DengÕs Revolution:

China since 1978

 

 

á     Why has China experienced rapid industrialization since 1978?  What are the consequences, domestic and global, of ChinaÕs remarkable growth?

 

á     Why has the Chinese Communist Party managed to maintain control despite ChinaÕs economic transformation and the growth of the private sector?

 

 Key Terms:
1) Deng Xiaoping

2) Four Modernizations

3) Household Responsibility System

4) Special Economic Zones (SEZs)

5) ÒOne Country, Two SystemsÓ

6) ÒState CapitalismÓ

7) Tiananmen Square

8) Kelle Tsai, Capitalism without Democracy

 

 

I. Introduction:  ChinaÕs Third Revolution?

 

á     10% Annual Growth Rate

 

á     GDP       1978 c. $100 billion
               2008 c. 4.4 trillion  ($8.8 trillion PPP) vs.  USA - $13.8 trillion

á     ChinaÕs Trade Growth

á     Trade Surplus with United States  

o  1990 $10 billon

o  2007 $250+ billion

 

á     ChinaÕs Currency Reserves (c. $2 trillion)

 

á     ChinaÕs Oil Consumption (vs. USA)

á     Chinese Military Spending

á     Infrastructure (Physical, Technological, Human)

o  The Three Gorges Damn

o   Shanghai Skyline

o   The WorldÕs Biggest Ferris Wheel (November 6, 2007)

 

 

II.  The Triumph of the Pragmatists:  Deng XiaopingÕs Reforms

 

á     Deng Xiaoping (1904-1997)

o  Veteran Communist, Persecuted ÒReactionaryÓ

o  Rehabilitation by Mao (1972)

o  The Man Behind the Scenes (1978-1997)

 

á     The Four Modernizations (Or:  Whatever Works, Call it Socialism)

o  Agriculture

o  Industry

o  Science & Technology

o  Military 

 

á     Devolution of Economic Decision Making, Market Mechanisms

 

á     The Household Responsibility System (1978) and the End of the Commune

 

á     Factories, Entrepreneurs, and the Growth of Market Capitalism

 

á     Foreign Investment (Special Economic Zones, SEZs)

 

á     Foreign Policy and US-Chinese Rapproachement

o  Carter and Deng

o  Taiwan and US ÒOne China PolicyÓ

o  Hong Kong and ÒOne Country, Two SystemsÓ (1997)

 

á     ÒState CapitalismÓ:  China and The Asian Model of Development

 

 

III.  Capitalism without Democracy

 

á     Modernization Theory and Democratization

 

á     Deng and the One-Party State

 

á     Tiananmen Square Demonstrations and DengÕs Response (April-June, 1989)

 

á     The Success of ChinaÕs ÒGoulashÓ (Lo Mein?) Communism

 

á     Kelle Tsai, Capitalism without Democracy: The Private Sector in Contemporary China

 

á     ChinaÕs Bourgeoisie and Educated Youth:  Not interested in Democracy?

 

IV.  The Problems of Success

 

á     The Environment and Population

 

á     Wealth Inequality, Class Society, and Urban vs. Rural

 

á     A Government Overwhelmed?