NEP Flashcards
Why the NEP
Solve the food crisis that had emerged in Russia: the harvest of 1920 and 1921 had produced less than 50% of that achieved in 1913 he had also accepted foreign aid.
Quell the future restaince like the ones in tambov.
Showed Lenin was pragmatic and flexible in his thinking.
What was the NEP
Denationlisation of small scale enterprises and return to private ownership allowed small businesses to flourish to produce consumer items like shoes and clothes.
The continuation of the state control of heavy industry but through the use trusts they had lots of power and had over production and materials
Rejuvenation of trade by removing restrictions, more foreign trade.
The consequences of the NEP
Short term impact was impressive. Industrial output increased rapidly and goods and goods increased due to the nepman resbonble for 60% of trade.
The scissors crisis = falling arigculture and rising. Left food prices to high for Peasants there ment the were worried to sell surplus grain