New Economic Policy

NEP

What is the NEP

The NEP is Lenin’s new economic policy. It was a Modified version of the old capitalist system to abandon war communism. Lenin and other communists intended it to be temporary. Retail stores and small industries could be privately owned and peasants could sell their produce openly; although, heavy industry, banking, and mines are still under government control. The policy saved the Soviet Union from complete economic disaster. This policy was started because following World War 1, Russia almost fell into an abyss by sticking with the Bolshevik policy of Communism. There was great famine and poverty, this has come to an end.