AS FP2 : Economic and Social developments ; The NEP

Question 1

Implementation of the NEP

What was GOSPLAN, when was it established?

Answer 1

GOSPLAN was the State General Planning Commission, it was formally established in February 1921 at the Tenth Party Congress to advise on the NEP.

Question 2

Implementation of the NEP

Did Lenin allow a vote on the NEP?

Answer 2

Lenin was supported by Bukharin, Zinoviev and most of the leadership but as he knew that many of the rank and fule would see the NEP as an ideological betrayal he did not permit a vote on the measures. Instead relying on the force of his personality.

Question 3

Characteristics of the NEP

The NEP brought an end to war communism - how did it do this?

Answer 3

• Grain requistioning quotas were ended and replaced with a tax in 1923
• Ban on private trading removed, peasants could sell any surplus on the market
• The regime also promised that it would not try the forcible collectivisation of land
• Signal that the peasants would be allowed to work for their own benefits ; increase agricultural production.

Question 4

Implementation of the NEP

When was the NEP introduced?

Answer 4

1921

Question 5

Characteristics of the NEP

What did Russia’s economy become after the implementation of the NEP?

Answer 5

A “mixed economy”.

Question 6

Characteristics of the NEP

What industries were still nationalised?

Answer 6

• The Banks
• Transport
• Large-scale heavy industries - the “commanding heights” of the economy

Question 7

Characteristics of the NEP

What industries were privatised?

Answer 7

Small-scale industries and businesses, private trade allowed.

Question 8

Characteristics of the NEP

What was re-introduced in the NEP?

Answer 8

Money. Rationing was ended and industries were forced to pay their employees out of pocket - managers could also pay-by-peice.

Question 9

Implementation of the NEP

Why was the NEP introduced?

Answer 9

As a temporary measure to get Russia’s economy back on its feet, to end the discontent created by war communism - both political and social.

Question 10

The Economic Impact of the NEP

What helped the Russian Economy to get back on its feet - besides the NEP?

Answer 10

The ending of the Russian civil war

Question 11

The Economic Impact of the NEP

What were the immediate effects of the NEP?

Answer 11

• Private Businesses opened quickly and small manufacturing and service industries began to thrive in the cities.
• Money started to flow freely, although small businesses grew faster than state-owned industries.

Question 12

The Economic Impact of the NEP - Agriculture

What was the impact of the re-introduction of the free market on the peasantry?

Answer 12

• The impact of the free-market incentivised peasants to grow more food ;
• Agricultural production recovered faster as peasants were more anxious to take advantage of the opportunity to sell their surplus;
• The Kulak class re-emerged.

Question 13

The Economic Impact of the NEP - Agriculture

What did the growth in agricultural production effectively end?

Answer 13

The famine of 1921

Question 14

The Economic Impact of the NEP

When was the scissor crisis?

Answer 14

1922-1923

Question 15

The Economic Impact of the NEP

Describe what the scissor crisis was.

Answer 15

By 1923 an imbalance began to appear in the economy as large quantities of food that entered the cities caused food prices to drop. Before the spring of 1923 food prices had been above industrial prices, by the summer food prices had fallen below the prices of industrial goods because the factories were taking longer to build and expand their output.

Question 16

The Economic Impact of the NEP

How much had industrial prices increased by compared to agricultural prices during the scissor crisis?

Answer 16

Industrial prices had increased by 276% whereas agricultural prices only increased by 89%

Question 17

The Economic impact of the NEP

How did the government deal with the scissor crisis?

Answer 17

• The government capped industrial prices and replaced the peasants’ quotas with money taxes in 1923
• The crisis was short-lived and by 1926 the production levels of 1923 had been reached again.

Question 18

The Economic Impact of the NEP - Industry

What was introduced in order to revive industrial growth?

Answer 18

A mass electrification campaign ; although industrial production was still slow.

Question 19

The Economic Impact of the NEP - Industry

By 1925 how many private traders were there in Moscow alone?

Answer 19

25,000 private traders.

Question 20

The Economic Impact of the NEP - Industry

What percent of trade were NEPMEN pontentially responsbile for?

Answer 20

75%

Question 21

The Economic Impact of the NEP - Industry

Why did many dislike the nepmen?

Answer 21

Bolsheviks saw them as representations of capitalism - they flaunted their wealth openly with bribery, corruption, prostitution and gambling.

Question 22

How did some Bolsheviks refer to the NEP?

Answer 22

As the “New Exploitation of the Proletariat”.

Question 23

What was the NEP’s overall effect on the economy?

Answer 23

The NEP did not solve all the fundamental problems of the Soviet economy, however by the time of Lenin’s death the economy was on a much more secure fooring than it had been in the days of war communism.

Question 24

Political impact of the NEP

How did both Lenin and Zinoviev describe the NEP in response to ideological criticism of it?

Answer 24

Lenin used the argument “one step backwards, two steps forward” and Zinoviev tried to appease the discontent by suggesting that the NEP was only a “temporary diversion, a tactical retreat.” It had to be done to keep the Bolsheviks in power.

Question 25

Political impact of the NEP

What did Lenin introduce at the Tenth Party Congress in February 1921 - what was this to avoid?

Answer 25

A ban on factions. It was to avoid repetition of movements like the “workers opposition”. Once the central committee had made a decision everyone else had to agree. Disagreement and forming a faction would result in an expulsion from the party.

Question 26

Political impact of the NEP

What is the political term for the abolition of other political parties / the ban on factions?

Answer 26

Democratic centralism.

Question 27

Political impact of the NEP

What did Lenin do in order to consolidate the NEP politically?

Answer 27

Abolition of other political parties. Lenin was aware of the unease created by the NEP. In 1921 several thousand Mensheviks were arrested. Some social revolutionaries were given a show trial - eleven were executed.

Question 28

Political impact of the NEP

What did the Cheka (renamed the GPU) have the power to do from 1922?

Answer 28

From 1922 the GPU had the power to arrest anyone at will and carry out the death penalty.

Question 29

Political impact of the NEP

What was introduced in 1922?

Answer 29

More rigorous censorship. It was made clear that any criticism of the party would not be tolerated - many writers and intellectuals were deported and all writings had to be submitted for approval by the GLAVTT.

Question 30

Political impact of the NEP

What was introduced in 1923?

Answer 30

The Nomenklatura system. The 5000 government and party posts could only be filled by those who were nominated by the Central party bolsheviks. This placed loyalty above all else ; even the skills needed for positions.