CHAPTER XXXVII

"Where there is a church, there you find a pope,And where there is a factory, there you find a Knoop."*

The biggest creation of the firm was a factory built at Narva in 1856, with nearly half a million spindles driven by water-power.

* Gdye tserkov—tam pop;A gdye fabrika—tam Knop.

In the second half of last century a revolution was brought about in the manufacturing industry generally by the emancipation of the serfs, the rapid extension of railways, the facilities for creating limited liability companies, and by certain innovations in the financial policy of the Government. The emancipation put on the market an unlimited supply of cheap labour; the construction of railways in all directions increased a hundredfold the means of communication; and the new banks and other credit institutions, aided by an overwhelming influx of foreign capital, encouraged the foundation and extension of industrial and commercial enterprise of every description. For a time there was great excitement. It was commonly supposed that in all matters relating to trade and industry Russia had suddenly jumped up to the level of Western Europe, and many people in St. Petersburg, carried away by the prevailing enthusiasm for liberalism in general and the doctrines of Free Trade in particular, were in favour of abolishing protectionism as an antiquated restriction on liberty and an obstacle to economic progress.

At one moment the Government was disposed to yield to the current, but it was restrained by an influential group of conservative Political Economists, who appealed to patriotic sentiment, and by the Moscow manufacturers, who declared that Free Trade would ruin the country. After a little hesitation it proceeded to raise, instead of lowering, the protectionist tariff. In 1869-76 the ad valorem duties were, on an average, under thirteen per cent., but from that time onwards they rose steadily, until the last five years of the century, when they averaged thirty-three per cent., and were for some articles very much higher. In this way the Moscow industrial magnates were protected against the influx of cheap foreign goods, but they were not saved from foreign competition, for many foreign manufacturers, in order to enjoy the benefit of the high duties, founded factories in Russia. Even the firmly established cotton industry suffered from these intruders. Industrial suburbs containing not a few cotton factories sprang up around St. Petersburg; and a small Polish village called Lodz, near the German frontier, grew rapidly into a prosperous town of 300,000 inhabitants, and became a serious rival to the ancient Muscovite capital. So severely was the competition of this young upstart felt, that the Moscow merchants petitioned the Emperor to protect them by drawing a customs frontier round the Polish provinces, but their petition was not granted.

Under the shelter of the high tariffs the manufacturing industry as a whole has made rapid progress, and the cotton trade has kept well to the front. In that branch, between 1861 and 1897, the number of hands employed rose from 120,000 to 325,000, and the estimated value of the products from 72 to 478 millions of roubles. In 1899 the number of spindles was considerably over six millions, and the number of automatic weaving machines 145,000.

The iron industry has likewise progressed rapidly, though it has not yet outgrown the necessity for Government support, and it is not yet able to provide for all home wants. About forty years ago it received a powerful impulse from the discovery that in the provinces to the north of the Crimea and the Sea of Azof there were enormous quantities of iron ore and beds of good coal in close proximity to each other. Thanks to this discovery and to other facts of which I shall have occasion to speak presently, this district, which had previously been agricultural and pastoral, has outstripped the famous Ural region, and has become the Black Country of Russia. The vast lonely steppe, where formerly one saw merely the peasant-farmer, the shepherd, and the Tchumak,* driving along somnolently with his big, long-horned, white bullocks, is now dotted over with busy industrial settlements of mushroom growth, and great ironworks—some of them unfinished; while at night the landscape is lit up with the lurid flames of gigantic blast-furnaces. In this wonderful transformation, as in the history of Russian industrial progress generally, a great part was played by foreigners. The pioneer who did most in this district was an Englishman, John Hughes, who began life as the son and pupil of a Welsh blacksmith, and whose sons are now directors of the biggest of the South Russian ironworks.

* The Tchumak, a familiar figure in the songs and legends ofLittle Russia, was the carrier who before the constructionof railways transported the grain to the great markets, andbrought back merchandise to the interior.  He is graduallydisappearing.

Much as the South has progressed industrially in recent years, it still remains far behind those industrial portions of the country which were thickly settled at an earlier date. From this point of view the most important region is the group of provinces clustering round Moscow; next comes the St. Petersburg region, including Livonia; and thirdly Poland. As for the various kinds of industry, the most important category is that of textile fabrics, the second that of articles of nutrition, and the third that of ores and metals. The total production, if we may believe certain statistical authorities, places Russia now among the industrial nations of the world in the fifth place, immediately after the United States, England, Germany, and France, and a little before Austria.

The man who has in recent times carried out most energetically the policy of protecting and fostering native industries is M. Witte, a name now familiar to Western Europe. An avowed disciple of the great German economist, Friedrich List, about whose works he published a brochure in 1888, he held firmly, from his youth upwards, the doctrine that "each nation should above all things develop harmoniously its natural resources to the highest possible degree of independence, protecting its own industries and preferring the national aim to the pecuniary advantage of individuals." As a corollary to this principle he declared that purely agricultural countries are economically backward and intellectually stagnant, being condemned to pay tribute to the nations who have learned to work up their raw products into more valuable commodities. The good old English doctrine that certain countries were intended by Providence to be eternally agricultural, and that their function in the economy of the universe is to supply raw material for the industrial nations, was always in his eyes an abomination—an ingenious, nefarious invention of the Manchester school, astutely invented for the purpose of keeping the younger nations permanently in a state of economic bondage for the benefit of English manufacturers. To emancipate Russia from this thraldom by enabling her to create a great native industry, sufficient to supply all her own wants, was the aim of his policy and the constant object of his untiring efforts. Those who have had the good fortune to know him personally must have often heard him discourse eloquently on this theme, supporting his views by quotations from the economists of his own school, and by illustrations drawn from the history of his own and other countries.

