Notes

Introduction

1. Using United Nations' statistics, Jalee (1968) showed how the pattern of production, trade and capital movements led to a systematic plunder of the third world, not just as a fact of the past, but in a dynamic sense. UNCI AD reports from the 1980s confirm the continuation of these trends.

2. This is the viewpoint of Marlene Dixon in the foreword to a special issue of Contemporary Marxism No.9, 1984.

3. If for no other reason, problems of resources and pollution are making the Western way of life economically and materially unobtainable for the majority of the world's population.

4. While we were working on this manuscript, China, which had followed a different policy, started opening up to the world market and many questions raised in this book are at present equally relevant to the Chinese case.

1 Marxism, the Third World and the Soviet Perspective

1. In a letter to Sigmund Schott (3 November 1877) Marx revealed that he had written Capital in the reverse order from the one in which it was presented: starting out with world trade. Volume I, begun last, was immediately prepared for publication (cf. Dunayevskaya, 1982, p.189).

2. This appears both from Lenin's speech at Lafargue's funeral and from the Souvenir d'un Bolshevik (1896-1917) by Piatnitsky. From 1905 to 1907, no less than 17 editions were published in Russia (cf. Dommanget's introduction to French Maspero edition, 1969, pp.9-10).

3. In Wages, Price and Profit (1865/98) Marx argues that the Trade Unions generally fail by limiting themselves to a guerilla war against the effects of the system, instead of using their organised forces as a lever for workers' emancipation, that is, the ultimate abolition of the wages system (SWTV, II, p.447) Lafargue had been frequenting Marx's home just prior to writing his pamphlet. During long walks with his father-in­law philosophy and politics were discussed. Marx was then working on Capital and many examples in Larfargue's little book are taken from there.

4. Marx had originally believed that the Irish regime could be overthrown by English working-class ascendancy. His studies convinced him of the opposite. Not only that, but he had to conclude that for the English workers 'the national emancipation of Ireland is no question of abstract justice or humanitarian sentiment but the first condition of their own social emancipation' (On Colonialism, pp.329, 332, 335).

5. This was the essence of the letter to Vera Sasulich, written by Marx in 1881a (Marx-Engels-Werke, vo1.19, German edn, Berlin, 1969, p.405).

273

274 Notes

6. In his preface to the French edition of Capital, voU (the only volume critically revised by Marx himself, and according to him 'the most scientific') the previous version was changed: 'The country that is more developed industrially only shows to those that follow it on the industrial ladder (before: 'shows to the less developed') the image of its own future.' (Our emphasis). But unfortunately the less precise formulation was retained in most later editions and became the starting-point for theories of a single, unilinear forward march of progress. From Marx's letters it appears that he never intended his sketch of the genesis of Western capitalism to be interpreted as a theory of the general course 'fatally imposed on all peoples' (see Alavi and Shanin, 1982, p.l06; Shanin, 1983, pp.124 and 135).

7. The theoretical consolidation of mechanical, unilinear 'historical materi­alism' in Soviet Marxism was helped by the fact that Engels himself presented a straight-line evolutionist picture of historical development. Later, such a theory facilitated the image of the USSR as constituting a 'higher stage' of social organisation - a model to be emulated by others. It is interesting that this proposition has its parallel in Western develop­ment theory (ct. Rostow, 1960; Warren, 1980).

8. Vile Congres socialiste International tenu a Stuttgart du 16 au 24 aout 1907. (Compte rendu analytique publie par Ie Secretariat du Bureau Socialiste International, Brussels, Veuve Deside Brismee, 1908, pp.216--28; 284-322, passim (quoted by d'Encausse and Schram, 1965, pp.159, 163, 165).

9. In his 1920 preface to French and German editions of Imperia/ism he emphasised that, unless the economic roots of the phenomenon of bourgeoisified workers (colonial superprofits), were taken into account 'not a step can be taken' to solve practical problems of the Communist movement and revolution (Our emphasis).

10. Claiming that Marx's theoretical (closed) model of expanded repro­duction (Capital, II) failed to account for the complete realisation of surplus value, Rosa Luxemburg argued that capitalism could only func­tion as an 'open' system, that is, with access to non-capitalist enclaves internally or externally. In Capital, I, the only volume personally edited and revised by Marx, external relations were described as a precondition for capitalist production. And in Capital, III, where he left the sphere of 'models', he described this inherent need for external expansion in real terms. (Cf. Luxemburg, 1913/1951 and 1921/1972)

11. Soviet historians generally look upon the Third International as a correct embodiment of Marx's conception of what a revolutionary International ought to be. But nothing is farther from the truth (Claudin, 1975). Concerning the method by which a common platform could be worked out by the International, which he led, Marx declared, for example:

Since the various sections of working men in the same country, and the working classes in different countries, are placed under different circumstances and have attained to different degrees of development, it seems almost necessary that the theoretical notions, which reflect the real movement, should also diverge. The community of action, how­ever, called into life by the International Working Men's Association,

Notes 275

the exchange of ideas facilitated by the public organs of the different national sections, and the direct debates at the General Congresses, are sure by and by to engender a common theoretical programme. Consequently, it belongs not to the functions of the General Council to subject the programme of the Alliance to a critical examination. We have not to inquire whether, yes or no, it be a true scientific expression of the working-class movement. All we have to ask is whether its general tendency does not run against the general tendency of the International Working Men's Association, viz. the complete emanci­pation of the working class.

Elsewhere Marx states:

The International Rules ... speak only of simple 'workers' societies' , all following the same goal and accepting the same programme, which presents a general outline of the proletarian movement, while leaving its theoretical elaboration to be guided by the needs of the practical struggle and the exchange of ideas in the sections, unrestrictedly admitting all shades of socialist convictions in their organs and con­gresses. (Cf. Claudin, 1975, p.119, n.15)

12. Our emphasis. Les Conditions d'admission a I'Internationale Commu­niste, Second Congress of Communist International, 19 July to 7 August 1920 (reprinted in Partisans, no.16, Paris, 1964).

13. The Communist International 1919-1943, documents selected and edited by Jane Degras, vol.I, 1956/71, pp.143-144 (quoted from Claudin, 1975, p.265).

14. Quoted from 'Strategie de la Republique Populaire Chinoise sur Ie plan mondial', Analyses et Documents, no.l00, Paris, 14 October 1965.

15. Zinoviev, who was President of the Comintern, had given the general report to the Congress, and E. Varga, the report on the world economic situation. .

16. In the first declaration by the new Bolshevik government, read out by Lenin, it proposed an 'immediate peace without annexations (i.e. with­out conquest of foreign territory, without forcible annexation of other nationalities) and without indemnities'. The declaration went on to define more precisely:

By annexation ... the Government means ... all union to a great and strong State of a small or weak nationality, without the voluntary, clear and precise expression of its consent and desire; whatever be the moment when such an annexation by force was accomplished, what­ever be the degree of civilisation of the nation annexed by force or maintained outside the frontiers of another State, no matter if that nation be in Europe or in the far countries across the sea. ( ... )

All the clauses of the secret treaties which, as occur in the majority of cases, have for their object to procure advantages and privileges for Russian imperialists, are denounced by the Government immediately and without discussion. (Proclamation to the Peoples and Governments of All the Belligerent Nations, from John Reed, 1926, pp.105--6)

17. Another problem was related to the political base of the new regime in

276 Notes

non-Russian areas. Tsarist colonialism had absorbed these regions through settlements by Russian colonists (peasants and some workers) who had inevitably acquired a colonialist mentality. Since few among the indigenous population had had a proletarian background (the class given priority by the new regime), the situation emerged where former Russian colonists, now 'convinced' Bolsheviks, took over power following the withdrawal of Tsarist officials (cf. Claudin, 1975, p.257).

18. For a brief account, see Fleming, 1961, p.24. The general context should be kept in mind. The whole of Europe was in ebullition and Russia was invaded. In October 1918, Lenin had given orders to create a three million strong army to come to the aid of the European revolution. It was natural at the time to see the European revolution as a 'joint venture' by the entire European working class.

19. 'From 1920 onward Stalin, as People's Commisar for the Affairs of the Nationalities, organized systematic repression not only of reactionary Muslim nationalism but also of the native Communists, who, perceiving that the masses were becoming less and less enthusiastic for the Soviet regime, were trying to strengthen the positions of the latter on national foundations' (Claudin, 1975, p.255).

20. A contributing factor was the explicit denunciation of Islam. 21. Thus, at the Second Congress of the Communist Organizations of Asia in

1918 that is, at the height of the European revolutionary wave - Lenin had stated that final victory could only be attained with the aid of the colonial and oppressed masses: 'We will have to understand that left to itself the vanguard will not be able to realize the transition to commu­nism' (d'Encausse and Schram, 1965, p.225).

22. The idea that socialist consciousness had to be introduced into the proletarian class from without originated from Kautsky (cf. Corrigan et al., 1978, p.29). The same authors point out that, in contrast, for Marx, workers' struggles form the foundation for the development of revol­utionary theory (cf. texts such as The Civil War in France).

23. This policy had particular success in Argentine, under Peron (cf. Bolle­tino del Centro di documentazione Frantz Fanon, reproduced in Partisans no.26/27, Paris, 1966, p.61).

24. The Italian invasion of Ethiopia in 1935 created difficulties for the USSR because of its 1933 non-aggression treaty with Italy and the importance of trade between the two countries. In 1934, more than 22 per cent of Italian petroleum imports came from the USSR (Kanet, 1974, p.15). When the League of Nations recommended a boycott against Italy, the Soviet government in October 1935 reluctantly agreed to apply certain sanctions, but excepting oil supplies. Soviet oil kept reaching Italy until as late as April 1936. Kanet mentions that, as a result, the Black membership of the USCP dropped drastically (ibid.).

25. Cf. Journalofficiel, Paris, 26 September 1946; Maurice Thorez, 'Rapport au Xieme Congres du P.C.F.', June 1945, Oeuvres V, Paris, 1963; 'Le P.C.F. et la question coloniale', Revolution No.7, March 1964, p.48.

26. This is the official version. In reality, the Non-Aggression Pact of 1939 led the Comintern to call off its anti-Hitler crusade (Claudin, 1975, p.301). Stalin seems to have trusted Hitler more than one would assume

Notes 277

(cf. Leonard, 1955, who mentions examples from Soviet medias and propaganda).

27. Soviet territorial gains as a result of the Second World War corresponded to a territory almost as big as France, Spain and Portugal put together (North- and East-Finnish territories, Estonia, Latvia, Lithuania, the Memel area, North-East Prussia, Polish Eastern territories, the Car­pate-Ukraine, North and East-Rumanian territories). In Europe, a total of 476 866 square kilometres. In Asia the territorial gains were even greater: 666 300 square kilometres. Many of these territories had at one time or another belonged to Great Russia. The point is that this policy of annexation took place on the basis of international power relations, with little or no regard for the desires of the indigenous populations (details and figures, from FAZ, 8.14.78).

28. Concerning Yalta, see Fleming, 1961, vol.1. This understanding with Roosevelt was based on a compromise. As Claudin points out it had only one true God, namely raison d'etat: 'Thanks to this compromise, the revolution did not develop beyond the stage of potentiality in France and Italy, was crushed in Greece, and was unable to raise its head in Spain, but eventually imposed itself throughout the countries of Eastern Europe' (1975, p.32).

29. Leonard (1955) gives a detailed description of the political take-over in what was to become the German Democratic Republic.

30. With one exception: the Soviet take-over of the Japanese Kurile Islands was agreed at Yalta.

31. In the context of renewed militancy by the Soviet-led Comintern, it would be tempting, but hardly plausible to see the outbreak of the Korean War (19~0-3) as one of its results.

With regard to responsibility for the conflict itself, the subject is still a matter of conjecture (cf. Stone, 1970; Brun and Hersh, 1976). Even if the war were started by the North (which is far from certain) there is little evidence of Soviet instigation (Fleming, 1961, p.602).

32. A measure of this theoretical level is the presentations offered in Political Economy (first published in Moscow, 1955) but prepared during the lifetime of Stalin. Another example is the manual, Fundamentals of Marxism-Leninism (Foreign Languages Publishing House, Moscow, undated - probably 1964). Both are basic readers, translated into many languages. The former does contain a chapter dealing with the 'colonial system' and must be said to have represented the general level of understanding of most Marxists at the time. Apart from this short section, everything dealing with 'imperialism' is based on Lenin's work from 1914. Fundamentals, on the other hand, has no discussion what­soever about the colonial system. The brief reference to· imperialism is based mainly on Lenin, but is further diluted compared to the Political Economy and to Lenin's work - not to speak of Luxemburg (1913).

33. The model of 'autarky', giving priority to all activities which would strengthen the internal accumulation process, derived from this practice, corresponded relatively well to the needs of colonial or semi-colonial countries subjected to economic embargo (see Chapter 2, pp.79-80).

34. After the uprising in June 1953, When the 'people had forfeited the

278 Notes

confidence of the [East German] government', Bert Brecht who, as a political choice, had settled in East Berlin, sarcastically wrote:

Would it not be easier in that case for the government to dissolve the people and elect another? (Bertolt Brecht Poems, trans. J. Willet (London: Eyre Methuen, 1970, p.440)

35. None of the fraternal parties had been advised in advance about the contents of Khrushchev's speech. Because of the role Stalin had played as the supreme leader of the international communist movement, it came as a shattering blow.

