China: Deng Xiaoping's Economic Reforms (1978)
by Anonymous
After Mao's death, China chose between continuing rigid communist economics or opening up. Deng's 'Reform and Opening Up' introduced market mechanisms while maintaining Communist Party control.
Reform and Opening Up
1978
year
Market economy with Chinese characteristics
economic model
Communist Party maintains control
political model
Chosen — lifted 800 million out of poverty
outcome
Continue Maoist Economics
1978
year
Central planning, collectivization
economic model
Ideological purity
political model
Rejected — had caused famines and stagnation
outcome
Full Liberalization (Soviet-style)
1978
year
Free market + political reform
economic model
Multi-party democracy
political model
Not chosen — Deng saw Gorbachev's failure as warning
outcome
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