Chapter 4 Exploration in Socialist Road

Topic 2: Socialism with Chinese Characteristics

Sub-Theme 2 Modernization and Transformation of China

Deng Xiaoping suggested to build socialism with Chinese characteristics1982

Four Special Economic Zones were established 1980

One-child family policy introduced 1979

Deng Xiaoping initiated his Reform and Openness Policy1978

Deng Xiaoping was rehabilitated 1977

EventsEventsYearYear

Time Track

Socialism with Chinese Characteristics

Socialism with Chinese Characteristics

Deng’s thoughts and vision

He was a pragmatist

He thought that Socialist construction in China must have Chinese characteristics

He followed Zhou Enlai’s idea of “Four Modernizations”

agriculture, industry, science and technology, and defence

He carried out Reform and Openness Policy

a dual policy of economic reforms and opening up the

country to the outside world

At the same time, the socialist principle of distribution should be maintained

Socialism with Chinese Characteristics

Reforms in agriculture• Provide greater material incentives • Loosen control mechanisms

Economic development

Household Responsibility System﹕

• Each household received a plot of land

• They have full responsibility over its planning and cultivating

• They could also keep or sell surplus crops in the free market

Socialism with Chinese Characteristics

Reforms in industry• In the early 1950s: central planning and emphasized the development of heavy industry

Deng’s reform﹕• Aim﹕to raise the enthusiasm for work, to release the full potential of workers and to improve the standard of living• Core of the reform: Industrial Responsibility System

• More work could yield more pay

• People were also allowed to own and operate their small businesses

• “No matter whether the cat is black or white, so long as it catches mice”

Socialism with Chinese Characteristics

The openness policy • Since 1972, limited commercial relations with foreign countries began • Foreigners were encouraged to visit China and invest capital

The establishment of the Special Economic Zones:

• Served as laboratories for Chinese economic reforms

• After that, many more of China’s major ports and coastal cities were opened to foreign trade and investment

• In 1980, four Special Economic Zones were opened: Shenzhen, Zhuhai, Shantou and Xiamen

Socialism with Chinese Characteristics

The results • Growing prosperity in the rural areas and substantial improvement in the living standards of the peasants • Urban life had became more substantial and modern• Commercial and scientific interaction with foreign countries grew rapidly

Problems brought by economic reforms• Gap between the rich and the poor widen • Problems of corruption and serious crime• Rapid inflation• Reform on state enterprises led to unemployment

Socialism with Chinese Characteristics

Reforms in education • Restored tough examinations for admission to universities • Time spent on political education and manual work was decreased

Social development

Birth Control• ‘The One-child’ family policy was introduced in the early 1980s• It was the system of reward and punishment • Although the birth rate slowed down, but the policy was not popular

The End