2.3.3

The New Economic Policy (NEP)

Test yourself on The New Economic Policy (NEP)

Test your knowledge with free interactive questions on Seneca — used by over 10 million students.

New Economic Policy (1921-1924)

War communism failed. By 1921, Russia was facing economic collapse. The Bolsheviks introduced new economic policies to try to fix these problems.

The failure of 'war communism'

The failure of 'war communism'

  • War communism failed.
  • Peasants destroyed their own crops so that the Cheka (secret police) could not seize them.
  • There were large food shortages, particularly in rural areas.
  • There was a peasant uprising in Tambov Province.
  • The Bolshevik leaders did not give workers an active role in decision-making and this caused discontent.
New Economic Policy

New Economic Policy

  • The New Economic Policy tried to fix these problems.
  • Money was reintroduced and so were some other aspects of free markets (capitalism).
  • Small businesses flourished (did well) across Russia, and it was acceptable for private businesses to employ workers.
  • Peasants no longer had grain seized from them. They now had to pay taxes, first in goods, then in cash.
  • The peasants could then sell their grain and keep the money from this. Those who were successful were called the “NEPmen”.
Opponents of NEP

Opponents of NEP

  • Some communists were disappointed with the NEP. They felt that it betrayed their principles.
  • Trotsky was one of these opponents.
  • There were more and more cases of suicide in the Bolshevik party.
Effects of NEP

Effects of NEP

  • There was growth in agriculture and industry (although it was slow).
  • The Scissors Crisis
    • Whilst food prices were affordable, the price of factory-made goods increased because of communist policies.
  • Inequality also increased. Some groups made more money than others from the new system and trade with other countries remained lower than 1913 levels.
  • As before, the ‘Commanding Heights’ (banks and major industries) stayed nationalised. Russia also remained a one-party state.
Jump to other topics
1

The End of Tsardom

1.1

Russia's Economy & Society

1.1.1Industrialisation1.1.2Living & Working Conditions
1.2

Nicholas II's Autocracy & the Court

1.2.1Growth of Revolutionary Opposition1.2.2The 1905 Revolution & the October Manifesto1.2.3Reforming Russia Before 1914 - Stolypin1.2.4The Duma & Political Stalemate
1.3

The First World War

1.3.1The Impact of Military Defeats1.3.2Social & Economic Effects of WW11.3.3Romanov Unpopularity1.3.4The Tsar's Abdication1.3.5Top Grade AO2/3 - The End of Tsardom
2

Lenin's New Society

2.1

The Provisional Government

2.1.1The Failure of the Government2.1.2Social & Economic Problems2.1.3Lenin & Trotsky2.1.4The Growth of the Bolsheviks2.1.5The October / November Revolution2.1.6Top Grade AO2/3 - The Provisional Government
2.2

The Impact of Lenin's Dictatorship

2.2.1The End of the First World War2.2.2The Cheka2.2.3Red Terror & Centralisation2.2.4The Civil War & The Red Army2.2.5Propaganda2.2.6Top Grade AO2/3 - Early Bolshevism & the Civil War
2.3

Social & Economic Developments

2.3.1War Communism2.3.2The Kronstadt Rising2.3.3The New Economic Policy (NEP)2.3.4The Achievements of Lenin & Trotsky2.3.5Top Grade AO2/3 - Social & Economic Developments
3

Stalin's USSR

3.1

Stalin the Dictator

3.1.1The Power Struggle to Succeed Lenin3.1.2The Communist Party & Government3.1.3The Terror & the Purges3.1.4The Secret Police3.1.5Cult of Personality3.1.6Propaganda & Censorship under Stalin3.1.7Top Grade AO2/3 - Stalin's Dictatorship
3.2

Stalin's Modernisation of the USSR

3.2.1Collectivisation3.2.2Five Year Plans3.2.3Social & Economic Consequences3.2.4Social & Economic Consequences 23.2.5The Extent of Modernisation
3.3

Impact of the Second World War

3.3.1Stalin's Wartime Leadership3.3.2Political, Economic & Social Consequences of War3.3.3Top Grade AO2/3 - Modernisation of the USSR

Practice questions on The New Economic Policy (NEP)

Can you answer these? Test yourself with free interactive practice on Seneca — used by over 10 million students.

  1. 1
    When was New Economic Policy introduced?Multiple choice
  2. 2
    Failures of war communism:Fill in the list
  3. 3
    Which of the following about NEP are correct?True / false
  4. 4
    What was the crisis called when food prices fell but factory made good increased in price?Multiple choice
  5. 5
    Effects of NEP in Russia:Fill in the list
Answer all questions on The New Economic Policy (NEP)

Unlock your full potential with Seneca Premium

  • Unlimited access to 10,000+ open-ended exam questions

  • Mini-mock exams based on your study history

  • Unlock 800+ premium courses & e-books

Get started with Seneca Premium

The Kronstadt Rising

The Achievements of Lenin & Trotsky