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EDITOR’S NOTE:—-Today we continue publication of the famous report by Gregory Zinoviev, chair- man of the Communist Interna- tional, made to the session of the Executive of the Communist In- ternational held on Jan. 6. Zino- viev’s report deals with the main points of difference in the Russian Communist Party, clearly erystal- lizing the discussion that has so far been published in the DATLY WORKER. In order that our readers may get a broader view of this discussion, we are publishing enlarged installments. This re- port is divided into seven sections. Today we publish the fifth sec- tion. It is as fellows: * * * * Vv. ECONOMIC QUESTIONS. CHAPTER of extraordinary im- portance, Do any essential differences of opinion exist in our Party with re- gard to economic questions? No, such do not exist. But still various ten- dencies may be observed even in this | sphere. It appears as if certain ele- ments of the “opposition’’*—not, so far as I am aware, comrades Radek and Trotzky—have the intention of pro- posing a revision of the New Eco- nomic Policy as such. This has not yet been stated openly, but during the course of the contest waged against the old guard the attempt has frequently been made to play off against us the hate and contempt felt by the workers against the so-called “Nepman.” You will comprehend, comrades, that hatred against the bourgeoisie is not a privilege belonging solely for instance to the German working class, among which it takes a very crass form at present, for the reason that class warfare is being carried on in the ecrassest possible form in Germany. Matters are very different in Russia. Use of Dogmatic Arguments. Our workers, too, hate the bour- geoisie, but find themselves in the remarkable position that they cannot yet kill off the bourgeoisie, but have | to tolerate it. They see the — | shops, are in a position to close these | at any time, but are obliged to con-| tinue to tolerate them. This circum- stance has created a unique psychol- ogy among our workers. They un- derstand that our present bourgeoisie | is a necessary evil. They understand this with their brains, with their un-/} derstanding. But the passionate hate of the pro- letarian against the bourgeoisie is still as strong as ever. And this the “opposition” is utilizing for its own purposes, for lack of better argu- ments. Up to the present, however, no positive proposition towards the revision of the New Economic Policy has been submitted. In economic question we-——that is, Lenin and we—differed often and greatly in opinion from Comrade Trotzky: You must comprehend that economic matters are entirely differ- ent to military matters. If we, for instance, decively defeat a Wrangel in civil war, this success creates a fundamentally new situation for us. In econoniics, on the other hand, Lenin considered the matter to be quite different. Here successes of this nature do not exist, and it is of the utmost importance to exercise pa- tience, to realize that time is the main factor, and that years must pass before: economic success really be- comes visible. $e y’s Failing. Trotzky has always been among the impatient comrades, satisfied with nothing. He has always thought that everything was going wrong. Trotzky lacks the comprehensive glance of the steward, of the proletarian ste- ward, who now actually has an eco- nomie system under his stewardship. He is entirely lacking in this capa- city. He possesses no feeling for the actual economic conditions of Russia, and has never possessed it. This is a psychological factor which must not be forgotten. it is upon this soil that our differ- ences of opinion with reference to economic planning have arisen. I shall first briefly enumerate the names of our decisive leading organs of state economics. In the first place we have the Council of People’s Commissaries, to which belong a number of the members of the Cen- tral Committee of the’ Party, some of our best state functionaries. Thas, transport affairs, for instance, are managed by one cf our most extel- lent comrades, a member of the Cen- tral Committee. Comrade Dserjinsky. The leadership of finance is in the hands of an old tried and tested Bol- shevik, a member of the .Central Committee, Comrade Sokolnikov. Our highest economic authority is again an old Bolshevik of long serv- ice, a member of the Central Com- mittee, Comrade Rykov. To this must be added the “council for Labor and Defence,’’ in which there are also members of the Central Commitice. ‘These two authorities represent tie corporation actually controlling eco- nomics. Can This Be Done? Besides this, we possess another in- stitution, the “State Planning Com- mission.’”’ This is composed of abcut 300 professors and specialists, one- time workers in the sphere of eco- nomics, whose experience and knowl- edge are very valuable to us, but who represent for the most part quite or- jdinary bourgeois elements. This sit- uation is headed by Comrade Krshy- shanovsky, a capable old Communist, further aided by Comrade Zyuryupa, another old Communist. This “State Planning, Commission,” tho headed by a communist, is nevertheless an institution composed entirely of bourgeois professors and bourgeois intelligenzia. The task set these people is to work out a scientific economic plan, and to collect and sift suitable mate- rial for the solution of general eco- nomic questions. And now Comrade Trotzky has taken the idea into his head that just this “State Planning Commission” should be made into the most impor- tant economic institution of Russia, and this at the expense of the rights Zinoviev Reviews the Main Points of Difference Trotzky himself has been a member of the Council of People’s Commis- saries for years, and is also a mem- ber of the Council for Labor and Defense, but has never attended the sessions of either of them. He has boycotted both institutions for years. Menshevik Psychology. When Lenin fell ill, Lenin hmself proposed, with the support of the Central] Committee, that Trotzky should be chosen as his deputy, as chairman in the Council of People’s Commissaries and in the Council of Labor and Defense. Trotzky rejected this proposal indignantly. Indeed, Trotzky has boycotted all the most important leading institutions of the state, and is always complaining about the secondary position accord- ed to the State Planning Commission, which, in his opinion, would organize everything much better. This is a grave error on Trotzky’s part, a schematic conception not entirely free, in my opinion, from a dash of Menshevism. Mate of transition to socialist eco- nomics? Something in the following manner: one fine day the working class discovers that it possesses the majority in the country, a majority of real genuine proletarians in dun- garees. This majority takes over power, and immediately works out a thoro and first class system of economics, upon which this everything proceeds in perfect harmony in aceordance with this plan. The Erfurt program was one of the recipes for the plan which will stick, glue, and cement everything together. It might as well be named the Bellamy recipe, of supremacy enjoyed by the Council |for the*Utopian Bellamy worked out of People’s Commissaries and _ the |his finished plan on very similar lines. Council for Labor and Defense. Thus the social revolution is imag- And indeed, how do the worthy Mensheviki picture to themselves the The Farmers’ By i. W, ANDERSON HOUSANDS of farmers in the Northwest have gone on strike and refuse t> pay both interest and taxes. The movement is spreading rapidly and very quietly and is caus” ing the mortgage companies consid- erable anxiety. é A dry land farmer, from MeKen- zie county, North Dskota, called at my ranch last fall to buy some pota’ toes. I said to him: “liew are you fellows getting along, in your eec- tion of the country?” “Fine, fine,” he said, getting along just fine.” “Are you going to be able to pay out?” I asked. “No, hell no! We are not trying to pay out. We have just quit pay- ing taxes and interest, and we ara getting along better than we did before. We are living better than we ever did, and we have a little money to spend.” “Tf you don't pay any taxes then how do you plan to run your county government?” “County government be damned! What do we need of county govern- ment? We are law abiding citizens and can get along oretty well with- out any county yovernment, We don’t see much of the county gov- ernment over our way, unyhow. lL don’t care if the assessor never comes around, and we all behave ourselves pretty well, and don’t need any sheriff.” , “But, if you don’t pay your in- terest, the mortgage companies, witt foreclose on you and yput you aif “We are after which he said, “Why, bicas “How are you doing it?” I asked. Different Methods. “Well, in quite a few different ways. You know, the bankers are just waking up to the fact that a deserted farin, growing up to weeds, is not a paying investment. They didn’t know that two years ago, when they began foreclosing right and left, but they see it now—scome of them. If the farmers only knew it, they hoid the trump ecard. They ean stay in Montana longer than the bankers can. If the busted farm- ers of the country would just sit tight, and hold together, they woula have the bankers eating out of their hand in a short time. If they were business men, they would see to it that no one made anything out of land, only the man who works the land. They would force land values down, and when low enough, their farms back at terms.” ; We have about reached that sit- uation in Montana already. A short time ago a friend of mine living 25 miles west cf Sidney beught a half section of good land for four dol- lars per acre. The terms were nothing down and nothing for two years, interest 6 per cent. At this rate land will soon we down to where a farmer can afford to buy land again. About three-fourths of the dry Jand farms in Montana are jesert- ed. The buildings on these desert- ed farms scldom iast more than j three or four years; kindling wood jj& searce in some eections, you know. The fences also disappear. Bankers Fougit» Farmers. In 1920 