Evening star., 1946-02-17
u. S. First to Advocate
StuIin EconomicsP POLICY
Commentator Sees Soviet Leader
Partly Justified.

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Commentator Sees Soviet Leader
Partly Justified.
By Raymond Moley
A major economic adviser to Stain
and his party is Eugene varga, Hun
| garian-born economist who has been
in Russia since the revolution in 1917.
Varga Is an orthodox Marxist. 1t Is
clear to any one familiar with his writ
ings that his ideas are written deeply
into Stains speech outlining Russia's
economic future.
Stalin's statement that wars are
caused by capitalism runs back through
Varga and Lenin to Marx The diff
ference in Stains use of the idea is
his use Of the phrase monopoly capi-
talism.'
This Is an important difference. over
looked by most people who have COM
mented on Stalin's speech. He does
not charge that a country like the
United States, which maintains an In
ternal capitalistic economy, is a war
maker. What he charges is that when
country uses its power to tie up the
resources of the world in monopolies
which favor that country and shut out
others, it is breeding international fric-
ton and war
This has been said over and over In
this country. 1t was favorite theme
OF Messrs. Roosevelt and Hull A dec
laration against such monopoly was in
the Atlantic Charter. no doubt put there
by Mr.. Roosevelt himself. 1t declared
that there should be accorded to "all
states, great and small access. on
equal terms, to the trade and to the
raw materials of the world which are
needed for their economic prosperity"
Against this background, therefore,
Stalin's statement should be no great
cause for alarm. His point simply
serves to show how far he has Travelled
from Marx.
The Marxist idea started with the
proposition that capitalistic enterprise
made more goods than underpaid labor
could buy. Then the market and trade
monopolies would result. Not only
Marx, but the great economist, j. A.
Hobson, said this.
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Stain obviously cannot make this
charge about present conditions And
ne does not Because in the present
state of the world there is no under
consumption. There is under-produc-
tion here and everywhere. England, for
example, is so inefficient that, unless
1t makes over its machinery OF produc-
ton, 1t can never regain its trade. And
in the United States labor still has great
unused purchasing power.
A further weakness in Stalin's point
is that he has to depart from his
monopoly capitalism argument to find
an explanation for the Second World
War. 1t was, he says, radically" diff
ferent. If he had not made this dis
tinetion, he would have been compelled
to admit that Germany was striking at
Russia's boarded raw materials. And
that, therefore, Communist as well as
capitalist countries are guilty of
monopoly. The fact Is that Hitler in
tended to .confine his war activities to
the East and keep England and France
out. Germany wanted control OF
Poland, Rumania and the Ukraine.
A further weakness in the stock
older than capitalism.
Stalin's economic thesis that only
under communism can heavy industry
be brought to full power is denied by
the experience of the United States.
We have done it under free enterprise.
But we have to admit that after a de-
preston has shut down heavy industry,
it takes a long time to revive it. That
was true after 1888. In fact, only the
stress of war in 1s41 brought it back to
full production. We must be sufficiently
fair to Stain to say that if Russia can
get heavy industry under way under its
Soviet system. we cannot object. Mean
while, we should develop our own In
dustries by housing programs, railroad
rehabilitation and by selling to such
customers as Russia. We can and
should do this without Government
competition. The net of both efforts
will promote not war but peace in both
great nations.
Stain makes clear another. point.
The Achilles heel of the Soviets is the
great agricultural belt-the BLACK
Earth" midway between the Black Sea
and Moscow and westward All attacks
In the past-those of the various Polish
wars, the Swedes under Charles XII.
Napoleon I, Napoleon III, Britain (Cri-
mean War; and Hitler-have struck
that area. That is why Russian foreign
policy is so anxious to make itself secure
IN Southeastern Europe. That is why
Russia is determined to have an exit to
the Black Sea and the Indian Ocean.
And, no doubt, that is why Stain
stresses so greatly the building of an
industrial plant which will not only
provide protection for this food supply.
but also will be the means of more prof
liable employment and a higher stand
ard of living.
Between the lines, Stain also tells us
how much Russia needs years of peace
in order to raise deplorable living stand
ards. The people Of Russia have had a
generation of slim living. They want
the party which they have supported to
improve their lot. Any politician must.
as Stain did, offer that hope.
Up to now, the Russian choice has
been between butter or steel mills.
Now they want butter and steel mills.
And If they can get these essentials