?=th part# con"ress speech, !ent out of his !a# to denounce .talin5s deportation of !hole nationalities, and soon after!ards a number of them @but not the Crimean Tartan and the /ol"a 9ermansA !ere rehabilitated. But Fthe main lines of the nationalities polic# ha e not reall# chan"ed radicall# ... &n the "o ernments of the ,sian republics ne!l# appointed in 19$9, of the 118 ministers no fe!er than C8 !ere 1uropeansG ) and these usuall# held %e# portfolios such as those of state securit#, plannin", and chair or deput# chair of the council of ministers. The idealisation of the Tssrist annexations continued, and Fthe Russian lan"ua"e continues to ed"e out the national lan"ua"es, e en in the schools of the national republicsG.
Although non1+ussians constitute about half the "o"ulation of the DSS+! the circulation of ne s"a"ers in non1+ussian languages constituted in 19%8 onl( 18 "er cent of the total circulation$ 03<3

Those !ho resisted this trend mi"ht not be ta%en out and shot as in .talin5s time, but the# !ould find their careers ruined. F,nti*nationalistG campai"ns continued to ta%e place in the different national republics, and continued to lead to !idespread sac%in"s and demotions. The Russian leadership faced a FnationalG problem outside as !ell as inside the borders of the <..R. &n .talin5s time 4osco! had been the centre of an international Communist mo ement that held po!er ins third of the !orld and had the support of man# of the most militant sections of !or%ers else!here. This !as doubl# useful to .talin. The forei"n Communist Parties could be used as counters in diplomatic "ames !ith the >estern po!ers. ,nd their praise for Russia could be used as 132

an ideolo"ical !eapon in the battle to %eep control of Russia5s !or%ers and peasants ) !hat better proof could there be of the correctness of .talin5s methods than that !or%ers throu"hout the rest of the !orld praised themI But the abilit# of Russia to control the other Communist Parties depended on it bein" the onl# independent Communist po!er6
For a long time $$$ the international 8ommunist movement $$$ has suffered one setback after anotherG in Kerman( from the defeat of the revolution in 1919 to the rise of ?itlerE in 8hina the defeat of the revolution in 192%12<E the defeat of the +e"ublic in the S"anish 8ivil :arE the debacle of the /eo"le4s Front in France! etc$ The onl( 8ommunist /art( maintaining "o er as in +ussia$ If man4s eakness in the face of the forces of nature or societ( lead to his imbibing the o"iate of religion ith its "romise of a better orld to come! Stalinism certainl( became the o"iate of the international labour movement during the long "eriod of suffering and im"otence$ 0383

Thin"s chan"ed after the .econd >orld >ar. ;irst in Hu"osla ia and ,lbania and then, much more importantl#, in China and later Cuba and /ietnam, Communist re"imes came to po!er !hich !ere not dependent on the Russians. Cliff sho!ed in a number of boo%s and articles DC9E that these !ere propelled b# the same lo"ic of state capitalist accumulation as Russia. But this er# lo"ic ine itabl# led them into bitter conflicts !ith Russia5s rulers. Tito bro%e !ith .talin in 1948 because .talin attempted, in the interests of Russian capital accumulation, to impose policies !hich !ere detrimental to buildin" an independent national state capitalism in Hu"osla ia. T!el e #ears later Jhrushche !as faced !ith a much more important split ) that !ith the rulers of the "iant Chinese People5s Republic. Cliff traced the roots of this split to the differin" economic needs of the t!o rulin" classes. The Russians !ere concerned !ith attemptin" to catch up !ith the <. in producti it# ) and that in ol ed concentratin" in estment in their o!n alread# relati el# ad anced industries and usin" !hat resources !ere left to tr# to raise Russian li in" standards. The Chinese, b# contrast, !ere desperate for the in estment needed to build ne! industries from scratch, usin" the most primiti e methods if necessar#, and needed to %eep li in" standards as lo! as possible. -i er"ent interests led to increasin"l# bitter ro!s o er the allocation of resourcesB and out of the economic di isions "re! ideolo"ical di isions. The Russian leadership, ma%in" the transition from primiti e accumulation to mature state capitalism, re:uired an ideolo"# !hich boasted of the immediate benefits to li in" standards of its policies. &t needed to turn its bac% sharpl# on the .talinist ideolo"# of ne er*endin" sacrifice and relentless mobilisation. The Chinese, still at the primiti e accumulation sta"e, re:uired that ideolo"# more than e er6
For 8hina to belong to the same bloc hile getting less and less materiall( from her rich "artner is bad enough in itself$ .ut as a morale1buster! the effect on Bao4s highl( disci"lined cam" can be catastro"hic in the long run$ 04@3

Cliff5s conclusion !as that the split bet!een Russia and China !as not Kust a passin" phase, but permanent. This meant, F!hiche er !a# the conflict bet!een 4osco! and Pe%in" de elops, one thin" is certain ) the international Communist monolith has crumbled.G D41E ,"ain, it is a conclusion !hich ma# not seem particularl# profound toda#. But in the earl# 19'=s it !as er# much a minorit# ie!. 2n both the ri"ht and the left in the >est the "eneral ie! !as that e entuall# Russia and China !ould soon mend their :uarrel. &saac -eutscher "a e expression to the ie! of most socialists !hen he said that !hat the t!o had in common !as so "reat the di ision could not last for lon". D4?E

The .re,hnev (ears

7i%ita Jhrushche !as remo ed from po!er b# the Russian politbureau in the autumn of 19'4 and died in official obscurit#. +is successor, Leonid Bre8hne , ruled for 18 #ears, t!ice as lon" as Jhrushche , and died in office. Het hardl# !as his bod# cold than the Russian press !ere sti"matisin" the Bre8hne #ears as a period of Fsta"nationG.

133

Bre8hne had been able to ta%e po!er in 19'4 because Jhrushche 5s succession of reforms and counter*reforms had upset a si8eable la#er of the bureaucrac# !ithout producin" outstandin" economic results. &t !as eas# to brin" to"ether a coalition of different bureaucratic interests opposed to an# more Fhare*brained schemesG. B# manoeu rin" bet!een these, the ne! leader !as able to "ain increasin" control for himself until, combinin" the offices of part# secretar# and state president, he !as unchallen"eable. +e had to pa# a price for his success, ho!e er. +e bad to placate all those !ho had helped him to rise, and that meant lea in" established bureaucrats in their place, re"ardless of ho! !ell the# did their Kobs. The .talin period had been cbaracterised b# massi e, blood# pur"es, the Jhrushche period b# bloodless ones. The Bre8hne period lac%ed both. &t !as a lon" period of bureaucratic stabilit#, in !hich onl# death remo ed man# top bureaucrats from office. >hen .talin died in 19$C the a era"e a"e of politbureau members !as $$ and of Central Committee secretaries $?B b# the time of Bre8hne 5s death the a era"e had risen to (= and '(. ,t first there !ere to%en efforts to continue !ith reform. Bre8hne 5s first prime minister, Jos#"in, tried to introduce a ne! s#stem b# !hich the success of factor# mana"ers !as measured in terms of profitabilit#, not Kust :uantitati e output. &n 19'( the success of the .hche%ino chemical combine in raisin" output !hile reducin" the !or%force !as hi"hli"hted as an example for other enterprises to follo!. But the ne! reforms soon petered out. Tin%erin" !ith the s#stem did not produce the expected benefits, and the opposition of entrenched bureaucratic interests pre ented more than Kust tin%erin". ;or a do8en #ears, it seemed that the problems that had so haunted Jhrushche could simpl# be i"nored. The "ro!th rate of the <..R5s econom# mi"ht be fallin", but it !as still faster than most >estern states. The sheer si8e of the <..R and the continued existence of considerable mineral resources enabled it to i"nore the !ea%ness of !hole sectors of its econom#. &f in estment in a"riculture and consumer "oods !as retarded b# the pressures of militar# competition, it !as still possible to raise output ) and li in" standards. The a era"e "rain har est in the Jhrushche #ears !as 1?4.4 million tonnesB it !as 1('.( million tonnes in Bre8hne 5s first decade in office. D4CE &n 19'$ onl# ?4 per cent of .o iet families had a T/ set, $9 per cent a radio, 11 per cent a frid"e and ?1 per cent a !ashin" machineB b# 1984 the fi"ures had risen to 8$ per cent, 9' per cent, 91 per cent and (= per cent. D44E >hile thin"s impro ed in this !a#, it seemed that all the problems that had so obsessed Jhrushche could be i"nored. But the# be"an to re*emer"e !ith a en"eance in the late 19(=s. The rate of economic "ro!th be"an to decline precipitatel#. The 19('*8= plan set the lo!est "ro!th tar"ets since the 19?=s ) and !as still not fulfilled. &f the annual "ro!th rate bad a era"ed $ per cent in Jhrushche 5s last fi e #ears and $.? per cent in Bre8hne 5s first fi e #ears, it !as onl# ?.( per cent in 19('*8= @accordin" to<. estimates D4$EB official Russian fi"ures are a little hi"her, but sho! the same trendA. The trend to sta"nation hit particular industries er# hard6 electricit# and oil output !as "ro!in" b# 198= at onl# about t!o*thirds of the rate of fi e #ears earlier, and coal, steel and metal*cuffin" machine tools output actuall# fell a little. D4'E 1 en !orse, the relati el# "ood har est of 19(8 !as follo!ed b# poor har ests in 19(9 and 198= and a disastrous one in 1981. The Russian leadership sa# toda# that6
The unfavourable tendencies that surfaced in economic develo"ment in the 19<@s gre shar"er in the earl( 198@s rather than rela'ing$ The slo do n of the gro th rates continued during the first t o (ears$ The ;ualit( indicators of economic management deteriorated$ In 1982 the increment rate of industr( as 33$4 "er cent belo the average of the "eriod of the "ast five1(ear "lan$ 04<3

The reaction of the Bre8hne "eneration of a"ein" bureaucrats !as to tr# to e ade all the problems the economic do!nturn posed. The# tried to continue in the old !a# and to use political influence to protect their o!n little empires. ,"ain, as the leadership no! tells6

134

.oth in the centre and the localities man( leaders continued to act b( outdated methods and "roved un"re"ared for ork in the ne conditions$ =isci"line and order deteriorated to an intolerable level$ There as a fall in e'actingness and res"onsibilit($ The vicious "ractice of do n ard revision of "lans became ides"read$ 0483

&n the .talin and Jhrushche periods bureaucrats at all le els could ha e a certain sense of pride in their achie ements. The# mi"ht ha e li ed in fear of .talin and ha e resented Jhrushche 5s choppin" and chan"in" of policies, but at least the# sa! the econom# "ro! under their collecti e control, and !ith it their indi idual presti"e. The# could belie e in Fthe relentless ad ance of communismG ) not in the sense of the ad ance to human liberation preached b# 4arx and Lenin, but of the "ro!th of Russian state capitalist po!er. <nder Bre8hne pride "a e !a# to c#nicism and c#nicism easil# spilled o er into blatant corruption. ,t the top Bre8hne 5s on famil# !as implicated in this6 his dau"hter !as suspected of in ol ement in a scandal concernin" stolen diamonds and his brother*in*la!, the deput# head of the J9B, in co erin" up for her. D49E , little further do!n the bureaucratic hierarch#, the national leaderships of a number of republics seem to ha e built a base for themsel es b# co erin" up for semi*criminal elements6 accusations to this effect !ere thro!n at the Ja8a%hstan, <8be%istan, 9eor"ian and ,rmenian leaderships after Bre8hne 5s death. The c#nicism of the bureaucrac# !as clearl# matched b# continuin" mass alienation at the base. -run%enness rose to record le el. The :ualit# of output from the factories did not impro e. Producti it# in industr# remained at $$ per cent of the <. le e D$=E and !as risin" onl# sli"htl# faster than !a"es. D$1E

Korbachev

Huri ,ndropo too% o er the leadership on Bre8hne 5s death. ,s head of the J9B he mi"ht ha e been expected to be conser ati e in his approach. But in a totalitarian state it is often the secret police !ho are most in touch !ith the real mood of the mass of the people6 the# ha e a net!or% of informers !ho !ill report on !hat their nei"hbours are reall# sa#in", !hile members of the re"ime5s part# report onl# !hat those abo e them !ant to hear. .o ,ndropo !as a!are of the c#nicism, the corruption and the depth of popular alienation. +e had also been Russian ambassador in +un"ar# in 19$' and had learnt ho! rapidl# such in"redients could i"nite into popular insur"enc# ) a lesson reinforced b# the sudden rise of Solidarnosc in Poland in 198=. +e set out on the path of reform, as Jhrushche had C= #ears before, to reduce such dan"ers to bureaucratic rule. ,ndropo li ed onl# another 14 months, and the conser ati e, Bre8hne ite forces !ere still stron" enou"h on his death to ensure that one of themsel es, the a"ein" Chernen%o, too% o er. But ,ndropo had mana"ed to shift the balance of po!er to some extent. >hen Chernen%o in turn died after 1C months in office, 4i%hail 9orbache !as appointed "eneral secretar#. &n the interim, economic sta"nation had continued6 output of a !hole ran"e of "oods from steel to fertilisers !as actuall# lo!er than a #ear before. The ne! leader could hardl# a oid leapfro""in" bac%!ard o er the Bre8hne #ears to the tal% of reform and chan"e that had been buried !ith the oustin" of Jhrushche . 9orbache coined the slo"ans #erestroika @restructurin"A and glasnost @opennessA. +e spo%e of the need for a Fpeaceful re olutionG. +e encoura"ed reform*minded economists to hi"hli"ht faults in the or"anisation of industr# and a"riculture. +e spo%e of the need to replace corrupt local leaders and inefficient mana"ers. ,nd tal% of economic reform spilled o er into tal% of political reform. There !as a reconciliation !ith the best*%no!n of dissidents, .a%haro , !ho !as allo!ed bac% to 4osco! from exile in 9or%i. There !as rene!ed criticism of .talin and the rehabilitation of Bolshe i% leaders !ho had been executed b# him, especiall# Bu%harin. There !as toleration of independent informal discussion "roups. There !as a chan"e in the electoral s#stem to allo! for more than one candidate in certain cases. There !as

