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SOVIET VOROSHILOV ACADEMY LECTURES
ROLE OF ECONOMICS IN WAR

 

CHAPTER 15



 

ROLE OF ECONOMICS IN WAR:

INTERRELATIONSHIP OF STRATEGY AND ECONOMICS


 
 

I. CLASSICAL MARXISM-LENINISM ON THE ROLE OF ECONOMICS IN WAR

War is a complex and multi-sided special historical phenomenon. In war, all aspects of the life of the State are subject to a severe test. Some of these aspects are the following:

---- - the stability of its socio-political and economic system;

---- - the morale-political unity and durability of the people;

---- - the combat capabilities of the Armed Forces.


The military might of the State and the course and method of a war depend, above all, on the economic conditions and the socio-political system of the State. Basically, the politics of Marxism, having discovered the laws of the development of human society, for the first time scientifically based the reasons for the emergence of war and its dependence of economics. "The victory of force," wrote F. Engels," is based on the production of weapons, and the production of weapons is, in its turn, based on production in general; consequently... on "economic power," on "economic policies," and on the "material means" found in the distribution of the effort of the force."

V.I. Lenin showed that in the new epoch, when wars become worldwide, their course and outcome, to a great extent, depend on the following:

----- economic factors;

---- - scientific-technical factors;

---- - morale-political factors.


"The connection between the military organization of the country and its economic and cultural aspects," Lenin wrote, " is sometimes very close, as at the present time." He emphasized that any war is ultimately decided by economics.


Lenin focused his attention on the necessity of timely preparation of the country for war. He indicated that it is necessary to prepare for war seriously and for a long period time, beginning with the economic status of the country. Without serious economic preparation of the country, it is impossible to conduct modern war against imperialism. Intensive military preparation for a serious war requires prolonged, stubborn, and disciplined work on a massive scale.


Lenin showed the significance of the rear in a broad sense in modern war. To conduct a war, in reality, a strong and organized rear is needed. Durability and stability of the rear operation are important conditions for victory in any war.


Lenin attached enormous significance to the following elements as the basis for improving the welfare of the nation and creating a raw materials base:

---- - industrialization, especially to the creation of heavy industry;

---- - electrification of the country;

---- - development of agriculture;

---- - transportation for all branches of the national economy.


Lenin also posited the tenet on the role of reserves in the war: "He who has greater reserves, greater sources of power, and greater endurance will be victorious in the war."


The role of science in war is increasing. He said that without science it is impossible to organize a modern army. He who has better equipment, better vehicles, and who is better organized and disciplined will have superiority. Especially under modern conditions, an army obtains newer and newer weapons, and these weapons require thorough knowledge, discipline, and organizational ability.


He considered the planned conduct of the economy in those branches which are decisive for the defense of the country, the concentration of basic efforts and means in these branches, and the organization of firm economic control as a fundamental principle.


The basis for economic control is the socialist state and the Armed Forces. In control conscious choices of the following are necessary:

----- forces and means;

---- - devices;

---- - methods of struggle.


It is necessary to know fully and precisely all conditions of production, and to know production equipment and have models.


An important place in Leninist heritage is occupied by the concept of the necessity, in case war is unleashed, of transforming the country into a unified military camp for the purpose of mobilizing all forces of the nation for the rout of the aggressor.


Lenin points to the leading role of the Communist Party in the field of economic development. In the Party the following are features of leadership:

---- - unity of politics and economics;

---- - currency of our plans, which are directed toward consolidating the economic;

---- - defensive might of the country.


The Marxist-Leninist theory on war and the army and on the role of economics in war has an enormous theoretical, methodological, and practical significance for resolving problems concerning the preparation of the economy and the Armed Forces for repelling a military attack of imperialism. Lenin's position on the necessity of creating modern industry and increasing the role of science and technology is an incontrovertible foundation of the general line of the Communist Party of the Soviet Union in the area of creating the material-technical base for Communism and consolidating the economic might and defensive might of the country. The implementation of plans for industrialization and collectivization of agriculture served as the material basis for outfitting the Soviet Armed Forces with modern weapons and achieving a historic victory in the Great Patriotic War.


The basis for the development of socialist industry is, above all, heavy industry.


The experience of past world wars fully confirms the Marxist-Leninist position on the following:

---- - role of economics in war;

---- - the growing mutual connection and mutual influence of war and economy.


The demand for arms, military equipment, and materiel resources for the purpose of outfitting the Armed Forces and supporting operations has increased. In World War II the production of aircraft increased 3.5 times more than in World War I. This figure for tanks is 32, guns 6, and material 5.


Expenditures for conducting war have increased. Suffice to say that direct military expenditures of governments in World War I totalled 208 billion dollars, which was ten times more than expenditures for all wars which had been conducted during the preceding 100 years. Direct military expenditures of warring states during World War II amounted to 1,380 billion dollars, almost seven times greater than for World War I; this comprised 50-60% of the national income.


Arms and military equipment have become complex and their cost has sharply risen. For the production of such arms, the necessity for conducting the following has increased:

---- - a large amount of scientific-research;

---- - experimental-design work;

---- - creation of the most advanced technology:


For example, the cost of a US Motorized Infantry Division has increased from 19 million dollars in 1945 to 111 million dollars in 1960.