A necessary condition of realising this aim was that there should be high tariffs. These already existed, and they might be raised still higher, but in themselves they were not enough. For the rapid development of the native industry an enormous capital was required, and the first problem to be solved was how this capital could be obtained. At one moment the energetic minister conceived the project of creating a fictitious capital by inflating the paper currency; but this idea proved unpopular. When broached in the Council of State it encountered determined opposition. Some of the members of that body, especially M. Bunge, who had been himself Minister of Finance, and who remembered the evil effects of the inordinate inflation of the currency on foreign exchanges during the Turkish War, advocated strongly the directly opposite course—a return to gold monometallism, for which M. Vishnegradski, M. Witte's immediate predecessor, had made considerable preparations. Being a practical man without inveterate prejudices, M. Witte gave up the scheme which he could not carry through, and adopted the views of his opponents. He would introduce the gold currency as recommended; but how was the requisite capital to be obtained? It must be procured from abroad, somehow, and the simplest way seemed to be to stimulate the export of native products. For this purpose the railways were extended,* the traffic rates manipulated, and the means of transport improved generally.

* In 1892, when M. Witte undertook the financialadministration, there were 30,620 versts of railway, and atthe end of 1900 there were 51,288 versts.

A certain influx of gold was thus secured, but not nearly enough for the object in view.* Some more potent means, therefore, had to be employed, and the inventive minister evolved a new scheme. If he could only induce foreign capitalists to undertake manufacturing industries in Russia, they would, at one and the same time, bring into the country the capital required, and they would cooperate powerfully in that development of the national industry which he so ardently wished. No sooner had he roughly sketched out his plan—for he was not a man to let the grass grow under his feet—than he set himself to put it into execution by letting it be known in the financial world that the Government was ready to open a great field for lucrative investments, in the form of profitable enterprises under the control of those who subscribed the capital.

* In 1891 the total value of the exports was roughly70,000,000 pounds.  It then fell, in consequence of badharvests, to 45 millions, and did not recover the previousmaximum until 1897, when it stood at 73 millions.Thereafter there was a steady rise till 1901, when the totalwas estimated at 76 millions.

Foreign capitalists responded warmly to the call. Crowds of concession-hunters, projectors, company promoters, et hoc genus omne, collected in St. Petersburg, offering their services on the most tempting terms; and all of them who could make out a plausible case were well received at the Ministry of Finance. It was there explained to them that in many branches of industry, such as the manufacture of textile fabrics, there was little or no room for newcomers, but that in others the prospects were most brilliant. Take, for example, the iron industries of Southern Russia. The boundless mineral wealth of that region was still almost intact, and the few works which had been there established were paying very large dividends. The works founded by John Hughes, for example, had repeatedly divided considerably over twenty per cent., and there was little fear for the future, because the Government had embarked on a great scheme of railway extension, requiring an unlimited amount of rails and rolling-stock. What better opening could be desired? Certainly the opening seemed most attractive, and into it rushed the crowd of company promoters, followed by stock-jobbers and brokers, playing lively pieces of what the Germans call Zukunftsmusik. An unwary and confiding public, especially in Belgium and France, listened to the enchanting strains of the financial syrens, and invested largely. Quickly the number of completed ironworks in that region rose from nine to seventeen, and in the short space of three years the output of pig-iron was nearly doubled. In 1900 there were 44 blast furnaces in working order, and ten more were in course of construction. And all this time the Imperial revenue increased by leaps and bounds, so that the introduction of the gold currency was effected without difficulty. M. Witte was declared to be the greatest minister of his time—a Russian Colbert or Turgot, or perhaps the two rolled into one.

Then came a change. Competition and over-production led naturally to a fall in prices, and at the same time the demand decreased, because the railway-building activity of the Government slackened. Alarmed at this state of things, the banks which had helped to start and foster the huge and costly enterprises contracted their credits. By the end of 1899 the disenchantment was general and widespread. Some of the companies were so weighted by the preliminary financial obligations, and had conducted their affairs in such careless, reckless fashion, that they had soon to shut down their mines and close their works. Even solid undertakings suffered. The shares of the Briansk works, for example, which had given dividends as high as 30 per cent., fell from 500 to 230. The Mamontof companies—supposed to be one of the strongest financial groups in the country—had to suspend payment, and numerous other failures occurred. Nearly all the commercial banks, having directly participated in the industrial concerns, were rudely shaken. M. Witte, who had been for a time the idol of a certain section of the financial world, became very unpopular, and was accused of misleading the investing public. Among the accusations brought against him some at least could easily be refuted. He may have made mistakes in his policy, and may have been himself over-sanguine, but surely, as he subsequently replied to his accusers, it was no part of his duty to warn company promoters and directors that they should refrain from over-production, and that their enterprises might not be as remunerative as they expected. As to whether there is any truth in the assertion that he held out prospects of larger Government orders than he actually gave, I cannot say. That he cut down prices, and showed himself a hard man to deal with, there seems no doubt.

The reader may naturally be inclined to jump to the conclusion that the commercial crisis just referred to was the cause of M. Witte's fall. Such a conclusion would be entirely erroneous. The crisis happened in the winter of 1899-1900, and M. Witte remained Finance Minister until the autumn of 1903. His fall was the result of causes of a totally different kind, and these I propose now to explain, because the explanation will throw light on certain very curious and characteristic conceptions at present current in the Russian educated classes.

Of course there were certain causes of a purely personal kind, but I shall dismiss them in a very few words. I remember once asking a well-informed friend of M. Witte's what he thought of him as an administrator and a statesman. The friend replied: "Imagine a negro of the Gold Coast let loose in modern European civilisation!" This reply, like most epigrammatic remarks, is a piece of gross exaggeration, but it has a modicum of truth in it. In the eyes of well-trained Russian officials M. Witte was a titanic, reckless character, capable at any moment of playing the part of the bull in the china-shop. As a masterful person, brusque in manner and incapable of brooking contradiction, he had made for himself many enemies; and his restless, irrepressible energy had led him to encroach on the provinces of all his colleagues. Possessing as he did the control of the purse, his interference could not easily be resisted. The Ministers of Interior, War, Agriculture, Public Works, Public Instruction, and Foreign Affairs had all occasion to complain of his incursions into their departments. In contrast to his colleagues, he was not only extremely energetic, but he was ever ready to assume an astounding amount of responsibility; and as he was something of an opportunist, he was perhaps not always quixotically scrupulous in the choice of expedients for attaining his ends.

