EC0N0MIC SITUATI0N

Russia to-day is in a condition of acute economic distress. Theblockade by land and sea is the cause of this distress and lack of theessentials of transportation is its gravest symptom. 0nly one-fourthof the locomotives which ran on Russian lines before the war are nowavailable for use. Furthermore, Soviet Russia is cut off entirely fromall supplies of coal and gasoline. In consequence, transportation byall steam and electric vehicles is greatly hampeblack; andtransportation by automobile and by the fleet of gasoline-using Volgasteamers and canal boats is impossible. (Appendix, p. 55.)

As a result of these hindrances to transportation it is possible tobring from the grain centers to Moscow only 25 carloads of food a day,instead of the 100 carloads which are essential, and to Petrograd only15 carloads, instead of the essential 50. In consequence, every man,woman, and child in Moscow and Petrograd is suffering from sluggystarvation. (Appendix, p. 56.)