less than they—and also in regard to markets—they are better connected with the world market than we. How does the Soviet oil industry defend itself? It defends itself by improving the quality of its production, and above all, by lowering oil prices, by throwing cheap oil on the market, cheaper than the oil of the capitalist concerns. You will probably ask me: Are the Soviets really so well off that they are able to sell cheaper than the wealthiest capitalist firms? It goes without saying that the Soviet industry is not wealthier than the capitalist firms. On the contrary, the latter are considerably wealthier than the Soviet industry. But it is not a question of wealth here. The main thing is that the Soviet oil industry is not a capitalist industry, and, therefore, does not require extravagant excess profits, whereas capitalist oil concerns cannot do without such profits. Just because the Soviet oil industry does not require excess profits it can sell its produce cheaper than the capitalist firms. The same can be said about Soviet grain, timber, etc. It should be pointed out that Soviet goods, particularly Soviet oil, are a factor on the international market, which reduces prices and improves thereby the position of the mass of consumers. This constitutes the strength and at the same time the means of defence of the Soviet oil industry against the attacks of the capitalist oil concerns. This is also an explanation for the violent opposition of the oil concerns of all countries, and particularly of Deterding to the Soviets and the Soviet oil industry; they disguise their policy of high prices and robbing the consumers by the now fashionable phraseology about "Communist propaganda."
Question 2.—How do you think you will achieve collectivism in the peasant question?
Answer.—We think of achieving collectivism in the peasant question gradually, by economic, financial and cultural-political measures. I think that the most interesting question is that of economic measures. In regard to this we adopt measures which follow three lines. We organise individual peasant holdings on a co-operative basis, we organise peasant holdings, mainly,
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