36. Until then, revolutionaries had seen peaceful transition to socialism as an unlikely scenario. The example of Eastern Europe, mentioned by the Soviets, was less than convincing, In October 1971, just after the election of Salvador Allende, Paul Sweezy, in a speech in Santiago de Chile, stated the 'classical' view on this question: 'The stronger the revolution­aries are - the more obvious their capacity and will to meet counter­revolutionary violence with overpowering revolutionary violence - the greater are the chances of avoiding violence.' This statement received its tragic confirmation with the military coup in Chile in 1973. Chinese Marxists opposed the theory of peaceful transition; see Hongqi (Red Flag) 4 March 1963.

37. In the case of Egypt, the CP, following Soviet advice, dissolved itself in 1965, declaring that Nasser's single party was the only organisation capable of carrying out the revolution in the United Arab Republic (UAR) (Kanet and Ganguly, 1985).

38. Quoted from The Current Digest of the Soviet Press, voI.15, no.51, London, 1963, p.13. On the founding of the Organization of African Unity (OAU) the Soviet weekly, New Times, appraising the strength of socialism on that continent, claimed that 25 out of 32 heads of state had decided for one or another form of socialist construction (Grishetchkin, 1969).

39. 'We - the Soviet Union and the United States - are the strongest powers in the world, and if we unite for peace, there can be no war. Then, if some mad man should wish a war, we would only need to shake our finger to stop him.' Khrushchev's interview to C.L. Sulzberger, 5 Sep­tember 1961.

40. Substantial aid to the South Vietnamese NLF only started after Nixon's speech in Guam in 1969, in which he announced the process of 'vietnam­ization'.

41. The USSR did not support China's autarkic industrialisation and appar­ently continued policies of outright economic exploitation after these had subsided in Eastern Europe. Moreover China was kept at a distance from Comecon, until finally it was offered full membership in the early 1960s at terms that guaranteed China's rejection (Ost, 1982, p.251).

42. The principles of Peaceful Coexistence were spelled out at the Bandung Conference of Asian and African states in 1955: (1) mutual respect for territorial integrity and sovereignty; (2) mutual non-aggression; (3) mutual non-intervention in internal affairs; (4) equality and mutual

Notes 279

benefit; (5) peaceful co-existence. The Soviet concept went along the same lines; cf. party programme of 1961.

43. In a letter to Sorge (20 June 1881b) Marx writes:

All these socialists . . . have that in common that they leave wage labor in existence, and with it capitalist production ... The whole thing is only an attempt to smarten up socialism to save capitalist domination and effectively re-establish it on an even wider basis than the present.

44. As a result of his extensive studies of the socio economic evolution of Russian society, Lenin had originally arrived at the opposite conclusion in 1897, namely that capitalist development was unavoidable in Russia! (Eudin and North, 1957, p.70). Not only had Lenin thus disagreed with Marx as to the possibility for Russia to avoid capitalism, but in 1912 he had expressed the opinion that the national emancipation movement of the East could only be of a bourgeois democratic character (Ibrahim and Metze-Mangold, 1976, p.22).

45. ' ... the outcome of the struggle as a whole can be foreseen only because we know that in the long run capitalism itself is educating and training the vast majority of the population of the globe for the struggle. In the last analysis, the outcome of the struggle will be determined by the fact that Russia, India, China, etc. account for the overwhelming ma­jority of the population' (1923a, swrv, II, 2, p.750).

46. That the Soviet bloc does not constitute the 'core' of the world system in the technological and economic sense is highlighted by the fact that even close allies of the USSR are competing with each other to be admitted to the IMF or engage in technological and economic cooperation with the West or Japan. The Soviet bloc is incapable of delivering some of the most needed inputs (high technology, credits, surplus grain), let alone indicating an alternative road of development.

47. The difficulty of analysing the Soviet state within a Marxian frame of reference lies in the fact that, according to Durand (1984, p.22) there is no Marxist theory of the state in a transitional society. This does not mean, however, that an understanding of Marx's perception of the future role of the state cannot be pieced together (cf. McLellan, in Holmes, 1981, p.22).

48. 'What I did that was new was to prove: 1) that the existence of classes is only bound up with particular historical phases in the development of production; 2) that the class struggle necessarily leads to the dictatorship of the proletariat; 3) that this dictatorship itself only constitutes the transition to the abolition of all classes and to a classless society ... ' (letter to J. Weydemeyer, 5 March 1852, swrv, II, p.452).

49. 'Between capitalist and communist society lies the period of the revol­utionary transformation of the one into the other. There corresponds to this also, a political transition period in which the state can be nothing but the revolutionary dictatorship of the proletariat' (1875, swrv, II, pp.32-3).

50. Fukuyama identifies ten shifts in Soviet policy towards the colonial world and later the third world (PoC, pp.9-lO, 1987).

280 Notes

2 World Market Discussion

1. Although the matter is subject to controversy, many writers concur that internal structural reforms had become the sine qua non for further advance (cf. Manning, 1983; Stavrianos, 1981). In fact, the gentry's ability to immobilise government initiative after 1907 was a major factor in sharpening the contradictions which culminated in a new crisis.

2. Industrial capitalism did not come about in the same fashion in all cases. In Japan and Germany, the state played a major, active role. E.H. Carr adds the interesting point that the title of father of economic planning belongs rather to German economists than to Karl Marx (1946, p.23). The term 'Planwirtschaft' was coined, and in practice developed, by Rathenau and his experts in the German War Materials Department, and not originally, as has often been claimed, in the land of the Soviets (cf. Clairmonte, 1960, p.40).

3. The so-called world-system analysis is commonly associated with the name of Immanuel Wallerstein, and his various studies. See also Fried­man, 1982. For a critical review of theories concerning socialist societies within the world-system perspective, see Gorin, 1985.

4. We use this prudent formulation as we are not quite convinced that a rupture was achieved. Our thinking about the subject has led us to believe that the USSR - even if nationalising industry and directing most of the economy through central planification - did not establish an alternative to capitalist production relations internally (cf. Chapter 3). In foreign economic relations, as we shall see, basic norms remained those of the capitalist world market. The isolation from the world market therefore represented a temporary 'de-linkage' rather than a rupture in the fundamental sense.

5. This has not been readily accepted in the West, where there has been a tendency to dismiss the economic viability of the Soviet system. Thus the dichotomy weak economy/strong military was left largely unexplained, whereas in fact the maintenance of a strong modem military presupposes a highly developed industrial base.

6. Cf. report on the Soviet economy prepared by the US CIA made public on 27 December 1982.

7. In the cases of Japan and Germany, imperialist expansion was recog­nised as crucial for internal stability and social peace as soon as they embarked on the road to capitalist modernisation. Mutatis mutandis the same holds true for the effect of American expansion on the political economy and domestic power structure (cf. Williams, 1969; LaFeber, 1963. On Germany, see Wehler, 1972. On Japan, see brief account in Baran, 1962, pp.151 ff; Hersh, 1989).

8. It is characteristic of the mood that the question of how to cope with this perceived threat to capitalism became a dominant element at the peace negotiations at Versailles even before a settlement of the First World War (1914-18) had been reached: 'With the Bolshevik regime only little over a year old, the statesmen ... were already wrestling with the various ways that seemed open for dealing with this new force: destruc­tion, roll-back, cordon sanitaire, or accommodation' (Slusser, 1964, p.213).

Notes 281

9. This situation to a large extent explains the Bolshevik preoccupation with the development of productive forces and achieving rapid accumu­lation. In the Marxian understanding, however, revolution was seen as a transformation 'in production relations liberating potential productive forces and redirecting them towards the satisfaction of human needs, spiritual as well as material. The concept thus transcends the problem of 'accumulation' .

10. In the view of Anthl,!1y Sutton (1971), nearly all Soviet technology can be traced to Western capitalist sources. This may also explain the strongly immitative element in Soviet technology, including the military sector.

11. In a sarcastic comment to contemporary economists, Marx wrote:

12.

You believe perhaps, Gentlemen, that the production of coffee and sugar is the national destiny of the West Indies. Two centuries ago, nature, which does not trouble herself about commerce, had planted neither sugar-cane nor coffee trees there. (1847b, p.214)

The parallelism of the USA and the USSR is one of the most import­ant in contemporary world history. In both these states work is alienated; men sacrifice themselves to work in order to acquire things of which they dream, and what they dream of is very similar. It is a kind of consumers' paradise, a kind of department store where every­thing is free. (Mills, 1960, p.153)

13. The same textbook describes as the basic economic 'law' of socialism: 'the securing of the maximum satisfaction of the constantly rising [sic] material and cultural requirements of the whole of society through the continuous expansion and perfection of socialist production on the basis of higher techniques'. On this basis, one may, according to Stalin, talk about a 'law' of 'balanced, proportionate development of the national economy' (cf. 1952, pp.40-41).

14. Pravda, 27 October 1973 (Novosti translation). 15. The real class nature of the Soviet state is open to debate; see Chapter 3. 16. For an early discussion of the social strata interested in opening to the

West, as well as the opposition to this policy, see Alexander Yanov, 1977, chs 1 and 3.

17. Disagreement about relations to the outside world among Soviet leaders in the 1970s brings to mind the dispute around the theme of Socialism in One Country in the early 1920s. In a Pravda article (18 December 1975) Professor K. Surovov appeared to argue for a policy which could 'ensure Soviet economic independence from the world capitalist market'. The American specialist, Marshall Goldman, who mentions this case, notes that, in the original article, the Soviet academician invoked Stalin as the Soviet politician who had established the idea of economic indepen­dence. But this reference was omitted from the reproduction of the article in Soviet News (13 January 1976, p.50) which is published by the Soviet embassy in London (Goldman, 1976, p.85).

18. In China, disagreement arose as to whether the world economy was or was not composed of two antagonistic orders. One school of thought saw

282 Notes

the two markets as the result of a temporary American politicising of the international economy, another opinion tended to accept the thesis of a permanent socialist world economy with the USSR as its core. (For a discussion, see Friedman, 1979, p.823.)

Regardless of their specific differences, it seems that both schools agreed in their understanding of socialism as representing, as a trend, the undermining of the capitalist division of labour.

19. See Red Flag (Hongqi) no.8, 18 April 1982: 'On Questions Regard­ing our Country's Economic Relations with Foreign Countries' (FE17024/ClIl-12-12 May 1982).

20. In a review of the Soviet book, Economic 'Theories' of Maoism, the reviewer states that the book 'reveals the reactionary essence of the theory of 'reliance on one's own forces' with which the splitters from Peking are trying to explain 'scientifically' the need for breaking away from the countries of the socialist camp' (Gudok, 5 February 1972, quoted from Novosti translation). See also the criticism raised by G. Rubinstein, G. Smirnov and V. Solodovnikov, Africa Institute, Moscow: 'On some Statements by Samir Amin' in Review of African Political Economy no.5, January-April 1976, p.104.

3 Socialism in One Country and Capital Accumulation

1. Shanin (1972) sees Tsarist Russia as in many ways a prototype 'develop­ing society'. While Russian industry was extensively developed - being fifth in world output in 1914 - agrarian production was semi-feudal, and industrial development was semi-colonial, confined to economic and geographical enclaves. In 1914, 47 per cent of Russia's industrial capital was foreign-owned, and most finance for state-led 'internal' development was raised by foreign loans. Dominant views saw Russia as disadvan­tageously located in the world market and in urgent need of 'modernis­ation'. The need to transform relations in and between agrarian and industrial production was widely recognised.

2. Cf. various debates in Monthly Review during the 1960s, some of which are reprinted in Sweezy and Bettelheim, 1970; Sweezy, 1980; debate between Sweezy and Chavance, (Sweezy 1977a); see also special issue of Imprecor no.18, 8 December 1977; special issue of Review of Radical Political Economics, vo1.13, no.1, spring 1981; Chavance, 1983; Chatto­padhyay, 1981. Feher et al., 1983, hesitate to call Soviet-type societies class societies, but concede that, during moments of crisis, the various social strata do behave as classes.

3. Bettelheim finds that, according to Lenin, NEP was a specific form of the 'dictatorship of the proletariat', namely a broad alliance between the working class and the majority of the non-proletarian strata. It was a political-economic strategy for socialist transition and expected to last, according to Lenin, for 'several decades' (II, 1978, pp.23-7).

4. Home industries were quite extensive in the countryside in nineteenth century Russia.

5. 'Ultimately the production of means of production is necessarily related to the production of consumer goods, because the means of production

Notes 283

are not produced for their own sake, but only because more and more means of production are needed in the industrial branches which pro­duce consumer goods' (Lenin, Werke, vol.4, p.155, quoted in Butenko, 1983, p.237).

6. Repressions and mass terror took various forms (deportations, ex­ecutions and high mortality rates in the camps, as well as 'punitive famines'). The latter were used selectively against part of the peasantry and against certain nationalities. In 1933, five million people are said to have starved to death in the Ukraine (Pliouchtsch, 1977, in Bettelheim, III, 1982, p.240). (See also Guillaume Malaurie in LM, 8, 29, 83.)

7. As Bettelheim has pointed out, capitalist relations of production took shape before machine industry, the latter therefore typically developed under the domination of capitalist relations of production to form the specifically 'capitalist mode of production' (1975, p.79).

8. In the words of Lenin:

The Russian is a bad worker compared with the advanced peoples .... The Taylor system ... like all capitalist progress, is a combination of the refined brutality of bourgeois exploitation and a number of greatest scientific achievements in the field of analyzing mechanical motions during work, the elimination of superfluous and awkward motions .... We must organize in Russia the study and teaching of the Taylor system and systematically try it out and adapt it to our purposes. (1918, cwrv 11,1, pp.470-1) The essence of Taylor­ism consists in controlling the workers rather than achieving technical improvements. Taylorism concentrates knowledge and planning away from the workers, in offices and with management. Depriving the workers of all possibilities to control production during conflicts, it also implies depriving them of influence on research and development where greater surplus extraction is given priority over better work conditions. Taylorism, in short, implies the complete submission of the worker to the machine.