13%

tal% of allo!in" the secret ballot in internal part# elections. There !as e en a promise of the election of factor# mana"ers b# the !or%force. ,ll this led man# people on the left to de elop the same sort of faith in 9orbache 5s reformin" 8eal that people li%e -eutscher bad sho!n in Jhrushche C= #ears earlier. But, li%e Jhrushche , 9orbache has shied a!a# from the radical reform implied in some of his !ords. +is economic reform is, li%e Jhrushche 5s, a case of the stic% as !ell as the carrot. 9orbache has pointed enthusiasticall# to the .ta%hano ite mo ement of the 19C=s and 194=s as an example to be copied. D$?E +e told a meetin" in Jhabaro s%6 FThe main thin" needed no!, and & sa# this to #ou and as% #ou, is6 >or%, !or%, !or%MG D$CE +is first maKor action to deal !ith economic inefficienc# !as to tr# to stop !or%ers dro!nin" their sorro!sB he issued a decree restrictin" the sale of alcohol and raisin" its price C= per cent. &ndeed, for man# !or%ers the stic% far out!ei"hs the carrot6 !here the reform has been applied at the enterprise le el it has led to !a"e cuts ) and to stri%es, as !ith the tram stoppa"e at Che%ho D$4E and !hat I9vestia referred to as a F!ild demonstrationG at the Jama Ri er truc% plant. D$$E 9orbache himself has admitted that there ha e been se eral F!or% stoppa"esG o er :ualit# control measures !hich ha e lo!ered !or%ers5 bonuses. D$'E The promises of glasnost ha e not turned into e en the er# limited democrac# %no!n in the ad anced >estern states. There !as a choice of candidates in the 198( elections ) but in onl# $ per cent of constituencies, and e en here there !as no open campai"nin" for different policies. The rules for the elections of mana"ers made it clear that !or%ers !ill not ha e real control. The !or%ers do not themsel es determine !ho is on the short list of candidates that is oted on. The successful candidate has to be appro ed b# the Fsuperior or"anG in char"e of the enterprise D$(E and it is not Kust the !or%ers, but all emplo#ees @includin" mana"ers, super isors and foremenA !ho ote. ;inall#, in the elections that ha e ta%en place so far !or%ers ha e not been allo!ed to campai"n for or a"ainst an indi idual candidate @as !or%ers in the Lat ian factor# of R,; cars complained in 198(A. D$8E &t is eas# to see ho!, in such conditions, the onl# "roup allo!ed to campai"n !ithin the enterprise, the part# cell, !ill effecti el# be able to determine !ho !ins. ,nd statistics sho! that onl# 1'.( per cent of those in %e# positions in local part# cells are !or%ers. D$9E ,lon"side the alle"ed election of mana"ers, elected enterprise councils ha e been set up. But a"ain, the rules for elections ma%e it clear that this is not an example of real !or%ers5 democrac#. The councils5 primar# sphere of authorit#5 is the monitorin" of !or%er performance and the promotion of enterprise producti it#6
$$$ the council concentrates its main attention on the develo"ment of the initiative of the orking "eo"le and on the contribution of each orker to the common cause! and im"lements measures to achieve high end results $$$ and to earn the collective economicall( accountable revenue$ 0&@3

The first election campai"ns !ere based entirel# on candidates5 records of promotin" efficienc# and producti it# and their adherence to Fnorms of socialist le"alit# and moralit#G. D'1E These bodies are clearl# much closer to :ualit# circles than to real factor# councilsM &f there !ere an# doubt on the matter, article ' of the ne! la! spells out that the part# or"anisation Fdirects the !or% of the or"anisation of collecti e self*mana"ementG. The same combination of tal% of reform and real control from abo e is sho!n o er the nationalities :uestion. 4an# of the oppressed ethnic "roups that ma%e up more than half the <..R5s population ha e ta%en glasnost to mean the# can spea% out for the first time in (= #ears about the discrimination the# face. &n 198( there !ere demonstrations in the Baltic republics and b# the Crimean Tartan. ;ebruar# 1988 sa! a million* stron" demonstration in the ,rmenian capital. Het the actions of the 9orbache "o ernment ha e in ol ed centralised direction from 4osco! rather than reliance upon local initiati e. ,t the end of 198' a Russian !as imposed on the ,sian republic of Ja8a%hastan as first secretar# in place of an alle"edl# corrupt local leader ) and man# thousands of Ja8a%hs poured into ,lma ,ta and clashed !ith the police in protests. The re"ime turned a blind e#e to the protests in the Baltic republics and b# the Tartan. >hen 9orbache met a dele"ation elected from the mass demonstration of ,rmenians, he told them the# !ould ha e to !ait some #ears 13&

for satisfaction of their "rie ances. ,s !ith Jhrushche C= #ears a"o, 9orbache 5s promise of reform is contradicted b# his dri e to ma%e Russian industr# more efficient ) and that means a central, rather than a local direction of resources. ,"ain li%e Jhrushche , 9orbache 5s period of rule has been mar%ed b# sudden choppin" and chan"in". &n 1984*8', he tal%ed of reform but concentrated mainl# on chan"in" personnel, so as to replace former Bre8hne supporters !ith his o!n men. Then in the first ten months of 198( he be"an to ur"e rapid chan"e in a series of speeches and in his boo% erestroi,a. But in 2ctober of that #ear there !as a sudden shift bac% to older methods. &n the forefront of the campai"n for reform had been Boris Heltsin, the recentl# appointed leader of the 4osco! part# or"anisation. +e introduced the 2ctober plenum of the Central Committee !ith a speech !hich, apparentl# @!e don5t %no! the exact contents of his speech, since glasnost does not amount to openness about such proceedin"sA, in ol ed s!in"ein" attac%s on those obstructin" #erestroika. There follo!ed attac%s on him b# no fe!er than ?' spea%ers from the floor and the meetin" then unanimousl# passed a resolution F:ualif#in" his statement as politicall# !ron"G. The forei"n press !ere told of the ar"uments ta%in" place, but not the people of the <..R. The first the# heard officiall# came three !ee%s later !hen a special meetin" of the 4osco! Cit# part# oted to sac% Heltsin. The tone of the meetin" !as set b# 9orbache himself, !ho claimed that Heltsin had Fadopted hi"h* soundin" statements and promises from the er# be"innin" !hich !ere lar"el# nourished b# his inordinate ambition and fondness for sta#in" in the limeli"htG. The lan"ua"e !as not that different from that used b# .talin a"ainst his opponents in the late 19?=s and earl# 19C=s @before he turned to callin" them Fa"ents of imperialismGA. ,nd Heltsin5s o!n response sho!ed ho! little room there is in the "lasnost*inspired leadership for open debate. &nstead of defendin" himself, Heltsin responded !ith a confession that could also ha e come from the .talin era6
I must sa( that I cannot refute this criticism $$$ I am ver( guilt( before the Bosco 8it( /art( organisation! I am ver( guilt( before the 8it( /art( 8ommittee! before the .ureau and! of course! before Bikhail Korbachev hose "restige is so high in our organisation! in our countr( and throughout the orld$ 0&23

The Heltsin affair !as no isolated occurrence. &t mar%ed some sort of turnin" point in the dri e for glasnost. This is sho!n b# a shift in 9orbache 5s o!n approach. Before the Heltsin affair, in the summer of 198(, he !rote his boo% Perestroi%a, !hich demands radical reform. ,fter the attac%s on Heltsin at the Central Committee he "a e a speech mar%in" the (=th anni ersar# of the 2ctober re olution. This !as !idel# expected to ur"e a speed*up of #erestroika and glasnost. But instead it laid as much stress upon the Fdan"ersG of F"oin" too fastG as on the dan"ers of resistance to #erestroika. .uch sudden re erses of polic# are not accidental. The sta"nation of the Russian econom# produces pressure for reform. But that pressure encounters massi e obstacles from inside the bureaucrac# itself. &t is not onl# that millions of indi idual bureaucrats are committed to the old !a#s of or"anisin" thin"sB it is also that the !hole bureaucrac# fears that bitter ar"uments !ith each other mi"ht open up a space for millions of people belo! them to ta%e action on their o!n accord. &t !as precisel# such splits !ithin the bureaucrac# !hich laid the "round for the 1ast 9erman risin" of 19$C, the Po8nan risin" of June 19$', the +un"arian re olution of 2ctober*7o ember 19$' and the C8echoslo a% e ents of 19'8. D'CE 2n each occasion !hat be"an as ar"uments bet!een different sections of the bureaucrac# partiall# paral#sed the machine of repression and allo!ed students, intellectuals and finall# !or%ers to mobilise. There ha e alread# been the first si"ns of such mo es as a b#*product of the ar"uments o er glasnost. There !as the clash bet!een demonstrators and the police in ,lma ,ta in 198', the nationalist demonstrations in the Baltic states in 198(, the hu"e demonstration in ,rmenia in late ;ebruar# 1988. 2utside the <..R itself, in its sphere of influence in 1astern 1urope, there ha e been si"ns that thin"s mi"ht "et completel# out of control, !ith stri%es and demonstrations in +un"ar#, a

13<

near*uprisin" in the Rumanian to!n of Braso , and continuin" discontent in Poland and C8echoslo a%ia. >hat is more, those !ho resist reform ha e one er# po!erful ar"ument6 it is b# no means self* e ident that economic reform !ill sol e the problems of the econom#. &n t!o 1ast 1uropean countries, +un"ar# and Hu"osla ia, far*reachin" reforms in the direction of !hat is sometimes called Fmar%et socialismG ha e been carried throu"h. ;or a time these reforms recei ed enormous praise in the >estern media. Het toda# the +un"arian and Hu"osla economies are in no better shape than that of Russia. Both are sufferin" from industrial sta"nation, hi"h le els of inflation and bi" forei"n debts. Both are attemptin" to impose !a"e cuts and unemplo#ment on their !or%ers, creatin" "ro!in" discontent !hich led, in the Hu"osla case, to a massi e !a e of stri%es in 198(. The point is that reforms cannot deal !ith the root cause of the <..R5s economic failin"s. This lies, as Cliff ar"ued 4= #ears a"o, in the !a# the rulin" bureaucrac# subordinates the !hole econom# to militar# and economic competition !ith the >est @and, toda#, !ith ChinaA. This compels a le el of accumulation !hich cannot be sustained b# resources. ,nd it leads the mass of the population ) the !or%ers and collecti e farmers ) to such a deep alienation from their o!n !or% acti it# as not to care about the :ualit# of their output. The faults !hich the economic reformers focus on ) the !aste, the shodd# character of a lot of "oods, the lac% of interest of shop*floor !or%ers in their !or%, the "iant proKects !hich rust, unused ) are all matched !ithin the "iant corporations of >estern capitalism. The disaster of the nuclear po!er plant at Chernob#l !as matched b# Three 4ile &sland in the <., and, before that, b# the >indscale accident in Britain in 19$(. The !aste in Russian industr# is matched b# the idle modern steel and chemical plants scattered throu"h >estern 1urope and 7orth ,merica, ictims of the mar%et !hich so man# of the reformers see as Russia5s sal ation. Russia ma# suffer from shodd# output. But so do !hole industries of the >est ) !itness the experience of countries li%e Britain !here the s#stem*buildin" boom of the 19'=s and earl# 19(=s produced hundreds of thousands of flats and houses that !ere irtuall# unfit for human habitation less than 1$ #ears later. &f Russian bureaucrats tr# to dump lo! :ualit# "oods on an unsuspectin" public, so did >estern salesmen !ho pushed the dru"s thalidomide and opren, !ho ur"ed !omen to use the -al%en shield and !ho lured people onto the cross*Channel ferr# Berald of "ree !ntet#rise. ;ar from the mar%et punishin" the "iant firms in ol ed, it has often enabled them to reap massi e profits. 1 en firms that are inefficient in narro! cash terms are rarel# dri en into outri"ht ban%ruptc# under conditions of modern >estern capitalism6 the state mo es in to bail them out, as it did !ith Chr#sler in the <., ,19 in >est 9erman#, 4asse# ;er"uson in Canada and Britain. The units of modern capitalism are so lar"e that the de astation threatened b# lea in" e er#thin" to the pla# of free mar%et forces is too "reat e en for the most mar%et*oriented of "o ernments, such as Thatcher5s in Britain and Rea"an5s in the <.. ,s a result measurements of in*firm inefficienc# @baptised b# one economist Fx*inefficienc#GA su""est that man# firms could be !or%in" at double their present producti it#. D'4E The Russian econom# is half the si8e of its main competitor, the <nited .tates. &t cannot afford to operate !ith smaller units of production than its ri al. .o the concentration of production is proportionatel# hi"her, and the impact of particular cases of inefficienc# and !aste proportionatel# bi""er. ,nd Russia5s rulers certainl# cannot deal !ith these simpl# b# usin" the mar%et to dri e maKor units out of business, since the de astation caused !ould be so much "reater than in the <.. The Russian leadership toda# is therefore cau"ht in a terrible dilemma. &t dares not lea e thin"s as the# are an# lon"er. 1conomic sta"nation, it fears, could suddenl# lead to the same sort of popular insur"enc# that "a e birth to Solidarnosc in Poland in 198=. Het it is afraid to push reform throu"h consistentl# and does not e en %no! if reform !ill !or%. &t s!in"s from one polic# to another and bac% a"ain, to the accompaniment of bitter ro!s inside the bureaucrac# itself. These can ma%e it increasin"l# difficult for the bureaucrac# to impose its !ill on the rest of the population. .uch !ere

138

the in"redients !hich opened the !a# for the e ents of 1ast 9erman# in 19$C, +un"ar# in 19$' and C8echoslo a%ia in 19'8. 4arx !rote in 18$9 that Ffrom forms of de elopment of producti e forcesG, existin" Frelations of production ... turn into fetters. Then be"ins an epoch of social re olution.G The relations of production established b# .talinist bureaucrac# ha e :uite clearl# become such fetters. Russia could !ell be on its !a# to a ne! Fepoch of social re olutionG. 4arx !arned that it is impossible to Fdetermine !ith the precision of natural scienceG the Fle"al, political, reli"ious, aesthetic or philosophical ) in short, ideolo"ical, forms in !hich men become conscious of the conflict and fi"ht it outG. >e certainl# cannot foresee either the speed at !hich the ne! period !ill de elop in Russia or the political and ideolo"ical formations !hich !ill be thro!n up. >hat !e can sa#, !ith certaint#, ho!e er, is that the bureaucrac# faces a period of er# "ra e crisis. This crisis has alread# seen the bi""est nationalist demonstrations since the 19?=s and a proliferation of reformist ar"uments. >or%in"*class stru""les are li%el# to follo!. But if !or%ers are to impose their solution to the crisis the# !ill need to ha e a clear understandin" of !here the s#stem comes from and !hat its d#namics are ) an understandin" that can onl# come from a theor# of state capitalism li%e that de eloped b# Ton# Cliff fort# #ears a"o.

