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 of the Supreme Economic Council and of the Ministries of Finance, Commerce and Trade, and Food. To avoid having to use the name of the journal in almost every other line, the statements of fact made upon its authority are followed by numbers inclosed in brackets; these numbers indicate the issues from which the statements are taken.[56]

[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). Despite this deplorable condition there was still a great deal of bureaucratic red tape and waste. At the meeting of the directors of the Supreme Council of National Economy, in September, Markov, a member, argued in favor of eliminating the red tape and waste. He pointed out that wood was being transported to Moscow from the West and at the same time to the West from the North. The Main Fuel Committee had rejected a proposal to exchange the supplies of wood and thus save transportation (214). River transportation was in just as bad a condition, to judge from the fact that the freight tonnage on the river Volga was only 11 per cent. of the pre-war volume (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 of a rope haulage system for the transportation of coal and food. In the Bazulk and Aktiubin districts provision was made for the use of 6,000 carts to transport wood fuel, and 10,000 carts for corn (228). Similar arrangements were under way in other districts. From locomotives and steamers to transport food and fuel there was a return to the most primitive of methods, such as were used to transport the Great Pyramid in Egypt, as shown by the hieroglyphs. For this purpose the peasants were mobilized (228). The bodies of masses of men were substituted for horses and mechanical traction. Thus was reintroduced into Russian life in the twentieth century the form of labor most hated in the old days of serfdom.

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 working on September 1st (207). On January 1, 1919, there were 48,490 textile-workers in the Moscow District; six months later there were 33,200, a reduction of 15,290—that is, 35 per cent. (220). In the same period the number of workers engaged in preparing raw cotton was reduced by 47.2 per cent. (220). In the metal works of Petrograd there were nominally employed a total of 12,141 workers, of which number only 7,585—that is, 62.4 per cent.—were actually working. Of 7,500 workmen registered at the Putilov Works only 2,800, or 37.3 per cent., were actually working on August 15th. At the Nevsky Shipbuilding and Engineering Works not less than 56 per cent. of the employees were classed as absentees for the first half of July, 70 per cent. for the second half, and 84 per cent. for the first half of August. That is to say, of those nominally employed at this important works the actual daily attendance was 44 per cent. during the first half of July, 30 per cent. for the second half, and only 16 per cent. for the first half of August (209). Since then the Nevsky Shipbuilding and Engineering Works have been entirely closed. It must be remembered that even during the Kerensky régime the metallurgical establishments in Petrograd District, which included some of the finest plants in the world, gave employment to more than 100,000 workmen as against 12,141 registered employees in September, 1919.

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 which were not nationalized the output of large hides was 60 per cent. less than in 1918. The apparent superiority of the nationalized factories indicated by these figures is explained by the fact that the Centrokaja, the central administration of the leather industry, gave preference to the nationalized factories in the supply of tanning acids, fuel, and other necessities of production (227). Just as in the metallurgical industry smaller undertakings had a better chance of surviving than larger ones (211), so in the leather industry[57] (227). In both cases the establishments not nationalized are far more successful than the nationalized. The output of small hides in nationalized undertakings fell by 60 per cent., and in the establishments not nationalized by 18 per cent. (227).

[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 of the complete absence of gas (210). The sugar industry was almost completely liquidated (207).

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: