There are Government stores and ce-operative societies in every street in Moscow. One big Government store is culled Gum and it situated in a large arcade about 200 yards long with shops in three ers. They sell every possible kind of article and all are government, products. In the town there are else many private shops, but I found that their prices were always higher than at the government shops. For instance, apples in the Government stores were 15 kapoks per pound: a hawker on the street was selling the same apples, for 20 kapoks, and a private shop. was selling them for 30 kapoks. This seemed to apply to most of the goods sold. The Government stores are the cheapest, and as stated above the isto sell at cost price and so lower the: cost of living. In my opinion this is the weakness of the Russian system. They produce and sell to the people at almost cost price and although they have a surplus it is not suficient. With all the tremendous esourees they have, and the organizations for production and distribution which eliminate the waste of the competitive methods in other countries, they ought to have a large surplus every year. With such resources they ought to be able to compete easily in the world market, but so far they have only. done this to a limited extent. In 1923 the Centrosoyus exported 19 million Chervonitz worth of goods and imported only 543,420 Cher-. vonitz worth of goods. The prin-
rew materials, ipal item exported T notice was tu
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