"we are prepared to let the peasants have their little bit of
capitalism as long as we keep the power."
features of NEP
1. central economic control to be relaxed
2. requisitioning of grain replaced by a tax in kind
3. peasants could keep their food
and sell them for profit
5 .public markets restored
4. money reintroduced as a
means of trading
Bolshevik objections to the NEP
Trotsky and Preobrazhensky
Believed that bashing the peasants is what the
Bolsheviks needed to do as it advanced the
revolution
complaint for the objectors was that the
reintroduction of money and private trading
was creating a new class of profiteers
'Nepmen'
Nepmen-those who stood to gain from the free trading
permitted under the NEP. The rich peasants, retailersm
traders and the small scale manufacturers.
became such a provlem for the
bolsheviks that Lenin took firm
steps to prevent the party from
being torn apart.
factionalism of any sort not to be tolerated
factionalism- the forming withing the party of
groups with a particular complaint or grievance.
Lenin used this to brand disloyal bolsheviks.
Lenin delcared that other political parties were outlawed in
soviet Russia. Began to suppress opposition to bolshevik rule
Bukharin's role
enthusiastic supporter of NEP.
he believed that the more money peasants had from
selling their food would stimulate industry since their
income would be spent on buying manufactured goods
simply:
peasants + money = spend + stimulate industry
worked closely
alongside Lenin
successes of NEP
the production figures suggested that the policy
worked.
grain harvest in (million tones) in 1921 was 37.6 and by 1924 it was 51.4
average monthly wage of the urban worker (in roubles) was 10.2 in 1921 and in 1924 went up to 20.8
lenin was correct by saying that the
Bolsheviks would still maintain
controll
in broad terms NEP had produced
an economic balance.
agriculture and trade were
largely in private hands
the state dominated
Russian industry
failures of NEP
the 'Scissor Crisis'
Industry failed to expand as fast as agriculture
Nepmen did well but high unemployment in urban areas
greater harvests led to fall in
price of food
but drop in the drop of industrial goods
factories took longer to recover from the civil war
peasants found that they were having to sell their
produce at too low a price to be able to afford
manufactured goods