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The economy - Coggle Diagram
The economy
industry
Alex II
- needed the free movement of people in order to achieve a flexible economy, which led to emancipation as it allowed industry to develop
- Reutern as a finance minister (1868-78)
- in 1871 he based his policies off the development of iron and coal
- the cotton and mining industries were expanded
- somewhat success but little focus
Nic II
- problems- increased population (over 130m in 1900 to over 160m in 1910)
- Witte as a finance minister (1893-1903)
- invested a lot into heavy industries
and provided- coal production doubled
- manufacturing grew four times as fast
- somewhat successful
WW2
- 6 million factory workers by 1913
- factory working hours reduced
- shortage of munitions (2 riffles for every 3 soldiers)
Lenin
- State Capitalism
- the state controlled production
- formed the Supreme Economic Council who nationalised industries
- decree on land (abolished private ownership) and worker control
- problems- the civil war prevented development (coal production fell from 29m tonnes in 1913 to 8.9m in 1921)
- could argue success with NEP but didn’t fit ideology
Stalin
- focus on preparing Russia from conflict so a focus on rearmament and heavy industries through his five year plans
- polices somewhat ineffective due to the pressure the targets put on workers and created resentment
- workers tried not to exceed targets as it meant they were raised the next year
- output were also assessed by weight and not demand so the correct goods were not produced
- little success- claimed targets had been met in four years but this was due to over enthusiastic reporting
Khrushchev
- focused on consumer goods rather than heavy industry
- success- exceeded industrial good output in 1958 (planned 188 units of 100, actually 196), exceeded iron and steel production, sold 314,000 tractors in 1955 and 804,000 in 1965
- failures- didn’t reach grain targets (planned 180 million tonnes, achieved 121 million)
Agriculture
Alex II
- emancipation aimed to boost agriculture production as serfs now owned land and could see their own crops, meaning they had more motivation
- but this failed as the land they were given was unsuited and they couldn’t travel to sell their goods as they were tied to the Mir
- overall unsuccessful
Alex III
- little success
- Vyshnagrad reforms increased grain exports in 1891 and he secured foreign loans from France in 1888 but a bad harvest impacted his succes
Nic II
- Stolypin reforms
- thought a society of Kulaks would boost agriculture as more peasants would be employed and more money would be spent
- unused land became available in peasant land banks
- tried to eradicated strip farming but failed
- the government provided subsides to agriculture programs in Siberia and 3.5 million people moved there
- problems as old land owners were unwilling to sell and only 14% of communal land was passed on
- unsuccessful
Lenin
- War Communism created problems- peasants were left with barely enough grain to survive on which impacted their motivation, peasants resisted gran requisitioning and hid crops and killed requistioners
- replaced with the NEP which increased the number of Kulaks, but the Bolshevik’s blamed the Kulaks for agricultural problems
- NEP boosted motivation
- famine in 1921 after a fall in production (the lack of goods for peasants to buy encouraged them not to sell)
- argue it was unsuccessful
Stalin
- collectivisation
- encouraged by famine 1927-8, got rid of NEP
- in mid 1929, 5% of peasants were on state or collective farms, increased to 25% in 1930
- forced to hand over majority of grain due to unrealistic targets
- created resentment and between 1929-33, 25-30% of live stock was slaughter by Kulaks as they were blamed for the problems and accused of hiding products
- august 1932, stealing from the collective resulted in exile
- famine 1932-34
Khrushchev
- understood that the locals had a better understanding of the areas so increased their ability to make decisions
- Virgin land schemes- exploiting unused areas
- success- 6 million acres cultivated in the first year
- failures- poorly planned (inexperienced workers, land unsuited, crops not rotated, overcrowded)
Finance
- total expenditure between 1900-13 (over 28m) exceeded total revenue (over 25m)
- widening gap between the risco and the poor
Alex II
- Under Reutern
- approach revolved around attracting foreign investment
- issued government bonds, taxation exemptions and monopoly concessions which secure foreign monies
Alex III
- under Bunge
- abolished salt tax (1881) and poll tax (1886)
- created peasants land banks
- he was blamed for the dramatic fall in revenue in mid 1880s
Nic II
- under Witte
- took out foreign loans, raised tax and interest rates
- put rouble on the gold standard
WW2
- inflation raised by 40%
- prices of fuel and food x4
- the gold standard helped the economy
Lenin
- war communism- nationalisation of larger eco ins entities and state monopoly of the markets for goods and services
- problems- strongly disliked
Transport
Alex II
- under Reutern (1868-78)
- 13,979 miles of railway by 1878 compared to around 18,000 in Britain
- expansion gave a signification boost to the industrial sector
- not much focus on transport
Alex III
- Under Vyshnagradsky and Bunge (1881-96)
- greater nationalisation of railways
- not too much focus on transport
Nic II
- under Witte (1893-1903)
- increased total amount of railways to 31,125 in 1901
- included the Chinese eastern railway (rose from 17K to 31K between 1891 and 1909)
Stalin
- focused on flight (1923 Aeroflot)
- focused on domestic routes in 1930
Khrushchev
- improvements on flight and focus on space travel