9. For a highly interesting discussion of the theory and practice of this period, as seen from a working-class viewpoint, see Bettelheim's Class Struggles in the USSR, various volumes, but especially vol. III, 1982.

10. Lenin strongly opposed the 'statisation' of trade unions. The nature of the Soviet state was complex, he argued. It could not be reduced to being simply a 'workers' state'. In his opinion, the workers needed organis­ations which were sufficiently independent of party power to be able to 'protect the workers from their state' (cf. Bettelheim, I, 1976, p.391).

11. One day's absence from work without legitimate justification meant loss of seniority (on which depended the right to sick leave, vacations and social security). Three disciplinary punishments and three delays of more than 20 minutes per month would cause the worker to lose his job, his living quarters and to a certain extent social security coverage. Officially there was full employment, but in reality a certain unemployment existed. To be fired often implied being transferred to a labor camp.

12. As shown by Bettelheim (1976) and Corrigan et al. (1978) we find in Lenin a tension between, on the one hand, an economistic trend orig-

284 Notes

inating from the Second International and according to which historical development was primarily a result of the growth in the productive forces (in the narrow technical sense) and, on the other hand, grappling with concrete problems of the Bolshevik revolution and social transform­ation, constantly emphasising the element of class struggle as vital. In his later years he began to see these forces as a dialectical process, but did not live long enough to work this out properly.

13. Officially, no free labour market exists. When enterprises have difficult­ies fulfilling the plan, however, they may enrol extra workers. This has always been the case. With time this has become more 'institutionalised' in the form of groups of workers who organise themselves outside the system and offer their services at a much higher wage than usual. K.S. Karol (1984) reports that these so-called 'chabachniki' make five times as much as usual workers. In 1983 they are said to have been responsible for more than half of all construction work carried out outside the big urban centres. 75 per cent of the workyards in Siberia would be unable to fulfil their plan without the help of these chabachniki, whose legal status as 'free labor' was at the time uncertain.

14. A 1974 provision stipulates that any worker who leaves his job on his own initiative loses his right to cultivate the garden plot granted to him by the factory. This garden is important to the family economy. But the attempt of factory administrations to evict workers from their appart­ments owned by the enterprises, when they quit their job, has not been supported by the central authorities. In 1980 the Central Committee approved a decree concerning 'The Further Strengthening of Discipline at the Workplace and the Reduction of Labor Turnover in the Country's Economy' that limits the right of workers to leave their jobs at will (cf. Zaslavsky, 1982, p.48).

15. The material benefits obtained in these enterprises are justified by the 'special importance' of the work for the 'very existence of the Soviet state', thereby fostering sentiments of social superiority. Part of the privileges is the right to take part in 'closed' informal sessions where higher party functionaries discuss more openly than usual, and in a different language, some of the real problems in the USSR and the world. Workers in closed enterprises are subject to concentrated and intensive indoctrination.

16. Wolfgang Leonard (1955) describes his shock when, during the war, he was travelling in the USSR and personally experienced the transition as a party member from one status-level to another. The day before, having been hardly able to cover his own barest necessities, he was suddenly admitted to a special canteen with plenty of food. He tells how he had to smuggle out bread to one of his less fortunate previous party comrades who was on the point of starvation. The same transition to a higher level within the party gave him access to more and different information, including books and newspapers, which he had no possibility of getting hold of at the lower level.

17. Socialist distribution: to each according to his work. As pointed out by Marx, since one man is superior to another physically or mentally and is able to supply more labor in the same length of time, this right is 'a right

Notes 285

of inequality, in its content'. To avoid these defects, 'right instead of being equal would have to be unequal' (1875, SWTV, II, p.23):

In a higher phase of communist society, after the enslaving subordi­nation of the individual to the division of labour, and therewith also the antithesis between mental and physical labour has vanished; after labour has become not only a means of life but life's prime want; after the productive forces have also increased with the all-around develop­ment of the individual, and all the springs of co-operative wealth flow more abundantly - only then can the narrow horizon of bourgeois right be crossed in its entirety and society inscribe in its banner: From each according to his ability, to each according to his needs! (ibid.)

18. This argumentation is partly based on articles in special issue of Monthly Review, 'Fifty Years of Soviet Power', vo1.19/6 (1967). (See particularly Hans Blumenfeld, 'Incentives to Work and the Transition to Commu­nism', ibid., pp.71-84.)

19. For a colourful description, see Hedrick Smith (1976). 20. Briefly they include the most attractive cities and regions of the USSR,

such as Moscow, Leningrad, Sverdlovsk, Novosibirsk, all capitals of the Soviet republics, many regions of southern Russia, the Caucasus, the Crimea and some parts of the Baltic republics. There is a corresponding scale of categories for supply of food and consumer goods. The endless queues in the Moscow stores are accounted for by the fact that commodi­ties can be obtained in Moscow which are inaccessible in other cities (cf. Zaslavsky, 1982, pp.176; 138-40).

21. The principal means of leaving the farm and getting a passport for a peasant youth is through military service. Only about 30 per cent re­turned to the farm after military service in the 1960s.

22.

'Limitchiks live in enterprise residences; they have no right to change jobs, to sign up for a new appartment (because they lack a permanent propiska = stay permit) to buy on credit, and so on. Of course, these people find their administrative status untenable. They search for a way out, the most obvious being marriage. The permanent dwellers of the city know well, however, that for limitchiks marriage is but a means to achieve the status of a permanent resident, and thus they are reluctant to marry them. Only marriage within the group remains. He lives in one hostel; she in another. Family? Hardly a normal one. (Zaslavsky, 1982, p.146, quoting a study by Perevedentsev)

It is calculated that about 15 per cent of the workforce in closed cities are limitchiks .

23. Zaslavsky points out that it is a misrepresentation to affirm that Soviet peasants were granted an unconditional right to a passport in 1974. This right is still only a theoretical possibility decided by local officials. The so-called 'village passports' - distinguished from other types - are, moreover, for all practical purposes useless (1982, pp.72 and 175, n.22).

24. Among the social processes which tend to generate further inequality, Zaslavsky mentions: (I) the increase in societal affluence under which

286 Notes

groups already privileged are able to reinforce uneven distribution of rewards and inequality of access to the most desirable positions; (2) the strengthening of the passport system; (3) institutionalisation of the system of administrative distribution of goods and services; (4) the expansion of the 'second' economy that combats the state's monopoly; (5) more favourable conditions for status and property inheritance stemming from the 'peaceful' development of society; and (6) the rapid expansion of commercial, scientific, technical and cultural contacts with the West.

25. This identification is contrary to the Marxist perspective. It is, in fact, a definition which historically only arises with capitalism: 'Accumulate, accumulate - that is Moses and the prophets', as Marx ironically de­scribed the heart of the capitalist mode of production. With it came the idea of 'growth' in material production and consumption as in itself beneficial and a sign of wealth, irrespective of its character or conse­quences. For Marx, in contrast, development was a process of transform­ation called forth by class struggle. The resulting changes in production relations not only freed potentialities of productive forces, but made possible a redirection of their activities. In other words, for Marx, the human being, not capital, is the decisive factor. For Marx, transcending capitalism implied the abolition of wage labour (the negation of capital). With the increased collective ability to cover human needs by means of minimum labour and material, he foresaw the day when disposable time would become the measure of social wealth, thus transcending the identification of value with labor time. This vision had little to do with the 'productivist' ideology so widely accepted by the European labor movement, including the USSR.

26. The origin of this misconception is to be found in Marx himself. It will be recalled that Marx explained the transition between modes of production by the conflict of incipient forces and moribund relations of production: 'No social order is ever destroyed before all the productive forces for which it is sufficient have been developed' (1859, p.21). Conventionally interpreted, this led to a kind of technological determinism (contra­dicted, nevertheless, by Marx's view on the revolutionary potential in backward countries such as Germany or Russia). In general, Marx's understanding of productive forces was holistic. It included the organis­ation of work, resource utilisation, the skills of human beings, the objectives of production and so on: in other words, any force through which people enhance the productiveness of labour. Nevertheless, con­ventionally, productive forces have often been understood technologi­cally as synonomous with means of production. (Marx sometimes used the concept in this way.) But usually he uses it much more broadly, recognising social relations as productive forces. (To him, for instance 'the mode of cooperation' or 'division of labour within the workshop' constituted productive forces). For Marx the means and relations of production can be equally decisive in their productive consequences and equally constitute productive forces (cf. Corrigan et al., 1978).

27. For a brief but interesting discussion of the implications of the Soviet

Notes 287

economic strategy, see Magdoff, 1975, pp.18ff. 28. See: d'Encausse, 1978. In the 1960s and 1970s the central administration

felt constrained by the rapid growth in the Central Asian populations to invest heavily to avoid increases in the already existing inequalities between various regions. (Zaslavsky, 1982, p.124) The general shortage of capital, and the unproductivity of the investments made a continu­ation of this policy difficult.

29. Casanova (1969) tried to establish a conceptual framework to distinguish between external and internal colonialism, as well as between the latter and regional unequal development (pp.223ff).

30. For an analysis of the workings of the Soviet planning system prior to the reforms of the 1980s, see Chavance, 1983; Feher et al., 1983.

31. Lenin distinguished sharply between the two forms: 'But that is precisely it, that even the greatest 'resolution' does not suffice to bring about the transition from nationalization and confiscation to socialization' (Werke, vo1.27, p.325, quoted by Butenko, 1983, p.232).

32. Lenin, Werke, vo1.29, p.169 (in Butenko, 1983, p.239). 33. Alcoholism is both a symptom and a result of deteriorating social

motivation. The Bolshevik revolution was opposed to drinking (cf. Reed, 1926, on the breaking of bottles, confiscations and so on). Under Stalin, state monopoly on vodka sales was 'temporarily' introduced to increase state income, but never abolished. Over the years alcoholism reached alarming proportions. A report by the Soviet Academy of Sciences called it the 'greatest tragedy' in one thousand years (IHT, 12.26.84) - killing one million Russians a year, raising mortality rates in Russia by 47 per cent between 1960 and 1980: from 7.1 to 10.4 per thousand. The problem is far greater among Russians than among other nationalities. From the mid-1980s a resolute campaign against alcoholism led to an increase in home-burning and a radical decline in state income. Very unpopular, the campaign was softened in 1988.

34. 'Capital' in Marx's terminology is a particular form of relations of production, namely that between wage labour and capital. For Marx, accumulation of wealth is not the core of capitalist production, but the process of capital-accumulation, in the sense of increasing the power and control of others' labour power. (cf. Marx's example from the European settler colonies, where 'capital' vanished in the absence of labour: Capital, I, 33, p.766.)

35. Profit-maximisation is not the immediate driving force in Soviet-type societies, but rather maintaining and expanding the control over living and materialised labour; that is, capital accumulation in the fundamental sense.

36. The Japanese model, of course, was different, more paternalistic and centrally controlled.

37. The Soviet official has something to lose, according to A. Yanov. All his actions are subordinated to the desire to consolidate his privileges. Below the top one thousand members of the nomenclatura are the broad and constantly expanding strata of middle or lower-middle classes. Among these, Yanov mentions the tens of thousands of people who in

288 Notes

the post-Stalin era have acquired the monopoly to travel to the West, thus enjoying some of 'the advantages of the Western way of life without experiencing any of its shortcomings' (Yanov, 1977, p.3).

38. For an interesting discussion of global restructuring, see Joyce Kolko, 1988 (Chapter 18 deals with the 'centrally planned economies').

39. It is still unknown how far this reform will go. Various models have been seen in Yugoslavia or China. In Scandinavia both conservative and socialist parties support forms of 'economic democracy' , such as compul­sory surplus sharing and workers' influence. In Britain the conservative party is in favour of similar reforms.

40. An attempt is made to let military industries supply, in particular, consumer electronics. Western observers estimate that by the late 1980s about 42 per cent of durables in the USSR were produced by military­related enterprises.

Introduction to Part II: The Gradual Realignment of Global Forces

1. In those years, newly independent countries, not under the leadership of a proletarian party, were categorised as belonging to the capitalist camp. Little differenciation was made between old established compradore elements and the new nationalist leaders such as Nehru, Sukarno and so on.

2. For an early official description of Western economic dependence on third-world resources, see M.W.J.M. Broekmeijer, 1963.

3. In the words of John Foster Dulles: 'When the fighting in World War II drew to a close, the greatest single political issue was the colonial issue. If the West had attempted to perpetuate the status quo of colonialism, it would have made violent revolution inevitable and defeat inevitable. The only ~olicy that might succeed was that of bringing independence peacefully to the more advanced of the 700 000 000 dependent persons' (1950, p.76).

4. According to the latter, if only 50000 men, Italian, German or Japanese, could reach the frontiers of India, the Indian army would desert, the masses would rise up and the end of English domination could be achieved in a very short time (Bose, 1964, p.416).

5. O. 'Bolletino del Centro di documentazione Franz Fanon', reprinted in Partisans, no.26/27, n.d., Paris, pp.61ff.

6. For a brief description,see Fleming, 1961, II, p.662. 7. O. Bernard Fall, The two Vietnarns. A Political and Military Analysis,

rev. edn (New York, 1964) p.70 (quoted from Horleman and Gang, 1966, pp.55-6). American policy only turned against the Viet Minh after the victory of the Chinese revolution in 1949 and the outbreak of the Korean war, which turned Asia into a platform for Cold War.

