d Five Year Plan** The first five-year plan built a foundation for the Soviet economy and turned the U.S.S.R. into an industrial-agrarian state, as workers completed the plan ahead of schedule. The second five-year plan, redrafted during its first year, was adopted in February 1934. It was a more realistic plan than its predecessor. The new plan stressed a higher standard of living, increased skilled labor, and expanding the Soviet railway system. We shall rebuild our country with our own hands and with the help of our own machines. This will prove to the whole world the advantage of Socialist methods and the soundness of a planned economy.8 After a bad year in 1933, came three good years in industry and construction. During this time, labor productivity rose substantially and industrial unemployment fell as training programs created a more skilled labor force. Pay differentials widened, rationing was abolished, and more consumer goods were made available. After 1934, high prices of necessities stimulated harder work under the prevailing piecework system 9 Labor productivity was also improved by stakhanovism, a by-product of socialist competition. Named after Alexis Stakhanov, who increased his productivity by fourteen times over, by his intelligent use of unskilled labor 10 Stakhanovism spread throughout the country to all industries and lower labor norms were raised. Harsh penalties for absenteeism and high worker turnover rate reduced these and improved labor discipline. However, the Great Purge eliminated most of the managers, technicians, and foremen. **The Great Purge**The rise to power of a self made and poorly educated man, gave its imprint to the whole style of Soviet politics and society of the thirties.11 A growing personality cult aided Stalins drive to dominate the party after Lenins death in 1924. Within the party, tension grew as Stalin crushed ...
