to deal with that in detail; the capture of Vladivostok, the ensuing demonstration and the declaration of federation which you read in the press the other day have proved and shown with the utmost clarity that no changes are necessary in this respect. The road we are on is absolutely clearly and well defined, and has ensured us success in face of all the countries of the world, although some of them are still prepared to declare that they refuse to sit at one table with us. Nevertheless, economic relations, followed by diplomatic relations, are improving, must improve, and certainly will improve. Every country which resists this risks being late, and, perhaps in some quite substantial things, it risks being at a disadvantage. All of us see this now, and not only from the press, from the newspapers. I think that in their trips abroad comrades are also finding the changes very great. In that respect, to use an old simile, we have not changed to other trains, or to other conveyances.
But as regards our home policy, the change we made in the spring of 1921, which was necessitated by such extremely powerful and convincing circumstances that no debates or disagreements arose among us about it -- that change continues to cause us some difficulties, great difficulties, I would say. Not because we have any doubts about the need for the turn -- no doubts exist in that respect -- not because we have any doubts as to whether the test of our New Economic Policy has yielded the successes we expected. No doubts exist on that score -- I can say this quite definitely -- either in the ranks of our Party or in the ranks of the huge mass of non-Party workers and peasants.
In this sense the problem presents no difficulties. The difficulties we have stem from our being faced with a task whose solution very often requires the services of new people, extraordinary measures and extraordinary methods. Doubts still exist among us as to whether this or that is correct. There are changes in one direction or another. And it should be said that both will continue for quite a long time. "The New Economic Policy!" A strange title. It was called a New Economic Policy because it turned things back. We are now retreating, going back, as it were; but we are doing so in order, after first retreating, to take a running start and make a bigger leap forward. It was on this condition alone that we retreated in pursuing our New Economic Policy. Where and how we must now regroup, adapt and reorganise in order to start a most stubborn offensive after our retreat, we do not yet know. To carry out all these operations properly we need, as the proverb says, to look not ten but a hundred times before we leap. We must do so in order to cope with the incredible difficulties we encounter in dealing with all our tasks and problems. You know perfectly well what sacrifices have been made to achieve what has been achieved; you know how long the Civil War has dragged on and what effort it has cost. Well now, the capture of Vladivostok has shown all of us (though Vladivostok is a long way off, it is after all one of our own towns) (prolonged applause ) everybody's desire to join us, to join in our achievements. The Russian Soviet Federative Socialist Republic now stretches from here to there. This desire has rid us both of our civil enemies and of the foreign enemies who attacked us. I am referring to Japan.
We have won quite a definite diplomatic position, recognised by the whole world. All of you see it. You see its results, but how much time we needed to get it! We have now won the recognition of our rights by our enemies both in economic and in commercial policy. This is proved by the conclusion of trade agreements.
We can see why we, who eighteen months ago took the path of the so-called New Economic Policy, are finding it so incredibly difficult to advance along that path. We live in a country devastated so severely by war, knocked
out of anything like the normal course of life, in a country that has suffered and endured so much, that willy-nilly we are beginning all our calculations with a very, very small percentage -- the pre-war percentage. We apply this yardstick to the conditions of our life, we sometimes do so very impatiently, heatedly, and always end up with the conviction that the difficulties are vast. The task we have set ourselves in this field seems all the more vast because we are comparing it with the state of affairs in any ordinary bourgeois country. We have set ourselves this task because we understood that it was no use expecting the wealthy powers to give us the assistance usually forthcoming under such circumstances. After the Civil War we have been subjected to very nearly a boycott, that is, we have been told that the economic ties that are customary and normal in the capitalist world will not be maintained in our case.