References

1. Ton# Cliff, The Nature of Stalinist Russia, duplicated, London 1948. ?. &n a ;abian .ociet# pamphlet. C. 1. 9ermain @1rnest 4andelA, in Fuatrieme International #&, 19$', 7os.1*C. 4. &n Fuatrieme International, -ecember 19$'. $. Ton# Cliff, The Class @ature of the Peo#le s Democracies, 19$=, reprinted in Neither ?ashin-ton nor Mosco+, London 198?, and H"ael 9luc%stein @Ton# CliffA, Stalins Satellites in 2urope , London 19$?. '. H"ael 9luc%stein @Ton# CliffA, Maos China, London 19$(. (. Cliff, The Nature of Stalinist Russia, pp.1C4*$. 8. .ome of !hich !ere reprinted in A Socialist Revie+, London, no date @19'$A, and Neither ?ashin-ton nor Mosco+. 9. Ton# Cliff, 4rom Stalin to Ahrushchev, London 19$'. 1=. Cliff, Russia: A Marxist Analysis, London 19'4, p.198. 11. Cliff, Russia: A MarxistAnalysis, p.?=9. 1?. Cliff, Russia: A Marxist Analysis, p.?C4. 1C. Cliff, Russia: A Marxist Analysis, p.?4=. 14. Cliff, Russia: A Marxist Analysis, p.?$4. 1$. Cliff, Russia: A Marxist Analysis, p.?$'. 1'. Cliff, Russia: A Marxist Analysis, p.?$'. 1(. Cliff Russia: A Marxist Analysis, p.?$4. 18. Cliff, Russia: A Marxist Analysis, p.?$$. 19. Cliff, Russia: A Marxist Analysis, pp.?48*9. ?=. Cliff, Russia: A Marxist Analysis, pp.?$=*4. ?1. Cliff, Russia: A Marxist Analysis, p.?(4. ??. Cliff, Russia: A Marxist Analysis, pp.?'?*C. ?C. .ee a summar# of accounts b# J. PaKets%a, 9oldman and Jorba, Bas%ed, Bence and Jis, Bran%o +or at and others, in Chris +arman, Class Stru--les in 2astern 2urope, London 198C, pp.?88*9'. ?4. .ee for example Bran%o +or at, Trade Cycles in Cugoslavia, special issue of 2ast 2uropean 2conomist, /ol.S, 7os.C*4, and 9oldman and Jorba, 2conomic 5ro+th in C9echoslova,ia, Pra"ue 19'9B see also summar# of these accounts in +uman, Class Stru--les in 2astern 2urope. ?$. Cliff, Russia: A Marxist Analysis, p.?'C. ?'. Cliff, Russia: A Marxist Analysis, p.?(4. ?(. Cliff, Russia: A Marxist Analysis, p.?8C. ?8. Cliff, Russia: A Marxist Analysis, pp.?84*$. ?9. ;i"ures "i en in Cliff, Russia: A Marxist Analysis, p.?91.

139

C=. Cliff, Russia: A Marxist Analysis, pp.?89 and ?9$. C1. Cliff, Russia: A Marxist Analysis, pp.C=9*1=. C?. Cliff, Russia: A Marxist Analysis, p.C18. CC. Ruoted in Cliff, Russia: A Marxist Analysis, p.C1$. C4. Cliff, Russia: A Marxist Analysis, p.C19. C$. Cliff, Russia: A Marxist Analysis, pp.??C*4. C'. Cliff, Russia: A Marxist Analysis, p.C?(. C(. Cliff, Russia: A Marxist Analysis, pp.C?9*C1. C8. Cliff, Russia: A Marxist Analysis, p.CCC. C9. The Class @ature of the !ast !uro#ean States, 1949, reprinted in Neither ?ashin-ton am Mosco+B Stalins Satellites in 2urope , 19$?B Maos China, 19$(B and Deflected Permaneni Revolution, 19'C, reprinted as a pamphlet !ith the same title, London 198'. 4=. Cliff, Russia: A MarxistAnalysis, p.CC'. 41. Cliff, Russia: A Marxist Analysis , p.CC(. 4?. & rel# here on m# memor# of a tal% he "a e at the London .chool of 1conomics in 19'$. 4C. ;i"ures "i en in 4.&. 9oldman, 5or!achevs Challen-e @2ntario 198(A pp.C?*C. 44. ;i"ures from Narodnoe ,houiast+ @ arious #earsA, :uoted in 4i%e +a#nes, Understanding the Soviet Crisis, in International Socialism ):*&, p.18. 4$. ;i"ures from <. Con"ress Joint 1conomic Committee, ;SSR: Measures of 2conomic 5ro+th, >ashin"ton 198?, :uoted in 9oldman, p.1$. 4'. ;i"ures from Narodnoe ,ho9iastvo, :uoted in 9oldman, p.''. 4(. 7i%olai R#8h%o , Re#ort on Draft 5uidelines for !conomic and Social Develo#ment , "i en to ?(th Con"ress of the CP.<, 4arch 198'. 48. R#8h%o , Re#ort to DEth Congress. 49. There are a number of accounts of this stor#B see for example C. .chmidt*+auer, 5or!achev, the path to po+er, London 198', pp.(?*C. $=. .peech b# 9orbache , :uoted in 4inancial Times, 1? June 198'. $1. ;i"ures from 1. Rusano sho! that in .talin5s last #ears a =.C per cent rise in !a"es produced a 1 per cent increase in producti it#B b# the late 198=s it too% a =.9 increase in !a"es to do so @:uoted in 9oldman, p.?9A. $?. ravda, 1? -ecember 1984 and ?? ,u"ust 198$, :uoted in 9oldman, p.?C. $C. Ruoted in 9oldman, p.C=. $4. ;or accounts, see ,nd# Nebro!s%i in Socialist ?or,er Revie+, -ecember 198(, and ,nthon# Barnett, Soviet 4reedom, London 1988, pp.?1'*(. $$. I9vestia, 4 -ecember 198', :uoted in 9oldman, p.(8. $'. The Russian ne!s a"enc# T,.., ?( Januar# 198(, :uoted in Nebro!s%i. $(. 4a$ on State !nter#rise Associations, in I9vestia, 1 Jul# 198(. $8. Ruoted in Nebro!s%i. $9. artiinaya 9hi9n, 7o.$, 19'9, p.$, :uoted in 4er #n 4atthe!s, Class and Society in Soviet Russia, London 19(?A p.??4. '=. artiinaya 9hi9n, :uoted in 4atthe!s, p.??4. '1. -etails in ravda, 1$ ;ebruar# 198(. '?. This account is based on The 5uardian, 1? 7o ember 198(, and Barnett, pp.1(4*(. 'C. ;or a full discussion of these e ents see +arman, Class Stru--les in 2astern 2urope. '4. +ar e# Liebenstein, Allocative inefficiency versus =F-inefficiency> , in American 2conomic Revie+, June 19'=.

Appendix: An examination of Trotskys definition of Russia as a degenerated workers state

14@

Trots%#5s anal#sis of the .talinist re"ime has its point of departure in Bolshe ism, counterposes 4arxism and .talinism, the 2ctober socialist re olution and the bureaucratic counter*re olution. Bein" a disciple of Trots%# and belie in" !ith him that !hat is ital in assessin" .talinism is to approach it from the standpoint of its relation to 4arxism* Leninism, the present !riter thin%s it is necessar# to de ote the "reatest attention to a critical assessment of Trots%#5s anal#sis of the .talinist re"ime.

8an a state not under orkers4 control be a orkers4 stateO

&n Trots%#5s !or%s !e find t!o different and :uite contradictor# definitions of a !or%ers5 state. ,ccordin" to one, the criterion of !or%ers5 state is !hether the proletariat has direct or indirect control, no matter ho! restricted, o er the state po!er6 that is, !hether the proletariat cant "et rid of the bureaucrac# b# reform alone, !ithout the need for re olution. &n 19C1 he !rote6
The recognition of the "resent Soviet State as a orkers4 state not onl( signifies that the bourgeoisie can con;uer "o er in no other a( than b( armed u"rising but also that the "roletariat of the DSS+ has not forfeited the "ossibilit( of submitting the bureaucrac( to it! or reviving the /art( again and of mending the regime of the dictatorshi" C ithout a ne revolution! it the methods and on the road of reform$ 013

&n a letter to Borodai, a member of the 2pposition "roup called -emocratic Centralists, he expresses this idea e en more clearl#. The letter is undated, but all indications sho! that it !as !ritten at the end of 19?8. +e !rites6
5Is the degeneration of the a""aratus and of the Soviet "o er a factO That is the second ;uestion!7 (ou rite$ There is no doubt that the degeneration of the Soviet a""aratus is considerabl( more advanced than the same "rocess in the /art( a""aratus$ >evertheless! it is the /art( that decides$ At "resent! this meansG the /art( a""aratus$ The ;uestion thus comes do n to the same thingG is the "roletarian kernel of the /art(! assisted b( the orking class! ca"able of trium"hing over the autocrac( of the /art( a""aratus hich is fusing ith the state a""aratusO :hoever re"lies in advance that it is incapable& thereb( s"eaks not onl( of the necessit( of a ne "art( on a ne foundation! but also of the necessit( of a second and ne "roletarian revolution$ 023

Later in the same letter he sa#s6

If the /art( is a cor"se! a ne "art( must be built on a ne s"ot! and the orking class must be told about it o"enl($ If Thermidor is com"leted! and if the dictatorshi" of the "roletariat is li;uidated! the banner of the second "roletarian revolution must be unfurled$ That is ho e ould act if the road of reform! for hich e stand! "roved ho"eless$ 033

Trots%#5s second definition has a fundamentall# different criterion. 7o matter ho! independent the state machine be from the masses, and e en if the onl# !a# of "ettin" rid of the bureaucrac# be b# re olution, so lon" as the means of production are statified the state remains a !or%ers5 state !ith the proletariat the rulin" class. Thus, in The Revolution <etrayed, Trots%# !rites6
The nationalisation of the land! the means of industrial "roduction! trans"ort! and e'change! together ith the mono"ol( of foreign trade! constitutes the basis of the Soviet social structure$ Through these relations! established b( the "roletarian revolution! the nature of the Soviet Dnion as a "roletarian state is for us basicall( defined$ 043

Three conclusions are to be dra!n from this6 a. Trots%#5s second definition of the !or%ers5 state ne"ates the first. b$ &f the second definition is correct, the Communist Manifesto !as incorrect in sa#in"6 FThe proletariat !ill use its political supremac# to !rest, b# de"rees, all capital from the bour"eoisie, to centralise all instruments of production in the hands of the state ...GB and it !as incorrect in sa#in"6 Fthe first step in the re olution b# the !or%in" class is to raise the proletariat to the position of the rulin" class.G ;urthermore, in this case, neither the Paris Commune nor the Bolshe i% dictatorship !ere !or%ers5 states as the former did not statif# the means of production at all, and the latter did not do so for some time. c. &f the state is the repositor# of the means of production and the !or%ers do not control it, the# do not o!n the means of production, i.e. the# are not the rulin" class. The first definition admits this. The second a oids it, but does not dispro e it.

141

+ussia4s definition as a orkers4 state and the Bar'ist theor( of the state

The assumption that Russia is a de"enerated !or%ers5 state must lead to conclusions in direct contradiction to the 4arxist concept of the state. ,n anal#sis of the role of !hat Trots%# called political re olution and social counterre olution !ill pro e this. &n The Revolution <etrayed Trots%# !rites6
In order better to understand the character of the "resent Soviet Dnion! let us make t o different h("otheses about its future$ 9et us assume first that the Soviet bureaucrac( is overthro n b( a revolutionar( "art( having all the attributes of the old .olshevism! enriched moreover b( the orld e'"erience of the recent "eriod$ Such a "art( ould begin ith the restoration of democrac( in the trade unions and the Soviets$ It ould be able to and ould have to! restore freedom of Soviet "arties$ Together ith the masses! and at their head! it ould carr( out a ruthless "urgation of the State a""aratus$ It ould abolish ranks and decorations! all kinds of "rivileges! and ould limit ine;ualit( in the "a(ment of labour to the life necessities of the econom( and the State a""aratus$ It ould give the (outh the free o""ortunit( to think inde"endentl(! learn! criticise and gro $ It ould introduce "rofound changes in the distribution of the national income in corres"ondence ith the interests and ill of the orker and "easant masses$ .ut so far as concerns "ro"ert( relations! the ne "o er ould not have to resort to revolutionar( measures$ It ould retain and further develo" the e'"eriment of "lanned econom($ After the "olitical revolution C that is! the de"osing of the bureaucrac( C the "roletariat ould have to introduce in the econom( a series of ver( im"ortant reforms! but not another social revolution $$$ If C to ado"t a second h("othesis C a bourgeois "art( ere to overthro the ruling Soviet caste! it ould find no small number of read( servants among the "resent bureaucrats! administrators! technicians! directors "art( secretaries! and "rivileged u""er circles in general$ A "urgation of the state a""aratus ould! of course! be necessar( in this case too$ .ut a bourgeois restoration ould "robabl( have to clean out fe er "eo"le than a revolutionar( "art($ The chief task of the ne "o er ould be to restore "rivate "ro"ert( in the means of "roduction $$$ >ot ithstanding that the Soviet bureaucrac( has gone far to ards "re"aring a bourgeois restoration! the ne regime ould have to introduce in the matter of forms of "ro"ert( and methods of industr(! not a reform! but a social revolution$ 0%3

Let us examine this. -urin" bour"eois #olitical re olutions, for instance the ;rench re olutions of 18C= and 1848, the form of "o ernment chan"ed to a "reater or lesser de"ree, but the ty#e of state remained the same ) Fspecial bodies of armed men, prisons, etc.G independent of the people and ser in" the capitalist class. +itler5s ictor# in 9erman# certainl# brou"ht !ith it a lar"e*scale pur"e of the state apparatus, but the state machine as a !hole !as not smashed, remainin" fundamentall# the same. There is a much closer connection bet!een content and form in a !or%ers5 state than in an# other state. 1 en, therefore, if !e assume that political re olutions can ta%e place in a !or%ers5 state, one thin" is clear6 the same !or%ers5 state machine must continue to exist as such after, as before, the political proletarian re olution. &f Russia is a !or%ers5 state, e en thou"h the re olutionar# !or%ers5 part# ma# carr# out a lar"e scale Fpur"eG of the state apparatus !hen it comes to po!er, it must be able to use and !ill use the existin" state machine6 on the other hand, if the bour"eoisie comes to po!er, it !ill not be able to use the existin" state machine but it !ill be compelled to smash it and build another on its ruins. ,re those the conditions obtainin" in RussiaI To pose the :uestion correctl# "oes half*!a# to ans!erin" it. &t is surel# e ident that the re olutionar# part# !ill not use the 4/- nor the bureaucrac# nor the standin" arm#. The re olutionar# part# !ill ha e to smash the existin" state and replace it b# .o iets, people5s militia, etc. ,s a"ainst this, if the bour"eoisie comes to po!er, it can certainl# use the 4/-, the re"ular arm#, etc. Trots%# a oids the application of the 4arxist theor# of the state to the political re olution and social counter*re olution in Russia partl# b# sa#in" that the re olutionar# part# F!ould be"in !ith the restoration of democrac# in the trade unions and the .o ietsG. But actuall# there are neither trade unions nor .o iets in Russia in !hich democrac# can be restored. The :uestion is not one of reformin" the state machine, but of smashin" it and buildin" a ne! state. >hether !e assume that the proletariat must smash the existin" state machine on comin" to po!er !hile the bour"eoisie can use it, or !hether !e assume that neither the proletariat nor the bour"eoisie can use the existin" state apparatus @the Fpur"ation of the .tate apparatusG necessaril# in ol in" such a deep chan"e as !ould transform it :ualitati el#A ) on both assumptions !e must 142

come to the conclusion that Russia is not a !or%ers5 state. To assume that the proletariat and the bour"eoisie can use the same state machine as the instrument of their supremac# is tantamount to a repudiation of the re olutionar# concept of the state expressed b# 4arx, 1n"els, Lenin and Trots%#.

