Economic Development Of China Through Marxian Economics And Neoclassical Economics

China is the second largest economy in the world. It has become the fastest growing economy in the world with an average rate of 10% for the last thirty years. The largest exporter and second largest importer of goods has brought China to be ranked first in the foreign exchange reserves. The country with thousands of years of history, started off and continues today as mostly an agrarian economy. Over time China's economy continues to change and prosper. Starting with the first economic change in the early twentieth century, which occurred when the GMD (the Nationalist Party) lost control due to its poor economic performance. This in turn led to their defeat by the CCP. During that time many peasants lost their farmland and this led to a peasant

Marxism is an important theoretical idea, which has shaped the way we perceive the economic world. Although the idea arose in the mid-nineteenth century, it has provided an everlasting theoretical lens for critiquing contemporary economic practice. Marxism has provoked a diverse body of academics and theoreticians to contribute to the discussion, as well as use its structure to study modern day manufacturing, most commonly seen in China.

During the 1950s and 1960s, the Maoist government in China implemented a socialistic economy wherein the state controlled nearly every aspect of national and economic development. The process of making the Chinese economy public took the better part of the decade, but resulted in an explosive rate of expansion. Both the nation’s industrial and agricultural sectors grew exponentially until finally reaching a tapering off point during the late 1960s.

Hung’s stated goals are as follows. First, he aims to outline the historical origins of the capitalist boom in China as well as the conditions which predicated said boom. He also names four conceptions against history to explore the global effects of China’s capitalist boom and the limit of that boom. Firstly, he seeks to challenge the notion that China is challenging the United States neoliberal order. Secondly, he examines the belief that the increasing incomes of poor Chinese citizens helps to reverse worldwide income polarization. Thirdly, he analyzes the claim that China’s rise is challenging Western dominion over the world, and is radically altering the world order. Lastly, he plans to evaluate the assertion that China has been emerging as the most powerful driver of growth since the global financial crisis. He plans to devote a single chapter to the refutation of each of these views and explanations of why they overstate the importance of China, in addition to several introductory chapters describing China’s rise. He aims to prove with this work that China is no different than the other major capitalist powers, that its boom is dependent on the global neoliberal order, that its boom contributes to rampant inequality, and, in sum, that China is just a foundation of the capitalist status quo.

Communism in China as we know has played a major role in the countries political system over the past century. Chen Duxiu and Li Dazhao were the co-founders of the communist party in 1921. At the time China was in a world or turmoil ever since the end of the Qing Dynasty in 1911. For 10 years China was lost in a world with new ideas coming from all over the world. At the time, Duxiu and Dazhao saw an opportunity to bring change throughout a weakened China and they exploited it. The communist influence being brought by them and powers such as Russia influenced the Chinese way of thinking that Communism had new beliefs of the world and that all people should be seen as equal under the new government. Personally I am a very strong believer in

Since the market orientated economic reforms were introduced in 1978 (Khan, Hu (1997, P103) China’s economy has seen a 10% increase in Gross Domestic Product (GDP) Per year (Vincellete, Manoel,

Mao Zedong, the leader of China during the third quarter of the 20th century, organized two movements in his country in an attempt to develop China 's economy through the establishment of communism. Through The Great Leap Forward, Mao planned to change the layout of the Chinese economy by forcing collectivism on his country and implementing other ways to speed up production. Since this movement failed, he then implemented The Cultural Revolution. It consisted of the same goals but was carried out through violence and was also an utter failure. These two movements failed because of the lack of organization with which they were performed. This lack of organization manifested itself in a number of different ways. The government did not care about their people, the reforms themselves were not planned out in detail, the government did not think about the spontaneity of young people, they did not consider the effect violence would have on their country, they did not realize the decline in education that would result from the participation of students in the revolution, they did not plan well economically, they did not examine the negative effects of communes, and they did not foresee the large number of deaths that would plague their country. Although designed to rapidly increase China 's economic growth through communism, the Great Leap Forward and the Cultural Revolution had the opposite effects and significantly diminished China 's economy. The two direct causes of the failure

However, the implications of globalisation can form volatility in the international business cycle. Highly integrated economies are at greater risk of experiencing economic downturn in the business cycle. Therefore, China’s utilised process of economic liberalisation has reflected in ability to embrace globalisation and maximise the benefits of economic integration and rapid growth. As this evolutionary process continues, by 2025 China will be the world’s biggest economy (Ross Gittins: How Asia is catching up with the rich West). The Chinese ‘economic renaissance’ began in the 1970s after the government converted from socialist economy to a capitalist economy.