8. An example of a different view was China's repeated warnings to the third world in the 1970s against 'letting the tiger [the United States] out at the front door, while getting the wolf [the USSR] in through the backdoor'! According to China, the danger of Soviet 'social-imperialism' lies in its claim to represent socialism, creating illusions which may retard

Notes 289

the process of independence. Another matter is the fact that Soviet-bloc interventions after 1975 often seem to have served as a pretext for renewed US interventions, whereby each of the two powers ideologically justify the actions of the other. China itself, it will be recalled, did follow the policy of playing one imperialism off against the other during its war of national liberation: the Western alliance against Japan!

4 The Evolution of Soviet-Third-World Relations

1. After J.F Dulles had withdrawn the US-UK-World Bank offer in 1956, it took the Soviets two years to decide to finance the dam. They did not agree to finance the second and third stages, until after the Germans had agreed to do so (Mehrotra and Clawson, 1983, p.94).

2. The classical characterisation of the state was offered by Engels, as 'an organization of the exploiting class of each period for the maintenance of its external conditions of production' (1894, p.384). Today, Marxists usually understand the state as a nexus of social relations internal to the mode of production. But because the capitalist mode of production was introduced from without, the peripheral state became to a certain extent an imitation of the state in the core nations while serving the expansion of capitalist relations of production in the particular economic and class context of the periphery. Hence its appearance of being in 'advance', compared to the indigenous structures (cf. Alavi, 1973, pp.145-73). This phenomenon led to theories about the 'relative autonomy' of the periph­eral state. In reality, it is no more autonomous than the state in core nations. Initially, Soviet scholars often seemed to imply that a country's 'progressiveness' was directly corollated to the quantitative expansion of the public sector (cf. Clarkson, 1978, p.62). Soviet support to the public sector, rather than leading to a 'non-capitalist development', laid the ground for state capitalism.

3. John D. Esseks, 'Soviet Economic Aid to Africa 1957-72', in Warren Weinstein (ed.), Soviet and Chinese Aid to Africa (New York: Praeger, 1975, p.99 quoted in Kanet and Ganguly, 1985, p.2(0).

4. For data on military aid, see US Central Intelligence Agency, Commu­nist Aid Activities in Non-Communist Less Developed Countries 1978, ER 79-1041U, p.1; ibid. for 1975, ER 76-1037U, p.1; US Dept. of State, Bureau of Intelligence and Research, Communist States and Developing Countries: Aid and Trade in 1972, Research Study, RECS-10, 15 June 1973, appendix, Table 9. For data on economic assistance, see US Dept. of State, Bureau of Intelligence and Research, The Communist Econ­omic Offensive Through 1964, Research Memorandum, RSB-65, 5 August 1965, p.6 (quoted from Kanet, in Donaldson, 1981, p.354).

5. For a discussion of increased costs in connection with 'tied' aid, see Myrdal, 1968, pp.635ff. Cf. also Jagdish Bhagwati, 'The tying of aid', in Bhagwati and Eckaus, 1970, as well as Chaudhuri, 1974.

6. Western bias against the state sector was not complete. Aid was granted to infrastructural construction. In cases like South Korea or Taiwan, the United States accepted (and to some extent supported) the expansion of

290 Notes

state-owned industries and state-capitalist development. Later, state capitalism and various forms of technology transfers became widely accepted by Western policy-makers.

7. For a discussion of the effort to reduce the flow of new credits to avoid bottlenecks of unfulfilled commitments, see Yellon, 1967.

8. A. Emmanuel draws attention to the rehabilitation of the Ricardian theory of comparative costs in Eastern Europe by M. Rakowski in 1950 in Poland, and especially Gunther Kohlmey in 1954 in the GDR. Ac­cording to this theory, foreign exchange on the basis of the international division of labour implies relative advantages for weak and advanced countries alike (cf. Emmanuel, 1969, p.138). Emmanuel points out that 'unequal exchange' in the eyes of these writers refers exclusively to the relatively greater or smaller gain of such an exchange. The two hun­dredth anniversary of Ricardo's birth in 1972 provided the occasion for renewed Soviet interest in this theory. Soviet scholars still shied away from the Western phraseology but increasingly used roughly equivalent language (Hough, 1986, p.94).

9. Lawson, 1985, discusses some implications for Soviet foreign relations, as well as possible reassessments of the existing administrative structure and management methods to get the full benefit of international ex­change.

10. As Gunnar Adler-Karlsson put it, 'there is no reason to believe that foreign aid is more genuinely popular among the Eastern masses than among Western ones' (1976, p.98).

11. After 1964, a discussion among Soviet theoreticians took place on the Soviet NEP-period and its relevance for specific domestic policies in the periphery, the usefulness of foreign capital, the balance between indus­try and agriculture and the importance of retail trade (cf. Valkenier, 1983, pp.79-80). This opened up a changed perspective in the following years.

12. The transferable rouble is a currency used in connection with multilateral cooperation of CMEA countries with individual LDCs, for multilateral accounting.

13. By placing Cuba and Yugoslavia in the category of developing countries, these UN statistics do not totally correspond to the definitions used for Table 4.2. Even if these figures may slightly overstate the reality of this trade, they represent a reasonable measure of the changes involved.

14. At times this objective has been openly stated by people in authority. Thus President John F. Kennedy candidly admitted that 'Foreign aid is a method by which the United States maintains a position of influence and control around the world, and sustains a good many countries which would definitely collapse, or pass into the Communist bloc' (Magdoff, 1969, p.1l7).

15. In 1955 Khrushchev is supposed to have declared: 'The assistance which capitalist states are giving the newly independent countries cannot be understood as anything but a kind of assistance from the Soviet Union. Because, if it had not been for the Soviet assistance, would the monopoly groups of the imperialist states have granted aid to the underdeveloped

Notes 291

countries? Of course not!' (Mizan, December 1970, p.149 n.39; quoted in Melchers, 1979, p.133).

16. First stated at UN ECOSOC by Soviet representative Makeyev 12 July 1982, and repeated at the UN Second Committee on 20 October 1982.

17. A trend towards lack ofsocial mobility and a domestic 'overproduction' of technicians and engineers in the USSR (Zaslavsky, 1982, p.62) may partly explain the popularity of this programme. The same may apply to Cuba, where there have been reports of excess numbers of doctors and engineers.

18. Figures established by the US Central Intelligence Agency (quoted by Kanet, in Donaldson, 1981, p.342).

19. The conclusion of the largest economic project by 1982 - the hydro­electric power station and irrigation system on Angola's Cuanza River -was announced without any mention of the costs or terms of payment. Nor was there any celebration of socialist assistance and so on, which usually colours such occasions. This probably suggests that the terms were not concessional (cf. Valkenier, 1983, p.33).

20. After a tour of progressive African countries, the former president of Chase Manhattan Bank, David Rockefeller, recognised that the Soviet presence did not impose limitations on the workings of capitalism. The presence of Cuban troops and Soviet advisers in Angola, he said, had no bearing on American business operations in that country and was with­out consequences for banking relations (lHT, 3.4.82).

21. For a discussion of the Soviet policy of setting up 'vanguard' parties in the third world, see Francis Fukuyama: 'The Rise and Fall of the Marxist-Leninist Vanguard Party', Survey, vo1.29, no.2(125} Summer 1985, pp.116ff. The USSR often allied itself with a minority group which became not only isolated through its proto-radical solutions but some­times required the elimination of competing progressive forces in the country (viz. Ethiopia or Afghanistan).

22. This development was highlighted by the Soviets' quietly letting Mozam­bique revert to the South African orbit.

23. There is disagreement with regard to the importance ascribed to the debates which have been going on among Soviet experts since the late 1960s (cf. Brown, 1984; Hough, 1986). While external and internal conditions determine Soviet policy choices, debates may simply reflect efforts to legitimate policy shifts dictated by the environment. On the other hand, some debates may playa role by helping decision-makers define their options and priorities. Often ideas are expressed before they become official policy. The Gorbachev staff of the late 1980s include many of the previous representatives of new thinking who emerged during the late Brezhnev years.

5 The Collision with Third-World Demands

1. Report from the Research Institute of Market Fluctuations of the Minis­try of Foreign Trade of the USSR, BIKI Enclosures 10, 1969, pp.72-80 (quoted from Melchers, 1980, 137).

292 Notes

2. Thus A.M. Malik proposed that all states should have equal rights to exploit the seabed.

3. Quoted from Internationale Solidaritiit, no.6, 1977, p.20, in Melchers, 1980, p.139.

4. In September 1984, France, India, Japan and the USSR, as well as four US consortiums, were granted status as 'pioneer investors', thus obtain­ing a guaranty for later obtention of an exploration and exploitation permit.

5. The representative of Tanzania summed up the issue in 1974 at the Caracas Conference: 'Freedom of the Sea [is] a slogan, a licence and a pretext for some people to crisscross and terrorize the world. This freedom was part of the old order and has had its time' (from Peking Review, 30, 1974).

6. Brazil, which during the 1970s and early 1980s was celebrated as an example of rapid industrialisation and growth, soon reaped the harvest in the form of an enormous foreign debt and growing social polarisation. This so-called 'development', in the words of Carlos Fuentes, 'produces hunger'. In May 1986, the UN Commission for Latin America issued a report predicting severe hunger and poverty on that continent in the coming decades.

7. Translated from Serbo-Croatian from the Joint Communique released by Bulgaria, Bielorussia, Czechoslovakia, the DRG, Hungary, Mongo­lia, Poland, the Ukraine and the USSR (not signed by Romania) United Nations, New York, 11 October 1977. (quoted by Slivnik, 1978).

8. On the contrary. Since the Second World War, more than one hundred wars have taken place, the majority of them in the third world, and most of them involving directly or indirectly industrialised countries con­cerned with the maintenance of the existing order.

9. It is well known that the US economy since the Second World War has been dependent on military spendings to such a degree as to have been called a quasi-war economy (cf. Mills, 1960; Cook, 1963; Fulbright, 1966). The economic climate (trade and investments) in the world system is highly sensitive to fluctuations in the American economy. On the other hand, the Soviet economy and foreign currency earnings are also linked to arms production (cf. Castoriadis, 1981).

10. 'Studio 9', 29 May, in FBIS, Daily Report: Soviet Union, 1 June 1982, p.CC6 (in Hough, 1986, p.220).

11. Western observers often describe the new Soviet attitude as 'unideologi­cal', 'objective', 'sober' or 'realistic', meaning that it is now perceived as being more in line with the Western world outlook/ideology.

12. It should be recalled that, also, the United States is a large exporter of raw materials, particularly food crops; none the less it certainly is an economic superpower.

13. For a detailed discussion of these figures, see Smith, in Cassen, 1985, pp.146 ff.

14. The Romanian economist Sandro Sideri suggests with rare frankness that it is no longer in the interest of the Soviet bloc to reform the economic world order. Rather it has a real interest in exploiting the South and constructing trade relations not dissimilar from North-South relations

Notes 293

(see Coker, 1984, pp.7-8, who quotes other examples). According to Valkenier, a Polish economist even suggests that the Socialist bloc should form its own multinationals in order to better compete with Western MNCs (1983, p.132).

15. Gutman (1970, pp.78ff) mentions a case where Moscow refused to cooperate with a Cuban attempt to destabilise regimes in the Western hemisphere by means of dumping of sugar.

16. Already as far back as 1883, the greatest of Cuba's heroes, Jose Marti, had sounded the alarm: 'A people commits suicide the day on which it bases its existence on a single crop' (Huberman and Sweezy 1960, p.lO). On the political economy of Cuban-Soviet relations, see Tsokas, 1980.

17. According to the French agronomist Rene Dumont, the costs of Soviet sugar would be between double or three times that of Cuban sugar (L'Agriculture socialisee a Cuba, p.215, quoted by Huberman and Sweezy, 1969, p.77).

18. Talking about Cuban nickel: the claim that normalisation of economic relations between the USSR and the USA would benefit the third world was given a particular twist when, in the autumn 1983, the United States decided to halt the import of nickel from the USSR until it had been proven that it did not originate, from Cuba!

19. 'Independent Ceylon', in New Times, 6, 1968, p.7. In 1973 credits for rural development projects constituted 5.9 per cent of total credits and 14.4 per cent of the number of projects. About half of this amount was destined for irrigation. Also a number of model farms have been estab­lished, as well as activities to alleviate internal food supply. But increas­ingly cooperation was tied to exports of agricultural produce to the USSR as repayment of credits (cf. Meyer, 1983).

20. This may change. A new Soviet leadership might find a compromise on the disputed islands, thereby facilitating an opening of its market to Japanese investments, while Japan, under pressure from Western pro­tectionism, might find the economic complementarity with the USSR to be an interest overriding political consideration.

21. The long-term trend of net barter terms of trade between primary commodities and manufactures has been debated. For an assessment and review of this debate, see Spraos, 1980.

22. Emmanuel goes so far as to say that it is not a question of type of products or levels of productivity, but of who produces them (1969, p.50).

23. This argumentation can be found in an article by L. Stepanov in Kom­munist, no.14, 1965 (d. Lowenthal, 1977, p.265; see also Tjulpanov, 1969, p.184).

24. The USSR so far did not accept general price agreements on commodi­ties but preferred to make arrangements from case to case.

