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Mao's Economic Reforms (The Great leap Forward (GLF) (by late 1958…
Mao's Economic Reforms
Economic Reforms
First 5 yr plan 1953-57
Industrial plans and soviet style techniques with centralized planning; collectivization; heavy industry
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China felt that USSR owed it form Korean war. Khrushchev needed China's support for his bid for power.
K. Promised the following: money, 200 million for building industry, end of soviet special provisions in Manchuria, and soviet experts in industry
in 1955 shares of private companies were purchased by the state; value of the shares were paid back over time
1956; all urban industry converted to state property and all payments to owners were cancelled. company owners were allowed to stay on the board.
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By summer of 1959 GLF was a disaster, bad planting, flawed innovations, diminished sense to work hard, all lead to much lower crop yields than expected
Mao accused the peasants of hording, thus making the cadres search houses
Mao recognizes its failure and reduces steel and grain quotas, but however did not acknowledge the failure to K.
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