Outside the commune, there would remain numerous elements carrying on the methods of individual economy, to wit: handicraftsmen, workers in home industries, and a great proportion of the farmers.
Among artisans and home industry workers the principle of voluntary co-operation must be applied; by offering full scope for self-development, and for initiative, this would open the way for the use of all the achievements of technical progress. These branches of production, united on the pattern of syndicalized communal industries, would be included in the proper unions, forming part of the National Confederation of Labor. But their economic relations with the commune would be regulated along the same lines as those of the individually owned farms.
This principle of co-operation, furthermore, would apply to the privately owned farms, that is to say, individual farms, operating on plots of the socialized land, which plots would, of course, cease to be subject to purchase and sale and could not be transferred by inheritance.
Just as the various forms of communal production would be under the jurisdiction of the corresponding industrial unions, so the land, its reclamation and redistribution and also domestic colonization of the agronomy, etc., would be under the control of the Union of Farm Communities, as a constituent element of the National Confederation of Labor.
The farm economy of the transitional period would be represented by the three following basic types: i. individual, ii. co-operative, and iii. communist, the last being part and parcel of the National Commune. The prevailing role would of course be played by the individual type of farming, in which productive relations based upon private ownership of the product of labor would predominate.
The commune would abstain from entering into any economic relations with the separate individual farms. In consequence, during the transitional period, cooperative activities would assume the function of serving as the only intermediary between the commune and the individualist farms of the entire country. Cooperation would thus integrate, fully and on every level, the millions of individual farms. The cooperative machinery would take approximately the following shape:
(a) Farm Associations for Purchasing and Marketing;
(b) Federation of Farming Associations
(c) Highest Council of Co-operative Associations.