25. Sebastian (1975, p.190) selected examples from Carter's investigation: 'The less developed countries bought 1843 tractors from the Soviet Union for 11 182 000 roubles, while the same number of tractors cost the industrial West only 7 019 000 roubles. There was a difference of 4 163 000 roubles showing that the former paid 2500 'l'oubles more for every tractor bought in the USSR. In 1965, the difference was reduced.'

294 Notes

Newsprint, imported in large quantities by India, cost the less developed countries 13 388 000 roubles for 24 500 tons, while the same quantity cost the industrial West only 12 978 000 roubles in 1958. The difference is 410 000 roubles. 'The Soviet Union sold 5 400 100 tons of crude petroleum for 55 360 000 roubles to the less developed countries in 1965, while the same amount was sold for only 47 719 000 roubles to the industrial West. The difference is 7 641 000 roubles and so on in other commodities. And it seems that there has been price discrimination against less developed countries.'

26. As an example he mentions the FOB price of cotton imported from Afghanistan in 1965, which, according to Soviet figures, was 593.93 dollars per metric ton, whereas according to Afghan sources the price was 730.70 dollars. 'Thus, the prices per unit of Soviet imports appear to be generally about the same as average world prices if the less developed countries' trade statistics are used, while Soviet data indicate that the Soviets paid considerably less than world market prices for these same goods' (Carter, 1969, p.39).

27. Mehrotra and Clawson (1983, p.107) mention the mica example: the USSR and Eastern Europe are the main buyers of mica, accounting for 60 per cent of India's mica exports. Since many Indian firms are involved in this trade, the Soviet buying agency could buy at the most advan­tageous terms. India then decided that all exports should be canalised through a mica trading agency, MITCO. The USSR refused to accept the suppliers chosen by MITCO. It wanted freedom to contract the purchase with any supplier it chooses, that is, to take full advantage of competition to beat down the price.

28. In Marxist terminology, property is a social relation between people, namely 'the power of disposing of the labor power of others' (1846a, p.44). It follows that to define any particular form of property entails an investigation of all the social relations through which this power is constituted.

29. For a critical discussion of this problem, see Bettelheim, 1970, II, ch.1. 30. For a summary of this question, see Bienefeld, in Nayyar, 1977,

pp.18-22. 31. While there are economic laws under capitalism, that is, mechanisms

which work independently of the aims and decisions of those active in the economy, the term 'law' under socialism has nothing to do with scientific analysis. As Harry Magdoff points out: 'When the economists in the socialist countries raise the banner of objective laws independent of the will of individuals, they are saying in effect that what is happening in the economy is basically what has to be' (Monthly Review, July-August 1985, vol.37/3).

32. Latinskaia America, no.8, 1983, p.50, quoted by Hough, 1986, pp.94-5. 33. An international conference in October 1980 in Berlin displayed the

clash between an uncompromising ideological line on the part of third­world radicals and practical economic interests on the part of the Soviet bloc (cf. Valkenier, 1983, p.137ff).

34. The Soviet opposition to the policy of 'self-reliance' started early in the 1960s in disputes with China and the DPRK. Soviet econimists generally

Notes 295

avoid any serious discussion of this development strategy, treating it as a form of 'isolationism' which is beside the point (cf. Chapter 2). Also 'collective self-reliance' is often treated as a form of deliberate renounce­ment of sharing the world's scientific achievements, when in fact the historically determined neglect of South-South cooperation constitutes an important economic handicap for most developing countries.

6 Arms Trade and Military Aid

1. In most newly independent countries, the army and police were trained and organised by the former colonial power, the establishment often being a copy of the traditional Western set-up.

2. It should be recalled that the United States not only intervened in China's civil war in favour of the defeated nationalist forces under Chiang Kai-shek, but after 1949 built up his exile government in Taiwan as the 'true' representative of China. For a long time skirmishes con­tinued around the islands of Quemoy and Matsu. The Korean War broke out only eight months after China's own liberation in October 1949. Later, the United States was engaged in a war in South Vietnam often presented as a move to stop Chinese 'expansionism'. As documented by the Pentagon Papers, China was during this period under threat of an American attack.

3. Some years later, one of China's military leaders, General Lung Yun, publicly declared that it had been 'totally unfair for the People's Re­public of China to bear all the expenses of the Korean War'. Whereas the United States had forgotten the debts of its allies in both world wars, the USSR, he added, had shown no similar magnanimity towards China (NCNA, 18 June 1957, quoted in NYT, 6.24.57).

4. Statistics used in this chapter are based on Western sources and should not be regarded as indicating anything but general proportions and trends. In 1988, it was officially admitted that even the Soviets them­selves do not have the precise figures of military expenditures and production (LM, 3, 1988, pp.20-1).

5. In 1967-8 Egypt had received more advanced and efficient defence equipment from the USSR than North Vietnam had at its disposal. Neither Cuba (1962), Egypt nor India were in want of Soviet arms during this period. In 1966 the Soviet policy of 'appeasement' vis-a-vis the United States led to an international protest from personalities such as Jean-Paul Sartre, Bertrand Russell and others.

6. Vietnam's National Liberation Front got little or no Soviet aid until the late 1960s, when US defeat was within sight. The same was the case with other liberation struggles such as those in the Philippines, Thailand and various Latin American countries in conflict with American neo­colonialism. Even political support was vague. A measure of this neglect was the pro-Soviet communist parties' alienation from these mass strug­gles in most third-world countries.

7. This increase was brought about by changes in the periphery which provided the USSR with new opportunities for arms sales. Also the shifting balance of power highlighted by the US defeat in Indochina led

296 Notes

to more open Soviet support for explicitly socialist regimes, while at the same time stepping up military assistance to 'non-progressive' states, whose strategic location or raw materials base made them potentially important.

8. It is questionable that India was ever under real threat; the same goes for a number of other recipients of Soviet military aid. In a few cases the USSR sold arms to both parties in a conflict: to Iran and Iraq; to Somalia and Ethiopia. Iraq, also supported by the West, was the initiator of the Iran-Iraq war.

9. CIA, Communist Aid, 1977, p.5 (in Kanet and Ganguly, 1985). 10. US CIA, Communist Aid Activities to Non-Communist LDC's 1978, pA. 11. US CIA, ibid., 1979, pp.6. 15,3 and 5 (quoted from Pajak, 1981, p.169). 12. Soviet support for India further embittered Sino-Soviet relations. For an

account of the outbreak and responsibility for the conflict, see Neville Maxwell, 1970.

13. Translated and quoted from a Russian source (1976) by Gu Guan-fu, 1983, p.73.

14. In the Marxist perception, the army as part of the state is one of the institutions by means of which a ruling class endeavours to secure its collective conditions of reproduction. In the periphery, younger officers, dissatisfied with their situation and representing economic nationalism, sometimes revolt to form so-called 'leftist juntas'. Their social base is often slim. The military establishment being a hierarchical and anti­democratic institution par excellence, 'revolutionary and democratic' military leaders are, indeed, a rare specimen. Soviet experience in Ethiopia or Afghanistan probably influenced the later change in policy.

15. This is deplored by a specialist within the British Communist Party (Woddis, 1977, p.67).

16. What contributed to the Western spectre of a Soviet 'grand strategy' was the pattern of Friendship Agreements concluded especially after 1975: Egypt, 27 May 1971; India, 9 August 1971; Iraq, 9 April 1972; Somalia, 11 July 1974; Angola, 8 October 1976; Mozambique, 31 March 1977; Vietnam, 3 November 1978; Ethiopia, 20 November 1978; Af­ghanistan, 5 December 1978; South Yemen, 8 October 1980; Congo Brazzaville, 13 May 1981.

17. The analogy is tempting: 'The islands of the West Indies and the Central American Republics are so often the scenes of revolutions, many of which lose their threatening aspects soon after the mere arrival of a cruiser flying our flag though sometimes it is necessary to send a landing force ashore' (US Office of Naval Intelligence, The United States Navy as an Industrial Asset, Washington, 1924; in Cox, 1964, p.179).

18. 'One possible conclusion is ... that by refusing to engage seriously in the North-South dialogue and by pursuing their own destabilizing bilat­eral relationships in the Third World, the Soviet policy-makers have consciously promoted a breakdown of the North-South negotiations on the NIEO' (Donaldson, 1981, p.378).

19. A US Congressional Study released in the summer of 1984 revealed that more than 35 million Americans were living under the poverty line (IHT, 8, pp.4-5, 84).

Notes 297

20. As pointed out by Andrew J. Pierre, arms sales or grants to allies are often perceived in the context of creating or maintaining a regional 'balance' of power. Such has been the case of arms deliveries from East and West to the parties in the Israeli-Arab conflict in the Middle East. A similar pattern can be seen between India and Pakistan, or Chile and Peru. The problem is that one nation's balance is often seen as another nation's 'unbalance' thus being in danger of creating regional arms race situations. Such cases exist in the above instances. In Africa, Tanzania and Kenya felt impelled to build up their own military forces through Western aid after Idi Amin in Uganda had received arms from the USSR (cf. Pierre, 1982, p.20).

21. In an unpublished article (June 1987) Leif Rosenberger referred to reports of Soviet deliveries of money and weapons to the communists in Chile and the New People's Army in the Philippines, disguised by using middlemen (cf. Fukuyama, PoC 36/5 1987 p.12)

7 The Internationalisation of Capital and the USSR

1. 'The theory that imperialism was the result of surplus capital was given wide currency at the tum of the century by bourgeois economists like Atkinson in the U.S. and Hobson in England', writes Horace B. Davis. 'The Marxists in the German Social Democratic Party accepted this theory all too readily, (1%7a, p.99). Taken over by Lenin in his pam­phlet on Imperialism . .. (1916a) the theory became almost sacrosanct among orthodox Marxists. Nevertheless this cause-and-effect relation was never established. In fact modem research has shown that from 1870 to 1914 (the period on which Lenin based his theory) both England and France were net importers of capital - Germany as well, at least from 1900. These countries 'drained part of the capital from the rest of the world, merely be reimporting the income from earlier investments and without counting commercial exploitation and terms of trade' (Emma­nuel, 1982, pp.99-1(0). This trend still continues today. Nevertheless the observation was correct in the sense that export of capital did become an important instrument, not only for political domination but also as a means to boost exports, control foreign markets and ensure a supply of needed raw materials (Magdoff, 1982, p.21). But net capital movements were in the opposite direction.

2. For a discussion of this concept, see Raymond Vernon, 1966 and Chris­tian Palloix, 1975. In another study (1977, pp.209-25) Palloix presents the crisis in terms of one of outlets for sector I commodities (means of production) leading to a new form of internationalisation of capital. Ironically, the USSR was a pioneer in this development!

3. According to Richard B. Day, ' ... Lenin equated state capitalism (and NEP) with integrationism' (Day, 1973, p.l04). See also Lenin, c.w., vol.31, pp.493, 495, 499, and vol.32, p.346.

4. Since the 1980s China also has engaged in new types of relations with the world system, inviting foreign firms to establish joint ventures, co­production and so on in China. In Australia, China established a joint venture for the- extraction of raw materials destined for China. This

298 Notes

entire practice is a departure from previously expressed principles of foreign economic relations. In the words of China's then foreign trade minister:

Socialist China will never try to attract foreign capital or exploit domestic or foreign natural resources in conjunction with other countries, as does a certain superpower masquerading under the name of 'socialist'. She will never go in for joint management with foreign countries, still less grovel for foreign loans as does that superpower. (Li Chiang, 1974, p.5)

5. The controversial Soviet-West European gas pipeline is a case in point. Western credits and technology contributed to the Soviet gas production which in the future would permit Soviet foreign currency earnings.

6. Also Western firms have found minority holdings in joint ventures in third countries to be an advantage. In this manner they could extend their control with deployment of less capital. The mere size of these firms, together with their monopoly on licences, spare parts, know-how and so on ensured effective control. Accommodating in this way to nationalist sentiments in the host country, they become less visible targets of public scorn, hiding behind the names of local firms and monopolies.

7. U.N. Department of Economic and Social Affairs: 'Multinational Cor­porations in World Development', United Nations, New York, 1973, p.5.

8. The influence of Western multinational corporations (MNCs) was often a direct or indirect result of government policies in their 'home' country: for example, government contracts to key industries involved in the 'military-industrial complex'; agribusiness. Governments and MNCs often work hand-in-hand. An example was the role played by the American lIT (International Telephone and Telegraph) in having the Allende government of Chile removed in 1973 through CIA covert operations.

9. A process of unequal dev~lopment in productivity was challenging US leadership, creating a situation of increased inter-imperialist competition.

In less than twenty years Japan passed from 5% to 20% of the American GNP, and Europe from 55% to 80%. Between 1959 and 1970, the average annual rate of growth of the United States fluctuated around 3.5%, but Europe's almost reached 5% and Japan's, 10%. The improvements of productivity for ten years reach 150% in Japan and 65% in Europe, but only 32% in the United States. As far as world trade is concerned, while for the same period Japan's share doubles from 3.2% to 6.2% and Europe's progresses from 40 per cent to 44%, the United States sees its relative positions regress from 16% to 13.7%. It should be noted that in 1972 the Japanese foreign currency reserves exceed those of the United States by 50% while those of Europe are five times higher. (Bernos, 1973,215)

10. Cf. Goldman, 1972. See also Aganbegyan in Trud, Aug. 1984, referred to in Chapter 3 p.112.

Notes 299

11. East-West-South tripartite industrial cooperation (TIC) should not be confused with (a) triangular commerce; or (b) trilateral cooperation: (a) is a form of switch-trade, where the East - not least the USSR - sells manufactured goods and equipment to the third world in exchange for raw materials which are then re-exported to the West as payment for imports of high technology to the East; (b) refers to North-South-South cooperation, whereby Western nations provide technology and equip­ment, while 'rich' countries of the South (OPEC) supply the capital for ventures in poor third-world countries. Nor is TIC related to the unof­ficial trilateral contact between industrial nations: United States, Japan and Europe. Although there have been appeals by the 'Trilateral Com­mission' to the Soviet Union for collaboration in the third world (cf. Hosoya et aI., 1977) there is no direct participation of the Soviets in this essentially non-governmental management forum where influential poli­ticians, businessmen and scholars attempt to define common policy lines for core nations.