The time (cycle) for rearmament (modernization) of the Armed Forces tends to decrease since arms and equipment become outdated and obsolete sooner than in the past. If in the past specific arms and equipment could last fifty years or more as standard pieces of equipment in the Armed Forces, today they may last only ten to twelve years and then they must be modernized. The interval between subsequent rearmaments (modernization) of the air force, rocket and artillery troops, and radio-technical forces is further decreased to five to seven years.


The intense development of scientific-technical progress led to the creation and rapid development of qualitatively new rocket-nuclear weapons and other means of destruction. Conventional weapons, the quality of which continues to increase, are necessary for outfitting multi-million armies and conducting operations which have grown in their scope and direction.


All this required the creation and rapid development of new branches of defense industry, and led to large shifts in the structure of planned and need-oriented production. The military-economic potential is now comprised of such new branches of military production as the folowing:

---- - atomic production;

---- - aircraft-rocket engineering electronics;

---- - instrument-making;

---- - radio technology;

---- - chemical technology.


The technical level of existing branches of military production is improving.


As a result of the creation of weapons of great destructive force, the economy is required to sustain their effects. The issue of the economic readiness of the country and the transition of the economy to wartime programs, and its support and survivability has once again arisen. Therefore, the primary branches of the national economy, above all industry, must be prepared in advance to accomplish the following:

---- - to outfit the Armed Forces with everything necessary;

---- - to replenish losses in arms and materiel in the course of the armed conflict.


Under modern conditions the relationship between economics and military might has become deeper. Thus, economics is the basis of the foundation of strengthening the defensive might of a state. This points to the growing role of economics compared to the past, and to the intensification of the ties between war and economics. Proper consideration of the following will provide for the defense capabilities of the country and the combat might of the Soviet Armed Forces:

---- - ties between war and economics;

---- - expedient use of all increasing capabilities of the national economy;

---- - achievements of scientific-technical progress.



 
 

II. RECIPROCITY OF STRATEGY AND ECONOMICS



Inasmuch as war is a product of socio-historical relations and is dependent on economics, strategy is closely connected with and, to a great degree is dependent on the following:

---- - economics;

---- - levels and rates of development of production;

---- - achievements of technical progress;

---- - quantity and quality of the population;

---- - morale-political status.


The following depend, above all, on the degree of production achieved in a given segment and communication means:

---- - army and fleet;

---- - arms;

---- - personnel;

---- - organization;

---- - tactics;

---- - operational art;

---- - strategy.


How then, is the dependence of strategy on economics manifested? Economics affect the development and preparation of the Armed Forces and military art by creating a material-technical base for the Armed Forces, providing them with modern arms and materiel in peacetime or wartime.


The following are dependent on the status and direction of the development of economics and the achievements of science and technology:

---- - the creation of a material-technical base of defense;

---- - the quantitative and qualitative status of the Armed Forces;

---- - the development and production of modern arms;

---- - the attainment and maintenance of superiority of technical production over the enemy in the principle means of armed conflict;

---- - changes of organizational structure with respect to services of the Armed Forces and combat arms;

---- - development of ways and means for conducting military activities;

---- - preparation and maintenance of high combat-readiness.


Economics influence the development of military doctrine and military-theoretical opinions concerning the nature of a future war.


Through politics and ideology, economics affects the morale-political condition of army and navy personnel. Its technical level influences the education and culture of the population for further (future) improvement of and preparation of specialists for all branches of the national economy. It is an important factor for the improvement of the upgrading of combat power of our Armed Forces.



Influence of Strategy on Economics


Under modern conditions, as has been shown, the dependence of strategy on the following has significantly increased:

---- - economics;

---- - science;

---- - achievements of scientific-technical progress.


In addition to this, a reverse dependence of economics on war has grown as the influence of strategy on economics has grown.


Although the development of economics is subordinate to strategic laws, the direction of this development, to a great extent, is conditioned by the requirements of the defense of the State and its protection against the enemy. This is particularly manifested during a war, when everything is subordinate to the achievement of victory over the enemy.


The Higher Military Command, on the basis of directives from the political leadership and the requirements of military doctrine, works out the following:

---- - construction and preparation of the Armed Forces;

---- - requirements for the preparation of the economy and the population of the country as a whole for war.


The essence of these requirements necessitates assuring the maintenance of the military might of the country and the combat- readiness of its Armed Forces. This guarantees a decisive and complete rout of the enemy. These requirements emerge from the policies of the State and from military doctrine. It is important that the Armed Forces adhere to the following requirements:

---- - they must be supplied with the newest weapons and combat equipment, transportation, and control means;

---- - the necessary reserves of arms and materiel for the conduct of war must be created;

---- - providing for timely mobilization and operational-strategic deployment of the Armed Forces;

---- - timely transition of the economy to a wartime production program.


The influence of strategy on economics is implemented, as is known, not on the basis of direct ties and subordination of economics to strategy, but through higher political leadership and organs of State power. In this process the following is understood:

---- - military leadership cannot give taskings to the industrial ministers and departments, enterprises, and corporations on the production of weapons and combat equipment;

---- - political leadership determines the tasks of the economy and allocates required materiel and personnel resources and directs them to their preparation for war.


The concepts of the military authorities are presented to the political leadership, i.e., the State. The State approves them and all organs are obliged to put them in practice and they are included in the development plans. Therefore, through preparation and presenting proposals, strategic control organ influences the establishment of material reserves and bases of material and technical means and the preparation of the economy and population for war. One of the important questions is in determining the required amounts of the following for the conduct of a future war:

---- - weapons;

---- - material;

---- - technical means.