The form of "ro"ert( considered inde"endentl( of the relations of "roduction C a meta"h(sical abstraction
1 er# 4arxist reco"nises that the concept of pri ate propert# in itself, independent of the relations of production, is a supra*historical abstraction. +uman histor# %no!s the pri ate propert# of the sla e s#stem, the feudal s#stem, the capitalist s#stem, all of !hich are fundamentall# different from one another. 4arx ridiculed Proudhon5s attempt to define pri ate propert# independentl# of the relations of production. >hat transforms the means of production into capital is the sum total of the relations of production. ,s 4arx said6

In each historical e"och! "ro"ert( has develo"ed differentl( and under a set of entirel( different social relations$ Thus to define bourgeois "ro"ert( is nothing less than to give an e'"osition of all the social relations of bourgeois "roduction$ To tr( to give a definition of "ro"ert( as of an inde"endent relation! a categor( a"art C an abstract eternal idea C can be nothing but an illusion of meta"h(sics or )uris"rudence$ 0&3

,ll the cate"ories !hich express relations bet!een people in the capitalist process of production ) alue, price, !a"es, etc. ) constitute an inte"ral part of bour"eois pri ate propert#. &t is the la!s of mo ement of the capitalist s#stem !hich define the historical social character of capitalist pri ate propert#, and !hich differentiate it from other sorts of pri ate propert#. Proudhon, !ho abstracted the form of propert# from the relations of production Fentan"led the !hole of these economic relations Dthe capitalist relations of productionsE in the "eneral Kuristic conception of Opropert#5.G Therefore, FProudhon could not "et be#ond the ans!er !hich ;rissot, in a similar !or%, had alread#, before 1(89, "i en in the same !ords6 OPropert# is theft5.G D(E That one pri ate propert# can ha e a different historical character to another, can be the stron"hold of a different class than the other, !as made :uite clear b# 4arx. That the same can appl# to statified propert# also, is not so e ident. The main reason for this is that the %no!n histor# of humanit# has in the main been the histor# of the class stru""le on the basis of pri ate propert#. Cases of class differentiation on the basis of other than pri ate propert# are not er# numerous and on the !hole not er# !ell %no!n. 7e ertheless the# ha e existed. ,s the first example let us ta%e a chapter from the histor# of 1urope6 the Catholic Church in the 4iddle ,"es. The Church had tremendous tracts of land on !hich hundreds of thousands of peasants laboured. The relations bet!een the Church and the peasants !ere the same feudal relations as existed bet!een the feudal manor o!ner and his peasants. The Church as such !as feudal. ,t the same time none of the bishops, cardinals, etc. had indi idual ri"hts o er feudal propert#. &t is the relations of production !hich define the class character of the Church propert#, !hich !as feudal, not!ithstandin" the fact that it !as not pri ate. &t mi"ht be said that the Catholic Church !as onl# an appenda"e to the feudal s#stem as a !hole ) hence its feudal character ) but this ar"ument is irrele ant, as !e do not !ish to explain !h# the Catholic Church rose, concentratin" in its hands tremendous tracts of land and enterin" into feudal relations !ith the peasants tillin" it. >e onl# !ish to sho! that one and the same relations of production can be expressed in different forms of propert#, the one pri ate, the other institutional. ;rom the histor# of the east !e ma# dra! numerous examples of s#stems of econom# !it deep class differentiations, based not on pri ate propert# but on state propert#. .uch s#stems existed in Pharaonic 1"#pt, 4oslem 1"#pt, &ra:, Persia and &ndia. That the state o!ned land !as, it seems, mainl# due to the fact that a"riculture depended entirel# on the irri"ation s#stem in these countries, !hich in turn !as dependent on the acti it# of the state. The follo!in" example is sufficientl# instructi e to !arrant the di"ression. 143

Arab feudalism C an e'am"le of class societ( based on state "ro"ert(

Let us examine the main characteristics of ,rab feudalism under the 4amelu%es. +ere the subKu"ation of the peasants to the stron" feudal state !as much harsher than in medie al 1urope, but the indi idual member of the rulin" class had no indi idual propert# ri"hts !hatsoe er. The .ultan !as the onl# lando!ner and he used to di ide the ri"ht to collect the rent in the arious re"ions amon" the different nobles @called 4ulta8imsA. >hile in 1urope e er# feudal lord !as the o!ner of a certain domain !hich !as handed do!n from father to son, in the ,rab 1ast the feudal lord had no permanent domain of his o!n, but !as a member of a class !hich collecti el# controlled the land and had the ri"ht to appropriate rent. &n .#ria and Palestine the area from !hich these feudal lords collected rent !as chan"ed from #ear to #ear. &n 1"#pt the# recei ed the ri"ht to collect the rent in a certain area for their !hole li es, and their heirs had a prior ri"ht in the appointment of the deceased5s successor. >hile in 1urope the feudal lord !as relati el# an independent po!er as a"ainst the %in", !ho !as no more than the first feudal lord, in the ,rab 1ast onl# the feudal collecti e !as a factor of an# conse:uenceB as indi iduals the ,rab nobles !ere !ea%, because the# !ere dependent on the state for their positions. The !ea%ness of the feudal lord as a"ainst the state !as clearl# indicated b# the !a# in !hich the fiefs !ere allocated6 the .ultan distributed them b# lot amon" the emirs and %ni"hts, each "ettin" a portion of land differin" in si8e and :ualit# accordin" to his ran%. The ,rab nobles !ere thus di ided into different "roups !ith different incomes, the distinction bet!een them bein" er# "reat @for instance, the Femirs of the hundredG "ot 8=,=== to ?==,=== dinar Ka#shi a #ear, Femir*al*tablG ?C,=== to C=,===, Femirs of the tenG 9,=== and belo!, Femirs of the fi eG C,=== and so onA. The form of appropriation !as much more li%e that of a state official than that of a 1uropean feudal lord. ,s a result of this dependence pf the nobles on the state, an unusual phenomenon recurred in the ,rab 1ast. ;rom time to time !hole feudal strata !ere Fpur"edG and annihilated, others arisin" in their places. The ,rab lords !ere replaced b# the .ultan5s freed sla es ) the 4ameha%es ) !ho !ere not of ,rab ori"in and did not spea% ,rabic but Tur%ish. &n the thirteenth and fourteenth centuries the# mostl# ori"inated from the 4on"olian state, the 9olden +orde, !hose centre !as on the ban%s of the Lo!er /ol"aB in the fifteenth and sixteenth centuries the# !ere mainl# Caucasian. >ith the Tsar5s increasin" resistance to conscription in the Caucasus for the .ultan, the Bal%an element @,lbanians, Bosnians, etc.A predominated. The o!nership of the land b# the state not onl# pre ented the rise of feudalism based on pri ate propert#, but also of an# social "roup !ith indi idualistic tendencies, !hatsoe er. The to!n !as a militar# campB the maKorit# of the artisans !ere not independent. 1 en !hen "uilds @+irfehA did de elop, the# did not attain an# importance at all in the to!ns and did not become an independent force of an# importance. The "o ernment subordinated them to itself b# appointin" man# of the heads of the "uilds, ma%in" them its officials, and turnin" the "uilds into "o ernment or"anisations. The fact that the main means of production ) the land ) belon"ed not to indi iduals, but to the state, and that the ,rab nobles and the 4amelu%es lac%ed Kuridical footholds and therefore did not ha e the ri"ht to inherit, did not impro e the position of the peasant masses. 7or did the plebeian ori"in of the 4amelu%es effect an# chan"e. The concentration of the rulin" class of the ,rab 1ast in the to!ns, afforded them "reat militar# po!er o er the peasants and, furthermore, increased their appetites. &n this, too, the# differed from the 1uropean feudal lords in the 4iddle ,"es. The produce !hich the 1uropean serfs "a e to their feudal lords as rent, !as "enerall# not sent out to be soldB the serfs therefore c<d not need to "i e their feudal lord more than he and his household needed for the dail# use. FThe !alls of his @the feudal lord5sA stomach set the limits to his exploitation of the peasants.G @4arxA. The ,rab feudals had different tastes, and their point of ie! mi"ht best be summed up in the !ords used b# Jhalif .uliman to his emissar# about the peasants6 F4il% till the udder be dr#, and let blood to the last drop.G

144

The mode of production, the form of exploitation, the relation of the toilers to the means of production in the ,rab 1ast, !as the same as in medie al 1urope. The source of income of the rulin" class !as also the sameB the onl# difference !as in the mode of appropriation, in the le"al expression of the ri"ht to exploit. D8E

The +ussian bureaucrac( C a gendarme ho a""ears in the "rocess of distributionO

Trots%# !rites that the .talinist state5s coercion of the masses is the result of
the fact that the "resent transitional structure is still bill of social contradictions! hich in the s"here of consumption C most dose and sensitivel( felt b( all C are e'tremel( tense! and forever threaten to break over into the s"here of "roduction$ 093

Therefore,
The basis of bureaucratic rule is the "overt( of societ( in ob)ects of consum"tion! ith the resulting struggle of each against all$ :hen there is enough goods in a store the "urchasers can come henever the( ant to$ :hen there is little goods the "urchasers are com"elled to stand in line$ :hen the lines are ver( long! it is necessar( to a""oint a "oliceman to kee" order$ Such is the starting1"oint of the "o er of the Soviet bureaucrac($ It kno s4 ho is to get something and ho has to ait$ 01@3

&s it true that the bureaucrac# appears as the F"endarmeG in the process of distribution onl#, or does it appear so in the process of reproduction as a !hole, of !hich the former is but a subordinate partI This is of infinite theoretical and political importance. Before attemptin" to ans!er this :uestion, let us examine !hat 4arx and 1n"els thou"ht about the connection bet!een the relations of production and distribution. 4arx !rites6
To the single individual distribution naturall( a""ears as a la established b( the societ( determining his "osition in the s"here of "roduction! ithin hich he "roduces! and thus antedating "roduction$ At the outset the individual has no ca"ital! no landed "ro"ert($ From his birth he is assigned to age1labour b( the social "rocess of distribution$ .ut this ver( condition of being assigned to age labour is the result of the e'istence of ca"ital and landed "ro"ert( as inde"endent agents of "roduction$ From the "oint of vie of societ( as a hole! distribution seems to antedate and to determine "roduction in another a( as ell! as a "re1economic fact! so to sa($ A con;uering "eo"le divides the land among the con;uerors establishing thereb( a certain division and form of landed "ro"ert( and determining the character of "roductionE or! it turns the con;uered "eo"le into slaves and thus makes slave labour the basis of "roduction$ Ar! a nation! b( revolution! breaks u" large estates into small "arcels of land and b( this ne distribution im"arts to "roduction a ne character$ Ar! legislation "er"etuates land o nershi" in large families or distributes labour as an hereditar( "rivilege and thus fi'es it in castes$ In all of these cases! and the( are all historic! it is not distribution that seems to be organised and determined b( "roduction! but on the contrar(! "roduction b( distribution$ In the most shallo conce"tion of distribution! the latter a""ears as a distribution of "roducts and to that e'tent as further removed from! and ;uasi1inde"endent of "roduction$ .ut before distribution means distribution of "roducts! it is first a distribution of the means of "roduction! and second! hat is "racticall( another ording of the same fact! it is a distribution of the members of societ( among the various kinds of "roduction *the sub)ection of individuals to certain conditions of "roduction-$ The distribution of "roducts is manifestl( a result of this distribution! hich is bound u" ith the "rocess of "roduction and determines the ver( organisation of the latter$ 0113

This extract from 4arx, the essence of !hich is repeated time and time a"ain throu"hout his !or%s, is sufficient as a point of departure for the anal#sis of the place of the .talinist bureaucrac# in the econom#. Let us pose these :uestions in connection !ith the Russian bureaucrac#6 -oes the bureaucrac# onl# administer the distribution of means of consumption amon" the people, or does it also administer the distribution of the people in the process of productionI -oes the bureaucrac# exercise a monopol# o er the control of distribution onl#, or o er the control of the means of production as !ellI -oes it ration means of consumption onl# or does it also distribute the total labour time of societ# bet!een accumulation and consumption, bet!een the production of means of production and that of means of consumptionI -oes not the bureaucrac# reproduce the scarcit# of means of consumption, and thus certain relations of distributionI -o the relations of 14%

production pre ailin" in Russia not determine the relations of distribution !hich comprise a part of themI

