History, asked by adonjobi2003, 1 year ago

w=What was the centralized planning or new economic policy?How did it led to economic growth in Russia

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Answered by ayushipatel68
3
The New Economic Policy (NEP, Russianновая экономическая политика, НЭП) was an economic policy  of Soviet Russia proposed by Vladimir Lenin  in 1921 as a temporary expedient. Lenin characterized the NEP in 1922 as an economic system that would include "a free market  and capitalism, both subject to state control", while socialized state enterprises would operate on "a profit basis".

The NEP represented a more market-oriented economic policy (deemed necessary after the Russian Civil War  of 1918 to 1922) to foster the economy of the country, which had suffered severely since 1914. The Soviet authorities partially revoked the complete nationalization of industry (established during the period of War Communism  of 1918 to 1921) and introduced a system of mixed economy  which allowed private individuals to own small enterprises,while the state continued to control banks, foreign trade, and large industries. In addition, the NEP abolished Prodrazvyorstka  (forced grain-requisition) and introduced prodnalog: a tax on farmers, payable in the form of raw agricultural product.The Bolshevik government adopted the NEP in the course of the 10th Congress  of the All-Russian Communist Party  (March 1921) and promulgated it by a decree on 21 March 1921: "On the Replacement of Prodrazvyorstka  by Producin". Further decrees refined the policy.

Other policies included monetary reform (1922 – 1924)  and the attraction of foreign capital. The NEP policy created a new category of people called NEEDED(нэпманы) (nouveau Rochester). Joseph Stalinabolished the New Economic Policy in 1928.

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