After determining the composition of forces and means required for the conduct of the strategic operation, the strategic control authorities determine the requirements for weapons, material, and technical means. In determining the above mentioned requirements the following are taken into consideration:

---- - weapons and means of the Armed Forces in peacetime;

---- - the Armed Forces to be concentrated in wartime in accordance with the operational plans;

---- - un-recoverable losses which can not be made up for by repair.



The Nature of Economic Support of a Modern War


Economic support of every actual war depends on a number of factors, among which include specifying the following, above all:

---- - the nature of the war;

---- - its aims;

---- - its scale;

---- - its preparation;

---- - its conduct.


The character (nature) of war largely depends on the size and number of contents of those requirements posed by the war in front of the national economy.


At the same time the character of the material support of the war largely depends on economic factors and on those economic capabilities which the national economy has for materiel support of the Armed Forces. Thus, they are formed by political and especially military factors, as well as economic factors.


In forecasting the nature of modern war we must take into account its multiple variations.


The following basic types of war are ones in which socialist countries may participate:

---- - world nuclear war between the two opposing systems (capitalist and socialist) conducted using all means of destruction, with the participation of the majority of States from both systems;

---- - war between several capitalist and socialist states conducted by conventional weapons with the possibility of passing over to limited use of nuclear weapons;

---- - local wars between socialist and capitalist states in which only conventional weapons are used.


Each of these types of war are distinctive in the following ways:

---- - their scope;

---- - their use of means for armed struggle;

---- - they require special forms of economic support.


The most crucial of these is the economic preparation of the socialist countries for general nuclear war.


If one speaks about general features of economic support of a war under current conditions, then one can distinguish three important tenets.


The first tenet is connected with the social essence of the war, with those contradictions in societal life which can lead to the use of forceful means of destruction. In case militaristic forces succeed in unleashing a world nuclear war, then it will be a decisive conflict between two social systems. In a nuclear war not soley individual political issues of the world are resolved, the struggle is not only conducted for individual interests nor for the supremacy over this or that region of the world. Rather in such a war the social issues that relate to development of humanity and the fate of all humanity are resolved.


In such a war maximum efforts are used, as are all materiel resources, means, and capabilities. If in the war from 1914-1918 all participants spent 208 billion dollars, and in the war from 1939-1945 they spent 1 trillion 117 billion dollars, then a new world war would be significantly more expensive. In the war from 1914-1918, the Armed Forces needed 1/6 to 1/3 of the national income; 1/2 to 2/3 of the national income was needed from 1939-1945; in a future war even more will be needed.


The second tenet conditioning the novelty and specialization of modern military-economic tasks reflects the new degree of development of production forces. In connection with the further development of the economic base in a number of the world's largest countries the most important achievements in the field of science and technology reflect new potentials in the production of means of armed conflict.


The scientific-technical revolution made it possible to outfit the Armed Forces with types of weapons and combat equipment based on new principals. The qualitative characteristics of materiel support means for the Armed Forces have grown sharply without any exception. The economies of the largest countries of the world have grown to a degree which makes it possible in a short period of time massively to produce the most complex military equipment and to arm and equip millions of Armed Forces personnel.


In the USSR the capability of the production of material for social requirements has increased ten fold in 1973 in comparison with 1940.


Modern combat equipment is becoming increasingly more complex and costly. The necessity for fundamental rearmament of troops in relatively brief periods of time has arisen. The rapid use of the achievements of science and technology in military production has become particularly crucial.


The role of the number of different missions which must be resolved in modern war and the impossibility of resolving them with the help of universal means has led to the fact that the Armed Forces has begun to evidence a demand for an increasingly larger variety of types of weapons and combat equipment. This complicates the process of economic support of the defense of socialist countries even more.


The third tenet reflecting the new-in-principal ties between war and economics is conditioned by military factors. Modern war fundamentally changed the requirement placed on economics for the time to complete the most important military-economic tasks.


The strategic significance of basic economic measures has changed. The role of the period of military-economic mobilization has sharply risen, and economic support for high constant combat-readiness of the Armed Forces has become exceptionally important.


The largest capitalist and socialist states presently have powerful means of damage and destruction which can quickly destroy any target at any point of the world.


In the case of the effective use of this means, it is possible to deliver decisive damage to the enemy, on the strength of which the possibility of a short-term war may be posited.


At the same time, the possibility of conducting prolonged and protracted wars, which would require a thorough restructuring of the national economy of socialist countries for the purpose of an economic guarantee of victory, cannot be rejected.


The new-in-principal ties between war and economics are best observed if they are analyzed taking into consideration the overall structure of economic support of wars (see sketch).



 
 

THE STRUCTURE OF THE ECONOMIC SUPPORT OF WAR


Some relationships between the economy and support of military capability

development of the base areas of the economy

development of the productive power of the military industry

establishment of the preparation of the military economic qualifications of potential of the work force

scientific- technical progress

improvement of the geographic deploy ment of the industrial sector and different branches of industrial manufacturing

economic preparation for war providing for the material support of the Armed Forces and new formations



supporting measures

preparation of economic military industry

preparation of war for mobilization deployment

preparation for passing over to the wartime regime of entire national economy

changes in the allocation of the national economy in the interest of the expansion of war material production

economic support for maintaining the Armed Forces during war

expanding productive power of the national economy

effective functioning of the military economy

As is obvious from above, there exist two basic components of economic support of war:


----- - first: economic preparation for war;

------ second: economic support in the course of the war.