Social revolution or "olitical revolutionO

&f one a"rees !ith Trots%# that a re olution b# the !or%in" class of Russia a"ainst the bureaucrac# is not a social re olution, one enters into immediate contradictions !ith 4arxian sociolo"#. The Ci il >ar in the <nited .tates !as defined b# 4arx as a social re olution. The liberation of sla es and their transformation into !a"e*earners, !as a social re olution6 one class in societ# disappeared and "a e place to another. >h# should the o erthro! of .talin5s bureaucrac# and the liberation of the millions of sla es in the labour camps not be a social re olution, but merel# a political oneI The a"rarian re olution, transferrin" the feudal estates to peasant hands, transferrin" serfs into free peasants, !as a social re olution. >h# should not the cessation of state plunder, of Fobli"ator# deli eriesG, the transformation of the %ol%ho8es into the real propert# of the %ollcho8 members, o!ned and controlled b# them, not be a social re olutionI , political re olution assumes that !ith the chan"e in "o ernment, onl# indi iduals, "roups, or rulin" la#ers chan"e, but that the same class retains po!er. ,ccordin"l#, the bureaucrat and the !or%er, the 7J/- "uard and his prisoner, belon" to the same class. +o! can this be, !hen their positions in the process of production are so anta"onistic, !hen their attitudes to the means of production not onl# are not the same, but actuall# clash sharpl#I &f !e accept that the !or%ers and bureaucrats do belon" to the same class, then !e must conclude that in Russia there is a stru""le inside one class, but no stru""le bet!een classes, that is, no class stru""le. -oes not this ta%e the "round from under Trots%#5s attac% on .talin5s assertion that there is no class stru""le in RussiaI

Trotsk(4s last book

,s the !or%in" class in Russia !as the onl# one to hold po!er for an# len"th of time, as its o erthro! too% an unpredictable form in the er# complicated economic and political circumstances of Russia, it is no accident that e en Trots%# !ith his brilliant anal#tical faculties had to re*e aluate his basic anal#sis of the .talinist re"ime from time to time. , tremendous shift too% place in Trots%#5s position, if onl# in emphasis from the time the acceptance of the theor# of the de"enerated !or%ers5 state !as a condition for membership of the Left 2pposition till the time that Trots%# did not propose the exclusion of the anti*defencists from the &nternational, althou"h he did not accept their position. &t !as no accident that in his polemics !ith .hachtman at the end of 19C9 and in 194= he could sa# that e en thou"h he mi"ht be in a minorit# a"ainst .hachtman and Burnham, he !ould oppose a split and !ould continue to fi"ht for his position in the united part#. D1?E , clear step in the direction of a ne! e aluation of the bureaucrac# as a rulin" class finds expression in Trots%#5s last boo%, Stalin. &n explainin" the social nature of the .talinist bureaucrac#5s rise to po!er he said6
The substance of the Thermidor as! is and could not fail to be social in character$ It stood for the cr(staillisation of a ne "rivileged stratum! the creation of a ne sub1stratum for the economicall( dominant class$ There ere t o "retenders to this ruleG the "ett( bourgeoisie and the bureaucrac( itself$ The( fought shoulder to shoulder 0in the battle to break3P the resistance of the "roletarian vanguard$ :hen that task as accom"lished a savage struggle broke out bet een them$ The bureaucrac( became frightened of its isolation! its divorcement from the "roletariat$ Alone it could not crush the kulak nor the "ett( bourgeoisie that had gro n and continued to gro on the basis of the >I/E it bad to have the aid of the "roletariat$ ?ence its concerted effort to "resent its straggle against the "ett( bourgeoisie for the sur"lus "roducts and for "o er as the struggle of the "roletariat against attem"ts at ca"italist restoration$ 0133

14&

The bureaucrac#, Trots%# sa#s, !hile pretendin" to fi"ht a"ainst capitalistic restoration, in realit# used the proletariat onl# to crush the %ula%s for Fthe cr#stallisation of a ne! pri ile"ed stratum, the creation of a ne! substratum for the economicall# dominant classG. 2ne of the pretenders to the role of the economicall# dominant class, he sa#s, is the bureaucrac#. 9reat si"nificance must be attached to this formulation especiall# if !e connect this anal#sis of the fi"ht bet!een the bureaucrac# and the %ula%s !ith Trots%#5s definition of the class stru""le. +e sa#s6
The class struggle is nothing else than the struggle for sur"lus1"roduce$ ?e ho o ns sur"lus1"roduce is master of the situation C o ns ealth! o ns the State! has the ke( to the 8hurch! to the courts! to the sciences and to the arts$ 0143

The fi"ht bet!een the bureaucrac# and the %ula%s !as, accordin" to Trots%#5s last conclusion, the Fstru""le ... for the surplus productsG.

The internal forces are not able to restore Individual ca"italism in +ussiaG hat conclusion as regards its class characterO
>hen Trots%# spo%e about the dan"er of social counterre olution in Russia, he meant the restoration of capitalism, based on pri ate propert#. .talinist Bonapartism is represented as a balancin" factor bet!een t!o forces on the national arena ) on the one hand the !or%in" class supportin" statified propert# and plannin", and, on the other, the bour"eois elements stri in" to!ards indi idual propert#. +e !rites6

It 0the bureaucrac(3 continues to "reserve State "ro"ert( onl( to the e'tent that it fears the "roletariat$ This saving fear is nourished and su""orted b( the illegal "art( of .olshevik19eninists! hich is the most conscious e'"ression of the socialist tendencies o""osing that bourgeois reaction it hich the Thermidorian bureaucrac( is com"letel( saturated$ As a conscious "olitical force the bureaucrac( has betra(ed the revolution$ .ut a victorious revolution is fortunatel( not onl( a "rogramme and a banner! not onl( "olitical institutions! but also a s(stem of social relations$ To betra( it is not enough$ 2ou have to overthro it$ 01%3

This presentation exposes most clearl# the Kuridical abstraction of the form of propert#, and it exposes most clearl#, therefore, the internal contradictions of the anal#sis. The Russian proletariat !as not stron" enou"h to %eep its control o er the means of production, and !as ousted b# the bureaucrac#, but it is stron" enou"h to pre ent the promul"ation of this relation in la!M The proletariat !as not stron" enou"h to chec% a most anta"onistic distribution of the product, to pre ent the bureaucrac# from brutall# depressin" its standard of li in" and den#in" it the most elementar# ri"hts, to pre ent the sentence of millions of its members to sla e labour in .iberiaB but it is stron" enou"h to defend the form of propert#M ,s thou"h there is an# relation bet!een people and propert# other than that based on the relations of production. 4oreo er, if the fear of the proletariat is the onl# factor pre entin" the restoration of pri ate capitalism in RussiaB if, as Trots%# said, the bureaucrac# are conscious restorationists, his statement that the .talinist re"ime is as stable as a p#ramid standin" on its head, !ould ha e pro ed correct, and his pro"nosis of the fate of the statified econom# durin" the !ar !ould ha e been realised. +e summed up his position thus6
In the heated atmos"here of ar one can e'"ect shar" turns to ard individualistic "rinci"les in agriculture and in handicraft industr(! to ard the attraction of foreign and allied4 ca"ital! breaks in the mono"ol( of foreign trade! the eakening of governmental control ova trusts! the shar"ening or com"etition bet een the trusts! their conflicts ith orkers! etc$ In the "olitical s"here these "rocesses ma( mean the com"letion of .ona"artism ith the corres"onding change or a number of changes in "ro"ert( relations$ In other ords! in case of a "rotracted ar accom"anied b( the passivity of the world proletariat the internal social contradictions in the DSS+ not onl( might lead but ould have to lead to a bourgeois-2onapartist counter1revolution$ 01&3

Before the experience of the >orld >ar &&, it !as an understandable if incorrect assumption that pri ate capitalism could be restored in Russia !ithout its occupation b# an imperialist po!er. But the ictor# of the concentrated, statified Russian econom# o er the 9erman !ar machine silenced all tal% of such a possibilit#.

14<

The fact that external forces could restore indi idual capitalism, or e en that a de astatin" !ar, accompanied b# the annihilation of most of the Russian population, could cast her bac% to a much lo!er le el of historical de elopment than pri ate capitalism is not excluded, ho!e er. >hen Trots%# defined Russia as a societ# in transition, he emphasised correctl# that as such it must b# its o!n immanent la!s lead either to the ictor# of socialism, or to the restoration of pri ate capitalism. &f the latter is ruled out, one of three possibilities remain6 1. The internal forces in Russia lead in one direction onl# ) to!ards communism. This point of ie! is held b# the .talinists and also b# Bruno R. D,E ?. Russian societ# is neither capitalist nor socialist, and althou"h the producti e forces rise uninterruptedl# it !ill not lead to communismB althou"h the exploitation of the masses continues unabated, it !ill not lead to capitalism. This is the theor# of the F4ana"erial Re olutionG and of Bureaucratic Collecti ism in .hachtman5s 194C formulation. C. Russian societ# is either a transitional societ# !hich has t!o possible paths before it ) state capitalism or socialism ) or it is alread# state capitalism. -en#in" the possibilit# of the internal forces leadin" to pri ate capitalism and at the same time repudiatin" .talinism, Bureaucratic Collecti ism @accordin" to both Bruno R5s and .hachtman5s formulationA and Burnhamism, !e are left !ith the third alternati e onl#. <nder both state capitalism and a !or%ers5 state, the state is the repositor# of the means of production. The difference bet!een the t!o s#stems cannot be in the form of propert#. Therefore the state o!nership of the means of production !hich Trots%# uses as the basis for his definition of the class character of Russia must be dismissed as an unsound criterion.

The 5ne democracies7 and the definition of +ussia as a orkers4 state

The appearance of the Fne! democraciesG pro ided a test of the definition of Russia as a !or%ers5 state. &f state propert#, plannin" and the monopol# of forei"n trade define a countr# as a !or%ers5 state, then !ithout doubt Russia, as !ell as the ne! democracies5 are !or%ers\ states. This means that in the latter proletarian re olutions ha e ta%en place. These !ere led b# the .talinists on the basis of national unit#, "o ernmental coalitions !ith the bour"eoisie and chau inism !hich led to the expulsion of millions of 9erman toilers and their families. .uch policies merel# ser ed to oil the !heels of the proletarian re olution. >hat, then, is the future of international socialismB !hat is its historical KustificationI The .talinist parties ha e all the ad anta"es o er the international socialists ) a state apparatus, mass or"anisations, mone#, etc. etc. The onl# ad anta"e the# lac% is the internationalist class ideolo"#. But if it is possible to accomplish the proletarian re olution !ithout this ideolo"#, !h# should the !or%ers mo e a!a# from .talinismI &f a social re olution too% place in the 1astern 1uropean countries !ithout a re olutionar# proletarian leadership, !e must conclude that in future social re olutions, as in past ones, the masses !ill do the fi"htin" but not the leadin". To assume That the Fne! democraciesG are !or%ers5 states means to accept that in principle the proletarian re olution is, Kust as the bour"eois !ars !ere, based on the deception of the people. &f the Fne! democraciesG are !or%ers5 states, .talin has realised the proletarian re olutionB moreo er he has carried it out :uite speedil#. ;ort#*se en #ears passed b# from the Paris Commune till the establishment of the first !or%ers5 state in a countr# of 14= million people. Less than fort# #ears passed until a number of additional countries became !or%ers5 states. &n the >est, Poland, Hu"osla ia, +un"ar#, Rumania, Bul"aria and C8echoslo a%ia added their ($ million people @and this does not include the Baltic states, 1astern Poland and Bessarabia, containin" ?= million people, !hich !ere annexed to the <..RA. &n the 1ast, China, !ith '== million people, !as added. &f these countries are !or%ers5 states, then !h# 4arxism, !h# the ;ourth &nternationalI

148

&f the Fne! democraciesG are !or%ers5 states, !hat 4arx and 1n"els said about the socialist re olution bein" Fhistor# conscious of itselfG is refuted. Refuted is 1n"els5 statement6
It is onl( from this "oint 0the socialist revolution3 that men! ith full consciousness! ill fashion their o n histor(E it is onl( from this "oint that the social causes set in motion b( men ill have! "redominantl( and in constantl( increasing measure! the effects illed b( men$ It is humanit(4s lea" from the realm of necessit( into the realm of freedom$ 01<3

Rosa Luxembur", too, must ha e spo%en nonsense in her summin" up of !hat all the 4arxist teachers !rote about the place of proletarian consciousness in a re olution6
In all the class struggles of the "ast! carried through in the interests of the minorities! and in hich! to use the ords of Bar'! 5all develo"ment took "lace in o""osition to the great masses of the "eo"le7! one of the essential conditions of action as the ignorance of these masses ith regard to the real aims of the struggle! its material content! and its limits$ This discre"anc( as! in fact! the s"ecific historical basis of the 5leading role7 of the 5enlightened7 bourgeoisie! hich corres"onded ith the role of the masses as docile follo ers$ .ut! as Bar' rote as earl( as 184%! 5as the historical action dee"ens the number of masses engaged in it must increaseN7 The class struggle of the "roletariat is the 5dee"est7 of all historical actions u" to our da(! it embraces the hole of the lo er la(ers of the "eo"le! and! from the moment that societ( became divided into classes! it is the first movement hich is in accordance ith the real interests of the masses$ That is h( the enlightenment of the masses ith regard to their tasks and methods is an indis"ensable historical condition for socialist action! )ust as in former "eriods the ignorance of the masses as the condition for the action of the dominant classes$ 0183

Are +ussia4s ar victories "roof that she is a orkers4 stateO

>hereas Trots%#, follo!in" up his anal#sis that Russia is a de"enerated !or%ers5 state, predicted that the bureaucrac# !ould not stand up to a !ar, man# Trots%#ists toda# conclude from these er# ictories that Russia is a !or%ers5 state. This post factum ar"ument, ho!e er, cannot stand up to criticism. The ar"ument can be bro%en into t!o parts6 1. The enthusiasm of the masses in the !ar pro es that the# ha e somethin" to lose besides their chains, that the# are the rulin" class. ?. The industrial* militar# stren"th of Russia pro es the historical superiorit# of the Russian re"ime o er capitalism. The first part of the ar"ument, pre alent in the ;ourth &nternational press in 1941*4C, had the bottom %noc%ed out of it b# the course of e ents. The 9erman arm#, too, in the #ears !hen all hope of ictor# had alread# anished, fou"ht !ith all its stren"th to the er# "ates of Berlin. +ad the 9erman soldiers also somethin" to lose besides their chainsI >as the 9erman !or%in" class also the rulin" classI ,s re"ards the second part of the ar"ument, there is no doubt that lar"e scale enterprise has tremendous ad anta"es o er small*scale. This, indeed, explains to a lar"e extent the superiorit# of ,merican production to British althou"h both are based on the same social s#stem. Russian industr#, ne!er and technicall# more modern, is built on an e en lar"er scale than ,merican. Besides, the o erlappin" and lac% of co*ordination pre alent in the countries of indi idual capitalism is a oided in Russia b# state o!nership of the means of production. ,nd #et another ad anta"e in a !ar, !hich man# other countries cannot claim, is that her !or%ers lac% all democratic ri"hts. &n Russia, as in 7a8i 9erman#, it is possible to produce "uns instead of butter, to transfer millions of !or%ers from the >est to be#ond the <rals, housin" them in du"*outs in the "round, !ithout fear of or"anised opposition. The authorit# of the state o er the econom# and o er the !or%ers ) these are the stron" points of Russia5s industrial* militar# production. But these are the er# factors !hich explain 7a8i 9erman#5s militar# superiorit# o er bour"eois democratic ;rance, !hich, as !e %no!, collapsed before her ad ancin" armies li%e a house of cards, and e en Britain, this ex*G!or%shop of the !orldG, !as sa ed from in asion onl# b# the 1n"lish Channel, b# ,merican help from the >est and b# the Russian threat to 9erman# from the 1ast. 9erman#5s militar# ictories of the be"innin" of the !ar fooled some people into belie in" that 9erman# !as not a capitalist countr#, but represented a ne! and superior s#stem of societ#. Burnham !as notable amon" these. 149

The belief that the Russian militar# ictories in themsel es pro e that Russia represents a ne! s#stem of societ# has no more foundation than the belief that 7a8i 9erman# did so.

