The Daily Worker Newspaper, August 16, 1924, Page 12

Bukharin’s Report on World Program: (Continued from page 7) of economic forms as the main phe- nomenon, it becomes quite clear that the most important manifestations arising out of the diversity of produc- tion are the forms of market relations. And here I think we must deal with the following prospects, In the. long aun as Boris says—the proletarian section of economic life, the social en- terprises in industry and agriculture, will squeeze out the forms of private capitalism, the small producers, by means of competition in the markets. Formerly our idea was somewhat as follows: we have a portion of the economic life of the country; other, socially hostile, or partially socially hostile elements have the other por- tion, and these we shall be able to swallow up by the direct methods of state power and without market rela- tions. In all probability, judging by empirical facts—not merely by the Russian experience, but ‘mutandis mutandi” by the experiences of other countries—what will actually happen will be that owing to the anarchy of | production, market relations will ‘be necessary and therefore the competi- tive struggle between the state forms of proletarian economy, between the socialized industries and the other forms of industry. Formally, the method is the same as under the capi- talist economic system The great dif- ference lies in the fact that under the capitalist economic system, large and medium-sized industries have almost the ‘same economic content. What was the distinction? There was no distinction in principle. But if we have varieties of economic forms after the organization of power, the eco- nomic forms are in general bound up with the socially antagonistic content of the enterprises. If the industries are in the hands of private capital, a competitive struggle against them by the large proletarian industries will take place—a revolutionary struggle, a class struggle against the bour- geoisie. That prosaic thing, market competition, is nothing but a specific new form of the class struggle. On the one hand we have large industries with a proletarian content, and on the other, forms which have a different social content. This is perhaps the most important point we must grasp; since all doubts and misunderstand- ings, all attacks upon Nep and the present situation in Russia proceed from the fact that the comrades con- cerned fail to understand the entirely new forms of class struggle based upon economic competition. Formally, maters are almost the same as they were under capitalism, the producer received wages, the whole process goes on as-in capitalist society. But the important thing is, that in spite of this formal identity, there exists a difference in principle. When we ex- amine the economics of the proleta- rian dictatorship, we must bear in mind that the variety of economic forms is bound up with the variety of the social content of industry. Difficulties of Economic Planning. Here comrades I think belongs the idea of the development of economic planning. We formerly believed that we had only to determine the plan and the plan would mechanically be carried into effect. We now know that economic planning after the es- tablishment of the dictatorship of the proletariat is difficult to carry into practice; in other words, we can only carry out economic planning to the extent that the material basis there- for exists. And this material basis for economic planning is nothing but the result of the squeezing out of backward economic forms by the su- perior large industries with a prole- tarian social content. A certain parallel can be drawn be- tween capitalist production in the transition period, namely, the process of the centralization of capital and the squeezing out of backward forms by market competition, the limit of which is state capitalism. The same is true with us: we have the squeez- ing out of backward economic forms by market competition) and the cen- tralization of industry. And the more centralization proceeds, the more is the basis for economic planning cre- ated. The limit, however, is not state capitalism, but socialism, No luntary Discipline Bunk. Here have an entirely new con- ception. But I think we can safely say that only this perspective is a cor- rect one; it is the only one which can bé theoretically proved. And it is just this perspective which is the strongest weapon against every form of pessimism on this subject. The attitude: Alas! the small producer is being permitted; alas! they are per- mitting even the capitalists. And all the other alases, are thé result of a failure to understand the phenomena. In the early stages the superiority of large industry was not so apparent, since during the process of general jeconomic disruption it is not immedi- | ately possible to carry on large indus- | try. The same is true of commerce, | where there are machines but no de- mand for them, where there is no cir- culating capital to set the apparatus jgoing. But as soon as. competition | between large industry and small in- dustry begins, we immediately begin to perceive the extent of the super- iority of large industry. The compe- titive capacity of large industry will therefore steadily increase. What grounds are there for pessimism? We | shall certainly have crises, but these crises will disappear when we have complete economic planning. We shall in all probability have crises for many years to come, but the general line of the sqeezing out of other eco- nomic forms, which do not possess a social character, is the only right one and represents the victorious pros- pect of our social development. The contraction between capitalist forms and social forms is a great problem, a very sinister problem. But if we grasp what I haye here stated, the matter becomes quite clear. We in- deed have capitalist forms, wage re- lations; we have money circulation in- stead of distribution. of goods; we have banks and stock exchanges, ay, even stock exchanges, the holy of the capitalist class. We have competition and even profitmaking in our state in- dustries. But here we can find a parallel in the military’ sphere. Our army is to a large extent similar to any ordinary bourgeois army. We or- iginally believed that the