12. Protocol agreements are a kind of umbrella agreement for the implemen­tation of future joint ventures, between Western firms and Eastern foreign trade organisations for cooperation in third countries.

13. As an example, it was reported that Czechoslovakia wanted joint pro­jects with Spanish firms in Latin America, because, according to a Czech official, 'for political reasons they are in a better position than we are' (NYT, 5.16.1979).

14. 'Since the multinational companies are partially discredited in the Third World, perhaps transideological companies with equal participation from East and West, with each side watching over the other might be able to take over' (Pisar and Levinson, 1974).

15. L. Zurawicki, Sprawy Miedzunarodnowe, no.5, 1978 (in Gutman and Geze, 1980).

16. 'Available evidence indicates that they [Soviet companies] follow fam­iliar commercial norms and that their operations do not differ markedly from those of other foreign-owned firms' (McMillan, 1979, p.645).

17. As a precondition for the core-peripheral relationship in the world hierarchy of states, the international division of labour is subject to constant dynamic change. As Immanuel Wallerstein put it: ' ... at first, wheat was exchanged against textiles; later textiles against steel; today, steel against computers and wheat!' (Wallerstein, 1980, p.l72).

18. In the urgency to improve their balance of payment, many third-world states entered into competition with each other to attract foreign inves­tors. The establishment of free zones was part of this strategy. There is an analogy to Eastern Europe, where Western investors have been attracted by the less expensive, but skilled working class, guaranties against social disorder and so on, as well as guaranteed benevolent cooperation with the government.

19. Traditionally, activities had been concentrated in trade (export-import) as well as in extractive investments, closely linked to the productive system of the 'mother country' (core nation). This resulted in an enclave economy with few linkages and little value added. In the 1970s the share of extractive industries in foreign investment declined. By 1983, direct

300 Notes

private investments were concentrated mainly in manufacturing within the most dynamic sectors (chemicals, rubber, steel, mechanical engin­eering). US investments highlight this development. Their placement in mining, smelting and petrol went from 42.4 per cent in 1967, to 35.4 per cent in 1971, and 17.9 per cent in 1978 (Calcagno and Knakal, in Saunders, 1983).

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Index

Accumulation: of capital, 75, 113, 178-9, 248; global, 2-3, 14, 217; (arms prod. and trade in) 209; primitive, 13, 61; primitive socialist, 56, 61, 83, 88-91, 95, 99, 104, 10~, 113, 128; Soviet, 178; in a Marxist perspective, 286

Afghanistan, 54, 127, 129-31, 143, 147, 150-2, 170, 199-202,204, 206-7,215,224,272,291

Africa, 54, 132, 137, 148, 193,219, 225, 291; (Hom of) 54

Afro-American CP membership, 276

Afro-Asian countries, 154 Agriculture: in Tsarist Russia, 106;

(grain exports) 88; under NEP, 88-9; in the USSR, 90, 113; (restructuring) 116; grain requisitions, 88, 89; grain shortage and export, 88, 90; import of third-world crops, 293; Soviet aid to third world, 175,293; see also Industry and agriculture

Aid: Soviet, 127-32, 164, 182-3, 290-1; (financial conditions) 132-5, 291; (reorientation of) 136-7,241; (export-orientation of) 139-40, 175; (compared with Western) 130-1, 132-5, 144-7; tied aid, 134, 183, 289; Western aid, 127,290

Albania, 35, 73 Alcoholism, 287 Algeria, 33, 40, 131, 136, 151, 171,

199,201-2,213,215 Allegiance to the USSR, 34, 45,

47, 123,205,260 Alliances: with third world, 39, 47,

123; natural ally, 47, 122-25; see also Class

Alternative vision, 46, 56-7; (lack

of) 75, 77, 81, 129, 177, 180, 188,271

Angola, 150-2, 199, 201-2, 213, 215, 271, 291

Annexation, 38, 275, 277 Anti-capitalist strategy, 12, 16ff.,

22, 24ff., 29ff., 259, 279 Anti-imperialism, 19-22, 24-7,

29-30,36-7,40-4,47-9,80, 125, 128-32, 138, 159,216, 271,273,297; (labour aristocracy) 20, 274, 279; see also Lenin

Argentina, 124, 127, 152, 276, 288 Arms race: 168, 209-10; regional,

270, 297 Arms trade: Chinese, 79, 216;

American, 192-3, 196-7; Soviet, 118, 151, 192-204,262, 292; (financial terms) 199; (domestic factors in) Soviet, 194, 207-10; (regional distribution of) 196-8, 206-7; (comparative advantage in) 118, 198, 206, 209-10; (growing competition in) 215-16; global, 215; see also Military

Army: traditional role of, 205; (in a Marxist perspective) 296; see also Red Army

Association of South East Asian Nations (ASEAN), 244

Asia, 16, 25ff., 33, 35, 132, 193, 219,276

Asian Collective Security Association, 130

Aswan Dam, 129, 134,289 Atomic threat, 35, 39, 41 Australia, 297 Austria, 224, 231, 242 Autarky, 4,37,42,59,72,73,76,

140, 150, 218, 236, 264, 277

323

324 Index

'Backwardness', 45, 156; see also Underdevelopment

Balance of power, shift in (global) 34,43,121-2,150,154,159, 269, 295; (regional) 297

Bangladesh, 198,201 Baran, P., 12, 129 Belgium-Luxembourg, 219 Bettelheim, C., 86, 88, 90, 94; 282,

283 . Biafra,200 Bolshevik old, guard, 96-7 Bolshevik Revolution, 3, 22, 23,

29, 30, 48, 51, 56, 81, 83-5, 133; see also Revolution

Brazil, 152, 216, 234, 292 Britain, 12, 219, 230, 243; imperial,

124, 159 Brecht, B., 278 Brezhnev, L., 43, 77, 82, 98, 103,

109, 118, 136, 154-5, 201, 213-14,260,270; (doctrine) 53

Bukharin, N., 20 Bureaucrats, bureaucracy, 85-7,

108,111,117 Burma, 129,246

Cadres,:Party, 84, 87 Canada;'219,24O Capital: centralisation of, 14, 113;

concept of, 287; export of, 217,255,258,297; (Soviet pioneer form) 255; 'goods (overcapacity in) Soviet, 76-7, 126-7,297; (Western) 297

Capitalism: 1-3, 11-14, 16, 21; expansion (effects of) 12,56, 75, 136; (need for) 274, 280; capitalist production relations, 56, 78, 280; (in industry) 92, 283; (in USSR) 117; (global) 2, 3ff., 170, 189-90,263, 271; avoiding, 16ff., 32, 49; non-capitalist development, 44, 47-50, 130, 205, 260, 262; (in Russia) 16-17,48,279; state capitalism (in USSR) 62, 67, 76, 218, 238, 297; (in third world) 165, 262, 289

Carr, E.H., 83-4, 86, 87, 106 Caner, J., 196 Castro, F., 41, 180, 190 Central Intelligence Agency (CIA),

298; on Soviet economy, 58; on Soviet arms exports, 199, 202,296; aid and trade, 289

Centralisation of authority, domestic, 85ff., 91, 110-11; in Comintern, 23-4, 38; of industrial structure, 106

Chabachniki,284 Chile, 278, 297-8 China: view on world system, 78-9,

281-2; Cultural Revolution, 79; Soviet relations with, 38, 49, 73, 78-9, 122, 127, 129, 152,193-5,207,215,271,273, 278, 281-2, 288-9, 296; (CP), 32,42; (ideological dispute) 42; criticism of, 282; joint production with, 176; Sino-Indian conflict, 203, 295-6

Churchill, W., 35, 70 Civil war and intervention,S, 27,

58,84 Class: abolition of, 52, 279;

struggle, 16, 286; (global) 270; (in USSR) 94; alliance, (national bourgeoisie) 25ff., 32-6, 40, 44, 165, 288; (compradore state) 58, 165; formation in USSR, 94, 95, 97, 103, 107, 114,282; (c1ass-in­the-process-of-becoming) 94-7; (nomenclature) 96, 114,287; (state class) 114

Clearing agreements, 142-4, 160, 164, 185

Closed cities, 102-3,285 Closed enterprises, 98, 108 CMEA (Comecon), East European

members, 71-6, 236; see also Investments, Trade, Raw materials

Cold War,S, 36, 71,121,123,241, 263, 270, 288

Collectivisation, forced, 90

Index 325

Colombia, 189 Colonialism, 2, 4, 12-14,32, 57,

75,76, 171; European, 124; (neo-) 2, 43, 58, 124, 127, 130, 153, 165, 167 (no Soviet responsibility for) 164, 166; Tsarist, 276; colonial question (role in strategy) 11, 16-26, 29; colonial world (Soviet relations to) 76, 121; decolonisation, 121-5, 159, 252, 288; (US role in) 2, 123-4, 288; internal colonialism, 83, 106; theory of, 287

Cominform, 36 Comintern (Communist

International), 22-4, 28, 30-4, 48, 50, 260; criticism of, 26-7; Second Internatiorial 18ff., 22, 56; Third, 2211., 274; see also Marx

Commodity agreements, 181-2, 293; fund, 163, 171

Communist threat, alleged, 5, 36 Comparative advantage, 7211., 136,

169,186-7,189,281,290; in arms trade, 118, 198, 206, 209-10; see also Marx

Compensation agreements (payment in kind), 133-4, 138-40, 184, 242, 246; (as pioneer practice) 254·

Competition international, 3, 118, 121-5, 140,

142,150,169,177,188,191, 240-2, 263; (under capitalism) 114; (bloc formation) 269; (to attract investment) 253, 299; (in arms trade) 192,216; inter-imperialist, 56-7, 60, 118, 124, 160, 181, 205;.Soviet-US, 75, 127, 195,214--15,236, 270; (in foreign aid) 129--32; between capitalism and socialism, 3911., 46, 75-6, 128, 159, 160,236-7,241,263; East-West (in third world) 248-9; (seen from South) 213--14; Soviet-third world,

181 (for loans) 252; among socialist countries, 243, 267

Soviet, domestic (socialist) 92-3; (as part of restructuring) 116-18

Complementarity, Soviet-third world, 135; CMEA-third world, 250; East-West, 256; Soviet-Japanese, 293; (erosion of) Soviet-third world, 142, 144, 256, 268; CMEA-third world, 256, 268

Concessions, see Investments Congo Brazzaville, 151 Consumption, 58, 75, 116;

consumerism, 15, 100, 115, 281; consumer goods, lack of, 100, 116

Containment, see United States Convergency theory, 5-6,255,281 CPSU (Communist Party of the

Soviet Union) Congresses, 10th (1921) 64:; 19th (1952) 126; 20th (1956) 38, 53; 22nd (1961) 75; 23rd (1966) 136; 25th (1976) 152, 154; 26th (1981) 152; 27th (1986) 152, 156--7, 170, 178

CPSU Program (1961), 153 Crisis, 3, 32, 60; in

pre-revolutionary Russia, 56; in USSR, 109--13; global, 129, 142, 150,217,237

Cuba, general, 122, 123, 180, 293; revolution, 41; Soviet aid to, 146-7, 175, 180, 190; (sugar deal) 174--5, 187,293; (missile crisis) 41, 195,211; Cuban aid to third world, 291

Currency, hard: problem, 132-4, 142-4, 164, 199, 203, 207, 208-9,240; lack of, 185,230, 233, 243; non-convertible, 199; currency discrimination, 185

Czechoslovakia, 53-4, 242,299

Debt, third-world, 3, 181, 216, 255, 267, 271; rescheduling of, 185

De-linking, see World system

326 Index

Democracy: workers' direct, 111, 116, 288; in C.P. (lack of) 38, 115

Dependency, 72, 262 Depolitisation, of Soviet world

view, 153-8, 167-71, 190,263; see also Ideology

Detente, 6, 43, 123, 150, 166--8, 214,238,241,250,272

Development, 18, 177; Soviet theory of, 43-5, 128--9, 135, 169-70, 248, 251, 263; (change in) 45, 138, 153-8, 167, 290; (domestic strategy), NEP, 88-9, 104-5; post-Lenin, 104-7, 118, 177, 286

Dictatorship: of the proletariat, 50ft.; (in USSR) 86, 282; over needs, 101-2; (international) 50-1,261; bourgeois, 52, 85

Disarmament, 167-8, 210, 215, 271 Diversification, economic, 130-1,

135, 171 Dumping, 183, 185-6, 245

East, peoples of the, 24ff. East Asia, 176 East-West relations, general, 35ff.,

121, 123, 151; economic, 150, 156,233,236--7; (improvement needed to solve North-South issue) 166--8, 293; see also Cold War, Trade, Investments, Competition

Ecological argument, 107, 176--8, 215, 243, 248, 272-3

'Economism', in workers' movement, 15

Egypt, 40, 129-31, 134, 136, 143, 151-2, 185, 194-5, 200, 204, 212, 242, 278, 295

