China economy

Running Head : China Economy

The Economy of China : Now and Into the Future

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Abstract

The economy of China has gone a long way since the death of Mao Zedong in 1976 . Its economy made great strides during the time of Deng Xiaoping

This will focus on the progress that Chinese economy has made since the time of Mao Zedong The Economy of China : Now and Into the Future

Chinese Economy After The Death of Mao Zedong

A couple of years after the

death of Mao Zedong in 1976 , many of the Chinese leaders felt that there was a need for an economic reform During his reign as Chinese Premier , Mao had promoted various social movements such as the Great Leap Forward and the Cultural Revolution which were based on serving the people of China as well as the maintenance of class struggle (Cyber Essays , n .d

In 1978 , the leaders of China were looking for solutions to serious economic problems caused by Hua Guofeng , the man who took over Mao as the leader of the Chinese Communist Party after the latter 's death . Hua showed interest in continuing the various ideological movements started by Mao . Unfortunately , however , these movements left the economy of China in a situation characterized by stagnant agriculture , low industrial production , and living conditions which have not moved in 20 years (Cyber Essays , n .d

Although the gross output value of the agriculture industry reflected an 810 percent increase and national income went up 420 percent from 1952 to 1980 , the percentage of increase as far as the average individual income is concerned was 100 . The traumatic experience brought about by the Cultural Revolution had damaged public trust in the moral and political virtues of the Chinese Community Party . As a result CCP leaders shifted the foundations of their party legitimacy from virtue to competence , which was a complete departure from the political theory of the Orthodox Chinese (Cyber Essays , n .d

Chinese Economy Under Deng Xiaoping

At the start of the Deng Xiaoping era , it was vital for economic reforms to take shape . At that time , the central government of China still maintained its power to allocate economic resources and the local officials were working for the interests of their constituents (Cyber Essays , n .d

Eventually , however , some basic aspects of the old system were removed either by design or through a process known as benign neglect Decollectivization was starting : the power to make decisions shifted from collective production sectors to the family . Likewise , the purchase cost of major farm products went up . In 1985 , further reforms were initiated (Cyber Essays , n .d

In addition , another major economic reform during the term of Deng Xiaoping was their integration into world economy . Deng 's government wanted to implement this 1979 resolution in a couple of ways : through expansion of foreign trade and by attracting foreign investments in Chinese enterprise . This was called the Open Policy (Cyber Essays n .d

The Open Policy...