Altogether M. Witte was an inconvenient personage in an administration in which strong personality is regarded as entirely out of place, and in which personal initiative is supposed to reside exclusively in the Tsar. In addition to all this he was a man who felt keenly, and when he was irritated he did not always keep the unruly member under strict control. If I am correctly informed, it was some imprudent and not very respectful remarks, repeated by a subordinate and transmitted by a Grand Duke to the Tsar, which were the immediate cause of his transfer from the influential post of Minister of Finance to the ornamental position of President of the Council of Ministers; but that was merely the proverbial last straw that broke the camel's back. His position was already undermined, and it is the undermining process which I wish to describe.

The first to work for his overthrow were the Agrarian Conservatives. They could not deny that, from the purely fiscal point of view, his administration was a marvellous success; for he was rapidly doubling the revenue, and he had succeeded in replacing the fluctuating depreciated paper currency by a gold coinage; but they maintained that he was killing the goose that laid the golden eggs. Evidently the tax-paying power of the rural classes was being overstrained, for they were falling more and more into arrears in the payment of their taxes, and their impoverishment was yearly increasing. All their reserves had been exhausted, as was shown by the famines of 1891-92, when the Government had to spend hundreds of millions to feed them. Whilst the land was losing its fertility, those who had to live by it were increasing in numbers at an alarming rate. Already in some districts one-fifth of the peasant households had no longer any land of their own, and of those who still possessed land a large proportion had no longer the cattle and horses necessary to till and manure their allotments. No doubt M. Witte was beginning to perceive his mistake, and had done something to palliate the evils by improving the system of collecting the taxes and abolishing the duty on passports, but such merely palliative remedies could have little effect. While a few capitalists were amassing gigantic fortunes, the masses were slowly and surely advancing to the brink of starvation. The welfare of the agriculturists, who constitute nine-tenths of the whole population, was being ruthlessly sacrificed, and for what? For the creation of a manufacturing industry which rested on an artificial, precarious basis, and which had already begun to decline.

So far the Agrarians, who champion the interests of the agricultural classes. Their views were confirmed and their arguments strengthened by an influential group of men whom I may call, for want of a better name, the philosophers or doctrinaire interpreters of history, who have, strange to say, more influence in Russia than in any other country.

The Russian educated classes desire that the nation should be wealthy and self-supporting, and they recognise that for this purpose a large manufacturing industry is required; but they are reluctant to make the sacrifices necessary to attain the object in view, and they imagine that, somehow or other, these sacrifices may be avoided. Sympathising with this frame of mind, the doctrinaires explain that the rich and prosperous countries of Europe and America obtained their wealth and prosperity by so-called "Capitalism"—that is to say, by a peculiar social organisation in which the two main factors are a small body of rich capitalists and manufacturers and an enormous pauper proletariat living from hand to mouth, at the mercy of the heartless employers of labour. Russia has lately followed in the footsteps of those wealthy countries, and if she continues to do so she will inevitably be saddled with the same disastrous results—plutocracy, pauperism, unrestrained competition in all spheres of activity, and a greatly intensified struggle for life, in which the weaker will necessarily go to the wall.*

* Free competition in all spheres of activity, leading tosocial inequality, plutocracy, and pauperism, is thefavourite bugbear of Russian theorists; and who is not atheorist in Russia?  The fact indicates the prevalence ofSocialist ideas in the educated classes.

Happily there is, according to these theorists, a more excellent way, and Russia can adopt it if she only remains true to certain mysterious principles of her past historic development. Without attempting to expound those mysterious principles, to which I have repeatedly referred in previous chapters, I may mention briefly that the traditional patriarchal institutions on which the theorists found their hopes of a happy social future for their country are the rural Commune, the native home-industries, and the peculiar co-operative institutions called Artels. How these remnants of a semi-patriarchal state of society are to be practically developed in such a way as to withstand the competition of manufacturing industry organised on modern "capitalist" lines, no one has hitherto been able to explain satisfactorily, but many people indulge in ingenious speculations on the subject, like children planning the means of diverting with their little toy spades a formidable inundation. In my humble opinion, the whole theory is a delusion; but it is held firmly—I might almost say fanatically—by those who, in opposition to the indiscriminate admirers of West-European and American civilisation, consider themselves genuine Russians and exceptionally good patriots. M. Witte has never belonged to that class. He believes that there is only one road to national prosperity—the road by which Western Europe has travelled—and along this road he tried to drive his country as rapidly as possible. He threw himself, therefore, heart and soul into what his opponents call "Capitalism," by raising State loans, organising banks and other credit institutions, encouraging the creation and extension of big factories, which must inevitably destroy the home industry, and even—horribile dictu!—undermining the rural Commune, and thereby adding to the ranks of the landless proletariat, in order to increase the amount of cheap labour for the benefit of the capitalists.

With the arguments thus supplied by Agrarians and doctrinaires, quite honest and well-meaning, according to their lights, it was easy to sap M. Witte's position. Among his opponents, the most formidable was the late M. Plehve, Minister of Interior—a man of a totally different stamp. A few months before his tragic end I had a long and interesting conversation with him, and I came away deeply impressed. Having repeatedly had conversations of a similar kind with M. Witte, I could compare, or rather contrast, the two men. Both of them evidently possessed an exceptional amount of mental power and energy, but in the one it was volcanic, and in the other it was concentrated and thoroughly under control. In discussion, the one reminded me of the self-taught, slashing swordsman; the other of the dexterous fencer, carefully trained in the use of the foils, who never launches out beyond the point at which he can quickly recover himself. As to whether M. Plehve was anything more than a bold, energetic, clever official there may be differences of opinion, but he certainly could assume the airs of a profound and polished statesman, capable of looking at things from a much higher point of view than the ordinary tchinovnik, and he had the talent of tacitly suggesting that a great deal of genuine, enlightened statesmanship lay hidden under the smooth surface of his cautious reserve. Once or twice I could perceive that when criticising the present state of things he had his volcanic colleague in his mind's eye; but the covert allusions were so vague and so carefully worded that the said colleague, if he had been present, would hardly have been justified in entering a personal protest. A statesman of the higher type, I was made to feel, should deal not with personalities, but with things, and it would be altogether unbecoming to complain of a colleague in presence of an outsider. Thus his attitude towards his opponent was most correct, but it was not difficult to infer that he had little sympathy with the policy of the Ministry of Finance.

