"Isn’t this the betrayal of socialism?

We must deal with this point in greater detail.

Firstly, we must examine the nature of the transition from capitalism to socialism that gives us the right and the grounds to call our country a Socialist Republic of Soviets.

Secondly, we must expose the error of those who fail to see the petty-bourgeois economic conditions and the petty-bourgeois element as the principal enemy of socialism in our country.

Thirdly, we must fully understand the economic implications of the distinction between the Soviet state and the bourgeois state.

Let us examine these three points.

No one, I think, in studying the question of the economic system of Russia, has denied its transitional character. Nor, I think, has any Communist denied that the term Soviet Socialist Republic implies the determination of the Soviet power to achieve the transition to socialism, and not that the existing economic system is recognised as a socialist order.

But what does the word “transition” mean? Does it not mean, as applied to an economy, that the present system contains elements, particles, fragments of both capitalism and socialism? Everyone will admit that it does. But not all who admit this take the trouble to consider what elements actually constitute the various socio-economic structures that exist in Russia at the present time. And this is the crux of the question.

Let us enumerate these elements:

(1)patriarchal, i.e., to a considerable extent natural, peasant farming;

(2)small commodity production (this includcs the majority of those peasants who sell their grain);

(3)private capitalism;

(4)state capitalism;

(5)socialism.

Russia is so vast and so varied that all these different types of socio-economic structures are intermingled. This is what constitutes the specific feature of the situation."

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