The First Phase Of The Chinese Economic Reform Was Characterized

They asked why their people should have to suffer if it wasn’t necessary. The bureaucrats were also beginning to consider the possibility of fighting back, and to do so they would need soldier and costly weaponry. Fighting back was becoming more attractive because of the severe cost of bribing the Xiongnu, who were taking goods like gold, silk, and Princesses. There was a major loss happening, and the only way to keep the country floating was through the monopolies. The bureaucrats try explaining this to the Scholars, but are vehemently argued against because the trade is steeped in greed.

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

In 1949 china was under the expression of a communist state. The regime of china was set up in similarity to the regime of Vladimir Lenin in the Soviet Union. Mao Zedong was part of the communist party. He followed the vision of Karl Marx, by envisioning a society under his regime that all shared equal prosperity and communism. In order to bring this vision to reality, he wanted to eliminate all capitalism and its emphasis on property rights, profits, and free-market competition. In the 1950’s in the rural of china, Mao banned free markets, which involved peasants selling farm products. However the trade of capitalism still existed through the private enterprise of remnants. Mao was dissatisfied with the outcomes towards an economy of Marxism. So he strived for a stronger approach by coming up with the Great Leap Forward. However, after the intense economic development that china had suffered from the great leap forward, it left millions of individuals throughout china suffering from the masses and deaths from the collapse of the food system. Because of the major consequences that were suffered from this approach it was unable to be left unnoticed. So, in 1960 after Moa Zedong declined all responsibility towards the disaster from the Great Leap Forward, Lui Shao-chi and Deng Xiaoping were left to rectify and administer the crisis. However, their attempt to repair the economic damages towards china, only led to the reverse of Mao’s earlier policies. That were

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.

“The Party: The Secret World Of China’s Communist Rulers,” by Richard McGregor is a book which provides detailed insight into the Communist Party of China, revealing many of the secret underpinnings of how the party is run, and explores the question of how they have continued to stay in power for so long. While other strong socialist powers, such as the Soviet Union and Eastern Germany, fell at the end of the 20th century, the CPC was able to stay in control and ultimately come out of that period even stronger. In McGregor’s own words “the party picked itself up off the ground, reconstituted its armor and reinforced its flank. Somehow, it has outlasted, outsmarted, outperformed, or simply outlawed its critics, flummoxing the pundits who have predicted its demise at numerous junctures.” Instead of letting its own ideologies weaken its power, the CPC has continually adapted and transformed its policies and goals in order to maintain their stronghold over the nation. Through his impressive list of Chinese scholars and political contacts, McGregor is able to lay out the fundamental workings inside the Chinese government and the impressive actions they’ve taken to remain such a powerful organization.

The Chinese government has embraced a series of strategic policies to address the challenge of economic globalization. These strategies started in 1978 after Chairman Mao’s self-sufficient economy plan. China began employing several reform strategies to enhance growth. This included stimulating the agricultural sector to allow them to sell a percentage on the free trade market yet hold a competitive position. In addition to this citizens were given money incentives and tax breaks in order to start new businesses and allocated regions were created to encourage high levels of investment, increase exports and increase technology levels.

During Mao’s time, he strongly stressed his principles of the “Great Leap Forward” and the “Cultural Revolution”. However, due to these philosophies, China’s economic and social foundations crumbled and was severely damaged. The country was severely poor and economic production slowed. After Mao passed away, Deng Xiaoping emerged as Mao’s successor. He launched comprehensive economic reforms. These reforms aimed to decrease the role of the state in the economy and gradually introduce private forms of production in agriculture and industry. Because of these reforms, production increased by leaps and bounds and poverty was reduced dramatically. However, there was a problem that was arising. There was a lot of corruption and nepotism that was beginning to take over the economy. The gap between the wealthy and poor was growing and people began to see it as unfair.

