1. Making Changes: The economy under the Communist State
Learning objectives:
To be able to identify the characteristics Communist economic policy;
To be able to explain reasons behind and results of Communist Economic policies;
To evaluate the relative success of Lenin & Stalin’s economic policies.

2. Getting you thinking timed pair share
Study the pictures of Russia on the following 12 slides, they show the economy under the Communists just before the fall of Communism, what do they tell you about the economy under this system?

3. Siberians line up outside a shop in Novokuznetsk, Russia
in a sign of the economic decline that had beset the country in the final years of communist rule

4. Russians must wait in food lines to get whatever goods are available in Moscow
Hoping for anything: Russians must wait in food lines to get whatever goods are available in Moscow.

5. A woman stands near the back of a queue for a market in hope
Putting on a brave face: A woman stands near the back of a queue for a market in the Russian capital.

6. Queuing for bread

7. Russians waiting in food lines to get the goods are available today
Russians must wait in food lines to get whatever goods are available in November 1991, just a month before the collapse of the USSR.

8. Queuing in Novokuznetsk for bacon and other meat from the butcher at a state-run market
A long queue forms in Novokuznetsk for bacon and other meat from the butcher at a state-run market

9. Getting the bare essentials: Shoppers and vendors in a food market in Kaluga
Getting the bare essentials: Shoppers and vendors in a food market in Kaluga in November 1991

10. People stand in line with cans for food supplies in Tula, Russia
Signs of desperation: People stand in line with cans for food supplies in Tula, Russia, in November 1991.

11. Exchanging empty vodka bottles for small change
Small comfort: Women stand next to several vodka bottles which they are exchanging for small change at a recycling point.

12. Female miners take a break from their work in the town of Novokuznetsk
No smiles: Female miners take a break from their work in the town of Novokuznetsk, Russia, in June 1991.

13. Childhood in a coal-mining and steel-manufacturing community in Siberia
Two dirty children look out the window in a coal-mining and steel-manufacturing community in Siberia enduring widespread economic hardships.

14. Siberian men relax outside a shack in the town of Novokuznetsk
Taking their minds off things: Siberian men relax outside a shack in the town of Novokuznetsk, which was hit hard by widespread economic problems in the early 90.

15. Feedback
Copy and complete the following sentence: “the Russian economy under the Communists was….”

16. Watch the film clip carefully
Make brief notes on what you hear under the subheading:
War Communism

17. Learning phase one
You will now investigate the causes by examining the economic policies developed by Lenin / Stalin :
War Communism
New Economic Policy
The Five Year Plans
Collectivisation
Your presentation needs to:
Explain what the policy was;
Was it a success or a failure?
Identify results of policies
Why did policies change?
Oxley Pg158-9, Oxley Pg172-73

18. War Communism
War Communism was a new economic policy introduced by Lenin to ensure food supplies to the army.
All large factories were taken over by the government.
Production was planned and organised by the government.
Discipline for workers was strict and strikers could be shot.
Peasants had to hand over surplus food to the government. If they didn’t they could be shot.
Food was rationed. Could only get a ration card if you were working.
Free enterprise became illegal – all production and trade was controlled by the state.
Money became worthless – wages ended up being paid in food.

19. What were the consequences of War Communism?

20. A young girl describes food shortages in Moscow, 1921.
“ Our staple diet when things were grim were potato peelings fried. One evening we found a large, black crow, frozen solid. Tousia, my sister, plucked it, cutting off its feet and its head…we now had the most magnificent chicken.”

21. A Russian doctor,1921.
“ Sometimes a starving family eats the body of one of its junior members…sometimes parents at night take part of a body from the cemetery and feed it to their children.”

22. The New Economic Policy
Lenin realised he needed to change his policy to avoid disaster.
Peasants needed an incentive to produce more food – relax state control.
Capitalism and free markets brought back in
Bitter humiliation for communist supporters.
The NEP stated that:
The requisition of grain was ended. Peasants who grew surplus food could sell the surplus for a profit and pay 10% tax to the government on any profit made.
Factories with fewer than 20 workers were returned to private ownership to be run for profit.
Private enterprise was allowed. Anyone could set up a shop or business for profit.
Vital industries such as coal, iron, steel, railways, shipping and finance stayed in State hands. But experts were brought in on higher salaries, and extra wages were paid for efficiency.

23. Successes of the NEP
Once peasant and shopkeepers could work for profit, goods appeared for sale
New businesses and market stalls were set up – new class of people doing well, known as ‘NEP men’
Government kept control of the largest industries.
production had increased to pre-1914 levels
Helped stabilise the country and bring peace, particularly significant in the countryside where peasants disturbances became a thing of the past