The commencements of the American Revolution and the Chinese Communist Revolution both had their beginnings in new Enlightenment thinking of the 1700s, often called, “The Age of Reason”. The Enlightenment promoted the thought, “that humanity could be improved through rational change.” In China, Karl Marx’s new Enlightenment ideas of social equality and no private property were the main inspirations of Mao Zedong’s political thinking. Introduced in his theory, Marx believed that capitalism, “an economic system in which investment in and ownership in the means of production, distribution, and exchange of wealth is maintained chiefly by private individuals”, was unstable and that in order to prevent a revolution, private property and social classes, maintained by private wealth through capitalism, needed to be eliminated.

It wasn’t until after Mao died and new more progressive leaders took over that China began to see the economic boom that it is known for today. When the Special Economic Zones were implemented and trade became legal that economic growth jumped as high as fifteen percent, allowing a large amount of money to flow into the country. Over time, the communist policies began to relax and the capitalist economy began to grow. However, the relaxing of the policies meant that while people in the cities were fairly well off, the people in rural China were left to fend for themselves. This forced them hundreds of miles to the coast where they could find jobs in factories, even though the pay was meager.

In a New York Times article dated February 20th, 1997, author Patrick E. Tyler writes about a political “wizard” who put China on the road to capitalism. The Chinese “capitalist” (this is not capitalism in a western sense, but more of a communist/capitalist mix) Revolution is very significant in the study of world history; especially considering the Maoist form of government it sprang from. Notably, there is one small-statured Chinese leader who this essay will focus on in the context of the revolution: Deng Xiaoping. Although his slightness of size didn’t offer any insight into his grand political stature, an inquiry into his life certainly does. This essay will provide an informative glimpse into the life and times of Deng Xiaoping

Karl Marx, in the Capital, developed his critique of capitalism by analyzing its characteristics and its development throughout history. The critique contains Marx’s most developed economic analysis and philosophical insight. Although it was written in 1850s, its values still serve an important purpose in the globalized world and maintains extremely relevant in the twenty-first century.

During the nineteenth century, in the midst of increased industrialization, worker exploitation, and growing gaps in wealth, Karl Marx formulated a political theory which would go on to remodel global politics in an unprecedented manner. Marxism, as it would later be known, or more generally, Communism, was destined to guide countless nations’ paths to “liberation.” Two countries in particular, the USSR and the People’s Republic of China, can trace their rapid escapes from “backwardness” into industrial powerhouses, and international superpower and rising superpower, respectively, to their adoption, as well as their exclusive interpretations, of Marxism. However, such flexible and broad adaptations of Marxism to these nations’

Mao Zedong once stated, “Communism is at once a complete system of proletarian ideology and a new social system. It is different from any other ideological and social system, and is the most complete, progressive, revolutionary and rational system in human history. The ideological and social system of feudalism has a place only in the museum of history. The ideological and social system of capitalism has also become a museum piece in one part of the world (in the Soviet Union), while in other countries it resembles ‘a dying person who is sinking fast, like the sun setting beyond the western hills’, and will soon be relegated to the museum. The communist ideological and social system alone is full of youth and vitality, sweeping the world

The purpose of this essay is to show how the economy of China has, and is changing, becoming the second largest economy in the world today. Although China is currently under the leadership of Xi Jinping, this essay will concentrate primarily on the actions undertaken by then President Mao Zedong, followed by then President Deng Xiaoping, (sans mention of Hua Guofeng). Given the relative infancy of Xi’s assumption of power, economic policies still remain largely rhetorical in form. Likewise, the majority of literature concerning economic policies under Xi are largely speculative, often citing strategies and ambitions as opposed to thereby, lacking a solid basis for rational induction In addition to China’s lack of transparency, In addition, it will be shown that the methodology behind the Chinese economy demonstrates the implementation of varying levels of the characteristics associated with the schools of Realism, Marxism and Liberalism. Thus, China’s approach to global trade in the 21st Century is pluralistic, testamentary to the failed economic