Embargo, Western, 3, 65, 70-1, 277; (in 1980s) 170; of China, 78--9

Engels, F.: Eurocentrism in, 17; on the state, 289; (withering away of) 52; workers sharing colonial feast, 18--19; on export of revolution, 17; on future of

colonial world, 17; evolutionism in, 274

England, see Britain Equality: of parties, 50; of states,

28, 53; social, 92; egalitarianism, attack on, 99

Eritrea, 150, 201 Ethiopia, 140, 150-2, 201-2, 213,

215,276, 296 Eurocentrism, 11ff., 18,22,26,42,

132,260 Eurocommunism, 47 Europe: revolution in, 22-4, 31, 49,

68,276; Eastern, 37-8, 71, 139,176, 219ff., 236--7, 277; (see also CMEA); Western, 70, 177,215; see also Colonialism

Evolutionism: 18, 49, 274; rejection of, 274

Exploitation, in world system, 2-3, 12-14,56,63, 169, 174, 177-8, 180, 189,244, 250, 254, 273, 292; colonial, 146, 153, 157; see also Working class, World system

Extensive growth model, 75

Financial monopoly, 58; see also Debt

Finland, 219, 240 Five Year Plan, see Plan Foreign capital, in third world

(effects of), 153; (role of, in Soviet development theory) 153-4, 186,261; see also Tripartite, Development, Investments

Foreign trade: Soviet, 61-78, 118, 140-4, 150; (as factor in domestic dev.) 137, 150, 156, 290; (monopoly on) 3, 63, 77; (lack of theory on) 73-5, 78, 82, 190,265; see also Arms trade, Trade (pattern in, terms of)

France, 33, 219, 240, 242; French CP, 26, 33, 35, 276, 277

Free trade, 191

Index 327

Freedom of the sea, 161-2,211, 225,292

Friendship agreements, 196, 296

General Agreement on Tariffs and Trade (GATT), 171,244

Genesis: of Soviet system, 113-14; of capitalism, 13-14, 274; see also Marx

Genoa Conference, 65 Georgia, 28 Germany, 22, 33-4, 58, 60, 70, 124,

288; East (GDR), 38, 71, 152, 277,278; West (FRG), 219, 224, 240, 243, 244

Ghana, 40, 129-31, 136, 151 Glasnost, 115, 266 Global issues, 174, 190;

'backwardness' as, 156-7 Gorbachev, M., 54, 113, 117, 152,

157,171,177,199,213,215, 239, 241, 258, 264, 268, 271

Greece: civil war, 36, 277 Growth, concept of, 39, 75, 154,

155,168-9,177,217,253, 265-6, 272; critique of, 129, 177,187,286

Guevara, E., 42, 180 Guinea, 40, 129, 136, 139 Gunboat diplomacy: Soviet, 212;

US, 296

Hegemony: US, 70ff. Soviet, 71, 72 Hierarchy: in world system, 2, 56,

165, 254, 299; in Soviet industrial organisation, 92; in CPSU, 87, 284; of Soviet rural-urban locations, 102-4; of decisions, 110

Hilferding, R., 21 Hitler-Stalin Non Aggression

Treaty, 34, 276 Ho Chi Minh, 26 Hoarding, 101-2 Hobson, J.A., 13-14,21 Holland, 129, 194; Dutch CP, 18 Hungary, 22, 38, 53, 242-3

Ideology, 11, 20-1, 35, 40, 170, 214, 225, 246, 249-50, 264,

270,292; erosion of, 100, 257; de-ideologisation, 215, 233, 250, 257, 260, 292; 'trans-ideology', 246, 299; ideological mobilisation (domestic) 91-3, 97,114,284; see also depolitisation

Imperialism, 19-21, 39, 63, 80, 153-4, 214, 266, 277; concept of, 217, 297; see also Capitalist expansion, Anti-imperialism

Incentives, 92, 99-100, 114-16, 266, 285; non-monetary, 99-101

Independence, national: 33, 35, 74, 80; economic, 146, 153-4, 159, 160; obstacle to, 2-3, 249, 255

India 12-13, 19,49, 124,282; war ~th Pakistan, 150; Soviet relations with, 127, 129-32, 134-5, 143-5, 149, 150, 165, 173, 184-5, 196, 198, 199, 201-2, 206, 213, 216, 219, 234, 240, 242, 244, 294-6, 297; Indian CP (M.N.Roy), 25, 32-3; Congress Party, 33

Indonesia, 124, 129, 136, 152, 194, 202,288; Indonesian CP, 26

Industrial cooperation, see Investments

Industrialisation: in Europe, 13; in USSR, 58, 62, 83, 95, 104-7, 283,286; (industrial structure) 192, 194, 208; Soviet, in third world, 129-30, 142, 171,248, 261; import-substitution, 183, 252-3; export-led, 139-40, 171, 253, 299 (in CMEA) 299

Industry and agriculture relationship, in USSR, 61ff., 65, 89, 105-7; in third world, 290

Inequality: among nations, 80, 153; in world system, 2-3, 14, 190; Soviet, domestic, 99-104, 102-4,285,287; in CPSU, 100, 284; as outcome of reforms, 115-17,387

Intensification: of economy, 75, 112, 114, 156; work norms, 93

328 Index

Interdependence, 45, 64; global, 138,155,190,257,263

Integration: Soviet, in world market, 77ff., 150, 152, 163, 167,219,241,257,258,260, 263ff.; Soviet concept of, 156; socialist, 73, 75, 154-5, 217; CMEA in world market, 174, 241; integrationism, 59ff., 63, 76

Inter-imperialist, see Competition International, see Comintern International division of labour: 2,

12-14,45, 55ff., 67, 76, 78, 118, 123, 128, 136-7, 150, 152, 155-7,160,167,171,179, 190-1,219,241,244-50,257, 282,299; changes in, 142, 171, 252-5,261,263-5,299; socialist, 42, 47, 72ff., 78ff., 82, 157; opposition to, 80, 190, 282; New i.d.l., 171,218,253, 262

Internationalisation, of capital, 187, 217-1B, 235, 242, 249, 254, 297

Internationalism, proletarian, 29, 50, 68, 136; see also Anti-imperialism, Comintem

International Monetary Fund (IMF), 185, 216, 244, 267, 279

Interventionism: Soviet, 17,30, 53ff., 151-2,215,270; US, 5, 36, 53, 216, 295

Investments: foreign, (concessions, in Russia), 60, 63, 65, 84; (in China), 78, 277; (in USSR), 61,217,224,298; (in Eastern Europe), 236-41; Soviet (in West and third world), 139-40, 217-36; East European (in West), 224-36; (in third world), 224, 242-5; Chinese, 297; nature of Soviet, 225, 231, 299; changes in pattern of, general (in third world) 253, 299; industrial cooperation, 238-41, 244; see also Joint ventures; Tripartite cooperation

Iran, 131, 134, 137, 139, 143, 198, 219,224, 225, 296

Iraq, 131, 136, 139, 196, 198-9, 201-2, 243, 246, 296

Irish question, 12, 16, 273 Iron Curtain, 35, 237 Islam (denunciation of) 276 Isolation, 31, 56, 60, 64, 66ff., 70,

215 Isolationism, 59ff., 78, 190, 295 Italy, 219, 240, 255, 276-7, 288;

Italian CP, 35

Japan, 33, 56, 58, 78, 124, 173, 176-7, 219, 240, 255, 287-9, 293; (the Kuriles) 277; relations to US, 152

Joint ventures: Soviet, 224-30, 234-6,244; (ownership form) 225; Western, 298; (in USSR), 239-41, joint production, in third world, 139-40, 234-5, in· USSR, 176,234; see also tripartite

Jordan, 198 Juche, 80

Kampuchea, 54, 150, 215 Kautsky, K., 276 Kenya, 152, 297 Khrushchev,N., 39ff., 54, 75, 96,

129-30, 136, 193, 205, 278, 290 Korea, Democratic People's

Republic of, 35, 37, 41-2, 73, BOff., 129, 182,271; Korean War, 127, 193-5,277,288,295

Kosygin, A., 136 Kronstadt, 85 Kurds, 201 Kuwait,152

Labour: alienation of, 94; subordination of, 91-4, 104, 106, 110; (female) 106; discipline, 92-3, 283; (lack of) 91, 98, 108, 110,266; unions, 92, 283; market, 284; motivation, 101; shortage, 98, 112; aristocracy (theory of)

Index 329

20ff., 157,260,274; see also Working class

Lafargue, P., 15,273 Land reform, 84 Latin America, 26, 33, 124, 132,

137, 192,219,246,252,292, 295, 299; CPs, 33

Law of the Sea, 160-2, 178 Laws, economic: general 294;

under socialism, 77, 109-11, 281; of capitalism, 153, 179, 188-9

Law of value, 189-90 LDCs, see Third World League of Nations, 276 Lebanon, 219, 242 Lenin, V.I., contradiction in, 51,

289; on capitalism in Russia, 279; on state capitalism in USSR, 62; on direct democracy, 87, 111; on Taylorism, 92, 283; on labour unions, 283; on global anti-imperialism, 19-21, 24-5, 49, 56, 274, 276, 279; on national self-determination, 275; on annexations, 275; on development strategy, 104, 283; on nationalisation v. socialisation, 111, 287; on labour aristocracy, 20, 274; on imperialism, 19-21,217,297; on relationship to world capitalism, 59-65, 236, 238; on uneven development, 57; on nationalism, 27-9; on oppressed and oppressing nations, 25, 259; on export of revolution, 28; critique of Stalin, 28; on vanguard party, 30, 51; on formation of USSR, 28; on the state, 29; on international proletarian dictatorship, 50-1; the 'Leninist mutation', 48-9

Leninism, 29-30 Liberalisation, 75, 94, 237; see also

Restructuring Liberation struggle (movements of

national liberation) 2, 16, 25, 32-3, 36, 40-1, 46, 123-5, 159, 195, 216, 288, 297; (in Soviet strategy) 36, 39, 49; economic, 155, 159; see also Independence

Libya, 198-9, 202 Limitchiks, 103, 285 List, F., 57 Luxembourg, R., 21, 51, 274, 277

Malaysia, 137 Mali, 40, 136, 151 Manila Declaration (1972), 164 Mao Zedong, 78 Market: mechanisms in USSR, 113,

116--18; see also World market Marketing, 58, 236, 241-3, 245--6,

255 Marl', K.: Eurocentrism in, 11,

259; on colonialism, 11-14; j::oncept of capital, 287; on genesis of capitalism, 13-14, 259; on primitive accumulation, 13-14; unequal exchange, 14, 187; on proletarian dictatorship, 52, 279; unavailability of his texts, 30; significance of world trade, 13-14,61,187,273; concept of productive forces/relations of production, 286; concept of the state (and lack of, on transitional state) 279; view on socialism, 279; view on revolution, 281; on free trade, 191, 188; abolition of wage labour, 273, 279, 286; of classes, 279; disposable time as measure of wealth, 265; accumulation as heart of capitalist m. of production, 286; on socialist distribution, 285; development in Marxist perspective/transcending capitalism, 286; on property, 294; decolonisation as condition for workers' emancipation, 16, 259, 273;

330 Index

rejection of unilinear evolutionism, 18, 49, 274; model of expanded reproduction, 274; view on International, 23, 29, 275; on comparative advantage, 73; practice as foundation of theory, 276; on party, 51; on non-capitalist road in Russia, 16-17,48-9,68

Marxism, crisis in, 5; Soviet, 30-1 Marxism-Leninism, 11, 30-1, 37,

277 Messianism, 17,215,270 Mexico, 152, 219, 234; Mexican

CP,26 Middle East, 127,201,209,213,

219 Militarisation, global, 209, 214-15;

of third world, 193,204, 214-15

Military: Soviet (general), 7, 107, 150-1, 118,288; (build-up), 43, 213; (military-industrial complex), 107-9, 114, 116, 207,209; (expenditures, general) 167; (difficulties of ascertaining), 196, 295; (assistence), 131, 159, 192-210, 289; (to Korea and China) 193-4; (to Vietnam) 41, 195; (to national liberation movements) 195, 201; (third world need for) 194; (technical assistence) 200-2; (production in third world), 202-4; (direct involvement) 200-1; East European (assistence) 201-2; US (build-up) 214; (military-industrial complex) 292; (assistance programme, MAP) 192-3; European (colonial set-up) 193,295; see also Arms, Red Army, Navy

Military bases, Soviet, 212-13; coups, 204-5; regimes (Soviet support for) 204-7

Mills, C.W., 83, 108, 122, 129,281 Modus vivendi, 59

Monoculture, 153, 174 Monopoly, 18~, 188, 190, 298 Monroe doctrine, 124 Morocco, 137, 139, 151, 219, 243 Mozambique, 151,213,271,291, Multinationals, Western, 130, 162,

218,233, 238, 241, 244, 24Q, 252,254,298-9; Soviet, 235; East European, 293

Mutual benefit, 130, 136, 175, 187, 238,257

Nairobi conference, 166 Nationalism: bourgeois, 22, 27; in

USSR, 84, 97, 99 National question, 27ft., 38, 106,

117,268,271,276,287 National democracy, 39-40 National self-determination, 27ft.,

38,53,275 Nationalisation, general, 225, 253;

in USSR, 3, 86, 91, 111,287; recommended in third world, 131; see also Public sector

