stablishments with 435,000
wage-earners have cut down their working force to 319,000. Thus about
one-third of the total industrial wage-earning force has felt the
effects of the war either through total discharge or through diminished
output.

The lack of trained labor power and the failure to obtain funds have
affected 222 establishments with 58,000 workers. Lack of funds has been
very severely felt in the Baltic provinces, (there, especially, in the
chemical industry,) affecting fourteen establishments with 15,701
workers. Altogether 132 establishments with 50,000 employes have cut
down their operations, and of these 30 per cent. employing 15,000
workers belonged to the chemical industry. Also twenty establishments of
the metal working (fine machinery) industry with 11,000 employes had to
curtail their volume of business. In other industries the lack of labor
supply has not been felt. Evidently only the industries requiring highly
qualified labor have suffered from this cause. The shortage of fuel
forced 108 establishments with 49,000 workers to diminish their output,
and eleven establishments with 3,000 workers had to close down
altogether.

The lack of fuel was very severely felt in the provinces of Petrograd
and in the Baltic, owing to the stoppage of the importation of British
coal. Of all establishments closed down for this reason, about 60 per
cent. belong to the provinces of Petrograd, Livland, and Estland.

In other regions this want was felt less severely. The output of coal in
the Donetz basin and of naphtha in the Baku region has increased, and
the decreased demand for fuel owing to the diminished production has
somewhat lowered the prices of naphtha. Thus in 1913 the average monthly
price of light naphtha in Balakhany was 42 copecks per pood, (two-thirds
of a cent per pound,) but in September, 1914, it was 36, and on Nov. 5
it fell to 25-26 copecks per pood, (13 cents per thirty-six pounds--a
little over 1-3 cent per pound.)

The main difficulty in the fuel supply lies, however, in the inadequate
transportation facilities.

The next obstacle in the way of normal development of industry is the
lack of transportation facilities. This cause alone forced 223 factories
with 128,000 workers to curtail their output, and fifty-six factories
with 5,300 workers stopped production.

But the most disastrous effect upon the Russian industry has been
produced by the diminished demand and by the lack of raw materi