Most importantly, the reestablishment of the hukou system in the early sixties, preceding the failure of Mao’s Great Leap Forward plan, affected factories in China heavily. By law, every worker in the city needed a hukou, an urban residence permit, in order to be allowed to work. This created a huge conflict between China’s urban and rural citizens as it was made extremely difficult for people from rural areas to get hukous, which of course everyone wanted (Naughton, pg. 118). Because of this, the urban and rural areas started to develop in very different ways since city folk had primary access to food, even during the nationwide famine. However, even with the societal uproar, the Chinese government did not make

Chen Huiqin described how peasants like herself were initially obtaining more money than they were under Mao Zedong’s leadership by working under the piecework reward system and family responsibility system that allowed land and other resources to be contracted to individual families. In addition to this newly instated private acquisition of resources, small-scale township and village enterprises (TVE’s) were established by farmers who invested in or established food processing organizations. The new system of resource privatization and business organization growth also caused local businesses, such as Chen Huiqin’s warping business, to decline due to peasants managing to make more money working in factories while creating similar products at a cheaper price. The post-Maoist period even included opportunities for Chinese citizens to pursue their own business goals and leave their “iron rice bowl” careers that had previously constricted Chinese citizens to a singular lifestyle, such as the case with Chen Huiqin’s son, Shebao, and his decision to start a business after quitting his job. The financial system reflected Post-Maoist ideals of economic development, Chinese modernization, and market capitalism that was supported under Deng Xiaoping’s

The Great Leap Forward social and economic reform movement was specifically characterized by a collapse in grain production, and caused widespread famine in China between 1959 and 1961 (Li and Yang 2005: 840). The Great Leap Forward movement was launched in 1958; the official newspaper of the Chinese Communist Party, The People’s Daily, proclaimed that this social and economic reform movement would allow China to surpass Great Britain in industrial production in 15 years and the United States in 20 or 30 years (Li and Yang 2005: 841). At this time, the Soviet Union was heavily involved in the economic development of China. Not only because they were

Here are the facts: During its 64 years running the largest country in the world, the range of the Party's policies was broader than any country in recent history. Radical land collectivization and the Great Leap Foreward, then the quasi-privatization of farmland. The Cultural Revolution, then Deng Xiaoping's market reforms. Deng's successor, Jiang Zemin, took the giant political step of opening up Party membership to private businesspeople – something unimaginable during Mao's rule. The Party self-corrects in rather dramatic fashions.

Friedrich von Hayek elaborates the necessity of economic freedom to the formulation of liberalism. In the 1980s, China, a country undergoing dramatic economic program, worshiped Hayek’s idea, and fiercely debated the extent of government interventionism in this entire process. Following Hayek’s logic, a pure and complete economic freedom would inevitably lead to political liberalism. In contrast, a manipulated economy, like the one China developed before 1977, suppressed consumers’ freedom, and facilitated an authoritarian government. Yet, did the Chinese economic development really enhance the foundation of a liberal society? Or is there something else that impedes the growth of freedom? Before answering these questions, liberalism (ziyou

The goals of Deng Xiaoping’s economic reform were the ‘Four Modernizations’. This Four Modernization refers to the reform of agriculture, industry, national defense, and science technology. These reforms were to solve the problems of motivating workers and farmers to produce a larger surplus and to eliminate economic imbalances that were common in command economies.

The reforms took place largely in rural China. There was increased emphasis and investment on consumer

In accordance to this, China went on a construction binge. Whole factories were purchased from abroad while others were built with local resources. By 1978, the frenzy for new projects reached a level that reminded some people of the Great Leap Forward. In an effort to promote agricultural production, the government released many of the restrictions on the 'spontaneous capitalist tendencies' of the peasantry. (173) In the late 1980's, the government decided to expand the scope of private marketing. The next step was to increase the amount land assigned to the peasants. The peasants were now not responsible to the government for the use they made to the private plots. They simply could grow what they wished, for the sale to the government or to private markets. This led to furious rebuilding and inflow of foreign investments. All this enabled China to remake itself into Asian's hub of finance, trade and culture.