The correlation between these components is not, once and for all, a given. It changes in connection with changes in the nature of wars and the conditions of their conduct.


Over the continuation of all military history up until the beginning of the 20th century, the first component (i.e., economic preparation for war) had predominant significance. The armies of the warring states basically were materially outfitted before marching off. In the course of the campaign, they predominantly used what was obtained at the outset. The economy of France, for example, could give Napoleon's army what it could at the beginning of the war. The material support up to the beginning of the 1812 war was not very much.


War in the first half of the 20th century introduced fundamental changes into the economic support procedures.


In the first place, according to its designation, is the second component (i.e., economic support of the Armed Forces in the course of the war). Reserves stockpiled before 1914 were used up in the very first months of the war. Seven million rifles were calculated for the Russian army, while 18 million rifles were actually sent to the front.


In World War II, the Germans set forth with 4,405 combat aircraft and 3,200 tanks. In the course of the war German industry produced 104,000 aircraft and 65.1 thousand tanks. Consequently, the pre-war supply consisted of 4% and 4.7% aircraft and tanks respectively.


A fundamental role in the "feeding" of the war was played not by current (routine) production but by the law of material production means: as a demonstrative foundation we present two arguments.


First Argument

-----Under modern conditions, the economic "rear" of any warring countries may be subjected to strong and rather effective strikes.


The degree of damage to the economy from combat effects increases from war to war. Losses in World War I amounted to 13%, and in World War II to 28%; in World War III, especially in a nuclear war, this indicator will sharply increase. A military-economic situation is possible where expanded production is extremely difficult or even impossible, both on a scale of the entire national economy and in its military sector. Therefore, it is impossible to count on the fact that the basic mass of materiel resources will be produced after the beginning of the war, and that successful economic support of the war depends on how much is done in the prewar period.

Second Argument


The second argument is connected with the following consideration: The maximum advance (progress) of the military economic efforts is always ahead of the maximum military effort, since the military effort reaches its climax during the decisive phase of the war when it achieves its principle aims. Consequently, the level of military consumption increases to its highest degree at the decisive phase of war, when there is a maximum military effort. But after all, consumption (requirement) always precedes the production. The requirement is higher than what has been produced to that moment. Therefore, the production, at the decisive phase of the military effort, must reach the point of meeting the maximum requirements of the Armed Forces.


For example, the primary mission of the Great Patriotic War (the routing of Fascist Germany) was resolved in 1944 and 1945. By the beginning of 1945, both the number of personnel and combat equipment had reached the highest level for the period of the war. In order to attain the materiel support of the decisive phase of the war, the highest level of development of the military economy must be achieved for this phase. The sum of production of arms and combat equipment in 1943, in comparison with 1940, was 224%, while in 1944 it was 251%.


The proportion of the State budget in 1944 was somewhat lower than in 1943.


Under modern conditions, we should consider them differently. Since the Armed Forces of socialist countries have at their disposal more powerful weapons and can achieve the strategic aims of war at the beginning of the war, the main role is played by the nuclear weapons and strategic rocket forces.


In a nuclear war enemy bases are destroyed and suppressed at the beginning of the war, by massive nuclear strikes.


The primary means for conducting a global nuclear war are simultaneous annihilation and destruction, by means of massive nuclear strikes, on military-economic bases and enemy Armed Forces in the entire depth of his territory, with subsequent use of the results of these strikes to complete the destruction of enemy reserves.


And so, in a modern war its main missions are resolved at the very beginning of the war. In such operations maximum military efforts will be employed. But since the primary efforts are shifted to the beginning of the war, it means that the preceding or primary military-economic efforts should be shifted to the prewar period.


Thus, the most important components of the established economic support of the war, in proportion to their importance, change places. Under modern conditions, early economic preparation for war has moved into the foreground. This conclusion is dictated both by the following:


- capabilities of the enemy with respect to combat pressure on the socialist economy;

- by the general nature of the dynamics of modern war;

- by the basic consideration of our doctrine and strategy.



The Most Important Directions of Economic Preparation of the Warsaw Pact States for War


The increasing role of economics in modern war requires sound, all-around economic preparation of socialist countries for defense. The following acquire particular significance:

- timely conduct of important military-economic measures;

- their compliance with the requirements of modern war and the missions assigned to the Armed Forces.


The coordination of military-economic tasks between each other and with other tasks of economic development is of no small importance. Optimizing the distribution of economic resources among the needs of defense and other material requirements of socialist society is acquiring even more important significance.


The successful resolution of all these complex tasks depends, to a large extent, on how correctly the basic directions for preparing the economy of the socialist countries for war are determined. To understand them and their concrete designation, it is necessary to clarify the essence of several key military-economic concepts (categories). One of these categories is military - economic potential:


Military-economic potential is the actual capability to provide the materiel requirements of the Armed Forces, defined by the status of production forces and production ratios, and by the political system of the State.


