Final answer:
Lenin abandoned war communism for the New Economic Policy (NEP) in 1921, allowing certain capitalist practices in the Soviet economy to alleviate economic hardships.
Step-by-step explanation:
In March 1921, Lenin took "one step backward in order to take two steps forward" and abandoned the unpopular "war communism" in favor of the New Economic Policy (NEP). The NEP was an emergency response implemented to address the significant economic hardships and rising discontent among the Russian populace following World War I and the Russian civil war. The policy kept the government in control of the economy but introduced elements of capitalism, such as allowing peasants to sell their produce in the market and permitting the operation of small businesses through private ownership, rather than state ownership. This marked a departure from the pure socialist state that Lenin had envisioned but was seen as necessary to improve the dire economic situation of the time.