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New Economic Policy - Coggle Diagram
New Economic Policy
Political Aspects
Lenin said it was a tactical retreat aimed at creating breathing space rather than a long term plan.
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The NEP was a series of economic policies and reforms introduced to the 10th party congress in March 1921.
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Social Aspects
Purposes
- It was also instated to qualm growing unrest about the difficult War Communism Policies (an example of such unrest was the Tambov Uprising due to Famine, and the more serious Krondstadt Rebellion of sailors who knew the impact of war communism.)
- Due to the improvement in conditions for business owners, peasants and workers, there was more incentive to work hard and to achieve, leading to improved economic output and growth as a nation.
- The New Economic Policy was put into place to try and rebuild the nation that had been all but destroyed in the civil war.
Complexities
- Economic policies such as the return to a mixed market may have caused rising popularity of this system, potentially providing a threat to the regime.
- Increased access to education would have improved the QoL for many people, as well as providing them more ability to evaluate the success of communism, potentially a threat to the regime.
Parts
- The New Economic Policy was more capitalist than the War Economy it replaced.
- The policy turned Russia into a 'mixed economy', an economy which still has significant government control, but is also subject to some influence from consumer choices (essentially Supply and Demand).
- Peasants were able to sell food and goods for a profit, which some Bolsheviks felt was a betrayal of communism. This also lead to higher QoL
- Abolished forced grain requisition, which improved living conditions and lessened starvation.
- Private individuals were allowed to own small businesses leading to higher QoL.
- Improved workers wages - they doubled between 1921-24.
- Complete nationalization of industry.
- Working hours were shortened - generally leading to more happiness and satisfaction among workers.
Economic Aspects
Parts
- Allowed the return of markets and petty trade
- Farmers were now allowed to sell their additional products on the open market, but land still remained the property of the state.
- The peasantry were allowed to own and cultivate their own land while paying taxes to the state.
Purposes
- Small business and managers flourished.
- Eased the harsh restrictions of war communism
- Reintroduced a measure of stability, allowing people to recover from the war.
- Regained the trust of the peasants.
Cultural Aspects
Purposes
- This created a chance for farmers to earn more money for themselves and families.
- This created the chance for people to leave their unhappy marriages, and avoided conflicts between families in these areas.
- They only regarded it as a way to recover while the communists took a hold of the power in Russia
- This in turn caused people to be able to become more knowledgeable in the area of learning new things, lessons ec.
Parts
- Farmers were able to sell parts of their crops in return for compensation
- The NEP made things such as divorce and marriage laws legal again.
- The Socialist government didn't think much of the NEP
- Things such as art and literature were allowed again