• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Outline and assess the effectiveness of Wittes economic reform When Sergei Witte became minister of finance in Russia in 1892 he recognised that the economy had to be modernised if Russia

Extracts from this document...

Introduction

Outline and assess the effectiveness of Wittes economic reform When Sergei Witte became minister of finance in Russia in 1892 he recognised that the economy had to be modernised if Russia was to become a world power on a par with the west. The Industrial Revolution that had taken place in the west had led to its massive economic growth and an increase in power and Empire building. Being able to buy cheap, raw materials like oil and coal from Russia fuelled part of the west's industrial revolution. Witte decided that Russia needed state Capitalism to modernise. He borrowed capital and encouraged investment from the west and large factories began to produce heavy industry like steel. ...read more.

Middle

Change was resisted and Witte had no support for his vision of a richer, more powerful, modernised Russia. There was also conflict with the military commanders who pushed their needs for transport and military hardware to the top of the economic agenda. These conflicts interfered with Wittes plans and so by the time of the Great Trade Recession at the turn of the century, critics could identify three major weaknesses in his economic reform. Witte paid To drive his economic reform through without support or interest from the Tsarist court or the government Witte (who was German) brought in many experienced foreign industrialist and capital from the west to manage and finance his projects. This was not at all popular with the Tsar or Russia who did not trust him. ...read more.

Conclusion

Despite the success of improved transport across Russia, boosting exports and foreign trade, Wittes programme of reform was hampered by the unwillingness of the Tsarist regime to consider any changes in the social structures of the country. Feudal systems hampered the development of a strong middle class. The Tsar and his ministers only wanted economic expansion as a means of strengthening Russia's military capability. Because of the high import tariffs, Russian consumers had to pay higher prices because the trader had to keep pace with the increased value of the Rouble. The very strategies that Witte introduced to strengthen the nation and protect Tsardom against the disruptive forces in Russian society were unsupported and unappreciated by the Tsar and his ministers, these factors meant that it was difficult for Witte to realise his economic miracle and the Tsar asked him to retire in 1903. ?? ?? ?? ?? ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Economy & Economics section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Economy & Economics essays

  1. Retailing In India - A Government Policy Perspective

    times after FDI was allowed in China and Wal-Mart was permitted to setup base. A similar trend can happen in India. In fact, Metro has already started sourcing operations from India at a substantial scale. Upgradation in Agriculture: A long-term benefit of FDI in food retailing would be the transfer of global best practices to the Indian farmer.

  2. Industrial revolution in Russia

    Witte's background was as a railroad official, and he advocated rapid additions to the Russian network. Mileage doubled between 1895-1905, the additions including almost the whole of a line across Siberia that opened the vast resources of this region to industrial use.

  1. Contrasting Economic Value Systems in Anton Chekhov's The Cherry Orchard

    They continue to expect their financial salvation to come in the form of a windfall" "Our aunt at Yaroslav has promised to send us something; but I don't know when, or how much." 2 declares Gayef. It is evident that even if the funds they will receive - if any at all - will be insufficient to save the property.

  2. Compare and contrast the approaches to economic reform adopted in China and Russia

    China was mainly based on the agricultural sector (72% of the labour force10) with a largely secure macro-economic situation, implementing the reform when the global trades showed a rapid growth11.

  1. Monetary policy of a globalised economy

    defending the exchange rate of the dollar and preventing excessive unemployment.23 The three major instruments of monetary policy are24 1. Open market operations-buying or selling of government securities in the open market to influence the level of reserves. 2. Discount rate policy-setting the interest rate, called the discount rate, at

  2. Taxation Reform in Australia

    This reform reduced tax avoidance and acquired a more equitable distribution of income. In addition, the reform was advantageous to the government as it provided more revenue. Nevertheless, another disadvantage is the complexity of the taxation system in Australia. Although the reform discouraged tax avoidance, it generated more legislation thus complicating the tax system.

  1. Split Votes: A Nation Divided on the Marijuana/Drug Legalization Debate

    Although the public typically can rely on think tanks for unbiased information on controversial topics, in this case the public must rely on other sources that may be less impartial. This leaves the public at a disadvantage and gives them few resources for untainted debate.

  2. Forms Of Finance.

    The alternative to higher purchase is leasing which is something similar to higher purchase but you never own it. Long term loan- (contracting building) mortgage- using property as security against loan repayments. A lot of the increase of new housing is due to the cheap loans available at the minute your mortgage rate is approx 5%.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work