:hat "revented Trotsk( from renouncing the theor( that +ussia is a orkers4 stateO

2ne tends to see the future in the trappin"s of the past. ;or man# #ears the socialists !ho fou"ht exploitation fou"ht a"ainst the o!ners of pri ate propert# ) the bour"eoisie. >hen Lenin, Trots%# and the rest of the Bolshe i% leaders said that if the !or%ers5 state of Russia remained isolated it !as doomed, the# en isa"ed that doom in a definite form ) the restoration of pri ate propert#, !hile state propert# !as seen as the fruit of the stru""le of the !or%in" people. ;rom here it !as onl# one step to the conclusion that if state o!nership existed in Russia, it !as than%s to bureaucrac#5s fear of the !or%in" class5, and con ersel#, if the bureaucrac# stro e to increase its pri ile"es @includin" the ri"ht of inheritanceA it stro e to restore pri ate o!nership. Past e%#erience !as Trots%#5s main impediment in "raspin" the fact that a triumph for reaction does not al!a#s mean a return to the ori"inal point of departure, but ma# lead to a decline, in a spiral form, in !hich are combined elements of the pre*re olutionar# and of the re olutionar# pasts, the latter subordinated to the formerB the old capitalist class content !ill then emer"e in a ne!, FsocialistG form, thus ser in" as further confirmation of the la! of combined de elopment ) a la! !hich Trots%# himself did so much to de elop. &n summin" up it ma# be said that !hile Trots%# contributed incomparabl# more than an# other 4arxist to an understandin" of the .talinist re"ime, his anal#sis suffered from one serious limitation ) a conser ati e attachment to formalism, !hich b# its nature is contradictor# to 4arxism that subordinates form to content.

Footnote
,. &n his boo% :a <ureaucratisation du Monde, Paris, 19C9.

References
1. ro!lems of the 8evelopment of the ;SSR. A 8raft of the Thesis of the International :eft .pposition on the Russian Fuestion, 7e! Hor% 19C1, p.C'. ?. Ne+ International1 ,pril 194C. C. i!id. 4. L. Trots%#, The Revolution <etrayed, London 19C(, p.?C$. $. i!id., pp.?C8*?4=. '. J.4arx, The overty of hilosophy1 London n.d., pp.1?9*1C=. (. i!id., p.1''. 8. .ources used on feudalism in the ,rab 1ast6 ,.7. Polia%, 4eudalism in 2-ypt1 Syria1 alestine and :e!anon, London 19C9B ,.7. Polia%, 4a R3voltes Po#ulaires en !gy#te a l !#o:ue des 2amelukes et leurs causes !conomi:ues, in Revue des 2tudes Islami7ues, Paris 19C4B ,.7. Polia%, arious articles that appeared in +ebre! in the periodical 6amashe, 6ashituui1 Tel , i B ,. Jremer, Aultur-eschichte des .rients unter der Chalifen, >ien 18($*18((B ,. Jremer, 5eschichte der herrschenden Ideen des Islams, Leip8i" 18'8B C.+. Bec%er, <eitrN-e 9ur 5eschichte O-yptens unter dem Islam1 .trasbour" 19=?*19=C. 9. Trots%#, The Revolution <etrayed, op. cit., p.11=. 1=. i!id. 11. 4arx, A Contri!ution to the Criti7ue of olitical 2conomy , op. cit., pp.?8$*?8'. 1?. Trots%#, In 8efence of Marxism, 7e! Hor% 194?, pp. 'C*(=. 1C. L. Trots%#, Stalin, op. cit., p.4=8. 14. L. Trots%#, The :ivin- Thou-hts of Aarl Marx1 London 194=, p.9

1%@

1$. Trots%#, The Revolution <etrayed, op. cit., p.?C8. 1'. L. Trots%#, ?ar and the 4ourth International, 7e! Hor% 19C4, p.??. 1(. 1n"els, Anti(8Khrin-, op. cit., p.C1?. 18. Ruoted b# L. Laurat, Marxism and 8emocracy, London 194=, p.'9.

Tony Cliff The theory of bureaucratic collectivism: A critique (1948)

Ton# Cliff, Marxism and the theory of !ureaucratic collectivism @duplicated documentA, 1948. Translated b# C. -allas. Reprinted under the present title in International Socialism *) @1st seriesA, .prin" 19'8. Reprinted in R. Juper @ed.A1 The 4ourth International1 Stalinism and the .ri-ins of the International Socialists, London 19(1, pp.(9*94. Reprinted in -. +allas @ed.A, Neither ?ashin-ton nor Mosco+, London 198?, pp.8'*1==. Reprinted as an appendix to T. Cliff, State Capitalism in Russia, London 1988, pp.CCC*C$C. Transcribed 0 mar%ed up b# 1inde 25Calla"han for the Marxists Internet Archive.

Introduction

;or ob ious reasons, discussion of the nature of .o iet societ# !as central to the thin%in" of most socialists of the last "eneration. The conception of Russia under .talin and his heirs as socialism, or a deformed %ind of socialism @Fde"enerated !or%ers5 stateG in the lan"ua"e of do"matic ForthodoxG Trots%#istsA, has met t!o %inds of criti:ue b# 4arxists. The first, to !hich the present !riter subscribes, defines the .talinist re"ime as state capitalist. The second sees it as neither socialism of an# sort ) nor capitalism. This last school of thou"ht coined a special term for the .talinist re"ime ) Bureaucratic Collecti ism. The first !riter to coin this term !as the &talian 4arxist, Bruno R, in his boo% :a <ureaucratisation du Monde @Paris 19C9A. The same term !as adopted and the idea de eloped @!ithout ac%no!led"ement of the !or% of Bruno RA b# the ,merican socialist, 4ax .hachtman. The subKect of the present article is an e aluation and criticism of this thesis. &t is difficult to ma%e a criti:ue of Bureaucratic Collecti ism because the authors ne er actuall# published a de eloped account of the theor#. &t is true that .hachtman !rote hundreds of pa"es of criticism of the theor# that .talinist Russia !as a socialist countr# or a !or%ers5 state of an# sort .@he dismissed the theor# of state capitalism in a sentence or t!oA. But he !rote scarcel# a para"raph on the la!s of motion of the FBureaucratic Collecti istG econom#, and made no anal#sis at all of the s#ecific character of the class stru""le !ithin it. The place of Bureaucratic Collecti ist societ# in the chain of historical de elopment is not clearl# stated, and, in an# case, .hachtman5s account is often inconsistent. , central thesis of the present article is that the theoretical po ert# of the theor# of Bureaucratic Collecti ism is not accidental. >e !ill tr# to sho! that the theor# of Bureaucratic Collecti ism is onl# negativeG it is thus empt#, abstract, and therefore arbitrar#. Criticism of the theor# !ill su""est a number of characteristics that are common ) implicitl# at least ) to other conceptions of .talinism ) from that of the apolo"ists to that of 9eor"e 2r!ell5s #$3&. &n criticisin" the theor#, the stren"th or !ea%ness of the alternati e theor# of .talinist Russia ) as state capitalist ) !ill emer"e.

1%1

The /lace of .ureaucratic 8ollectivism in ?istor(

,t first "lance !hat is more plausible than describin" .talinist Russia as neither a capitalist nor a !or%ers5 stateI But this simplification is of little alue, for it tells us little about the re"imeB feudalism too !as neither capitalism nor socialism, similarl# sla e societ#, and an# other re"ime that has not existed but is created b# our ima"ination. .pino8a !as ri"ht !hen he said that Fdefinition is ne"ationG, but not all ne"ations are definitions. The statement that the .talinist re"ime !as neither capitalist nor socialist left the latter5s historical identit# undetermined. +ence .hachtman could sa# on one occasion that Bureaucratic Collecti ism !as more pro"ressi e than capitalism @ho!e er unpro"ressl e it !as, compared !ith socialismA, and, a fe! #ears later, that it !as more reactionar# than capitalism. .hachtman first called Russia a Bureaucratic Collecti ist state in 1941. , resolution on the Russian :uestion passed at the 1941 Con ention of his or"anisation, the no!*defunct >or%ers5 Part#, stated6
From the stand"oint of socialism! the bureaucratic collectivist state is a reactionar( social orderE in relation to the ca"italist orld! it is on an historicall( more "rogressive "lane$

2n the basis of this, a polic# of Fconditional defensismG !as adopted. The Resolution states6
The revolutionar( "roletariat can consider a revolutionar( *that is! a critical! entirel( inde"endent! class- defensist "osition ith regard to the Stalinist regime onl( under conditions here the decisive issue in the ar is the attem"t b( a hostile force to restore ca"italism in +ussia! here this issue is not subordinated to other! more dominant! issues$ Thus! in case of a civil ar in hich one section of the bureaucrac( seeks to restore ca"italist "rivate "ro"ert(! it is "ossible for the revolutionar( vanguard to fight ith the arm( of the Stalinist regime against the arm( of ca"italist restoration$ Thus! in case of a ar b( hich orld im"erialism seeks to subdue the Soviet Dnion and ac;uire a ne lease of life b( reducing +ussia to an im"erialist colon(! it is "ossible for the "roletariat to take a revolutionar( defensist "osition in +ussia$ Thus! in case of civil ar organised against the e'isting regime b( an arm( basing itself on 5"o"ular discontent7 but actuall( on the ca"italist and semi1ca"italist elements still e'isting in the countr(! and as"iring to the restoration of ca"italism! it is again "ossible that the "roletariat ould fight in the arm( of Stalin against the arm( of ca"italist reaction$ In all those or similar cases! the critical su""ort of the "roletariat is "ossible onl( if the "roletariat is not (et "re"ared itself to overthro the Stalinist regime$

&n lo"ic, !hen, a fe! months after this Con ention, +itler5s 9erman# attac%ed Russia, .hachtman and his follo!ers should ha e come to the defence of Russia, as it !as Fon an historicall# more pro"ressi e planeG. The ar"ument .hachtman put no! !as that, e en thou"h Russia !as more pro"ressi e than capitalist 9erman#, her !ar !as ne ertheless onl# a subordinate part of the total !ar, the basic character of !hich !as a stru""le bet!een t!o capitalist imperialist camps. +e !rote6
The character of the ar! the conduct of the ar and *for the "resent- the outcome of the ar! are determined b( the t o cou"les of im"erialist titans hich dominate each cam" res"ectivel(! the Dnited States and Kreat .ritain! and Kerman( and #a"an$ *:ithin each of the t o! in turn! there is a senior and a )unior "artnerN- /ll the other countries in the t o great coalitions are reduced to vassalage to the giants hich differs in each case onl( in degree$ This vassalage is determined b( the economic *industrial1technical-! and therefore the financial! and therefore the "olitical! and therefore the militar(! domination of the ar b( the t o great 5"o er1cou"les7$ Ital( is less de"endent u"on the masters of its coalition than ?ungar(! and ?ungar( less than Slovakia$ .ut these facts do not alter the state of the vassalage C the( onl( determine its degree$ Stalinist +ussia is less de"endent u"on the masters of its coalition than 8hina *it ould lead us too far afield to sho in hat sense! ho ever! it is even more de"endent u"on DS1Ingland than 8hina-! and 8hina less than the /hili""ines$ .ut again! these facts onl( determine the degree of their vassalage$ I'ce"t! therefore! for inconse;uential cranks and s"ecial "leaders in the bourgeois orld! ever(one in it understands the total nature of the ar as a holeE the total nature of each coalitionE the relative "osition and eight of each sector of the coalitionE the mutual interde"endence of all fronts$ 013

Thus, althou"h Bureaucratic Collecti ism is more pro"ressi e than capitalism, a defeatist position !as adopted because of Russia s assala"e to ,n"lo*,merican imperialism. The Ne+ International of .eptember 1941 emphasised the point6
Stalin has lost the last vestige of inde"endence $$$ Soviet di"lomac( is alread( dictated in 9ondon$

>e shall not d!ell on the factual mista%es. These are less serious than the method b# !hich .hachtman arri es at his conclusions. 4arxism demands that from sociolo"ical definitions !e dra! political conclusions. >hen the course of the !ar contradicted his Kud"ement of Russia as a assal 1%2

state, .hachtman should ha e reKected his pre ious defeatist position, for Bureaucratic Collecti ism, he said, is more pro"ressi e than capitalism. &nstead, he held to the political conclusion of defeatism and altered the sociolo"ical basis. Bureaucratic Collecti ism no! came to be called the ne! barbarism, the decline of ci ilisation, etc. Het in no document did he "i e an# ne! anal#sis of the Russian econom# after the Resolution of the 1941 Con ention. The onl# t!o constant elements in the theor# ha e been6 first, the conclusion that in an# concrete conditions, .talinist Russia must not be defended @no matter that the concrete conditions chan"e all the timeAB second, that the name of the .talinist re"ime is Bureaucratic Collecti ism. >ith re"ard to the first element, serious 4arxists, !hile see%in" to hold consistentl# to the same principles, often chan"e their tactics, as tactics must chan"e !ith chan"in" circumstances. 4arxists should not decide on one tactic and hold to it !hen the Kustification for it is pro ed incorrect. This is eclecticism, impressionism. But exactl# this approach !as adopted b# .hachtman. +e dra!s the same conclusion from t!o opposite and mutuall# exclusi e assumptions, the one that Bureaucratic Collecti ism is more pro"ressi e than capitalism, the other that it is the ima"e of barbarism, more reactionar#. -efeatism is the tactic. >h#I 2nce because Russia !as not the main po!er, but onl# a assal of ,n"lo*,merican imperialism, no! because Russia is a maKor imperialist po!er !hich threatens to con:uer the !orld. ,s for the name, !e mi"ht !ell repeat 4arx5s apt criticism of Proudhon, !ho used to in ent loft# !ords, thin%in" in this !a# to ad ance science. 4arx :uoted the follo!in"6 F!o Be"riffe felhen, -a stellt 8ur rechten Neit ein >ort sich ein.G @>here there is a lac% of ideas, an empt# phrase !ill do.A &n 4arx5s and 1n"els5 anal#sis of capitalism, the fundamentals ) the place of capitalism in histor#, its internal contradictions, etc. ) remained constant from their first approach to the problem until the end of their li es. Their later #ears brou"ht onl# elaborations of and additions to the basic theme. The theor# of Bureaucratic Collecti ism in its short histor# has had a much less happ# fate. .hachtman first considered Bureaucratic Collecti ism more pro"ressi e than capitalism, and then as Ftotalitarian barbarismG. ,nother proponent of the theor#, Bruno R, at one and the same time considers it both a sla e societ# and the threshold of a peaceful transition to communism

