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The NEP. By Sean and Austin. What is it?. The NEP stands for New Economic Policy Was Lenin's last economic decision before he died Was made in the 10th congress of the ‘All Russian Communist Party’ in March 1921 as a means of recovering from a ruined economy. Why did they form it?. - PowerPoint PPT Presentation
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The NEPThe NEP
By Sean and AustinBy Sean and Austin
What is it?What is it?
• The NEP stands for New Economic Policy
• Was Lenin's last economic decision before he died
• Was made in the 10th congress of the ‘All Russian Communist Party’ in March 1921 as a means of recovering from a ruined economy
• The NEP stands for New Economic Policy
• Was Lenin's last economic decision before he died
• Was made in the 10th congress of the ‘All Russian Communist Party’ in March 1921 as a means of recovering from a ruined economy
Why did they form it?Why did they form it?
• The previous policy (war communism) failed miserably
• Lenin thought they did not meet meet the economic criteria necessary to be socialist
• In his own words he said “We are not civilized enough”
• The previous policy (war communism) failed miserably
• Lenin thought they did not meet meet the economic criteria necessary to be socialist
• In his own words he said “We are not civilized enough”
What were the policies?What were the policies?
• Private ownership is returned to farmers • Employment is brought back for farmers• Large factories are under state control• Allowed foreign trade• Allowed peasants to keep part of their
surplus after paying a small tax• Allowed peasants land tenure (land tenure
is the right to own land)• Allowed the peasants to sell their surplus
for profit
• Private ownership is returned to farmers • Employment is brought back for farmers• Large factories are under state control• Allowed foreign trade• Allowed peasants to keep part of their
surplus after paying a small tax• Allowed peasants land tenure (land tenure
is the right to own land)• Allowed the peasants to sell their surplus
for profit
What were the effects?What were the effects?• Initially there was a famine due to increased
food prices which was a setback for the recovery • Eventually production of all goods were brought
to above pre-revolution standards• Economy was brought back up after 1928• Also in 1928 the average working hours went
from 9.9 hours to 7.8 hours a day• By 1928 the number of women workers
increased• The factories began to sell their products at
higher products
• Initially there was a famine due to increased food prices which was a setback for the recovery
• Eventually production of all goods were brought to above pre-revolution standards
• Economy was brought back up after 1928• Also in 1928 the average working hours went
from 9.9 hours to 7.8 hours a day• By 1928 the number of women workers
increased• The factories began to sell their products at
higher products
What were the effects? (cont.)
What were the effects? (cont.)
• Because of this the peasants had to produce more of their product
• The peasants began to withhold their surplus to sell for better prices to NEP-men (middle-class and traders)
• The NEP men would sell them at even higher prices
• Unemployment became common.
• Because of this the peasants had to produce more of their product
• The peasants began to withhold their surplus to sell for better prices to NEP-men (middle-class and traders)
• The NEP men would sell them at even higher prices
• Unemployment became common.
What were the effects?(cont.)
What were the effects?(cont.)
• There was a imbalance between the large industry (state owned) and agriculture (this was called a scissor effect)
• The government fixed prices to stop the scissor effect
• The gap between the classes narrowed- more equality and the richer farmers were called Kulaks
• There was a split between the Bolsheviks, the Left Wing (Trotsky) who wanted the NEP gone and the Right Wing (Bukharin) who wanted the NEP there
• There was a imbalance between the large industry (state owned) and agriculture (this was called a scissor effect)
• The government fixed prices to stop the scissor effect
• The gap between the classes narrowed- more equality and the richer farmers were called Kulaks
• There was a split between the Bolsheviks, the Left Wing (Trotsky) who wanted the NEP gone and the Right Wing (Bukharin) who wanted the NEP there
What were the effects?(cont.)
What were the effects?(cont.)
• There was a imbalance between the large industry (state owned) and agriculture (this was called a scissor effect)
• The government fixed prices to stop the scissor effect
• The gap between the classes narrowed- more equality and the richer farmers were called Kulaks
• There was a split between the Bolsheviks, the Left Wing (Trotsky) who wanted the NEP gone and the Right Wing (Bukharin) who wanted the NEP there
• There was a imbalance between the large industry (state owned) and agriculture (this was called a scissor effect)
• The government fixed prices to stop the scissor effect
• The gap between the classes narrowed- more equality and the richer farmers were called Kulaks
• There was a split between the Bolsheviks, the Left Wing (Trotsky) who wanted the NEP gone and the Right Wing (Bukharin) who wanted the NEP there
The End of NEPThe End of NEP
• When Lenin died, Stalin filled the gap of power
• Here he put an end to the NEP in January 1929 because ‘the capitalists will kill them’
• When Lenin died, Stalin filled the gap of power
• Here he put an end to the NEP in January 1929 because ‘the capitalists will kill them’
“Either we do it, or they crush us”Joseph Stalin, 1928
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