The magnitude of military-economic potential depends on the magnitude of the economic potential, under which is understood the maximally attainable volume of economic activity of a country under actual historical conditions. It is natural that, whatever the degree of military-economic effort, all economic resources, as a whole, cannot be spent on military requirements. During the Great Patriotic War, for example, in the Soviet Union the proportion of military requirements in the entire national income was 57-58%.


The creation and development of military-economic potential includes the following elements:

- development of the base areas of the economy;

- development of the productive power of military industry;

- scientific-technical progress;

- improvement of the geographic deployment of the industrial sector and various branches of industrial manufacturing.


To calculate beforehand what is the military-economic potential of one or another country, and how it will be used is a complex task. However, the means for its resolution are known. They may be reduced to three successively implementable steps:


1. determination of the production capacity of enterprises suitable for the output of materials;

2. evaluation of the probability of widening this capacity and the probability of the destruction of manufacturing establishments as a result of combat pressure on the part of the enemy;

3. calculation of the capabilities for using economic resources for military production in a given country under concrete economic and socio-political conditions.


The latter is very important. Without consideration of social aspects, it is impossible to obtain a genuine impression of the military-economic potential. It is sufficient to cite the fact that Hitler's Germany exceeded the Soviet Union before the war in overall volume of production of a number of the most important types of industrial products. But thanks to the superiority of the socialist system of economy, the USSR was able to produce during war years significantly more military products, i.e., it used its potential capabilities for material support of the Armed Forces much better and much more fully.


The superiority of the socialist system in the military-economic field exists as well under modern conditions. This must be taken into consideration when comparing the military-economic capabilities of states with various social systems.


The military-economic potential created during preparation for war fulfills its primary role under conditions of the maximum mobilizational deployment of the national economy.


It is important, however, not simply to have capabilities to deploy a military economy.


In addition to the creation of such capabilities, an enormous role is played by their realization. Factors affecting their realization in a specific timeframe include:

- requirements and imperatives of State politics;

- military doctrine;

- strategy;

- dynamics of international relations.



Consequently, for successful conduct of war, it is not sufficient to have a developed military-economic potential. The following are also necessary:

- timely deployment of military production;

- coordination of its development and condition with the requirements of the Armed Forces at every concrete moment and with actual changes of the internal political situation.


Such a requirement reflects another category economic readiness for war. This category expresses the degree of direct preparation of the national economy for the commencement of military activities, a shift of the economy ahead of time to a status under which the fundamental materiel requirements of the front in the first phase of the war can be satisfied without a radical restructuring.


Military-economic readiness includes the following major components:

- providing for the equipment of Armed Forces cadres and new formations;

- mobilizational deployment;

- readiness to shift the entire national economy to a wartime regime.


Without verging on the extreme, it cannot be considered that all materiel requirements of the war will be possible to satisfy using prewar reserves. But it is completely clear that there have occurred qualitative changes in assuring economic readiness. Now it is not so much a question of readiness for the deployment of a military economy as deployment ahead of time and providing arms even before the beginning of the war by the principle masses of means for the achievement of victory. The pivot of military-economic readiness is to support the first strategic operations which are called upon to resolve main missions of modern war.


Providing economic readiness for war under modern conditions is an extremely complex task, a task with much that is uncertain. It is necessary to be concerned in advance about the economic support of an enormous military machine, a complex system of the various services of the Armed Forces and combat arms. From the military-economic viewpoint it is difficult to separate the primary and secondary components in this system. All the components of our Armed Forces must be in a state of high combat-readiness, and, consequently, under conditions of all-around materiel support.


The optimal solution of the task of assuring economic readiness is extremely complex because of the uncertainty of the moment when war will arise, and, consequently, the indeterminateness of the periods of time for such readiness. The following contradiction arises:

----- - on one hand, it is necessary to maintain the economy in a state of maximum readiness for war, i.e., increase the degree of military-economic effort;

----- - on the other hand, a higher degree of military-economic effort cannot be maintained forever.


Sooner or later an economy excessively subordinate to military aims will not withstand a very high load and, thus, will lose the speed of its development. The rate of broadening the economic potential will slow down, which will negatively effect the military-economic potential as well.


The entire country and the entire economy must be militarized in order, on the one hand, to achieve greater results for conducting the war and on the other hand, so that mobilization does not disrupt the basic economic backbone.


The basic directions of economic preparation of socialist states for repelling aggression are the following:


----- - in the first place, the deployment of economic potential;

----- - in the second place, the high military-economic readiness for war.



It is particularly important that these directions be maximally coordinated and in agreement with one another. It is intolerable that, while increasing the military-economic potential, only the capabilities for attaining a high level of development of military production in the future be assured. It is necessary that a specific part of the military-economic potential be used in peacetime for the materiel support of high combat-readiness of the Armed Forces. At the same time, the present tasks for materiel support of the Armed Forces and the struggle for constant military-economic readiness should not push into the background long-term tasks for the further steady increase in the military-economic might of the socialist states.


In the interest of providing high economic readiness for war, important measures for the preparation of the national economy for a transition to a wartime regime be implemented.


Modern war presents exceptionally crucial requirements for such measures which will develop all branches of the national economy.


We will examine in more detail the most important measures for preparing the primary branches of the national economy for war.



Preparation of Industry


Industry is the most important branch of materiel production in which, together with comsumer products, the following are created in order to outfit the Armed Forces and satisfy requirements of war:

----- - armaments;

----- - military equipment;

----- - materiel resources.