From other sources I learned the cause of this want of sympathy. Being Minister of Interior, and having served long in the Police Department, M. Plehve considered that his first duty was the maintenance of public order and the protection of the person and autocracy of his august master. He was therefore the determined enemy of revolutionary tendencies, in whatever garb or disguise they might appear; and as a statesman he had to direct his attention to everything likely to increase those tendencies in the future. Now it seemed that in the financial policy which had been followed for some years there were germs of future revolutionary fermentation. The peasantry were becoming impoverished, and were therefore more likely to listen to the insidious suggestions of Socialist agitators; and already agrarian disturbances had occurred in the provinces of Kharkof and Poltava. The industrial proletariat which was being rapidly created was being secretly organised by the revolutionary Social Democrats, and already there had been serious labour troubles in some of the large towns. For any future revolutionary movement the proletariat would naturally supply recruits. Then, at the other end of the social scale, a class of rich capitalists was being created, and everybody who has read a little history knows that a rich and powerful tiers etat cannot be permanently conciliated with autocracy. Though himself neither an agrarian nor a Slavophil doctrinaire, M. Plehve could not but have a certain sympathy with those who were forging thunderbolts for the official annihilation of M. Witte. He was too practical a man to imagine that the hands on the dial of economic progress could be set back and a return made to moribund patriarchal institutions; but he thought that at least the pace might be moderated. The Minister of Finance need not be in such a desperate, reckless hurry, and it was desirable to create conservative forces which might counteract the revolutionary forces which his impulsive colleague was inadvertently calling into existence.

Some of the forgers of thunderbolts went a great deal further, and asserted or insinuated that M. Witte was himself consciously a revolutionist, with secret, malevolent intentions. In support of their insinuations they cited certain cases in which well-known Socialists had been appointed professors in academies under the control of the Ministry of Finance, and they pointed to the Peasant Bank, which enjoyed M. Witte's special protection. At first it had been supposed that the bank would have an anti-revolutionary influence by preventing the formation of a landless proletariat and increasing the number of small land-owners, who are always and everywhere conservative so far as the rights of private property are concerned.

Unfortunately its success roused the fears of the more conservative section of the landed proprietors. These gentlemen, as I have already mentioned, pointed out that the estates of the nobles were rapidly passing into the hands of the peasantry, and that if this process were allowed to continue the hereditary Noblesse, which had always been the civilising element in the rural population, and the surest support of the throne, would drift into the towns and there sink into poverty or amalgamate with the commercial plutocracy, and help to form a tiers etat which would be hostile to the Autocratic Power.

In these circumstances it was evident that the headstrong Minister of Finance could maintain his position only so long as he enjoyed the energetic support of the Emperor, and this support, for reasons which I have indicated above, failed him at the critical moment. When his work was still unfinished he was suddenly compelled, by the Emperor's command, to relinquish his post and accept a position in which, it was supposed, he would cease to have any influence in the administration.

Thus fell the Russian Colbert-Turgot, or whatever else he may be called. Whether financial difficulties in the future will lead to his reinstatement as Minister of Finance remains to be seen; but in any case his work cannot be undone. He has increased manufacturing industry to an unprecedented extent, and, as M. Plehve perceived, the industrial proletariat which manufacturing industry on capitalist lines always creates has provided a new field of activity for the revolutionists. I return, therefore, to the evolution of the revolutionary movement in order to describe its present phase, the first-fruits of which have been revealed in the labour disturbances in St. Petersburg and other industrial centres.

Influence of Capitalism and Proletariat on the Revolutionary Movement—What is to be Done?—Reply of Plekhanof—A New Departure—Karl Marx's Theories Applied to Russia—Beginnings of a Social Democratic Movement—The Labour Troubles of 1894-96 in St. Petersburg—The Social Democrats' Plan of Campaign—Schism in the Party—Trade-unionism and Political Agitation—The Labour Troubles of 1902—How the Revolutionary Groups are Differentiated from Each Other—Social Democracy and Constitutionalism—Terrorism—The Socialist Revolutionaries—The Militant Organisation—Attitude of the Government—Factory Legislation—Government's Scheme for Undermining Social Democracy—Father Gapon and His Labour Association—The Great Strike in St. Petersburg—Father Gapon goes over to the Revolutionaries.

The development of manufacturing industry on capitalist lines, and the consequent formation of a large industrial proletariat, produced great disappointment in all the theorising sections of the educated classes. The thousands of men and women who had, since the accession of the Tsar-Emancipator in 1855, taken a keen, enthusiastic interest in the progress of their native country, all had believed firmly that in some way or other Russia would escape "the festering sores of Western civilisation." Now experience had proved that the belief was an illusion, and those who had tried to check the natural course of industrial progress were constrained to confess that their efforts had been futile. Big factories were increasing in size and numbers, while cottage industries were disappearing or falling under the power of middlemen, and the Artels had not advanced a step in their expected development. The factory workers, though all of peasant origin, were losing their connection with their native villages and abandoning their allotments of the Communal land. They were becoming, in short, a hereditary caste in the town population, and the pleasant Slavophil dream of every factory worker having a house in the country was being rudely dispelled. Nor was there any prospect of a change for the better in the future. With the increase of competition among the manufacturers, the uprooting of the muzhik from the soil must go on more and more rapidly, because employers must insist more and more on having thoroughly trained operatives ready to work steadily all the year round.

This state of things had a curious effect on the course of the revolutionary movement.

