Part 3- Stalin’s Economic Policies
Stalin’s Economic Aims (late 1920’s, starts in 1926)
-Main Aim: “2nd Revolution” to modernise the Soviet Economy (Agriculture & Industry)
• He realised that the USSR couldn’t survive unless it rapidly modernised its economy
• Called it a “2nd revolution” to equate its importance with the 1917 rev’s itself
• AKA: “Revolution from above”- state would now command & direct the economy from
above, no longer a revolution from below like in 1917- when workers take charge and rise to
power
-Motives:
1. To confirm his authority as a leader
o Under Stalin, state control was total- He saw a hard-line policy as the best way to
ensure his authority over the party and gov
o Projected himself as a revolutionary leader following Lenin’s footsteps
2. To enable SU to catch up with the economies of the West
o By 1928 he was convinced that only modernisation could meet the SU’s needs
o Believed that the SU and rev’s survival depended on the nation’s ability to modernise
into an industrial society as fast as possible
Industrialisation METHODS Collectivisation
Collectivisation (Ending private ownership)
-Definition- Taking land from the peasants, giving it all to the state
• Peasants no longer farm for individual profit, but pool their
efforts together and receive a wage from the state
• Grouped 50-100 holdings into 1 unit
-What for?- To finance the industrialisation programme
• To Stalin, industry will always be more important than land
-Why this method?- It is believed that large farms would be more efficient, and encourage the use of
agricultural machinery effectively
• Efficient farming hopes for 2 vital results
I. Surplus food supplies- Sold abroad to raise capital for industrialisation
II. Decrease number of rural workers, releasing more workers for industries
1
Notes compiled by: Chew Wen Min
, Types of farms:
Collective Farms (Kolkhozy) State Farms (Sovkhozy)
Similarities:
-Preferred by the people- -Preferred by the state-
- Purpose: To “squeeze out all
• Farms cooperated capitalist elements from the • Peasants worked
o Peasants pooled their land”- Stalin directly for the state
resources - Private peasant ownership • State paid them
o Shared labour & wages ended wages
- Agriculture to serve the
state’s interests
Means to carry out Collectivisation: Anti- Kulak campaigning
• Stalin’s attitude to peasants: little sympathy
o Days of peasants as a revolutionary social force has passed, future belonged to the
urban workers
o Peasants should (as in a national crisis), bow to the demands of industrialisation
Myth (Stalin Propaganda) Truth
1. Stalin claimed that collectivisation was Collectivisation was forced on a very reluctant
‘voluntary’ at the free choice of peasants peasantry
2. ‘Kulaks’ identified- rich peasants that grew ‘Kulaks’ didn’t exist- they were really only
wealthy under the NEP hardworking peasants, efficient farmers
3. Kulaks were monopolising the best land, Kulaks were not a class of exploiting
employing cheap peasant labour to farm it landowners like Stalin’s propaganda claimed
o Hoarded farm produce, keeping food
prices high
o Kept themselves rich at the expense of
poorer workers/ peasants
• Dangers of the Kulaks (as Stalin claimed):
I. They were holding back the worker’s revolution
II. Would prevent the USSR’s modernisation
-De-Kulakisation:
• Land & property seized from accused Kulaks
• Families physically attacked
o Poorer peasants participated in ‘dekulakisation’ with enthusiasm- it gave them the
excuse to settle old scores/ vent jealousies (points 1 & 2)
• Kulaks arrested & Deported
o By OGPU- Succeeded the CHEKA as state security force, were anti-Kulak squads
authorised by Stalin
2
Notes compiled by: Chew Wen Min