ABSTRACT

This chapter describes reproduction under concrete capitalism to an analysis of equilibrium in the Soviet economy and discusses the period of "War Communism". An analysis of equilibrium conditions in the Soviet economy necessitates the division of the economy into three sectors: the state sector, the private capitalist sector, and the sector of simple commodity production. Economic equilibrium in the Soviet system during the period of primitive socialist accumulation differs from the period of War Communism. The contradiction between city and country grew, and the peasant uprisings in late 1920 and early 1921 brought attention to bear on the urgent question of how the system of exchange in the Soviet economy could be adapted to the conditions of commodity production in agriculture. Marx's analysis of proportional distribution of labor under pure capitalist reproduction began with equivalent exchange as a necessary premise.