Deng Xiaoping is one of the prominent politicians of communist China. It was he who had to deal with the disastrous consequences of Mao Zedong’s policies and the “cultural revolution” carried out by the famous “gang of four” (these are his associates). For ten years (from 1966 to 1976), it became obvious that the country did not make the expected “big leap, ” so pragmatists replaced the supporters of revolutionary methods. These included Deng Xiaoping, whose policy was marked by a consistency and desire to modernize China, to preserve its ideological foundations and identity. In this article, I would like to reveal the essence of the transformations carried out under the guidance of this person, as well as to understand their meaning and significance.
Rise to power
Deng Xiaoping overcame a thorny career path before becoming the unspoken leader of the CCP. By 1956, he was appointed to the post of Secretary General of the Central Committee of the Chinese Communist Party. However, he was removed from his post after ten years of service in connection with the beginning of the "cultural revolution", which provides for a large-scale purge of both personnel and the population. After the death of Mao Zedong and the arrest of his close associates, pragmatists are rehabilitated, and already during the 3rd plenary session, parties of the eleventh convocation begin to develop and implement the reforms of Deng Xiaoping in China.
Policy Features
It is important to understand that he in no case refused socialism, only the methods of its construction changed, and a desire arose to give the political system in the country uniqueness, Chinese characteristics. By the way, personal mistakes and atrocities of Mao Zedong were not advertised - the fault fell mainly on the aforementioned "gang of four."
The famous Chinese reforms of Deng Xiaoping were based on the implementation of the "policy of four modernizations": in industry, the army, agriculture and science. Its final result was to be the restoration and recovery of the country's economy. A specific feature of the course of this political leader was the willingness to contact the world, as a result of which foreign investors and businessmen began to show interest in the Middle Kingdom. The fact that the country had huge cheap labor was attractive: the rural population prevailing there was ready to work for a minimum, but with maximum productivity, to feed their families. China also owned a rich resource base, so there was an instant demand for government resources.
Agricultural sphere
First of all, Deng Xiaoping needed to carry out reforms in the Chinese village, because the support of the masses was vital for him to consolidate his figure in power. While under Mao Zedong, emphasis was placed on the development of heavy industry and the military-industrial complex, the new leader, on the contrary, announced a conversion, expansion of production of consumer goods in order to restore domestic demand in the country.
People’s communes, in which people were equal, were also canceled and could not improve their position. They were replaced by brigades and households - the so-called family contracts. The advantage of such forms of labor organization was that new peasant collectives were allowed to leave surplus products, that is, a super-harvest could be realized in the emerging market in China and profit from it. In addition, freedom was provided in setting prices for agricultural goods. As for the land that the peasants cultivated, it was leased to them, but over time it was declared their property.
Consequences of Agricultural Reforms
These innovations contributed to a significant increase in the standard of living in the village. In addition, an impetus was given to the development of the market, and the authorities, in practice, were convinced that personal initiative and material incentives to work are much more productive than the plan. This was proved by the results of the reforms: in a few years, the amount of grain grown by peasants almost doubled, by 1990 China became the first in the production of meat and cotton, and labor productivity indicators increased.
The end of international isolation
If you open the concept of "openness", it is worthwhile to understand that Deng Xiaoping was against a sharp transition to active foreign trade. It was planned to smoothly build economic ties with the world, the gradual penetration of the market in the unchanged command and administrative economy of the country. Another feature was that all the transformations were first tested in a small region, and if they were successful, they were introduced already at the national level.
So, for example, already in 1978-1979. in the coastal areas of Fujian and Guangdong opened SEZ - special economic zones, which are some markets for products by the local population, business ties were established with investors from abroad. They began to be called "capitalist islets", and their number grew rather slowly, despite the favorable state budget. It was the gradual formation of such zones when building foreign trade that did not allow China to lose the lion's share of raw materials, which could be immediately sold out at a very high price by Chinese standards. Also, domestic production was not affected, risking being suppressed by imported and cheaper goods. Favorable ties with various countries led to the acquaintance and introduction of modern technologies, machines, and factory equipment in the production. Many Chinese went to study abroad to gain experience with their Western colleagues. A certain economic exchange has developed between China and other countries, satisfying the interests of both sides.
Changes in Industrial Management
As you know, before Deng Xiaoping was elected as the unofficial leader of the Chinese Communist Party of China, whose economic reforms made China a powerful power, all enterprises were subordinated to the plan and strict state control. The new political leader of the country recognized the inefficiency of such a system and expressed the need for its updating. For this, a method of gradual price liberalization was proposed. Over time, it was planned to abandon the planned approach and the possibility of creating a mixed type of managing the country's economy with a predominant participation of the state. As a result, in 1993, plans were minimized, state control decreased, and market relations gained momentum. Thus, a "double track" system of managing the economy of the country has developed, which takes place in China to this day.
Affirmation of the diversity of ownership
Carrying out reforms one after another transforming China, Deng Xiaoping faced a property problem. The fact is that a change in the organization of farming in a Chinese village allowed newly-made households to earn money, capital grew to open their own businesses. In addition, foreign businessmen also sought to open branches of their enterprises in China. These factors have led to the formation of collective, municipal, individual, foreign and other forms of ownership.
Interestingly, the authorities did not plan to introduce such a variety. The reason for its appearance lies in the personal initiative of the local population, which has its own savings, to open and expand independently created enterprises. People were not interested in privatizing state property, they wanted to initially conduct their business. The reformers, seeing the potential in them, decided to officially secure the right of citizens to have private property and conduct individual entrepreneurship. Nevertheless, the greatest support "from above" was received by foreign capital: foreign investors were given a range of various benefits when starting their own business in the territory of the Republic of China. As for state-owned enterprises, in order not to allow them to go broke when such a high level of competition appears, the plan for them remained, but declined over the years, and they were also guaranteed various kinds of tax deductions, subsidies, and favorable loans.