Over eighteen months have passed since we undertook the New Economic Policy, and even a longer period has passed since we concluded our first international treaty. Nonetheless, this boycott of us by all the bourgeoisie and all governments continues to be felt. We could not count on anything else when we adopted the new economic conditions; yet we had no doubt that we had to make the change and achieve success single-handed. The further we go, the clearer it becomes that any aid that may be rendered to us, that will be rendered to us by the capitalist powers, will, far from eliminating this condition, in all likelihood and in the overwhelming majority of cases intensify it, accentuate it still further. "Single-handed" -- we told ourselves. "Single-handed" -- we are told by almost every capitalist country with which we have concluded any deals, with which we have undertaken any engagements,
* In the verbatim report the text reads further: "and that even if we took into consideration the extremely high, say such-and-such a rate of interest, that is imposed in these circumstances on a country that, to use the accepted term, is rendered aid. Properly speaking, these rates of interest are very far from being aid. To put it bluntly, they would deserve a far less polite term than the word aid, but even these usual conditions would have been onerous for us." --Ed.
with which we have begun any negotiations. And that is where the special difficulty lies. We must realise this difficulty. We have built up our own political system in more than three years of work, incredibly hard work that was incredibly full of heroism. In the position in which we were till now we had no time to see whether we would smash something needlessly, no time to see whether there would be many sacrifices, because there were sacrifices enough, because the struggle which we then began (you know this perfectly well and there is no need to dwell on it) was a life-and-death struggle against the old social system, against which we fought to forge for ourselves a right to existence, to peaceful development. And we have won it. It is not we who say this, it is not the testimony of witnesses who may be accused of being partial to us. It is the testimony of witnesses who are in the camp of our enemies and who are naturally partial -- not in our favour, however, but against us. These witnesses were in Denikin's camp. They directed the occupation. And we know that their partiality cost us very dear, cost us colossal destruction. We suffered all sorts of losses on their account, and lost values of all kinds, including the greatest of all values -- human lives -- on an incredibly large scale. Now we must scrutinise our tasks most carefully and understand that the main task will be not to give up our previous gains. We shall not give up a single one of our old gains. (Applause. ) Yet we are also faced with an entirely new task; the old may prove a downright obstacle. To understand this task is most difficult. Yet it must be understood, so that we may learn how to work when, so to speak, it is necessary to turn ourselves inside out. I think, comrades, that these words and slogans are understandable, because for nearly a year, during my enforced absence, you have had in practice, handling the jobs on hand, to speak and think of this in various ways and on hundreds of occasions, and I am confident that your reflections on that score can only lead to one conclusion, namely, that today we must display still more of the flexibility which we employed till now in the Civil War.
We must not abandon the old. The series of concessions that adapt us to the capitalist powers is a series of
concessions that enables them to make contact with us, ensures them a profit which is sometimes bigger, perhaps, than it should be. At the same time, we are conceding but a little part of the means of production, which are held almost entirely by our state. The other day the papers discussed the concession proposed by the Englishman Urquhart, who has hitherto been against us almost throughout the Civil War. He used to say: "We shall achieve our aim in the Civil War against Russia, against the Russia that has dared to deprive us of this and of that." And after all that we had to enter into negotiations with him. We did not refuse them, we undertook them with the greatest joy, but we said: "Beg your pardon, but we shall not give up what we have won. Our Russia is so big, our economic potentialities are so numerous, and we feel justified in not rejecting your kind proposal, but we shall discuss it soberly, like businessmen." True, nothing came of our first talk, because we could not agree to his proposal for political reasons. We had to reject it. So long as the British did not entertain the possibility of our participating in the negotiations on the Straits, the Dardanelles, we had to reject it, but right after doing so we had to start examining the matter in substance. We discussed whether or not it was of advantage to us, whether we would profit from concluding this concession agreement, and if so, under what circumstances it would be profitable. We had to talk about the price. That, comrades, is what shows you clearly how much our present approach to problems should differ from our former approach. Formerly the Communist said: "I give my life", and it seemed very simple to him, although it was not always so simple. Now, however, we Communists face quite another task. We must now take all things into account, and each of you must learn to be prudent. We must calculate how, in the capitalist environment, we can ensure our existence, how we can profit by our enemies, who, of course, will bargain, who have never forgotten how to bargain and will bargain at our expense. We are not forgetting that either, and do not in the least imagine commercial people anywhere turning into lambs and, having turned into lambs, offering us blessings of all sorts for nothing. That does not happen, and we do not expect