Let me recall very briefly the successive stages through which the movement had already passed. It had been inaugurated, as we have seen, by the Nihilists, the ardent young representatives of a "storm-and-stress" period, in which the venerable traditions and respected principles of the past were rejected and ridiculed, and the newest ideas of Western Europe were eagerly adopted and distorted. Like the majority of their educated countrymen, they believed that in the race of progress Russia was about to overtake and surpass the nations of the West, and that this desirable result was to be attained by making a tabula rasa of existing institutions, and reconstructing society according to the plans of Proudhon, Fourier, and the other writers of the early Socialist school.

When the Nihilists had expended their energies and exhausted the patience of the public in theorising, talking, and writing, a party of action came upon the scene. Like the Nihilists, they desired political, social, and economic reforms of the most thorough-going kind, but they believed that such things could not be effected by the educated classes alone, and they determined to call in the co-operation of the people. For this purpose they tried to convert the masses to the gospel of Socialism. Hundreds of them became missionaries and "went in among the people." But the gospel of Socialism proved unintelligible to the uneducated, and the more ardent, incautious missionaries fell into the hands of the police. Those of them who escaped, perceiving the error of their ways, but still clinging to the hope of bringing about a political, social, and economic revolution, determined to change their tactics. The emancipated serf had shown himself incapable of "prolonged revolutionary activity," but there was reason to believe that he was, like his forefathers in the time of Stenka Razin and Pugatcheff, capable of rising and murdering his oppressors. He must be used, therefore, for the destruction of the Autocratic Power and the bureaucracy, and then it would be easy to reorganise society on a basis of universal equality, and to take permanent precautions against capitalism and the creation of a proletariat.

The hopes of the agitators proved as delusive as those of the propagandists. The muzhik turned a deaf ear to their instigations, and the police soon prevented their further activity. Thus the would-be root-and-branch reforms found themselves in a dilemma. Either they must abandon their schemes for the moment or they must strike immediately at their persecutors. They chose, as we have seen, the latter alternative, and after vain attempts to frighten the Government by acts of terrorism against zealous officials, they assassinated the Tsar himself; but before they had time to think of the constructive part of their task, their organisation was destroyed by the Autocratic Power and the bureaucracy, and those of them who escaped arrest had to seek safety in emigration to Switzerland and Paris.

Then arose, all along the line of the defeated, decimated revolutionists, the cry, "What is to be done?" Some replied that the shattered organisation should be reconstructed, and a number of secret agents were sent successively from Switzerland for this purpose. But their efforts, as they themselves confessed, were fruitless, and despondency seemed to be settling down permanently on all, except a few fanatics, when a voice was heard calling on the fugitives to rally round a new banner and carry on the struggle by entirely new methods. The voice came from a revolutionologist (if I may use such a term) of remarkable talent, called M. Plekhanof, who had settled in Geneva with a little circle of friends, calling themselves the "Labour Emancipation Group." His views were expounded in a series of interesting publications, the first of which was a brochure entitled "Socialism and the Political Struggle," published in 1883.

According to M. Plekhanof and his group the revolutionary movement had been conducted up to that moment on altogether wrong lines. All previous revolutionary groups had acted on the assumption that the political revolution and the economic reorganisation of society must be effected simultaneously, and consequently they had rejected contemptuously all proposals for reforms, however radical, of a merely political kind. These had been considered, as I have mentioned in a previous chapter, not only as worthless, but as positively prejudicial to the interests of the working classes, because so-called political liberties and parliamentary government would be sure to consolidate the domination of the bourgeoisie. That such has generally been the immediate effect of parliamentary institutions is undeniable, but it did not follow that the creation of such institutions should be opposed. On the contrary, they ought to be welcomed, not merely because, as some revolutionists had already pointed out, propaganda and agitation could be more easily carried on under a constitutional regime, but because constitutionalism is certainly the most convenient, and perhaps the only, road by which the socialistic ideal can ultimately be attained. This is a dark saying, but it will become clearer when I have explained, according to the new apostles, a second error into which their predecessors had fallen.

That second error was the assumption that all true friends of the people, whether Conservatives, Liberals, or revolutionaries, ought to oppose to the utmost the development of capitalism. In the light of Karl Marx's discoveries in economic science every one must recognise this to be an egregious mistake. That great authority, it was said, had proved that the development of capitalism was irresistible, and his conclusions had been confirmed by the recent history of Russia, for all the economic progress made during the last half century had been on capitalist lines.

Even if it were possible to arrest the capitalist movement, it is not desirable from the revolutionary point of view. In support of this thesis Karl Marx is again cited. He has shown that capitalism, though an evil in itself, is a necessary stage of economic and social progress. At first it is prejudicial to the interests of the working classes, but in the long run it benefits them, because the ever-growing proletariat must, whether it desires it or not, become a political party, and as a political party it must one day break the domination of the bourgeoisie. As soon as it has obtained the predominant political power, it will confiscate, for the public good, the instruments of production—factories, foundries, machines, etc.—by expropriating the capitalist. In this way all the profits which accrue from production on a large scale, and which at present go into the pockets of the capitalists, will be distributed equally among the workmen.

Thus began a new phase of the revolutionary movement, and, like all previous phases, it remained for some years in the academic stage, during which there were endless discussions on theoretical and practical questions. Lavroff, the prophet of the old propaganda, treated the new ideas "with grandfatherly severity," and Tikhomirof, the leading representative of the moribund Narodnaya Volya, which had prepared the acts of terrorism, maintained stoutly that the West European methods recommended by Plekhanof were inapplicable to Russia. The Plekhanof group replied in a long series of publications, partly original and partly translations from Marx and Engels, explaining the doctrines and aims of the Social Democrats.