The basis of all industry is heavy industry. In it are included the following:

----- - metallurgical;

----- - mining;

----- - fuel-energy;

----- - chemical industries;

----- - machine building.


The development of industry in general, and heavy industry in particular, has important significance. Heavy industry remains the foundation of the economic might of a country, providing for technical progress and strengthening of the defensive capabilities of a State.


In preparing industry for war an important role is played by the creation of a structure which corresponds to the tasks of economic support of defense. It is important that those branches on which, in the first order, the development of military production depends attain the high level of the latest achievements of science and technology. These industries include the following:

----- - machinery manufacturing;

----- - instrument manufacturing;

----- - chemicals;

----- - special materials;

----- - electronics;

----- - computers.


The organization of industry, particularly its organization in a system of interrelated and interconnected enterprises, has great military-economic significance. The system of interconnected enterprises is manifested in the following forms:

----- - "specialization" (concentration of enterprises in this or that country for the production of one type of military material or large parts of machinery);

----- - "cooperation" (gathering and assembling of large parts of machinery to create a full system of material means for outfitting the Armed Forces).


A large number of factories participate in the production of modern military equipment. For example, as many as 500 participate in the production of modern aircraft, while more than 300 enterprises participate in the production of a tank. Specialization and the cooperative system have a great economic effect. They make possible the growth in productivity of labor and unite the efforts of many production collectives for the implementation of complex military-technical programs. At the same time, under conditions of war, specialization and the cooperative system may complicate the output of military products as in the following cases:

----- - breakdown of individual parts of the system;

----- - disruption of transport links.


These negative properties of specialization and the cooperative system can be neutralized or reduced by the following means:

----- - creating "duplicate" enterprises;

----- - widely using intra-region cooperatives;

----- - creating territorial complexes of enterprises.


It is particularly important to provide flexibility in the system of ties among the enterprises, and a timely transfer to new ties in case of the breakdown of part of the enterprises.


The specialization, unification, and typification of goods used for producing military equipment has great significance. A reduction in the variety of goods accomplishes the following:

----- - reduces labor waste;

----- - accelerates the process of preparation for production.


Unification is important not only in the system of military-economic means, but also with respect to the consumer (civilian) sector of the industry. It facilitates the shift of a wide circle of enterprises to a military regime. Rapid mobilizational deployment of industry may be implemented only in the presence of reserve productive strength. Such strength may be used under usual conditions for the production of consumer goods, and if necessary it may be quickly switched to fulfilling military orders.


A necessary condition of the preparation of industry for war is providing for its survivability and ability to function under the most complex conditions. Survivability is increased by means of creating shelters and premises outfitted industrially. The dispersion of enterprises, both on the scale of the entire country and on the scale of economic regions, plays a large role.


Finally, the significance of determining in advance the order of transferring to a wartime regime the cadres of military enterprises and other types of enterprises should be emphasized.

 
 

Preparation of Agriculture


One of the main sectors of the Warsaw Pact countries economy engaged in by almost one third of the population is agriculture. The presence of a highly varied agriculture is a necessary condition for victory in modern war. Lenin stated that the defense interests of the country required the organization of provisions and the creation of state food reserves. With the development of arms and combat equipment the role of agriculture is increased as the provider of the raw materials for the food industry for civilians and Armed Forces personnel.


The modern war, if initiated by the aggressor forces, will be conducted by Armed Forces of millions of personnel. Arising from the consideration that for each twenty-four hour period each soldier requires two kilograms of food, the Armed Forces' requirement for food may be determined by the number of personnel of the Armed Forces.


The volume of agricultural products necessary to conduct a war depends on the following:

----- - food norms;

----- - Armed Forces totals;

----- - duration of the war.


In connection with this there are great demands for a level of agricultural production which should provide the following:

----- - in peacetime, a stock of necessary reserves;

----- - during war, replenish on a necessary scale foods and raw material resources.


In agriculture there are large quantities of the following:

----- - trucks;

----- - tractors;

----- - gasoline refuelers;

----- - repair means;

----- - other equipment.


Maintaining such equipment in operational status is of significant defensive importance since part of it will be allocated and given to the Armed Forces during the war.


Taking into consideration the complexities of the conditions of the functioning of agriculture in a modern war, it is necessary to foresee creating reserves of the following:

----- - crops;

----- - fertilizer;

----- - feed;

----- - agricultural equipment.


As with industry, agriculture may be subjected to nuclear strikes. Therefore, the conduct of measures for preparing for the protection of the work force, livestock, food, equipment, and potable water from the effects of means of mass-destruction, and for the elimination of the consequences of nuclear strikes must be foreseen in advance.


The fulfillment by agriculture of military-economic tasks depends, for the most part, on the acceleration of the rates of its further development. For this, it is especially important to accomplish the following:

----- - consolidate the material-technical base of agriculture;

----- - achieve its intensification;

----- - deepen its specialization;

----- - condition its concentration of production;

----- - improve fertility of the land, equipment, and labor of agricultural resources.



 
 


Preparation of Transport

In the area of preparation for war, the development of plans for shifting transport to a wartime regime has primary significance. It is necessary to continue to develop the transport system (roads, waterways, airfields, mobile personnel, pipelines). The system of mutual reinforcement and interchangeability of the various types of transport will play a large role under conditions of war. The maintenance of the ability of transport to function under conditions of war will be made possible by the following:

----- - construction of parallel main routes and detours under conditions of war;

----- - creation of reserves of transport means.



