NEP - AS russian history Edexcel

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NEP
Reasons for
Encourage new forms of enterprise
To recover economy after war communism failure
Policies/Measures
Grain requisition abolished
Small businesses reopened to make profit
Ban on private trade removed
State control of heavy industry
Peasants paid tax on grain ­ sell surplus on open market
Bolsheviks made peace with peasants
Key terms
Scissors crisis- more food lowered the prices BUT industrial goods increased prices
Nephan ­ rich peasants, retailers, traders
Factionalism banned- forming grievance within a party
Successes
By 1923 cereal production increased by 2.3% than in 1920
Requisition abolished increased the amount of food
1920-2 factory output increased by 200%
Ban on private trade removed= easier for foods/goods to be transported
Red cross made over 80,000 tonnes of food available
Money was introduced as a means of trade
By end of 1922 famine crisis was eased
Land under cultivation increased from 77.7 mil hectores in 1922 to 91.7 mil hectores 1923
Harvest of grain increased from 37.6 mil tonnes to 56.6 mil tonnes between 1921-3
Limitations
1st 3 years= corruption could get anything through bribing
Moscow municipal gov got most income from taxes on gambling clubs
Urban workers upset because for the 1st 2 years unemployment due to firms cutting back on
their workforce to make profit
In 1923 increased production of food causing the prices to decreased= peasants reluctant to
supply
Central control to be relaxed reverting back to capitalism- split Bolsheviks
Industry didn't keep pace with growth in agriculture
Trotsky : "1st sign of disgeneration of Bolsheviks"

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