What were the social, economic and political consequences of Tsarist economic policies during 1890-1905?

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Robin Culligan

What were the social, economic and political consequences of Tsarist economic policies during 1890-1905?    

The Tsarist government’s attempts to industrialise Russia during the 1890s resulted not only in a notable increase in industrial production but also led to the development of a restless urban working class and the emergence of more radical parties in order to represent them.

Towards the latter part of the nineteenth century Russia was determined to maintain its self as a Great Power and be on a par with the ‘giants’ of the West. Yet it realised that if it was to achieve this goal then it would have to industrialise itself rapidly in order to create a larger and more advanced armed forces. Like Stalin with the Five Year Plans, Alexander III hoped that through the appointment of Witte, Russia could industrialise on a massive scale in order to catch up with Western Europe and also to prepare itself for the likely hood of a future war with the German Empire. Yet like the policies of Stalin, (nearly 30 later) this industrialisation had profound effects on Russian society.    

Industrialisation led to many peasant migrants coming to the cities from the countryside in order to work in the new factories. As a result there was severe overcrowding, especially in the two principal cities, Moscow and St Petersburg. Class consciousness was becoming more evident, with the development of a working class who recognised their poor working conditions and the differences between themselves and the factory owners. As well as the growth of the trade unions, various political groups were becoming increasingly active. The Liberals, Social Revolutionaries and Social Democrats all demanded reforms of some kind, and the grim situation of the working class gave them a platform to call from.

 Under Alexander III Russia experienced significant industrial expansion during a period that has become known as the ‘great spurt’. Much of this economic success was to the credit of Sergei Witte, who, as minister of finance from 1893 – 1903, believed that Russia could modernise rapidly if it planned along western lines. Witte established a number of economic policies in order to raise sufficient capital to be spent on modernisation. He negotiated large foreign loans and investments from abroad, while imposing heavy taxes and high interest rates at home. He also kept the Russian currency high by making the rouble directly exchangeable for gold. Much of the foreign capital Witte raised was invested in railways, with the railway network nearly doubling in size between 1881 and 1913. The railways furthered the economic growth of the country because they encouraged internal migration of workers and increased Russia’s production and export potential.  

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The input of Witte had a major effect on the growth of the Russian economy, with significant production increases in the heavy industries. Coal production rose from 3.2 million tons in 1880, to 16.1 million tons in 1900.  There was also the striking development of oil in the Caucasus, which helped increase oil production from 0.5 million tons per year in 1880, to 10.2 million tons in 1900.

The programme of rapid industrialisation that Russia had undertaken during the 1890s greatly increased employment opportunities in the urban areas because the new industries required large amounts of workers. During the ...

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