econ study guide 2

econ study guide 2 - Chapter 7 How does China become...

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Chapter 7: How does China become communist? Mao Zedung (leader of the communist) and Cheang Kai Shek (leader of the nationlists) start a civil war . What year? – 1945 In 1930’s a Battle between Mao Zedong and Chiang Kai Shek 1937 Japan invades Marchuria – another civil war breaks out Long-march, civil war, Japanese invasion, end of WWII Taiwan vs mainland China- Mainland communist after 1949 Taiwan ends up capitalist 4 Why is Hong-Kong able to pursue capitalism? Because they are a city state and a colony of Great Britain by lease. What is economic program of Mao? Economic policy 1)Nationalization of industry – government has control of everything 2)Collectivization of agriculture – they are requiring farmers to stay at gov. Employee s. How does this collectivization on communes differ from Soviet collectivization? Why? Great Leap Forward…what is the purpose? When? – 1958 and was where Mao wants china to reach economic level of England in 15 years. “ it’s not your reachable goal” – purpose- increase economic level - secure complete control over the country side. Backyard steel mill – making steel in backyard, keeping peasants equal, symbol of the “leap” Economic consequences of Leap? Tons of millions of people died of starvation as agriculture and industrial production and internal trade plummeted . Impact on Mao’s power - Cultural Revolution…what is the pupose? When? How does it end? Lead by “red guards” – students led communist revolt in a communist country – started in 1966 – purpose was to reeducate people about communist or the brain wash them and to convince everybody that the people in power are wrong – ended in 1967 with the arrest of “Gang 4” (Mao’s wife and 3 other leaders imprisoned. ) Deng was attacked as a capitalist roader Capitalist Roaders ( people who lean more toward capitalism.) re-education camps ( exiled out the city for the bureaucrats – sent by mao.)
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Hierarchical organizations (levels of power among the people) society vs egalitarian Impact on China’s economy? - What leaders support it? Deng Xioping Deng Xioping and Reforms of 1978 Why reform agriculture first? Because without agriculture the people would starve and youu would not be able to continue. Farmers were angry with gov. b/c of low living standards and high taxes Impact of drought- killed crops, killed people, diseases . Household responsibility system What is it? Was when farmers mustdeal their own land and they have to give communist government some but once their quota is met, they can keep all other productivity. What impact on income and productivity? Farm productivity goes up 50 percent within a few years – increase in income Contract Responsibility System in Industry What did it permit? What was impact – government forces farmers to reproduce for the state and it must follow their rules. Farmers were making too much profit on the house hold system – with this they can keep extra production. It was the beginning of the
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econ study guide 2 - Chapter 7 How does China become...

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