.runo + on .ureaucratic 8ollectivism

Bruno R differs from .hachtman in man# fundamentals. +is anal#sis of the "enesis of Bureaucratic Collecti ism, for instance, is basicall# different from .hachtman5s. The# a"ree on the "enesis of the s#stem in Russia. But !hen the# step be#ond its borders, the# are at ariance. >hile the Resolution of the >or%ers5 Part# Con ention of 1941 maintained that Fbureaucratic collecti ism is a nationall#* limited phenomenon, appearin" in histor# in the course of a sin"le conKuncture of circumstancesG, Bruno R sa! it as a societ# !hich !ould replace capitalism on a !orld scale throu"h the expropriation of the bour"eoisie b# the .talinist bureaucrac# and the fascist bureaucrac#. +o!e er, on the characterisation, description, and anal#sis of Bureaucratic Collecti ism as such ) as a social order ) the# are in entire a"reement. &n his boo% :a <ureaucratisation du Monde @Paris 19C9A, Bruno R !rites6
In our o"inion! the DSS+ re"resents a ne t("e of societ( led b( a ne social classG that is our conclusion$ 8ollectivised "ro"ert( actuall( belongs to this class hich has introduced a ne C and su"erior C s(stem of "roduction$ I'"loitation is transferred from the individual to the class$ 023 In our o"inion! the Stalinist regime is an intermediar( regimeE it eliminates outdated ca"italism! but does not rule out Socialism for the future$ It is a ne social form based on class "ro"ert( and class e'"loitation$ 033 In our o"inion! in the DSS+! the "ro"ert( o ners are the bureaucrats! for it is the( ho hold force in their hands$ It is the( ho direct the econom( as as usual amongst the bourgeoisieE it is the( ho a""ro"riate the "rofits to themselves! as as usual amongst all e'"loiting classes! and it is the( ho fi' ages and the "rices of goodsG once again! it is the bureaucrats$ 043

1%3

>hat is the character of the ruled classI -oes there exist a Russian proletariat, or, Kust as the bour"eoisie !as substituted b# a ne! exploitin" class, is the proletariat substituted b# a ne! exploited classI Bruno R ans!ers thus6
I'"loitation occurs e'actl( as in a societ( based on slaver(G the sub)ect of the State orks for the one master ho has bought him! he becomes a "art of his master4s ca"ital! he re"resents the livestock hich must be cared for and housed and hose re"roduction is a matter of great im"ortance for the master$ The "a(ment of a so1called age! consisting "artl( of State services and goods! should not induce us into error and lead us to su""ose the e'istence of a Socialist form of remunerationG for indeed! it onl( means the u"kee" of a slaveN The sole fundamental difference is that in ancient times the slaves did not have the honour or carr(ing arms! hilst the modern slaves are skilfull( trained in the art of ar $$$ The +ussian orking class are no longer "roletariansE the( are merel( slaves$ It is a class of slaves in its economic substance and in its social manifestations$ It kneels as the 5little Father7 "asses b( and deifies him! it assumes all the characteristics of servilit( and allo s itself to be tossed about from one end of the immense em"ire to the other$ It digs canals! builds roads and rail a(s! )ust as in ancient times this same class erected the /(ramids or the 8oliseum$ A small "art of this class have not (et lost themselves in com"lete agnosticismE retaining their faith! the( meet in caves for "ur"oses of discussion! as of old! the 8hristians "ra(ing in the catacombs$ From time to time the /retorians organise a raid and round ever(bod( u"$ 5Bonster7 trials are staged! in the st(le of >ero! and the accused! instead of defending themselves! sa( 5mea cul"a7$ The +ussian orkers differ com"letel( from the "roletarians in ever( res"ect! the( have become State sub)ects and have ac;uired all the characteristics of slaves$ The( no longer have an(thing in common ith free orkers e'ce"t the s eat on their bro $ The Bar'ists ill trul( need =iogenes4 lam" if the( intend to find an( "roletarians in the Soviet to ns$ 0%3

1 en thou"h Bruno R describes .talinist Russia as the rene!al of sla er# @!ith all the historical retro"ression connected !ith itA, he ne ertheless sa#s that this re"ime is more pro"ressi e than capitalism, and, further, that it leads directl#, !ithout leaps or stru""les, to communist societ#. +e sa#s6
:e believe that the ne societ( ill lead directl( to Socialism! because of the enormous volume attained b( "roduction$ The leaders *so ill no be called those hom e have contem"tuousl( labelled bureaucrats and the ne class ill be called leading class-! having satisfied their material! intellectual and moral needs! ma( of course find a "leasurable occu"ation in the constant material! intellectual and moral elevation of the orking class$ 0&3 The totalitarian State should not im"ress the Bar'ists$ For the time being! it is totalitarian rather in the "olitical than in the economic sense$ These factors ill be reversed in the course of the forthcoming and normal social develo"ments$ The totalitarian State ill more and more lose its "olitical characteristics and retain onl( its administrative characteristics$ At the end of this "rocess e ill have a classless societ( and Socialism$ 0<3

, ne! F!itherin" a!a#G ) of Fcollecti e sla er#G, of Ftotalitarian bureaucratic collecti ismG, in communismM ,nd this de elopment Bruno R proudl# proclaims Fthe trium#h of historical materialismFM @.ee particularl# the chapter in his boo% under this name.A Bruno R5s Bureaucratic Collecti ism leads directl#, automaticall#, to communism. &t is undoubtedl# a materialist conception, but it is not dialecticalB it is a mechanical, fatalist approach to histor# !hich denies the class stru""le of the oppressed as the necessar# moti e force.

The Stalinist +egime C .arbarismO

.hachtman !rites about the .talinist re"ime6

It is the cruel realisation of the "rediction made b( all the great socialist scientists! from Bar' and Ingels on ard! that ca"italism must colla"se out of an inabilit( to solve its o n contradictions and that the alternatives facing mankind are not so much ca"italism or socialism as the( areG socialism or barbarism$ Stalinism is that ne barbarism$ 083

&f the .talinist re"ime denotes the decline of ci ilisation, the reactionar# ne"ation of capitalism, then, of course, it is more reactionar# than the latter. Capitalism has to be defended from .talinist barbarism. But .hachtman ties himself in %nots. >hen 4arx spo%e of the Fcommon ruin of the contendin" classesG ) as in Rome after sla e societ# disinte"rated ) it !as associated !ith a "eneral decline of the producti e forces. The .talinist re"ime, !ith its d#namic de elopment of the producti e forces, certainl# does not fit this description. 1%4

Barbarism in 4arx5s concept meant the death of the embr#o of the future in the !omb of the old societ#. The embr#o of socialism in the bod# of capitalism is social, collecti e, lar"e*scale production, and associated !ith it, the !or%in" class. The .talinist re"ime not onl# did not !ea%en these elements, but spurred them on.

The Botive for I'"loitation in .ureaucratic 8ollectivist Societ(

.hachtman explains the moti e for exploitation in Bureaucratic Collecti ist societ# thus6 F&n the .talinist .tate, production is carried on and extended for the satisfaction of the needs of the bureaucrac#, for the increasin" of its !ealth, its pri ile"es, its po!er.G 7o! if the moti e for exploitation under Bureaucratic Collecti ism !as simpl# the needs of the rulers, ho! does this relate to the "eneral historical roots of exploitation in different social s#stemsI 1n"els explains !h#, in the past, societ# !as di ided into exploiters and exploited6
The division of societ( into an e'"loiting and an e'"loited class! a ruling and an o""ressed class! as the necessar( outcome of the lo develo"ment of "roduction hitherto$ So long as the sum of social labour (ielded a "roduct hich onl( slightl( e'ceeded hat as necessar( for the bare e'istence of allE so long! therefore! as all or almost all the time of the great ma-ority of the members of society was absorbed in labour& so long was society necessarily divided into classes$ Alongside of this great ma)orit( e'clusivel( absorbed in labour! there develo"ed a class! freed from direct "roductive labour! hich managed the general business of societ(G the direction of labour! affairs of state! )ustice! science! art and so forth$ 093

&n an econom# in !hich the moti e for production is the production of use alues for the rulers, there are certain limits to the extent of exploitation. Thus, for instance, in feudal societ#, illa"e and to!n ali%e !ere subKu"ated to the feudal lords5 need for consumption "oods, and so lon" as the produce !hich the serfs "a e to their lord !as not !idel# mar%eted, Fthe !alls of his stomach set the limits to his exploitation of the peasantG @4arxA. This does not explain the existence of exploitation under capitalism. The !alls of the capitalist5s stomach are undoubtedl# much !ider than those of the feudal lord of the 4iddle ,"es, but, at the same time, the producti e capacit# of capitalism is incomparabl# "reater than that of feudalism. >e should therefore be :uite mista%en if !e explained the increase in the exploitation of the mass of !or%ers as the result of the !idenin" of the !alls of the bour"eoisie5s stomach. The need for capital accumulation, dictated b# the anarchic competition bet!een capitals, is the moti ation for exploitation under capitalism. ,ctuall#, if the Bureaucratic Collecti ist econom# is "eared to the Fneeds of the bureaucrac#G ) is not subordinated to capital accumulation ) there is no reason !h# the rate of exploitation should not decrease in time, and as the producti e forces in the modern !orld are d#namic ) this !ill lead, !ill#*nill#, to the F!itherin" a!a# of exploitationG. >ith the d#namism of hi"hl# de eloped producti e forces, an econom# based on "ratif#in" the needs of the rulers can be arbitraril# described as leadin" to the millennium or to 1984. Bruno R5s dream and 9eor"e 2r!ell5s ni"htmare ) and an#thin" in bet!een ) are possible under such a s#stem. The Bureaucratic Collecti ist theor# is thus entirel# capricious and arbitrar# in definin" the limitation and direction of exploitation under the re"ime it presumes to define.

8lass +elations under .ureaucratic 8ollectivism

The essence of .hachtman5s position is summed up in the statement that the rulers of Russia under .talin !ere neither !or%ers nor pri ate o!ners of capital. >hat is decisi e, accordin" to the 4arxist method, in definin" the class nature of an# societ#I ,s the histor# of all class societ# is the histor# of the class stru""le, it is clear that !hat does determine the place of an# re"ime in the chain of historical de elopment are these factors !hich determine the character of the class stru""le in it.

1%%

7o!, the character, the methods and the aims of the class stru""le of the oppressed class are dependent on the nature of the oppressed class itself6 the position it has in the process of production, the relation bet!een its members in this process, and its relation to the o!ners of the means of production. These are not determined b# the mode of appropriation or mode of recruitment of the ruling class. , fe! examples !ill explain this. >e %no! that in the 4iddle ,"es the feudal lord had the ri"ht to be:ueath his feudal ri"hts to his heirsB on the other hand the bishop did not ha e this ri"ht, nor e en that of raisin" a famil#. The feudal lord !as the son of a feudal lord, a noblemanB the bishops !ere recruited from different classes and la#ers of societ#, often from the peasantr#. @1n"els pointed to the plebeian ori"in of the upper hierarch# of the Church ) and e en of a number of Popes ) as one of the causes for the stabilit# of the Church in the 4iddle ,"es.A Thus the mode of recruitment of the bishops !as different from that of the pri ate feudal lords. ,s re"ards the form of appropriation, the difference !as e:uall# "reat6 the feudal lord, as an o!ner, !as entitled to all the rent he could collect from his serfs, !hile the bishop !as le"all# propert#less and, as such, entitled onl# to a Fsalar#G. But did these differences bet!een the mode of appropriation and the mode of recruitment of the feudal lords and the upper hierarch# of the Church ma%e an# &asic difference to the class stru""le of the serfs on Church land, or on the lord5s landI 2f course not. The peasant !ith his primiti e means of production, !ith the indi idualistic mode of production, had the same relation to other peasants, the same relation to the means of production @primaril# the landA, and the same relation to his exploiter, !hether he !as a feudal lord or a collecti e exploiter ) the upper cler"# @or as Jauts%# calls them in a boo%, hi"hl# recommended b# 1n"els, the FPapac# ClassGA. .imilarl#, in sla e societ# there !as besides the pri ate o!nership of sla es, collecti e state o!nership, as in .parta. D1=E ;rom the standpoint of the exploiters the :uestion of their mode of appropriation and recruitment is of prime importance. Thus, for instance, Jauts%#, in Thomas More and his ;topia, sa#s6
It looked as if the 8hurch as"ired to become the sole landed "ro"rietor in 8hristendom$ .ut the mightiest ere to be curbed$ The nobles ere al a(s hostile to the 8hurchE hen the latter ac;uired too much land! the king turned to the nobles for assistance in setting limits to the "retensions of the 8hurch$ Boreover! the 8hurch as eakened b( the invasion of ?eathen tribes and the Bohammedans$ 0113

The Church ac:uired, not !ithout a stru""le @in !hich one of the !eapons it used !as the for"in" of deeds of "iftA, about a third of all the land in 1urope as a !hole, in some countries the maKorit# share of the land @e.". +un"ar#, BohemiaA. Perhaps, therefore, the nobles considered the differences bet!een themsel es and the upper cler"# ) in their ori"in, and mode of appropriation ) of importance. But from the standpoint of the class stru""le of the serfs or the risin" bour"eoisie a"ainst feudalism, these differences !ere of :uite secondary importance. &t !ould not be correct to sa# that the# !ere of no importance, as the differences in the composition of the rulin" class to some extent conditioned the stru""le of the serfs or the risin" bour"eoisie. Thus, for instance, the concentration of the means of production in the hands of the Church made the stru""le of the serfs a"ainst the Church much more difficult than their stru""le a"ainst indi idual landlordsB the ideolo"ical Kustification of feudal o!nership !as different in form !hen blue blood and coats of arms !ere presented than !hen reli"ious phrases !ere :uoted in Latin. ,nd the fact that !hile Church propert# !as officiall# called Fpatrimonium pauperumG @the inheritance of the poorA, pri ate feudal propert# !as not endo!ed !ith this exalted title, helps to sho! that these Kudicial differences !ere not unimportant. But from the standpoint of the historical process as a !hole, i.e. from the standpoint of the class stru""le, all the differences in the mode of appropriation and method of recruitment of the different "roups are onl# secondar#. .hachtman and Bruno R @as !ell as ForthodoxG Trots%#istsA for"et 4arx5s statement of a centur# a"o6 that the form of propert# considered independentl# of the la!s of motion of the econom#, from the relations of production, is a metaph#sical abstraction.

