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After the civil war, Russia was in economic ruins.  Lenin announced his [[New Economic Policy]] (NEP) to restore trade and industry to the county.  The NEP permitted some capitalism to create incentives, and it allowed some foreign investment. Peasants were permitted sell surplus crops. Profits by merchants were allowed. But government still controlled all major industries. The private ownership only applied to small factories, farms and stores.  
 
After the civil war, Russia was in economic ruins.  Lenin announced his [[New Economic Policy]] (NEP) to restore trade and industry to the county.  The NEP permitted some capitalism to create incentives, and it allowed some foreign investment. Peasants were permitted sell surplus crops. Profits by merchants were allowed. But government still controlled all major industries. The private ownership only applied to small factories, farms and stores.  
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A failed assassination attempt on Lenin in August 1918 by a member of a rival revolutionary party led to the 'Red Terror'. Stalin convinced Lenin and other Bolshevik members that a policy of "open and systematic mass terror" against those who were seen as responsible for the shooting would be required. It is estimated that over 200,000 people were executed from 1918 to 1922 as a result of this policy.
    
Politically, Lenin established the [[Union of Soviet Socialist Republics]] (USSR) in 1922, allowing one central government under Lenin to control many socialized republics. In 1924, the [[Bolsheviks]] began calling themselves “Communists”.  But there was only one political party, and it held all the power. It was the [[Communist Party]].
 
Politically, Lenin established the [[Union of Soviet Socialist Republics]] (USSR) in 1922, allowing one central government under Lenin to control many socialized republics. In 1924, the [[Bolsheviks]] began calling themselves “Communists”.  But there was only one political party, and it held all the power. It was the [[Communist Party]].
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