the banks led in the fight | against the Nonpartisan League. The |farmers wanted economic justice and bay their own your soul, don’t you know that theteja square dexl in selling their grain. are five times as many farms as; ‘The commercial and financial inter- farmers, and when they put as of |} ests of the state united against the your farm.” Joke 's On the Bankera, This brought forth a hearty Jatgh one farm we will just move ecruas the road onto a deserted farm, which we can rent for simply keep- ing. the windows in the buildings and the fenees in repair. Why should we pay taxes wuen we ¢an rent good farms, with good im- provements, for less than the taxes? A man would be foolish tu own land and pay high taxes wider pres- ent conditions.” Another farmer said to me, “Cool- idge was right when he said in his message ‘hat we farmers must belp ourselves, ‘That is just what we are doing, we are helping ourselves.” farmer. Yhey joined torees with the interests who exploit the farm- ers, These shortsighted pawn brokers could not see that their own suc- cess was pvilt upon that of the farmer, As a result of agricultural bankruptcy, over 200 banka have failed in Montana alone during this depression. We are almost back to normaley! The Montana farmers today are im poor. have taken their lovses and are cheerful. Only those who are broke and don’t know it, continue to worry. ined, This Utopian idea forms the core of the views of the opportunists as to the introduction of Socialism. Com- rade Lenin tried over and over again to make this clear to us, and to Comrade Trotzky. Do you see now —he asked us—how real Socialism will actually come into being? You realize that Socialism will not come about as the realization of an in- genious plan, but on the basis of the special condition of the actual rela- tions of forces. And in point of fact the transition did not begin in Russia by the reali- zation of a plan, but with a struggie against—what do you think--the louse. The problem of fighting the louse was a cardinal problem for us, for it was the problem of fighting spotted fever. Comrade Lenin spoke’ publiciy of this as early as 1919 at the VIIIth All-Russian Soviet Congress. On that oceasion he said: ‘Either Social- ism conquers the louse or the louse conquers Socialism.” Socialism began to be a reality in a poverty-stricken agrarian country, crushed by wars, and long before the executors of the will of the revolu- tionary masses had worked out any finished plan. " True Conception of Economics. How could we work out any de- scription of plan up to now, when as recently as eighteen months ago we. were obliged to send almost our last gold abroad to obtain rye for Petro- d and Moscow, in order that our workers should not actually starve? What sort of plan could we have at a period when our railways, even as late "as 1922, had only twelve hours reserve fuel for the line between Pe- grad and Moscow? And what fuel! Green wood straight from the forest! The Donetz basin@our colllery certre, (Continued on page 8) Strike The cheerfulness of the bankrurt farmer is slmcst universa], He has nothing to lose, and is, therefore, afraid of no one. He laughs at the threat of the banker or the sher- iff. He is a free man and knows it, and enjoys it. He tried hard to pay out, ard worried himself sick trying. Then he saw what the Federal Reserve did to him. He considered how the government heiped the railroads and refused him a square deal, How the gov- ernment ineld the price of wheat down during the war. He saw how organized business, the railroads, the banks, and the federal government were all unitea against him, and for the purpose of exploiting him, and this led him to go on strike; to take mutters into his own hands, Most Farmers Not Fooled. Not ono farmer in ten expects a square deal from our Teapot Dom® yovernment in Washington. They know that Wall Street is in control there, and Wall Strect stands for exploitation. _ They are not fooled by the dis- interested patriotism and sudden ‘love of the $10,000,000 Wall Street ‘eredit corporation which will lend $100,000,000 of “credit” to the Northwest banks in order to save the farmers, It looks like a good business propesition, and not an act of charity, when a corporation with a capital stock of only ten million dollars can lend one hundred million dullars of “credit,” all of which one hundred million will bear interest. The farmer may look like such a fool but he is not foolish enough to fall for this. Four Immediate Steps. faimers who are heavily nortgaged should do four things, and the sooner they do them, the better for all concerned First, he should take hankruptey. Second, he should refuse to own land and pay taxes, as long as he can rent for Jess than taxes, Third, he should try to save enough in a few years (when re- lieved of taxes and interest) to buy a farm for cash, “ourth, he should then try to kce out of debt and refuse to do busi- ness of any sort with any bank, un- til the banks are owned and opera- ted for service and not for profit under a workers’ and farmers’ goy- ernment, All