Seven years were spent in this academic literary activity—a period of comparative repose for the Russian secret police—and about 1890 the propagandists of the new school began to work cautiously in St. Petersburg. At first they confined themselves to forming little secret circles for making converts, and they found that the ground had been to some extent prepared for the seed which they had to sow. The workmen were discontented, and some of the more intelligent amongst them who had formerly been in touch with the propagandists of the older generation had learned that there was an ingenious and effective means of getting their grievances redressed. How was that possible? By combination and strikes. For the uneducated workers this was an important discovery, and they soon began to put the suggested remedy to a practical test. In the autumn of 1894 labour troubles broke out in the Nevski engineering works and the arsenal, and in the following year in the Thornton factory and the cigarette works. In all these strikes the Social Democratic agents took part behind the scenes. Avoiding the main errors of the old propagandists, who had offered the workmen merely abstract Socialist theories which no uneducated person could reasonably be expected to understand, they adopted a more rational method. Though impervious to abstract theories, the Russian workman is not at all insensible to the prospect of bettering his material condition and getting his everyday grievances redressed. Of these grievances the ones he felt most keenly were the long hours, the low wages, the fines arbitrarily imposed by the managers, and the brutal severity of the foreman. By helping him to have these grievances removed the Social Democratic agents might gain his confidence, and when they had come to be regarded by him as his real friends they might widen his sympathies and teach him to feel that his personal interests were identical with the interests of the working classes as a whole. In this way it would be possible to awaken in the industrial proletariat generally a sort of esprit de corps, which is the first condition of political organisation.

On these lines the agents set to work. Having formed themselves into a secret association called the "Union for the Emancipation of the Working Classes," they gradually abandoned the narrow limits of coterie-propaganda, and prepared the way for agitation on a larger scale. Among the discontented workmen they distributed a large number of carefully written tracts, in which the material grievances were formulated, and the whole political system, with its police, gendarmes, Cossacks, and tax-gathers, was criticised in no friendly spirit, but without violent language. In introducing into the programme this political element, great caution had to be exercised, because the workmen did not yet perceive clearly any close connection between their grievances and the existing political institutions, and those of them who belonged to the older generation regarded the Tsar as the incarnation of disinterested benevolence. Bearing this in mind, the Union circulated a pamphlet for the enlightenment of the labouring population, in which the writer refrained from all reference to the Autocratic Power, and described simply the condition of the labouring classes, the heavy burdens they had to bear, the abuses of which they were the victims, and the inconsiderate way in which they were treated by their employers. This pamphlet was eagerly read, and from that moment whenever labour troubles arose the men applied to the Social Democratic agents to assist them in formulating their grievances.

Of course, the assistance had to be given secretly, because there were always police spies in the factories, and all persons suspected of aiding the labour movement were liable to be arrested and exiled. In spite of this danger the work was carried on with great energy, and in the summer of 1896 the field of operations was extended. During the coronation ceremonies of that year the factories and workshops in St. Petersburg were closed, and the men considered that for these days they ought to receive wages as usual. When their demand was refused, 40,000 of them went out on strike. The Social Democratic Union seized the opportunity and distributed tracts in large quantities. For the first time such tracts were read aloud at workmen's meetings and applauded by the audience. The Union encouraged the workmen in their resistance, but advised them to refrain from violence, so as not to provoke the intervention of the police and the military, as they had imprudently done on some previous occasions. When the police did intervene and expelled some of the strike-leaders from St. Petersburg, the agitators had an excellent opportunity of explaining that the authorities were the protectors of the employers and the enemies of the working classes. These explanations counteracted the effect of an official proclamation to the workmen, in which M. Witte tried to convince them that the Tsar was constantly striving to improve their condition. The struggle was decided, not by arguments and exhortations, but by a more potent force; having no funds for continuing the strike, the men were compelled by starvation to resume work.

This is the point at which the labour movement began to be conducted on a large scale and by more systematic methods. In the earlier labour troubles the strikers had not understood that the best means of bringing pressure on employers was simply to refuse to work, and they had often proceeded to show their dissatisfaction by ruthlessly destroying their employers' property. This had brought the police, and sometimes the military, on the scene, and numerous arrests had followed. Another mistake made by the inexperienced strikers was that they had neglected to create a reserve fund from which they could draw the means of subsistence when they no longer received wages and could no longer obtain credit at the factory provision store. Efforts were now made to correct these two mistakes, and with regard to the former they were fairly successful, for wanton destruction of property ceased to be a prominent feature of labour troubles; but strong reserve funds have not yet been created, so that the strikes have never been of long duration.

Though the strikes had led, so far, to no great practical, tangible results, the new ideas and aspirations were spreading rapidly in the factories and workshops, and they had already struck such deep root that some of the genuine workmen wished to have a voice in the managing committee of the Union, which was composed exclusively of educated men. When a request to that effect was rejected by the committee a lengthy discussion took place, and it soon became evident that underneath the question of organisation lay a most important question of principle. The workmen wished to concentrate their efforts on the improvement of their material condition, and to proceed on what we should call trade-unionist lines, whereas the committee wished them to aim also at the acquisition of political rights. Great determination was shown on both sides. An attempt of the workmen to maintain a secret organ of their own with the view of emancipating themselves from the "Politicals" ended in failure; but they received sympathy and support from some of the educated members of the party, and in this way a schism took place in the Social Democrat camp. After repeated ineffectual attempts to find a satisfactory compromise, the question was submitted to a Congress which was held in Switzerland in 1900; but the discussions merely accentuated the differences of opinion, and the two parties constituted themselves into separate independent groups. The one under the leadership of Plekhanof, and calling itself the Revolutionary Social Democrats, held to the Marx doctrines in all their extent and purity, and maintained the necessity of constant agitation in the political sense. The other, calling itself the Union of Foreign Social Democrats, inclined to the trade-unionism programme, and proclaimed the necessity of being guided by political expediency rather than inflexible dogmas. Between the two a wordy warfare was carried on for some time in pedantic, technical language; but though habitually brandishing their weapons and denouncing their antagonists in true Homeric style, they were really allies, struggling towards a common end—two sections of the Social Democratic party differing from each other on questions of tactics.

