What was the effect of reduced taxes on the peasantry during the NEP?

During the New Economic Policy (NEP), the reduction of taxes on the peasantry was instrumental in incentivizing agricultural production. By lowering the tax burden, the government aimed to provide farmers with greater autonomy over their produce, allowing them to retain a larger portion of their harvest. This was significant because it meant that any surplus grain that peasants produced could be sold or traded, potentially leading to increased financial reward.

With the possibility of greater rewards, peasants were motivated to produce more grain than before, as their efforts would directly benefit them rather than be claimed entirely by the state. This shift marked a departure from the earlier policies, which had been more repressive and did not allow peasants the freedom to benefit from surplus production. The NEP was designed to revitalize the economy after the disruptions of War Communism, leading to greater agricultural output and improving the overall food supply.

In this context, the choice that reflects the positive outcome of reduced taxes for the peasantry is the one that highlights greater rewards for creating surplus grain. This not only enhanced individual peasant livelihoods but also contributed to the broader recovery of the Soviet economy during the NEP era.