structure of our army would be something quite different, there would be no compul- sory discipline, but only voluntary dis- cipline. But experience has proved that there can be no question of vol- untary discipline in the literal sense of the word, although, of course we \ not so simple, because proletarian,a country where the bourgeoisie is dictatorship is able to co-operate with the small producer under his hege- mony. This is very important, espe- cially as far as the peasantry is con- cerned. A situation is possible in which the proletariat and the proletar- ian big enterprises form a bloc with the small producers, and co-operate with them. And we must be ver careful not to underestimate this question of small producers as a buk wark of private trading. After a few explanatory remarks on war communism, we shall be able to see that the new economic policy is not a corrective of war communism, but that the new economic policy is the only expedient policy of the prole- tariat. War communism on the con- trary appears’ to be a corrective of |the new economic policy. But why is it a corrective? Because it is neces- sitated not by a rational economic policy, but. by direct political strug- gle. In many cases there are con- flicts between the view-point of eco- nomic nationality, namely between the formula of the necessity of economic policy and the necessity and expedi- ency of direct political struggle. Dur- ing the rising, for instance, we de- stroy material values, but we do the same when defending the fatherland. If we make war on the bourgeoisie and desire also to make a clean sweep of the petty bourgeoisie, we have only to take the necessary measures for the overthrow of the bourgeoisie: we must get into our hands the sources of its natural wealth. I told you that we took away everything from the peasants. Was this necessary? Certainly but in what sense was it necessary and expedient? It was the necessity and expediency of war. Had we acted differently, we should have lost the war. And without victory in war further development was impos- sible. That is why military commun- ism was essential. I reiterate most emphatically that the expediency of direct political struggle in the eco- nomic life was also bound up with the decline of productive forces. But when this political task has been ful- filled, when our power and the dicta- torship of the proletariat are firmly established, and it is only a matter of bringing the productive forces into motion and to do everything to en- courage them— then a policy of mili- tary communism is no longer justi- fied. I do not™raise the question, which should precede the other. With us, the policy of owar communism pre- ceded the new economic policy. It is possible that things will be different have more voluntary discipline in our army than in any other army. The Army or the Red Army. | But various corecive measures are ‘adopted — in the army, and we cannot do without them; we even shoot de- serters. This is the highest means of coercion in hands of the State. The outward structure is similar to that of the bourgeois army. But that is not the most important point. What is really the most important, is the different class character of the army. The same applies to this economic fight. The new economic _ policy, which is already fairly old, has also many inherent, contradictions, not only of form and substance but also contradictions of a more serious na- ture, especially. during the initial stage of proletarian economic policy. Our socialized enterprises. and institu- tions are growing, but the same must also be said of petty bourgeois enterprises. The contradiction be- tween the rationality of our economic, life represented by small capitalists’ and private traders is growing. Thus, we have already not only a contradic- tion between form and substance, but contradiction between various social forms and social forces. Naturally the class struggle on the economic field will definitely solve this question. Possibilities of Coalition. Just a few more words to make my- self fully understood on this question. I said that we will arrive at our final socialist economic order by means of various economic struggles, in which big enterprises will be in the hands of the proletariat. But the matter is in other countries. For instance, in easily overthrown and the proletariat is well trained and disciplined, the latter will realize the expediency and necessity of the new economic policy. But when a blockade intervenes, requisition or partial requisition be- comes necessary. On the whole, war communism will probably have to be applied in many countries to a lesser or greater extent. This will be neces- sary, because the bourgeoisie will be able to offer energetic resistante to the proletariat, But the important point is that all our parties should be able to distinguish betwen political and economic pre nad and that they adapt it to situation in their respective countries. (To Be Continued) HAVE YOU READ i LENIN’S last great speech to the world’s workers? If not, don’t let another day go by without sending for a copy of: Reewit of the IV Con- gress of the Communist International”’ IT IS REPORTED THERE IN FULL Here is the offer, good to August 30th, 1924 Report of the IV Congress, with Lenin’s speech .... ae iy i) Lenin, his life and work, WY? EON IOE, i icisesscstvindncce tikeoreciess <: +L State and Revolution, by Nikolai Lenin............ waneaccestiies cae PDB an iicstrimecstiantiés $1.15 All of the above for 5Q CENTS, if you send your check or money order now, to Literature Department, WORKERS PARTY OF AMERICA 1113 W. Washington Blvd., CHICAGO, ILL. Grand Opening of the SECOND RUSSIAN CO-OPERATIVE RESTAURANT THIS SUNDAY, AUGUST 17th At 760 Milwaukee Avenue All who will attend the opening will receive a splendid dinner, at their own selection, below cost. : PICNIC SUNDAY, AUGUST 24, 1924 ATH NATIONAL GROVE ‘di Riverside, Illinois Speakers: BARNEY MASS, of the Youn ATHLETICS — DANCING — MU Directions—Take any car to Workers League, and others IC—GAMES — REFRESHMENTS “22nd St.; 22nd St. west to end. Take La Pay Car to National Grove. Tickets, 35¢ Gates Open at 10 A. M. At the gate, 50c AUSPICES—YOUNG WORKERS LEAGUE OF CHICAGO SOCIETY FOR TECHNICAL AID TO SOVIET RUSSIA