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What were the aims of Deng?
· He wanted to modernise China
· Deng wanted to open up China to trade with the outside world
· Foreign investment was to increase under Deng’s leadership
What changes did Deng make to agriculture?
· Communes were abolished and replaced with Xiang – village or town
· Each Xiang had a quota which it had to meet and supply to the state
· The surplus could then be sold for profit by the individual farmer
· The new system was known as the ‘household responsibly system’. It also permitted famers to decide which crops to plant, allowing flexibility according to land and weather
· The impact was huge and 98% of agricultural land was part of the system. Gain production saw a 144% growth during the years 1978-89. The programme was seen as a huge success.
What changes did Deng make to education?
· University entrance exams were introduced
· Private universities were allowed and encourages
· Chinese students were encouraged to travel to the capitalist West for education
· Research programmes and establishments were relaunched, which ended the repression caused by the Cultural Revolution
What changes did Deng make to the industry?
· State owned enterprises remained but the freedom to set production targets and make profits were given to employees
· He implemented an open-door policy, which encouraged businesses to produce quality goods which could be exported overseas
· Special Economic Zones – SEZ’s were set up in a number of coastal cities. These were areas where foreign investment was encouraged for both exports and home industries
· These policies were a great success with a 500% increase in export trade by 1990. Manufacturing output also increased by 34% from 11978 to 1989.
What changes did Deng make to privatisation?
· Businesses in SEZ’s on the coast, and inland, began to make profits
· A rural version of the SEZ’s was the ‘Town and Village enterprise’ system, which employed 100 million people by 1990