Nazism, 33 Natural resources, see Raw

materials Navy, Soviet, 161, 210-13; (world

role) 211-12; US, 211, 213 Neo-colonialism, see Colonialism New Economic Policy (NEP), 61-3,

65,67,88-9,91,218,238,282, 297; (as model for third world) 290

New International Economic Order (NIEO), 3, 163-{j, 168-70, 174, 190, 261, 272, 296; (new Soviet version) 168-9

New Thinking, 109, 155-8, 170, 215, 271, 292

Nicaragua, 271 Nigeria, 137, 140,200,219 Nixon, R., 278 Non-alignment, 47, 122, 260 Non-interference, 30, 47, 122, 260,

271 Non-reciprocity, 130, 136, 163, 188 North-South confrontation, 159-{j6,

163,272: (distraction from)

Index 331

214,296; (dependent on East-West relation) 166-8, 214

Novosibirsk Report, 109--10

October Revolution, see Bolshevik Revolution

Oil: Soviet (export of) 172; (import of) 199; CMEA needs, 181; embargo, 163, 181; price increase, 179, 242; decline, 209

Oil-producing states (OPEC), 163, 181, 242

Overproduction, 63, 77

Pakistan, 143, 150,297; East P., 185

Party, concept of vanguard, 22, 23, 30-1,51; nature of Soviet, 86ff., 96-7; alienation of third world parties, 33, 295

Pass-system, 90, 93, 103-4,285 Pattern of exchange, see Trade Peace, 168; threat to, 157 Peace zone, 39 Peaceful coexistence, 39f[., 43, 54,

127-8, 271, 278; break with, 47, 150; US-Soviet, 40-2, 195, 214-15, 295

Peaceful, see Transition Peasants: Soviet, 84, 88-9, 103,

105-6, 285; role in third world revolution 44; peasant-worker alliance, 45, 62, 84, 89, 90, 105

People's Democracies, 35 People's Front, 33 Perestroika, see Restructuring Periphery, 2,3,48,57-8,259;

peripheral state, 130, 289; see also Third world

Peru, 219, 297 Philippines, 123, 137, 219, 295 Planning: 3; origin of idea, 280;

planned proportionality, 77; planning system, 101-2, 107-8, 110,287; reform of, 116-17

Plans, Five-Year, 184, 208 Poland, 28, 38, 54, 170,225, 243 Polarisation: global, 165, 272;

domestic, social, 165, 248; (in

third. world) 262; (in US) 296 Portugal, 150; colonialism, 201 Power struggle, domestic, 67, 89,

96; global, 118, 121-5; see also Competition

Preobrajensky, E., 88, 128 Price reform, Soviet, 117, 258, 266 Private initiative, 62 'Product life cycle', 218, 297 Productive forces: theory of, 12ff.,

18, 43, 104; and socialist construction, 104, 109; non-correspondence with production relations, 110-11; see also Marx

Production relations: global, 2ff.; Soviet, domestic, 94, 186, 280; (outdated) 109-11; capitalist, 56, 78, 280; non-capitalist, 48; capital as, 287; see also Marx

Productivist ideology, 15, 18, 95, 126, 128-9, 169; critique of, 286; see also Productive forces, growth

Profit motive, 114, 115, 174 Proletariat, in Bolshevik thinking,

95; power, 77; see also Working class, Dictatorship

Property: and the state, 91, 94, 186, 294; abolition of, as prerequisite for socialism, 91, 94, 109, 111, 238; as social relation, 111,294; see also Marx

Protectionism, 3, 63, 171, 185-6, 191,216,233,240-1,252,255, 267

Protocol agreements, 243, 299 Public sector: and development,

130-2, 134-5, 164, 253, 262, 289; Western bias towards, 130, 134-5, 289; bias abandoned, 253-4

Purges, 93, 96-7

Raw materials: Soviet, domestic, 78, 110, 112, 175; (export of) 64, 69, 172, 176,234, 238; (import of) from third world,

332 Index

126, 137-8, 174-6, 296; (need for) 242; East European import needs, 169, 225, 242; West European needs, 242; joint production of, (in third world) 139-40, 224-5; (in the USSR) 176,298, 224; third world specialisation on, 153, 164; (harm of) 171, 175-77; Soviet demand for guaranteed access to, 178; Soviet exploration of the sea, 161-2, 292

Reagan, R., 214-15, 241 Red Army, 28, 38, 54, 85--6, 276;

see also Military Reformism, in workers' movement,

15, 18 Reform movement: Soviet, 111,

115-18, 266; Eastern Europe, 54,257

Repression, see Surplus value, Purges

Restructuring: in USSR, 115-18, 258,265-6; (contradiction in) 117,18,266; global, 115, 165, 167,174,254,266,288

Revolution: world, 45ff., 128, 260; export of, 17,28; from above, 30, 90; from without, 30, 268; precondition for, 46, 83-4; see also Marx, Bolshevik, Substitutionism

Revolutionary forces, see Three currents

Revolutionary strategy, see Anti-imperialism, Anti-capitalism

Rhodes, Cecil, 20 Rhodesia, 150, 201 Right deviation, 32 Romania, 225 Rouble, transferable, 290, 141;

convertible, 258; value of, 185 Rupture, 3, 58, 154, 280; see also

World system Russia: pre-revolutionary, 56, 60,

68,83-4,87-8,280,282;

revolution in, 17; see also Soviet experience

Russification: of International, 24, 37; of revolutionary process, 39,46-7,66; Russo-centrism, 46,160,260

Russo-Japanese War, 56

Saudi Arabia, 152 Secret treaties, denunciation of,

275 Self-reliance, 37, 41, 47, 58, 66,

78ff., 165, 190,260,294-5; collective, 79, 190, 256, 260 (criticism of) 47, 282

Shanghai, 32 Singapore, 137, 140,219 Slavery, 13 Social: insecurity, 116; (lack of)

114; mobility, 97-8 Socialism: concept of,S, 11,279;

Soviet concept of, 91, 109, 186; in one country, 31, 39, 50, 58, 65ff., 237; first socialist state, 11, 30, 34; socialist distribution, 100, 285

SoCialist, see World market; Transition

Socialist orientation, states 01, 146, 151-2, 157, 198,261,271

Somalia, 150, 200-2, 212, 296 South Asia, 127 SOl,lth East Asia, 54, 127, 150, 151 South Yemen, 15F2, 213 Soviet experience, 3-4,37,83,89,

113-15,177; self-perception, 7, 12, 19, 30, 53, 59; national interests, 31,136-7,181,192, 212,294 (strategic) 206-7, 214, 248, 296; international role, 43, 111-12, 152; society (nature of) 88; domestic debate, 45, 153, 156-7,291; New Left, 117; state, 51-3, 58, 94, 126, 279, 281; 'state of the whole people', 52, 261; bloc, 71ff.; see also Third world, Russia

Index 333

Spain, 123, 277, 299 Stalin, J., 37ff., 52, 66ff., 71, 76,

82,88,96,99,104,126,237, 276

State: in Bolshevik problematic, 85-6; (see also Engels, Lenin, Marx, Capitalist, Soviet, Periphery) state intervention (third world) 252; (West) 255

State sector, see Public State ownership, see Property Strategic interests, see Soviet

experience Substitutionism, 44--5, 49ff., 215,

261 Surplus value: realisation, 209, 274;

extraction 75, (in USSR) 88ff., 113; subordination to, 96, 99, 104, 265, 283; (workers) 94, 104, 106, 110, 265; (peasants) 90; see also Unequal exchange

Sweden, 240 Sweezy, P., 5, 12,86,94-5, 278· Switzerland, 240 Syria, 131, 143, 196, 199,202,246

Tanzania, 177, 180,292,297 Tax in kind, 61 Taylorism, 92, 283 Technology: Soviet (domestic)

109-10, 209-10, 264; (needs) 254, 264; (import of), 58, 61, 77,118,156,237,239,240-1, 281; technical assjstence to third world. 147-9,235, 249, 291; education, 148-9

Tension, international, 5-6, 152, 198, 214, 270

Test Ban Treaty, 41 Thailand, 152, 295 Third world: 2-3, 6; unity of, 159;

(Group 77) 163-4; diversity of, 142, 172; debt, 142, 145, 181, 215; comInon interest with Soviet bloc, 47, 122-3, 170; disagreements with Soviet bloc, 159-91, 170, 174,294; competition (with CMEA),

142; (with USSR), 142; demands, 161, 163, 188, 294; (from CMEA), 164, 189-90; Soviet relations with 118, 121, 126-58, 180, 189; see also NIEO, Trade (pattern of, terms of), Investments

Three currents, 46, 260 Tito-Stalin rift, 43 Trade: with third world, (Soviet)

131, 140-4; (Soviet, longterm cooperation) 139, 167, 184; (Eastern Europe) 143, 164; (West) 141; Soviet-Eastern Europe, 174; East-West, 127, 150,156,176,182-4,237; discrimination, 168-71, 182--6; . complementarity, (Soviet-third world) 135; (Soviet-Japanese) 293; (Soviet-US) 150; erosion of complementarity, (Soviet-third world) 142, 144, 256; (CMEA-third world) 256; intra-company, Western, 255; South-South cooperation 218, 236,256

Trade, pattern of: general, 172-8; Soviet-third world, 172-3, 183; East-West, 172; CMEA-third world, 173-4; switch trade, 224,299; general agreements, 243-5; Soviet sales promotion, 234,240; see also Arms trade, Monoculture, Unequal exchange

Trade, terms of: 163, 178-82,293; deterioration of, 3, 142, 177, 181, 187, 293; (in Soviet-third world) 160, 182--6; (within CMEA) 267; Soviet bargaining power, 182--6; favourable price arrangeme)lts, 146-7, 174-5, 180; unfavourable divergence from world prices, 182--6, 193-4

Transition, socialist, 68, 282; peaceful, to socialism, 39ff. (discussion of) 278

334 Index

Tribute: colonial 58ff., 63, 260 (lack of) 83; internal in USSR, 83,88-91,95,105-6

Trilateral Commission, 299 Tripartite cooperation TIC: 242-9;

in competitive strategy, 255-6; perspectives, 256-7

Trotsky, L., 22, 60, 65ff. Truman doctrine, 35ff. Tzarism, see Russia

Uganda, 297 UNCTAD (United Nations

Conference on Trade and Development) I (1964) II (1968) 160; III (1972) 160; Seminar (1975) 249-51; IV (1976) 164, 166; V (1979) VI (1983) 170; VII (1987) 171

Ultra-left, 32 Underdevelopment, 12, 45, 132,

160, 165, 179 Uneven development, 3, 14, 56, 57,

74, 237, 298; see'also Polarisation

Unequal exchange, 2-3, 14, 57, 73, 76,178,187,189-90,290; Soviet ( domestic) 105; see also Surplus value

Unilinear development, see Evolutionism

Union of Soviet Socialist Republics (USSR), establishment of 28; achievements, 58; see also Soviet experience

United Arab Republic (UAR), see Egypt

United Front, 32, 170 United Nations, 54,127, 163, 177,

215 United States of America (USA):

domestic, 296; neocolonialism, 2, 124, 177; aid to decolonisation, 2, 123-4, 288; foreign assistence (compared with Soviet, see Aid) (to USSR, Lend Lease Programme) 70; foreign policy, 70, 288; containment, 130;

US-Chinese relations 78ff., 127; interventions, (in third world) 123-4, 127, 270, 288; Soviet cooperation with, 41, 54, 150, 160,278, 291; rivalry with, 75, 123-5, 152,270,291; see also Competition

Unofficial economy, Soviet, 101, 285

Use value and exchange value, contradiction, 101

Value, see Law of Vanguard: revolutionary, 45;

parties in third world, 151-2, 291; see also Party

Versailles, 280 Vietnam, Detrlocratic Republic of,

41, 122, 124, 129, 151, 194-5, 201,213,271,288,295; Vietminh, 124, 288; South Vietnam, national liberation front, 41, 278, 295; Soviet coproduction with, 176

Voluntarism, 48, 68, 87

Wage-labour: abolition of, 15, 48, 273; and capital, 15,20

War, 167,216,292; threat of, 60, 105--6, 216; see also Tension

War communism, 61, 87-8, 91 War reparations, 71 Working class: weakness of (third

world), 43, 44, 260; (Soviet) 51, 84--6; Soviet, in general, 1l(}-12; role in revolution, 51; subordination of Soviet, 91~; expectations, 98; resistance, 94, 117; right to quit job, 98, 284; workers' councils, 91; alliance; see also Peasants, Labour

World Bank (IBRD), 133, 185, 216, 244, 252

World economy, Soviet doctrine of, 155, 169-70; see also World system

World Federal Soviet Republic, 23 World market: 14,20, 56ff., 188,

Index 335

216; socialist, 71, 74, 126, 130, 154-5: two w.m. theory, 45, 126, 155, 166,282; one w.m., 155,205

World market prices, 73, 178-82, 188-9; in CMEA, 267; see also Trade (terms of)

World system, 2ft., 12-14, 16, 20, 36--7,43,45, 56ff., 78, 81,121, 124, 126, 164-5, 180, 248, 272, 280; de-linking from, 36, 45, 57,71,81,153-4,167,280; Soviet position in, 118, 155-8, 163, 157-8, 279-80; need for

third world adaptation to, 139, 151-8, 169-70, 261; need to transcend, 190; arms production and trade in, 209, 215

World trade, 13ft., 56ft. World War I, 56; II, 34, 81, 124,

288

Yalta Conference, 35, 277 Yugoslavia, 35, 216

Zhdanov doctrine, 36, 70 Zinoviev, G., 25