The two divergent tendencies have often reappeared in the subsequent history of the movement. During ordinary peaceful times the economic or trade-unionist tendency can generally hold its own, but as soon as disturbances occur and the authorities have to intervene, the political current quickly gains the upper hand. This was exemplified in the labour troubles which took place at Rostoff-on-the-Don in 1902. During the first two days of the strike the economic demands alone were put forward, and in the speeches which were delivered at the meetings of workmen no reference was made to political grievances. On the third day one orator ventured to speak disrespectfully of the Autocratic Power, but he thereby provoked signs of dissatisfaction in the audiences. On the fifth and following days, however, several political speeches were made, ending with the cry of "Down with Tsarism!" and a crowd of 30,000 workmen agreed with the speakers. Thereafter occurred similar strikes in Odessa, the Caucasus, Kief, and Central Russia, and they had all a political rather than a purely economic character.

I must now endeavour to explain clearly the point of view and plan of campaign of this new movement, which I may call the revolutionary Renaissance.

The ultimate aim of the new reformers was the same as that of all their predecessors—the thorough reorganisation of Society on Socialistic principles. According to their doctrines, Society as at present constituted consists of two great classes, called variously the exploiters and the exploited, the shearers and the shorn, the capitalists and the workers, the employers and the employed, the tyrants and the oppressed; and this unsatisfactory state of things must go on so long as the so-called bourgeois or capitalist regime continues to exist. In the new heaven and the new earth of which the Socialist dreams this unjust distinction is to disappear; all human beings are to be equally free and independent, all are to cooperate spontaneously with brains and hands to the common good, and all are to enjoy in equal shares the natural and artificial good things of this life.

So far there has never been any difference of opinion among the various groups of Russian thorough-going revolutionists. All of them, from the antiquated Nihilist down to the Social Democrat of the latest type, have held these views. What has differentiated them from each other is the greater or less degree of impatience to realise the ideal.

The most impatient were the Anarchists, who grouped themselves around Bakunin. They wished to overthrow immediately by a frontal attack all existing forms of government and social organisation, in the hope that chance, or evolution, or natural instinct, or sudden inspiration or some other mysterious force, would create something better. They themselves declined to aid this mysterious force even by suggestions, on the ground that, as one of them has said, "to construct is not the business of the generation whose duty is to destroy." Notwithstanding the strong impulsive element in the national character, the reckless, ultra-impatient doctrinaires never became numerous, and never succeeded in forming an organised group, probably because the young generation in Russia were too much occupied with the actual and future condition of their own country to embark on schemes of cosmopolitan anarchism such as Bakunin recommended.

Next in the scale of impatience came the group of believers in Socialist agitation among the masses, with a view to overturning the existing Government and putting themselves in its place as soon as the masses were sufficiently organised to play the part destined for them. Between them and the Anarchists the essential points of difference were that they admitted the necessity of some years of preparation, and they intended, when the Government was overturned, not to preserve indefinitely the state of anarchy, but to put in the place of autocracy, limited monarchy, or the republic, a strong, despotic Government thoroughly imbued with Socialistic principles. As soon as it had laid firmly the foundations of the new order of things it was to call a National Assembly, from which it was to receive, I presume, a bill of indemnity for the benevolent tyranny which it had temporarily exercised.

Impatience a few degrees less intense produced the next group, the partisans of pacific Socialist propaganda. They maintained that there was no necessity for overthrowing the old order of things till the masses had been intellectually prepared for the new, and they objected to the foundation of the new regime being laid by despots, however well-intentioned in the Socialist sense. The people must be made happy and preserved in a state of happiness by the people themselves.

In the last place came the least impatient of all, the Social Democrats, who differ widely from all the preceding categories.

All previous revolutionary groups had systematically rejected the idea of a gradual transition from the bourgeois to the Socialist regime. They would not listen to any suggestion about a constitutional monarchy or a democratic republic even as a mere intermediate stage of social development. All such things, as part and parcel of the bourgeois system, were anathematised. There must be no half-way houses between present misery and future happiness; for many weary travellers might be tempted to settle there in the desert, and fail to reach the promised land. "Ever onward" should be the watchword, and no time should be wasted on the foolish struggles of political parties and the empty vanities of political life.

Not thus thought the Social Democrat. He was much wiser in his generation. Having seen how the attempts of the impatient groups had ended in disaster, and knowing that, if they had succeeded, the old effete despotism would probably have been replaced by a young, vigorous one more objectionable than its predecessor, he determined to try a more circuitous but surer road to the goal which the impatient people had in view. In his opinion the distance from the present Russian regime protected by autocracy to the future Socialist paradise was far too great to be traversed in a single stage, and he knew of one or two comfortable rest-houses on the way. First there was the rest-house of Constitutionalism, with parliamentary institutions. For some years the bourgeoisie would doubtless have a parliamentary majority, but gradually, by persistent effort, the Fourth Estate would gain the upper hand, and then the Socialist millennium might be proclaimed. Meanwhile, what had to be done was to gain the confidence of the masses, especially of the factory workers, who were more intelligent and less conservative than the peasantry, and to create powerful labour organisations as material for a future political party.

This programme implied, of course, a certain unity of action with the constitutionalists, from whom, as I have said, the revolutionists of the old school had stood sternly aloof. There was now no question of a formal union, and certainly no idea of a "union of hearts," because the Socialists knew that their ultimate aim would be strenuously opposed by the Liberals, and the Liberals knew that an attempt was being made to use them as a cat's-paw; but there seemed to be no reason why they of the two groups should not observe towards each other a benevolent neutrality, and march side by side as far as the half-way house, where they could consider the conditions of the further advance.

