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"Reference to the conditions that have developed in Russia and Hungary under Soviet rule proves nothing. What we have there is nothing but a picture of the destruction of an existing order of social production, for which a closed peasant household economy has been substituted. All branches of production depending on social division of labor are in a state of entire dissolution. What is happening under the rule of Lenin and Trotsky is merely destruction and annihilation. Whether, as the liberals hold, socialism must inevitably draw these consequences in its train, or whether, as the socialists retort, this is only a result of the fact that the Soviet Republic is attacked from without, is a question of no interest to us in this context. All that has to be established is the fact that the Soviet socialist commonwealth has not even begun to discuss the problem of economic calculation, nor has it any cause to do so. For where things are still produced for the market in Soviet Russia in spite of governmental prohibitions, they are valued in terms of money, for there exists to that extent private ownership of the means of production, and goods are sold against money. Even the government cannot deny the necessity, which it confirms by increasing the amount of money in circulation, of retaining a monetary system for at least the transition period."
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