The second phase of nationalization may be characterized as the adoption by a political state of the purest capitalist methods. Krassin was not a Bolshevik or a Socialist of any kind, so far as can be learned. He severed his rather nominal connection with the Socialist movement in 1906, it is said, and, thoroughly disillusioned, devoted himself to his profession and to the management of the Petrograd establishment of the great German firm of Siemens-Schuckart. He is said to have maintained very cordial relations with Lenin and was asked by the latter to accept three portfolios, namely, Commerce and Industry, Transports, and War and Munitions. He agreed to take the appointment, provided the Soviet Government would accept his conditions. He demanded (1) the right to appoint specialists of his own choosing to manage all the departments under his control, regardless of their political or social views; (2) that all remaining workers’ committees of control be abolished and that he be given the power to replace them by responsible directors, with full powers; (3) that piece-work payments and premiums take Of course, acceptance of these conditions was virtually an abandonment of every distinctive principle and ideal the Bolsheviki had ever advanced. Krassin immediately set to work to bring some semblance of order out of the chaos. The “iron discipline” that was introduced and the brutal suppression of strikes already described were due to his powerful energy. A martinet, with no sort of use for the Utopian visions of his associates, Krassin is a typical industrial despot. The attitude of the workers toward him was tersely stated by the Proletarskoe Echo in these words: “How Comrade Krassin has organized the traffic we have all seen and now know. We do not know whether Comrade Krassin has improved the traffic, but one thing is certain, that his autocratic ways as a Commissary greatly remind us of the autocratic policy of a Czar.”54 54 Quoted by H. W. Lee, The Dictatorship of the Proletariat, p. 7. Yet Krassin failed to do more or better than prolong the hopeless struggle against utter ruin and disastrous failure. He was, after all, an engineer, not a miracle-worker. Trades-unions were deprived of power and made mere agencies for transmitting autocratic orders; tens of thousands of useless politicians were ousted from the factories and the railways; the workers’ control was so thoroughly broken that there were not left in Soviet Russia a dozen workers’ committees possessing the power of the printers’ “chapel” in the average large American 55 In view of the denials of the dissolution of workers’ control, circulated by Soviet Russia and the whole body of pro-Bolshevist propagandists, it may be well to clinch the statements made on this point by quoting from an indisputable authority. In the issue of Economicheskaya Zhizn, November 13, 1919, appears the following paragraph: “Schliapnikoff, Commissar of Labor in the Soviet Republic, writes: ‘The principal cause of the deplorable situation of the Russian industry is a total absence of order and discipline in the factories. The Working Men’s Councils and the Shop Committees, created with the purpose of establishing order in the factories, exercised an injurious influence on the general course of affairs by destroying the last traces of discipline and by squandering away the property of the factories. All those circumstances put together have compelled us to abolish the Working Men’s Councils and to place at the head of the most important concerns special “dictators,” with unlimited powers and entitled to dispose of the life and death of the workmen.’” Only a brief summary of the most important statistical data illustrating the results attained during the remainder of the year 1919, that is to say, the second phase of nationalization, can be given here. To attempt anything like a detailed presentation of the immense mass of available official statistical data covering this period would of itself require a large volume. If we take the Economicheskaya Zhizn for the months of October and November, 1919, we shall be able to get a fairly good measure of the results attained during the half-year following the reorganization of the system by Krassin. It must always be borne in mind that the Economicheskaya Zhizn is the official organ 56 For the mass of translations covering this period the author is indebted to Mr. Alexander Kerensky. Turning our attention first to the important subject of transportation, to which Krassin naturally devoted special attention, we find that on the entire railway system of Soviet Russia the number of freight-cars and trucks in daily service during August and September averaged between 7,000 and 7,500. Of this number from 45 to 50 per cent.—that is, from 3,500 to 3,750 cars—were used for carrying fuel for the railway service itself; transportation of military supplies took 25 per cent., from 1,750 to 1,850 cars; 10 per cent., from 700 to 750 cars, were used for “evacuation purposes,” and only 15 to 20 per cent., 1,050 to 1,150 cars, for general transportation (215). It is worthy of note that of this absurdly inadequate service for the transportation of general supplies for the civilian population, 95 per cent. was used for the transportation of wood fuel for the cities and towns (229). Not less than 50 per cent. of all the locomotives in the country were out of order at the beginning of November, 1919, and it was stated that to increase the percentage of usable engines to the normal level would require, under the most favorable circumstances, a period of at least five years (228). To prove the humanitarian character of the Bolshevist rÉgime its apologists in this country and in England have cited the fact that the Soviet authorities offered a prize for the invention of a hand-cart which would permit a maximum load to be pushed or drawn with a minimum expenditure of human strength. Quite another light is thrown upon this action by the data concerning the breakdown of mechanical transportation and the rapid disappearance of horses from Moscow and Petrograd. The number of horses in September, 1919, was only 8 per cent. of the number in November, 1917—that is to say, under Bolshevism the number of