Creation of State Reserves of Materiel Resources


For the purpose of providing uninterrupted operation of the national economy and maintaining the defense capabilities of the country, State reserves and supplies of materiel resources are created in advance, during peacetime.


Scarce raw materials, fuel, semi-finished products, machines, equipment, hard currency valuables, food, and various materials widely used in the national economy and Armed Forces are stockpiled in these reserves.


State materiel reserves are designated to satisfy the needs of the country as a whole. With an increase in the threat of war or with its commencement, part of the State reserves are used for deploying military production, reestablishing destroyed targets, supplying the populace, establishment of reserves of the Armed Forces, and for other purposes. Materials are kept dispersed at the following locations:

----- - State bases;

----- - depots of ministries and departments;

----- - enterprises;

----- - transport organizations.


The level of stockpiling and nomenclature of reserves is established by the government.



Preparation of Human Resources


One of the fundamental problems of preparing the economy in military respects is the problem of labor resources necessary to satisfy the requirements in the cadres of the national economy and Armed Forces personnel.


Lenin stated that wars are now conducted by nations. Therefore, the level of combat capability of the Armed Forces and the operation of the national economy depend on the following:

----- - population numbers;

----- - morale;

----- - cultural levels;

----- - general and special training.


One of the most important issues in preparing human resources is determining their optimal proportions between the Armed Forces and the national economy. In determining such proportions the influence of many of the following factors must be taken into consideration:

----- - the number of the Armed Forces at the beginning of the war;

----- - the requirements of personnel for new organizations;

----- - probable human loss at the fronts and in the rear;

----- - possible requirement for human resources for the national economy under conditions of war.


An exceptionally important role in the expediting the distribution of labor resources is played by socialist planning, in particular the balance method of planned use of the work force. The balance of labor reflects the following:

----- - volume and composition of labor resources;

----- - their distribution among branches and regions;

----- - use of work time;

----- - increase in qualifications of the people;

----- - growth of productive labor;

----- - resources for replenishing the work force.


Developing a balance of labor makes it possible to make clear the reserve or scarcity of labor resources, which makes it possible to take timely measures directed toward better support of production of cadres in case of war.

The preparation of the population for war assumes the systematic increase in the production qualifications of the workers and the further development of general and special education in the socialist countries.


The preparation of national economy specialists whose experience and knowledge can be used in the Armed Forces has special significance. Thanks to the high level of preparation of the workers in the national economy, we have increased the ability to prepare people in the army and navy in a short period of time as military specialists capable of skillfully operating combat equipment. The special preconscription training of young men makes this possible.


In the entire system of measures directed toward preparing the population for war, inculcating the worth of the citizens of socialist countries and strengthening their morale-political condition has enormous significance.


In this plan it is particularly important to accomplish the following:

----- - acquaint the populace beforehand with the destructive properties of modern weapons;

----- - teach novices their operation and use;

----- - help to overcome the psychological barrier of shifting from a peaceful life to conditions of war.



 
 

Military-Economic Integration Of The Warsaw Pact Countries


Military-economic cooperation is one of the most important trends in the unity of socialist countries for the joint repulsion of the forces of aggression.


The necessity of this cooperation, from the political side, is conditioned by the attempts of imperialism to unify anti-socialist forces on an international scale. Only the unified strength of the people who have thrown off the yoke of capital from their shoulders can oppose these forces.


From the economic side, cooperation among Warsaw Pact countries is conditioned by the expediency of the following:

----- - combining efforts in the materiel supply of their Armed Forces;

----- - the greater efficiency of joint use of resources allotted for strengthening the country.


From the military-strategic side, economic cooperation among Warsaw Pact countries is dictated by the coalitional form which a new world war would most often take, and by the necessity of materiel support for the jointly coordinated activities of the Armed Forces of the socialist military coalition.


In military history experience of economic support of a coalition has been accumulated. However, this experience is predominantly that of capitalist countries, inasmuch as the coalition of socialist countries arose after World War II.


In addition to this the unity of socialist countries is a factor of primary importance in the struggle for strengthening the military-economic might of the socialist community.


The fact of the matter is that the material base of the defense capabilities of the Warsaw Pact countries is not the simple sum of the national economies. Actual capabilities of economic support of Armed Forces of Warsaw Pact depends, for the most part, on the following:

----- - mutual supplementing of the national economies;

----- - their rapprochement;

----- - their cooperation.


The unification of economic efforts significantly increases the totality of the military-economic potential of these countries.


The economic base of the coalition of socialist states has its own features which, in principle, distinguishes it from the economy of bourgeois coalitions. These features are conditioned by the following:

----- - relations confirmed in the given countries of the socialist community;

----- - the politics of the states;

----- - the totality of socio-economic conditions of their development.


The first feature consists of the fact that economies of friendly countries have a single social base - public ownership of the means of production. Thanks to this fundamental feature, which defines the entire socialist structure of the coalition, conditions are created for the solid and authentic unity of the countries entering into it. Objective conditions are created for working out a coordinated foreign policy which is based on the unity of class interests. In the socialist coalition there is an absence of centrifugal forces engendered by the following:

----- - special interests;

----- - competition among imperialist allies;

----- - attempts of the ruling classes of one country to make a profit at the expense of other countries.


