Categoria: wp2006

Lenin and the currency competition Reflections on the NEP experience (1922-1924)

Nikolay Nenovsky

Bulgarian National Bank and ICER

Summary: Institutional competition stirs the interest of economists following a certain cyclical pattern. In this context, it is very interesting to look back at the experience of Lenin and the Bolsheviks of adopting monetary competition to stabilize their political and economic power after the crash of the war communism (and the attempts to annihilate money). The currency competition lasts less than two years and ends up with establishing the chervonetz as the only monetary unit. As a whole, this can be considered a successful economic experience.