horses had declined 92 per cent. (207). Of course the decline was not so enormous throughout the whole of Soviet Russia, but it was, nevertheless, so serious as to prohibit any hope of making up the loss of mechanical power by the use of horses. Accordingly, we find arrangements for the organization The fuel situation was exceedingly bad. Not more than 55 per cent. of the fuel oil required could be obtained, the deficiency amounting to over four million poods of oil (221). Only 33 per cent. of the fuel wood required was obtained (221). The production of coal in the Moscow region was 45 per cent. lower than in 1917 (224). To overcome the shortage of fuel in Petrograd a large number of houses and boats were ordered to be wrecked for the sake of the wood (227). To save the country from perishing for lack of fuel, it was proposed that the modest fir cones which dropped from the trees be collected and saved. It was proposed to mobilize school-children, disabled soldiers, and old and sick persons to collect these fir cones (202). In the nationalized cotton-factories there were 6,900,962 spindles and 169,226 looms, but only 300,000 spindles and 18,182 looms were actually In the nationalized leather-factories of the Moscow District the output of large hides was 43 per cent. less than the output of 1918, which was itself far below the normal average (227). In the factories 57 Yet we find the Bolshevik, Bazhenov, writing in the Economicheskaya Zhizn (No. 50), in March, 1919, the following nonsense: “The only salvation for Russia’s industry lies in the nationalization of large enterprises and the closing of small and medium-sized ones.” Bazhenov is evidently a doctrinaire Marxist of the school to whom one ounce of theory is of more worth than a ton of facts. The four nationalized match-factories in the northern region employed 2,000 persons. The output in October, 1919, was 50 per cent. of the normal output, the explanation being given that the falling off was due to the fact that large numbers of workmen had to be sent off into the villages to search for bread, while others had to be assigned to work in the fields and to loading wood for fuel (225). The manufacture of electric lamps was practically at a standstill. The Petrograd factories were closed down because of a shortage of skilled workmen and technical directors; the Moscow factories, because In the report of the People’s Commissariat for Finance we get a graphic and impressive picture of the manner in which this ill-working nationalization was, and is, bolstered up. For financing the nationalized industries appropriations were made as follows:
The report calls attention to the fact that whereas it had been estimated that there would be paid into the treasury during the first six months of 1919 for goods issued for consumption 1,503,516,945 rubles, the sum actually received was 54,564,677 rubles—that is, only 3.5 per cent. Some idea of the conditions prevailing can be gathered from the desperate attempts to produce substitutes for much-needed articles. The ersatz experiments and achievements of the Germans during the war may have had something to do with this. At all events, we find attempts made in the cotton-factories to use “cottonized” flax as a substitute for cotton (207). These attempts did not afford any satisfactory or encouraging results. In consequence of the almost complete stoppage of the sugar industry we find the Soviet authorities resorting to attempts to produce sugar from sawdust (207). Even more pathetic is the manner in which attempts were made to supply salt. This necessary We may profitably close this summary of the economic situation in Soviet Russia in October and November, 1919, by quoting from the report of the Chief Administration of Engineering Works:
In the light of this terrible evidence we can readily believe what Zinoviev wrote in an article contributed to the Severnaya Communa in January of this year. In that article he said: “King Famine seems to be putting out his tongue at the proletariat of Petrograd and their families.... Of late I have been receiving, one after another, starving delegations from working men and women. They do not protest, nor do they make any demands; they merely point out, with silent reproach, the present intolerable state of affairs.” We are not dependent upon general statements such as Zinoviev’s for our information concerning the state of affairs in Soviet Russia in January, 1920. We have an abundance of precise and authoritative data. In the first place, Gregor Alexinsky has published, in admirable translation, the
Truly these are interesting admissions—here is “a very Daniel come to judgment.” The civil war, we are told, has been “much more detrimental than the Imperialistic war,” it has “caused an unparalleled waste of the human and material resources of the republic.” Is it not pertinent to remind ourselves that for bringing on the civil war the Bolsheviki were solely responsible? There was no civil war in Russia until they began it. The whole of the democratic forces of Russia were unitedly working for the reconstruction of the nation upon a sound basis of free democracy. They began the civil war in the face of the most solemn warnings and despite the fact that every thoughtful person could foresee its inevitable disastrous results. By Rykov’s confession the Bolsheviki are condemned for having brought upon Russia evils greater than those which the World War brought in its train. Of the transportation problem Rykov has this to say:
According to Trotsky, Rykov’s figures, depressing enough in all conscience, did not disclose the full gravity of the situation. The real number of disabled locomotives was greater than the figures given, he said, for the reason that “we frequently call ‘sound’ half-disabled locomotives which threaten to drop out completely on the morrow.” Rykov’s statements do more than merely confirm those previously quoted from the Economicheskaya Zhizn: they show that from October to January there had been a steady increase of deterioration; that conditions had gone from bad to worse. The report proceeds to illustrate the seriousness of the situation by concrete examples of the actual conditions confronting the government:
58 One pood equals thirty-six pounds.
The disorganized and demoralized state of the transportation system was only partly responsible for the shortage of raw materials, however. It was only one of several causes: “On account of the disorganized state of transportation we are unable to obtain cotton now, as the railroads are unable to carry it here. But even as regards those raw materials which are produced in the central parts of Soviet Russia, such as flax, wool, hemp, hides, even in these raw stuffs Soviet Russia is experiencing a severe crisis.” Attention is called to the enormous decline in the production of flax, the acreage devoted to this crop being only 30 per cent. of that formerly devoted to it and the yield very much poorer. Rykov offers as an explanation of this condition the fact that, as the Soviet Government had not been able to deliver to the peasants in the flax-producing districts “any considerable quantity of foodstuffs,” the peasants grew foodstuffs instead Rykov calls attention to the decline in the production of hides for leather and of wool. During the first six months of 1919 the hides collected amounted to about one million pieces, but the total for the whole of 1920 was not expected to exceed 650,000 pieces. “The number of hides delivered to the government decreases with every succeeding month.” There was also to be observed “a decline in the quantity of live stock, especially those kinds which furnish wool for our woolen mills.” But perhaps the most impressive part of his report is that dealing with the fuel shortage. Though adjacent to large coal-fields, as well as to vast forests, Moscow in the winter of 1919-20 lacked fuel “even for heating the infirmaries and hospitals.” For the winter of 1919-20 the Council of People’s Commissaries had fixed the necessary quantity of wood for fuel to be produced at 12,000,000 to 14,000,000 cubic sagenes (one cubic sagene being equal to two cubic meters). But the Administrations which were Bad as this is, the coal-supply is in a worse condition yet. “Things are going badly for the production of coal and petroleum” we are told. Upon their reoccupation of the Donetz Basin the Bolsheviki found coal on the surface, ready to be shipped, which was estimated at 100,000,000 poods. “But until the reconstruction of bridges and re-establishment of railroad communications in the Donetz territory these coal-supplies cannot be utilized.” Of course the havoc wrought by war in the Donetz Basin must be taken into account and full allowance made for it. But what is the explanation of conditions in the coal-fields of the Moscow region, which from the very first has been under Bolshevist rule, and never included in the territory of war, civil or otherwise? Says Rykov:
This brings us face to face with the most vitally important fact of all, namely, the relatively low productivity of labor under nationalization of industry as practised in the sorry Utopia of the Bolsheviki. This is evident in every branch of industry. “When we speak, in the factories and mills, of the increase of the productivity of labor, the workmen always answer us,” says Rykov, “with the same demand and always present us with the same complaint, Give us bread and then we will work.” But the demand for bread could not be met, despite the fact that there was a considerable store of wheat and other flour grains. Whereas at the beginning of 1919 there was a wheat reserve of 60,000,000 poods, on January 1, 1920, the reserve was 90,000,000 poods. Rykov admits that this is really not a great deal, and explains that in 1919 the government had only been able to collect about half the wheat demanded from the peasants, despite the vigorous policy pursued. He says that “in the grain elevators there are reserves which assure the supply for workmen and peasants for three months.” This calculation is based upon the near-famine rationing, for Rykov is careful to add the words, “according to the official food rations.” So, the whole reserve, if fairly distributed, would last until April. But again the problem of transportation comes in: “If the workers and peasants What remedial measures does this important official, upon whom the organization of the work of economic reconstruction chiefly depends, propose to his colleagues? All that we get by way of specific and definite plans is summed up in the following paragraph:
Was ever such madness as this let loose upon a suffering people? Let those who have dilated upon the “statesmanship” and the “organizing genius” of these men contemplate the picture presented by the decision of the Council of People’s Commissaries. Each factory to repair with its own forces the disabled locomotives and cars it needs to transport fuel and raw materials. Textile-workers, for instance, must repair locomotives and freight-cars or go without bread. Individual workmen and groups of workmen and individual factories are thus to be turned loose upon what remains of an organized transportation system. Not only must this result in the completion of the destruction of railway transportation, but it must inevitably cripple the factories. Take workers from unrelated industries, unused to the job, and set them to repairing locomotives and freight-cars; every man who has ever had anything to do with the actual organization and direction of working forces knows that such men, especially when the special equipment and tools are lacking, cannot perform, man for man, one-tenth as much as men used to the work and equipped with the proper tools and equipment. And then to tell these factory workers that they have “the right to use the equipment which they shall have repaired” means, if it means anything at all, that from the factories are to be diverted further forces to operate railway trains and collect 59 Economicheskaya Zhizn, No. 225. Rykov tells us that at the end of 1919 4,000 industrial establishments had been nationalized. “That means,” he says, “that nearly the whole industry has been transferred to the state, to the Soviet organizations, and that the industry of private owners, of manufacturers, has been done away with, for the old statistics estimated the total number of industrial establishments, including peasants’ homework places, to be around 10,000. The peasants’ industry is not subject to nationalization, and 4,000 nationalized industrial establishments include not only the largest, but also the greater part of the middle-sized, industrial enterprises of Soviet Russia.” What is the state of these nationalized factories, and are the results obtained satisfactory? Again Rykov’s report gives the answer in very clear terms: “Of these 4,000 establishments only 2,000 are working at present. All the rest are closed and idle. The number of workers, by a rough estimate, is about 1,000,000. Thus you can see that both in point of number of the working-men employed as well as in point of numbers of still working establishments, the manufacturing industry is also in the throes of a crisis.” The explanation offered Take the textile industry as another example: Russia was the third country in Europe in textile manufacture, England and Germany alone leading her, the latter by no large margin. No lack of machinery accounts for the failure here, for of the available looms only 11 per cent. were used in 1919, and of the spindles only 7 per cent. The decline of production in 1919 was enormous, so that at the end of that year it was only 10 per cent. of the normal production. We are told that: “During the period of January-March, 1919, 100,000 to 200,000 poods of textile fabrics were produced per month; during the period of September-November only 25,000 to 68,000 poods were produced per month. Therefore we have to face an almost complete Rykov seems to have no illusions left concerning the prospects for the immediate future. He realizes that Bolshevism has nothing to offer the working-people of Russia in the way of immediate improvement. He confesses “that in regard to industry the supplying of the population with footwear, clothing, metals, and so on, Soviet Russia is living only one-third of the life which Russia lived in times of peace.” As to the future he has only this to say: “Such a condition might last one or two years, during which we might live on former reserves, thanks to that which remained from the preceding period of Russian history. But these reserves are being exhausted and from one day to another, from one hour to another, we are approaching a complete crisis in these branches of industry.” But what of the human element in industry, the workers themselves, that class whose interests and aspirations Bolshevism is supposed to represent? We have already noted Rykov’s admission that the workers and peasants lack bread and his explanation. Upon this same matter, Tomsky, president of the Central Council of the Trades-Unions, says:
Two and a quarter years after the forcible seizure of power by the Bolsheviki one of their “statesmen” prates to his colleagues about making the “first steps” toward “ameliorating the situation of industrial workers.” The leading speakers who addressed the congress discussed at length the bearing of these conditions upon what Trotsky called “the dissipation of the working-class”—that is, the disappearance of the proletariat from the industrial centers. Rykov explained that:
That Rykov is not an alarmist, that his statements are not exaggerated, we may be quite assured. Even Trotsky protested that conditions were worse than Rykov had described them, and not better. While Rykov claimed that there were 1,000,000 workmen engaged in the nationalized factories, Trotsky said that in reality there were not more than 850,000. But how is this serious decrease in the number of workmen to be accounted for? An insatiable hunger, idle factories, unused raw materials, a government eagerly seeking workmen, and yet the workmen are not forthcoming. Trotsky offers this explanation: “Hunger, bad living conditions, and cold drive the Russian workmen from industrial centers to the rural districts, and not only to those districts, but also into the ranks of profiteers and parasites.” Kamenev agrees with Trotsky and says that “profiteering is the enemy whom the Moscow proletariat has felt already for some time to be present, but who has succeeded in growing up to full height and is now eating up the entire fabric of the new socialistic economic structure.” Tomsky answers the question in a very similar manner. He says:
Finally, some attention must be given to the speech of Lenin, reported in Izvestia, January 29, 1920. Discussing the question whether industry should be administered by a “collegium” or by a single individual clothed with absolute authority, Lenin defended the latter as the only practical method, illustrating his case by reference to the Red Army. The Soviet organization in the army was well enough at first, as a start, but the system of administration has now become “administration by a single individual as the only proper method of work.” He explains this point in the following words:
Thus the master pronounces the doom of industrial Sovietism. No cry of, “All power to the Soviets!” comes from his lips now, but only a demand that the individual must be made all-powerful. Lenin the ruler pours scorn upon the vision of Lenin the leader of revolt. His ideal now is that of every industrial despot everywhere. He has no pity for the toiler, but tells his followers that they must “replace the machines which are lacking and those which are being destroyed by the strength of the living laborer.” That means rope haulage instead of railway transportation; it means that, instead of being masters of great machines, the Russian toilers must replace the machines. What a picture of “the dictatorship of the proletariat” these utterances of the leading exponents of Bolshevism make! Proletarians starving in a land of infinite abundance; forced by hunger, cold, and oppression to leave homes and jobs and go back to village life, or, much worse, to become either vagabonds or petty profiteers trafficking in the misery of their fellows. Their tragic condition, worse than anything they had to endure under czarism, suggests the lines: The hungry sheep look up and are not fed, But, swollen with wind and the rank mist they draw, Rot inwardly, and foul contagion spread. We do not wonder at Krassin’s confession, published early this year in the Economicheskaya Zhizn, urging “a friendly liquidation of Bolshevism in Russia” and declaring that: “The Communistic rÉgime cannot restore the life of the country, and the fall of Bolshevism is inevitable. The people are beginning to recognize that the Bolshevist experiment has plunged them into a sea of blood and torment and aroused no more than a feeling of fatigue and disappointment.” Here, then, is a picture of nationalized industry under Bolshevism, drawn by no unfriendly or malicious critic, but by its own stout upholders, its ablest champions. It is a self-portrait, an autobiographical sketch. In it we can see Bolshevism as it is, a repellent and terrifying thing of malefic might and purpose. Possessed of every vice and every weakness of capitalism, with none of its virtues, Bolshevism is abhorrent to all who love liberty and hold faith in mankind. Promising plenty, it gives only famine; promising freedom, it gives only fetters; promising love, it gives only hate; promising order, it gives only chaos; promising righteous and just government, it gives only corrupt despotism; promising fraternity, it gives only fratricide. Yet, despite the overwhelming mass of evidence, there will still be defenders and apologists of this monstrous perversion of the democratic Socialist ideal. We shall be told that the Bolsheviki have All these things are true, but in what way do they excuse or palliate the crimes of the Bolsheviki? When they overthrew the Provisional Government and by brute force usurped its place they knew that the industrial life of the nation, including the transportation system, had been gravely injured. They knew, moreover, that it was recovering and that its complete restoration could only be brought about by the united effort of all the freedom-loving elements in the land. They knew, or ought to have known, just as every sane person in and out of Russia knew, that if they deserted the Allies in the time of their gravest peril, and, by making peace with Germany, aided her upon the western front, the Allies would not—could not and dare not—continue to maintain their friendly and co-operative relations with Russia. They knew, or ought to have known, as every sane person in and out of Russia did, that if they tried to impose their rule upon the nation by force of arms, they would be resisted and there would be civil war. All these things Lenin and his followers had pointed out to them by clear-visioned Socialists. All of them are written large upon history’s pages. No defense of Bolshevism has yet been made which is not itself an accusation. |