it, but count on the fact that we, who are accustomed to putting up a fight, will find a way out and prove capable of trading, and profiting, and emerging safely from difficult economic situations. That is a very difficult task. That is the task we are working on now. I should like us to realise clearly how great is the abyss between the old and the new tasks. However great the abyss may be, we learned to manoeuvre during the war, and we must understand that the manoeuvre we now have to perform, in the midst of which we now are, is the most difficult one. But then it seems to be our last manoeuvre. We must test our strength in this field and prove that we have learned more than just the lessons of yesterday and do not just keep repeating the fundamentals. Nothing of the kind. We have begun to relearn, and shall relearn in such a way that we shall achieve definite and obvious success. And it is for the sake of this relearning, I think, that we must again firmly promise one another that under the name of the New Economic Policy we have turned back, but turned back in such a way as to surrender nothing of the new, and yet to give the capitalists such advantages as will compel any state, however hostile to us, to establish contacts and to deal with us. Comrade Krasin, who has had many talks with Urquhart, the head and backbone of the whole intervention, said that Urquhart, after all his attempts to foist the old system on us at all costs, throughout Russia, seated himself at the same table with him, with Krasin, and began asking: "What's the price? How much? For how many years?" (Applause.) This is still quite far from our concluding concession deals and thus entering into treaty relations that are perfectly precise and binding -- from the viewpoint of bourgeois society -- but we can already see that we are coming to it, have nearly come to it, but have not quite arrived. We must admit that, comrades, and not be swell-headed. We are still far from having fully achieved the things that will make us strong, self-reliant and calmly confident that no capitalist deals can frighten us, calmly confident that however difficult a deal may be we shall conclude it, we shall get to the bottom of it and settle it. That is why the work -- both political and Party -- that we have begun in this sphere must be
continued, and that is why we must change from the old methods to entirely new ones.
We still have the old machinery, and our task now is to remould it along new lines. We cannot do so at once, but we must see to it that the Communists we have are properly placed. What we need is that they, the Communists, should control the machinery they are assigned to, and not, as so often happens with us, that the machinery should control them. We should make no secret of it, and speak of it frankly. Such are the tasks and the difficulties that confront us -- and that at a moment when we have set out on our practical path, when we must not approach socialism as if it were an icon painted in festive colours. We need to take the right direction, we need to see that everything is checked, that the masses, the entire population, check the path we follow and say: "Yes, this is better than the old system." That is the task we have set ourselves. Our Party, a little group of people in comparison with the country's total population, has tackled this job. This tiny nucleus has set itself the task of remaking everything, and it will do so. We have proved that this is no utopia but a cause which people live by. We have all seen this. This has already been done. We must remake things in such a way that the great majority of the masses, the peasants and workers, will say: "It is not you who praise yourselves, but we. We say that you have achieved splendid results, after which no intelligent person will ever dream of returning to the old." We have not reached that point yet. That is why NEP remains the main, current, and all embracing slogan of today. We shall not forget a single one of the slogans we learned yesterday. We can say that quite calmly, without the slightest hesitation, say it to anybody, and every step we take demonstrates it. But we still have to adapt ourselves to the New Economic Policy. We must know how to overcome, to reduce to a definite minimum all its negative features, which there is no need to enumerate and which you know perfectly well. We must know how to arrange everything shrewdly. Our legislation gives us every opportunity to do so. Shall we be able to get things going properly? That is still-far from being settled. We are making a study of things. Every issue of
our Party newspaper offers you a dozen articles which tell you that at such-and-such a factory, owned by so-and-so, the rental terms are such-and-such, whereas at another, where our Communist comrade is the manager, the terms are such-and-such. Does it yield a profit or not, does it pay its way or not? We have approached the very core of the everyday problems, and that is a tremendous achievement. Socialism is no longer a matter of the distant future, or an abstract picture, or an icon. Our opinion of icons is the same -- a very bad one. We have brought socialism into everyday life and must here see how matters stand. That is the task of our day, the task of our epoch. Permit me to conclude by expressing confidence that difficult as this task may be, new as it may be compared with our previous task, and numerous as the difficulties may be that it entails, we shall all -- not in a day, but in a few years -- all of us together fulfil it whatever the cost, so that NEP Russia will become socialist Russia. (Stormy, prolonged applause.)