When I first became acquainted with the Russian Social Democrats I imagined that their plan of campaign was of a purely pacific character; and that they were, unlike their predecessors, an evolutionary, as distinguished from a revolutionary, party. Subsequently I discovered that this conception was not quite accurate. In ordinary quiet times they use merely pacific methods, and they feel that the Proletariat is not yet sufficiently prepared, intellectually and politically, to assume the great responsibilities which are reserved for it in the future. Moreover, when the moment comes for getting rid of the Autocratic Power, they would prefer a gradual process of liquidation to a sudden cataclysm. So far they may be said to be evolutionaries rather than revolutionaries, but their plan of campaign does not entirely exclude violence. They would not consider it their duty to oppose the use of violence on the part of the more impatient sections of the revolutionists, and they would have no scruples about utilising disturbances for the attainment of their own end. Public agitation, which is always likely in Russia to provoke violent repression by the authorities, they regard as necessary for keeping alive and strengthening the spirit of opposition; and when force is used by the police they approve of the agitators using force in return. To acts of terrorism, however, they are opposed on principle.

Who, then, are the Terrorists, who have assassinated so many great personages, including the Grand Duke Serge? In reply to this question I must introduce the reader to another group of the revolutionists who have usually been in hostile, rather than friendly, relations with the Social Democrats, and who call themselves the Socialist-Revolutionaries (Sotsialisty-Revolutsionery).

It will be remembered that the terrorist group, commonly called Narodnaya Volya, or Narodovoltsi, which succeeded in assassinating Alexander II., were very soon broken up by the police and most of the leading members were arrested. A few escaped, of whom some remained in the country and others emigrated to Switzerland or Paris, and efforts at reorganisation were made, especially in the southern and western provinces, but they proved ineffectual. At last, sobered by experience and despairing of further success, some of the prisoners and a few of the exiles—notably Tikhomirof, who was regarded as the leader—made their peace with the Government, and for some years terrorism seemed to be a thing of the past. Passing through Russia on my way home from India and Central Asia at that time, I came to the conclusion that the young generation had recovered from its prolonged attack of brain-fever, and had entered on a more normal, tranquil, and healthy period of existence.

My expectations proved too optimistic. About 1894 the Narodnaya Volya came to life again, with all its terrorist traditions intact; and shortly afterwards appeared the new group which I have just mentioned, the Socialist-Revolutionaries, with somewhat similar principles and a better organisation. For some seven or eight years the two groups existed side by side, and then the Narodnaya Volya disappeared, absorbed probably by its more powerful rival.

During the first years of their existence neither group was strong enough to cause the Government serious inconvenience, and it was not till 1897-98 that they found means of issuing manifestos and programmes. In these the Narodovoltsi declared that their immediate aims were the annihilation of Autocracy, the convocation of a National Assembly and the reorganisation of the Empire on the principles of federation and local self-government, and that for the attainment of these objects the means to be employed should include popular insurrections, military conspiracies, bombs and dynamite.

Very similar, though ostensibly a little more eclectic, was the programme of the Socialist-Revolutionaries. Their ultimate aim was declared to be the transfer of political authority from the Autocratic Power to the people, the abolition of private property in the means of production, and in general the reorganisation of national life on Socialist principles. On certain points they were at one with the Social Democrats. They recognised, for example, that the social reorganisation must be preceded by a political revolution, that much preparatory work was necessary, and that attention should be directed first to the industrial proletariat as the most intelligent section of the masses. On the other hand they maintained that it was a mistake to confine the revolutionary activity to the working classes of the towns, who were not strong enough to overturn the Autocratic Power. The agitation ought, therefore, to be extended to the peasantry, who were quite "developed" enough to understand at least the idea of land-nationalisation; and for the carrying out of this part of the programme a special organisation was created.

With so many opinions in common, it seemed at one moment as if the Social Democrats and the Socialist-Revolutionaries might unite their forces for a combined attack on the Government; but apart from the mutual jealousy and hatred which so often characterise revolutionary as well as religious sects, they were prevented from coalescing, or even cordially co-operating, by profound differences both in doctrine and in method.

The Social Democrats are essentially doctrinaires. Thorough-going disciples of Karl Marx, they believed in what they consider the immutable laws of social progress, according to which the Socialistic ideal can be reached only through capitalism; and the intermediate political revolution, which is to substitute the will of the people for the Autocratic Power, must be effected by the conversion and organisation of the industrial proletariat. With the spiritual pride of men who feel themselves to be the incarnations or avatars of immutable law, they are inclined to look down with something very like contempt on mere empirics who are ignorant of scientific principles and are guided by considerations of practical expediency. The Social-Revolutionaries seem to them to be empirics of this kind because they reject the tenets, or at least deny the infallibility, of the Marx school, cling to the idea of partially resisting the overwhelming influence of capitalism in Russia, hope that the peasantry will play at least a secondary part in bringing about the political revolution, and are profoundly convinced that the advent of political liberty may be greatly accelerated by the use of terrorism. On this last point they stated their views very frankly in a pamphlet which they published in 1902 under the title of "Our Task" (Nasha Zadatcha). It is there said:

"One of the powerful means of struggle, dictated by our revolutionary past and present, is political terrorism, consisting of the annihilation of the most injurious and influential personages of Russian autocracy in given conditions. Systematic terrorism, in conjunction with other forms of open mass-struggle (industrial riots and agrarian risings, demonstrations, etc.), which receive from terrorism an enormous, decisive significance, will lead to the disorganisation of the enemy. Terrorist activity will cease only with the victory over autocracy and the complete attainment of political liberty. Besides its chief significance as a means of disorganising, terrorist activity will serve at the same time as a means of propaganda and agitation, a form of open struggle taking place before the eyes of the whole people, undermining the prestige of Government authority, and calling into life new revolutionary forces, while the oral and literary propaganda is being continued without interruption. Lastly, the terrorist activity serves for the whole secret revolutionary party as a means of self-defence and of protecting the organisation against the injurious elements of spies and treachery."

In accordance with this theory a "militant organisation" (Boevaga Organisatsia) was formed and soon set to work with revolvers and bombs. First an attempt was made on the life of Pobedonostsef; then the Minister of the Interior, Sipiagin, was assassinated; next attempts were made on the lives of the Governors of Vilna and Kharkof, and the Kharkof chief of police; and since that time the Governor of Ufa, the Vice-Governor of Elizabetpol, the Minister of the Interior, M. Plehve, and the Grand Duke Serge have fallen victims to the terrorist policy.*


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