1%&

Thus the bi" differences bet!een the mode of appropriation and recruitment of the Russian bureaucrats and that of the bour"eoisie, in itself, does not at all pro e that Russia represents a non* capitalist societ#, a ne! class societ# of Bureaucratic Collecti ism. To pro e this, it is necessar# to sho! that the nature of the ruled class ) its conditions of life and stru""le ) is fundamentall# different in Russia from !hat exists, e en for .hachtman, in capitalism. ,nd this is exactl# !hat Bruno R, and later .hachtman, tried to do.

The >ature of the :orking 8lass in +ussia

2n the :uestion of !hether the !or%ers in Russia are proletarians, the proponents of the theor# of Bureaucratic Collecti ism ans!er, and must ans!er, that the# are not. The# compare the Russian !ith the classical !or%er !ho !as FfreeG of the means of production and also free of an# le"al impediments to sellin" his labour po!er. &t is true that there often !ere le"al impediments to the mo ement of Russian !or%ers from one enterprise to another. But is this a sufficient reason to sa# that the Russian !or%er !as not a proletarianI &f so, there is no doubt that the 9erman !or%er under +itler !as also not a proletarian. 2r, at the other extreme, !or%ers in po!er are also not proletarians inasmuch as the# are not FfreeG as a collecti e from the means of production. 7o doubt an ,merican !or%er is er# different from an indentured "irl in a Japanese factor# !ho is under contract for a number of #ears and must li e in the compan#5s barrac%s for that time. But basicall# the# are members of one and the same class. The# !ere born to"ether !ith the most d#namic form of production histor# has e er# %no!n, the# are united b# the process of social production, the# are in actualit# the antithesis of capital, and in potentialit# socialism itself @because of the d#namics of a modern econom#, no le"al impediments in fact put an end altogether to the mo ement of !or%ers from one enterprise to another under .talin5s re"imeA. +ilferdin", Bruno R, and -!i"ht 4ac-onald !ere consistent and maintained that Kust as the# did not consider a Russian !or%er to be a proletarian, so the# did not consider a !or%er in +itler5s 9erman# to be a proletarian. The .hachtmanites tried to a oid this conclusion. &n so doin" the# !ere led to falsif# facts. ;or instance, the# claim that the 9erman !or%ers under +itler !ere freer to mo e than the Russian, that the# !ere freer to bar"ain !ith their emplo#ers, and that sla e labour !as ne er as !idespread in 9erman# as in Russia. Thus &r in" +o!e, one of .hachtman5s follo!ers at the time, !rote6
The >a,is did not use slave labor to the e'tent that Stalinist +ussia hasE under the ?itler regime! slave labor never became as indis"ensable a "art of Kerman(4s national econom( as it has become for +ussia under Stalin$$$ industr( under ?itler as still largel( based on 5free labor7 *in the Bar'ist senseE that is! free from o nershi" of the means of "roduction and thereb( forced to sell labor "o er! but also "ossessing the freedom to decide hether or not to sell this labor "o er-$ For all of the ?itlerite restrictions! there as considerable bargaining bet een the ca"italist and "roletarian! as ell as bet een ca"italists for orkers during labor shortages$ 0123

&n realit# the Russian !or%er, not!ithstandin" all restrictions, mo es from one factor# to another much more than the 9erman !or%er, or, for that matter, than an# other !or%er in the !hole !orld. ,s earl# as .eptember 19C=, !or%ers !ere prohibited from chan"in" their place of !or% !ithout special permission, and #ear after #ear brou"ht ne! prohibitions. -espite this, the rate of turno er !as tremendous. &n 19?8, as a"ainst 1== !or%ers emplo#ed in industr# 9?.4 lea in"s !ere re"isteredB in 19?9, 11$.?B 19C=, 1$?.4B 19C1, 1C'.8B 19C?, 1C$.CB 19CC, 1??.4B 19C4, 9'.(B 19C$, 8'.1. &n later #ears fi"ures !ere not published, but it is clear that the lar"e turno er continued, to !hich the fre:uent declamations in the press bear !itness. 1 en the !ar did not put an end to it. The 9erman administration !as incomparabl# more efficient in combatin" the free mo ement of labour under +itler. This, in addition to other factors @especiall# the relati el# much "reater d#namism of the Russian econom#A, made the labour turno er in 9erman# much lo!er than in Russia. >hat about the sla e camps in .talin5s RussiaI .hachtman tried to su""est that sla e labour !as the basic factor of production in Russia. But this is absolutel# !ron". The labour of prisoners is suitable

1%<

onl# for manual !or% !here modern techni:ue is not used. &t is therefore emplo#ed in the construction of factories, roads, etc. -espite its cheapness, it is necessaril# onl# of secondar# importance to the labour of !or%ers, as FunfreeG labour is al!a#s relati el# unproducti e. &f not for the fact that sla e labour !ere an impediment to the rise of the producti it# of labour, the decline of Roman societ# !ould not ha e ta%en place. Li%e!ise, althou"h in different circumstances, sla er# !ould not ha e been abolished in the <nited .tates. &n the face of special circumstances ) the lac% of means of production and the abundance of labour po!er ) it is explicable that the .talinist bureaucrac# should introduce and use sla e labour on a lar"e scale. But it is clear that the main historical tendenc# is in an opposite direction. ,ll the factories in Russia producin" tan%s and aeroplanes, machiner#, etc., !ere run on !a"e labour. -urin" the !ar +itler5s 9erman# found it expedient to use t!el e million forei"n !or%ers, most of !hom had been recruited as prisoners and forced labourers. 4arx maintained that the historical tendenc# to!ards the de"radation of the #roletariat, its increased oppression b# capital, is fundamental to capitalism, !hereas the substitution of the proletariat b# a ne!, or rather, ancient, class of sla es is :uite contrar# to the "eneral tendenc# of histor#. ,s !e ha e said, onl# a lac% of means of production and an abundance of labour po!er can explain the !idespread use of prison labour in .talin5s Russia. +ence its almost complete disappearance since the death of .talin, since Russia reached industrial maturit#. .hachtman5s theor# of Bureaucratic Collecti ism must lead to its lo"ical conclusion. &f the Russian !or%er is not a proletarian, the 9erman !or%er under +itler !as not a proletarian, and in +itler5s 9erman# there !as not a !a"e labour s#stem, but a s#stem of Fcollecti e sla er#G. ,ccordin"l#, the rulin" class in +itler5s 9erman# could not be called a capitalist class, as capitalists are exploiters of proletarians. Bruno R, -!i"ht 4ac-onald and +ilferdin", at least, ha e the merit of consistenc#. The# dre! these conclusions and !ere therefore Kustified in callin" +itler5s 9erman# Bureaucratic Collecti ist @Bruno R and -!i"ht 4ac-onaldA or a FTotalitarian .tate 1conom#G @+ilferdin"A. &f !e accepted that !or%ers emplo#ed b# the .talinist state are not proletarians, !e should ha e to come to the absurd conclusion that in the >estern Po!ers5 8ones of Berlin the !or%ers are proletarians, but in the Russian 8one those emplo#ed in the nationalised 9erman enterprises are not proletarians, !hile those emplo#ed in the Russian 8one b# pri ate industr# are proletariansM ,"ain, !e should ha e to come to the absurd conclusion that non*!or%ers under .talin ha e been "raduall# transformed after his death into proletarians. ,bo e all, if .hachtman is ri"ht and there is no proletariat in the .talinist re"ime, 4arxism as a method, as a "uide for the proletariat as the subKect of historical chan"e, becomes superfluous, meanin"less. To spea% about 4arxism in a societ# !ithout a proletariat, is to ma%e of 4arxism a supra*historical theor#.

?istorical 9imitations of .ureaucratic 8ollectivism

&f one accepts the state capitalist nature of the .talinist re"ime, one not onl# accepts its la!s of motion ) the accumulation of capital as dictated b# the pressure of !orld capitalism ) but also the historical limitations of its role. 2nce capital is amassed and the !or%in" class is massi e, the "round is undermined beneath the feet of the bureaucrac#. ;or a 4arxist !ho thin%s Russia is state capitalist, the historical mission of the bour"eoisie is the socialisation of labour and the concentration of the means of production. 2n a !orld scale this tas% had alread# been fulfilled. &n Russia the re olution remo ed the impediments to the de elopment of the producti e forces, put an end to the remnants of feudalism, built up a monopol# of forei"n trade !hich defends the de elopment of the producti e forces of the countr# from the de astatin" pressure of !orld capitalism, and also "a e a tremendous le er to the de elopment of the producti e forces in the form of state o!nership of the means of production. <nder such conditions, all the impediments to the historical mission of capitalism ) the socialisation of labour and the concentration of the 1%8

means of production !hich are necessar# prere:uisites for the establishment of socialism, and !hich the bour"eoisie !as not able to fulfil ) are abolished. Post-(cto&er Russia stood &efore the fulfilment of the historical mission of the &ourgeoisie , !hich Lenin summed up in t!o postulates6 Fincrease in the producti e forces of social labour and the socialisation of labourG. 2nce the .talinist bureaucrac# created a massi e !or%in" class and massi e concentrated capital, the obKecti e prere:uisites for the o erthro! of the bureaucrac# had been laid. The .talinist bureaucrac# thus created its o!n "ra e*di""er @hence the post*.talin con ulsions in Russia and 1astern 1uropeA. The theor# of bureaucratic Collecti ism is inherentl# incapable of sa#in" an#thin" about the historical role and limitations of the .talinist bureaucrac#. +ence socialism also appears simpl# as a <topian dream, not a necessar# solution to contradictions inherent in the .talinist re"ime itself. ,bstracted from the contradictions of capitalism, the ur"e to!ards socialism becomes merel# an idealistic chimera.

Attitude to the Stalinist /arties

;rom the assumption that Bureaucratic Collecti ism is more reactionar# than capitalism, .hachtman dra!s the conclusion that if a choice has to be made bet!een .ocial -emocratic Parties !hich support capitalism and Communist Parties ) a"ents of Bureaucratic Collecti ism ) a socialist should side !ith the former a"ainst the latter. Thus .hachtman !rote in .eptember 19486
Stalinism is a reactionar(! totalitarian! anti1bourgeois and anti1"roletarian current I> the labor movement but not AF the labor movement $$$ here! as is the general rule no ada(s! the militants are not (et strong enough to fight for leadershi" directl(E here the fight for control of the labor movement is! in effect! bet een the reformists and the Stalinists! it ould be absurd for the militants to "roclaim their 5neutralit(7 and fatal for them to su""ort the Stalinists$ :ithout an( hesitation! the( should follo the general line! inside the labor movement! of su""orting the reformist officialdom against the Stalinist officialdom$ In other ords! here it is not (et "ossible to in the unions for the leadershi" of revolutionar( militants! e forthrightl( "refer the leadershi" of reformists ho aim in their o n a( to maintain a labor movement! to the leadershi" of the Stalinist totalitarians ho aim to e'terminate it $$$ hile the revolutionists are not the e;ual of the reformists and the reformists are not the e;ual of the revolutionists! the t o are no necessar( and "ro"er allies against Stalinism$ The scores that have to be settled ith reformism C those ill be settled on a orking1class basis and in a orking1class a(! and not under the leadershi" or in alliance ith totalitarian reaction$ 0133

,"ain there is a lac% of historical perspecti e, of real anal#sis of social forces, an o ersimplification. The dual role of the Communist Parties in the >est ) as a"ents of 4osco! and as a collection of fi"htin" indi idual militants, stran"led b# the same bureaucrac# ) is completel# o erloo%ed. .hachtman5s attitude to the Communist Parties, if adopted b# an# socialists in the >est, !ould6 firstl#, stren"then the ri"ht*!in" .ocial -emocratic PartiesB and, secondl#, stren"then the hold of the Communist Part# leadership on their ran% and file. &t is a sure !a# to li:uidate an# independent !or%in"*class tendenc#.

In 8onclusion

The theor# of Bureaucratic Collecti ism is supra*historical, ne"ati e and abstract. &t does not define the economic la!s of motion of the s#stem, explain its inherent contradictions and the moti ation of the class stru""le. &t is completel# arbitrar#. +ence it does not "i e a perspecti e, nor can it ser e as a basis for a strate"# for socialists.

References

1. China in the World War, Ne+ International, June 194?. ?. :a <ureaucratisation du Monde, p.C1.

1%9

C. I!id., p.9$. 4. I!id., p.$'. $. I!id., pp.(?*4. '. I!id., p.?8C. (. I!id., p.?84. 8. 4ax .hachtman, The <ureaucratic Revolution, 7e! Hor% 19'?, p.C?. 9. 1n"els, Socialism ;topian and Scientific, in 4arxP1n"els, Selected ?or,s, /ol.&, p.18C. 4# emphasis ) TC. 1=. Jauts%# describes this re"ime6 FThe .partans made up the minorit#, perhaps a tenth of the population. Their state !as based on real >ar Communism, the barrac% communism of the rulin" class. Plato dre! his ideal of the .tate from it. The ideal differed from real .parta onl# in that it !as not the militar# chiefs but the Ophilosophers5, that is, the intellectuals, !ho directed the !ar communism.G 8ie MateriaDistische 5eschichtauffassun-, N!eiten Band, Berlin 19?(, pp.1C?*C. 11. Jarl Jauts%#, Thomas More and his ;topias, p.C8. 1?. Ne+ International, -ecember 194(. 1C. 4ax .hachtman, op cit., ppC=', C=8*9. , b#*product of this h#sterical anti*.talinism is softness, e en idealisation, of .ocial -emocrac#6 F&n most of the countries of 1urope !est of the barbed*!ire frontiers, the socialist parties not onl# represent the sole serious alternati e to the futile and futureless parties of the status :uo but are the political instrument of the democratic !or%in" class.G

1&@