The socialist coalition engenders, in principle, a new system of economic relations between the allies. It allows for more efficient and effective decisions of the most important economic issues of the coalition. Public ownership of means of production creates broad capabilities for the following:

----- - centralization of economic leadership;

----- - efficient maneuvering of materiel resources;

----- - all-around use of human resources and production capabilities;

----- - mobilization of economic forces in the interests of defense.


On the means of production are created conditions for the planned coordination of the most important economic measures implemented within the framework of the coalition; the possibility for wide development of military-economic integration is provided.


The second feature of the economic support of the coalition of the socialist countries is the harmonized combination of the national interests in the development of the military economy with the international interests of the coalition.


Revealing the principal differences between proletarian internationalism and bourgeois nationalism, Lenin showed that proletarian internationalism arises from the principle of preference of common national interests to national interests. At the same time, the interests of individual nations and individual states should definitely be taken into consideration.


Peculiarities of the interests of individual socialist countries in the field of military economics are explained by the following differences:

----- - in population numbers;

----- - in expanse of territory;

----- - in the structure and degree of economic development;

----- - etc.


It is obvious that it is easier for countries with higher economic development to allocate specific materiel resources for the needs of collective defense, while, on the other hand, it is more difficult for the less developed countries. The countries having immediate borders with imperialist countries have specific military-economic tasks which are not facing countries surrounded by friendly states. This feature is not ignored.


The military-economic activities of the coalition originate from a principle, in accordance with which each country organizes preparation for war on the basis of international missions and the interests of collective security arising from their own capabilities and taking into consideration national features and the position of the country in the system of the coalition. Coordinated preparation for war includes the coordination of plans of preparatory measures between the States of the coalition and the implementation of a number of measures by joint efforts of the individual countries. The contribution of each country to the preparation of the socialist coalition for repelling aggression is regulated by the allies by means of treaties and agreements, on the basis of which lies the idea of friendship and mutual assistance in the struggle against the common enemy.


The third feature of the economic basis of the organization of the Warsaw Pact is the rapid and steadfast growth rates of materiel production in the countries making up (rest of paragraph illegible).


The military-economic capabilities of the socialist countries broadens considerably because of their indivisible integrity and their continuous economic cooperation. The significance of such cooperation increases, above all, because the coalition nature of a possible new world war made the issue of military-economic integration an especially keen and important one. Relying only on the unified forces of the socialist countries, it is possible to successfully struggle against the aggressive forces of international capitalism.


The economic integration of socialist countries is an important system of measures directed toward all-around of cooperation and rapprochement of the national economies of the countries.


The resolutions made at the XXV session of the CEMA (July 1971) played a main role in the economic solidarity of socialist countries.


The system of measures anticipated by the complex program is successfully developing. In particular, the program of work for coordinating plans of development of the national economies of the member countries of the CEMA for 1976-1980, as well as for the most important branches of the national economy and types of production for an extended period, has been confirmed.


The cooperation of socialist countries in the field of machine building has significantly deepened. Presently within the framework of the CEMA are included 17 multi-lateral agreements which anticipate specialization and cooperation for the production of around 1,700 various types of machines and instruments.


Of the number of most important trends in military-economic integration of the Warsaw Pact countries, we note the following:


1. Coordination of national economy plans. This makes possible the coordination of the most important trends in the development of the economy and support of consolidating military-economic potential. Based on this coordination, each country can plan the development of its own base and military branches of the national economy, taking into consideration what it must provide for other countries and what it will receive from them.

2. International division of labor of specialization and cooperation in the field of military production. As in other areas of production, international division of labor in the area of creating arms and combat equipment has great economic significance. The sense of it lies in the distribution of the most important military-economic functions among the socialist countries. Specialization and cooperation are the primary forms of socialist division of labor:

----- - specialization: concentration of enterprises in this or that country for the production of one type of military/ material, large parts of machinery;


----- - cooperation: gathering and assembling large parts of machinery to create a full system of material means for outfitting the Armed Forces.

3. Creation of large economic structures by joint efforts. This allows for the consolidation of the defense capabilities of the Warsaw Pact countries such as integration of industrial complexes, large energy systems, and other targets. Integration of energy systems which support the shift of energy from one direction to another, in case of the destruction of one energy source, gas pipelines, and petroleum pipelines.

4. Coordination of development of arms and equipment in the Warsaw Pact countries. This has important military-economic significance. It facilitates the organization of production of the most important types of combat equipment and arms, fuel, and other materiel resources.

5. Implementation of joint measures for preparing transport for war. This plays an important role in the totality of the integration of economic processes. It is necessary to create a uniform system of all types of transport, lines of communication, control organs of the transport, and common truck parks.

6. Preparation of TSMAs and the territories of the Warsaw Pact countries. This plays a substantial role in the system of military-economic measures.

7. Determination of the possible nature of rear support of the combined Armed Forces. This is an important military-integration measure. Rear support may be implemented according to three principles:

----- - each country supports it's national forces;

----- - The unified (coalition) rear service is established which includes national organs of rear service. Each organ supports it's national forces. (This principle is applied when forces of one nation operate in another country or are attached to the forces of another nation).

----- - the forces of one nation are supported by the rear service of the front or army in which they operate and later the bill for consumption is sent to the related country for payment.