Coastal SEZs and Economic Reforms in China

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Questions and Answers

What was a significant outcome of the establishment of coastal Special Economic Zones (SEZs) in China?

Restriction on foreign capital in rural areas

Decreased foreign investment

Diminished peasants' rights to sell surplus crops

Increased crop production by 49% between 1978 and 1984 (correct)

Which of the following coastal cities was NOT mentioned as a location for the Special Economic Zones?

Shanghai (correct)

Shantou

Hainan

Shenzhen

What major change occurred in 1984 that affected the structure of rural production units in China?

Nationalization of all farm lands

Disappearance of Peoples’ Communes (correct)

Introduction of the commune system

Increase in government control over production

What system was introduced to reform state-owned enterprises in mid-1980s China?

Director responsibility system Signup and view all the answers

Which types of foreign-funded enterprises were incentivized by the Chinese government?

Sino-foreign joint ventures Signup and view all the answers

How did the government address the issue of surplus labor in rural areas?

By encouraging rural populations to develop township enterprises Signup and view all the answers

What was established in Shenzhen and Shanghai in the mid-1980s to aid economic development?

Two stock exchanges Signup and view all the answers

What was the approximate percentage of China's GDP from the secondary sector in 2000?

45.9% Signup and view all the answers

What was the effect of the Economic Open Zones (EOZs) established in 1985?

They promoted export trade and processing industries Signup and view all the answers

Which of the following was a consequence of the government's shift of reform focus from rural to urban areas during the mid-1980s?

Emergence of the 'Three Rural Issues' Signup and view all the answers

What was the average annual growth rate of grain production between 1979 and 1984?

4.8% Signup and view all the answers

What aspect of China's governance was criticized for lagging behind the West?

Democratization Signup and view all the answers

What negative impact resulted from insufficient government investment in agriculture?

Slow agricultural development Signup and view all the answers

In 1998, what was the rural income compared to urban income?

2160 RMB vs 5425 RMB Signup and view all the answers

What significant event was influenced by widespread social discontent in China?

Tiananmen Square protests Signup and view all the answers

Which of the following organizations did China join in 1991?

APEC Signup and view all the answers

What major education reform was introduced in 1986?

Implementation of compulsory education Signup and view all the answers

What was the primary goal of Project 211 introduced in 1990?

Build around 100 key universities Signup and view all the answers

Which project aimed at improving energy infrastructure in western China?

West-East Gas Pipelines Signup and view all the answers

What significant change occurred in China's economic structure due to the Reform and Opening Up?

Emergence of a diversified economic structure Signup and view all the answers

How did the Reform and Opening Up affect China's foreign trade by 2000?

China became the 7th largest export country Signup and view all the answers

What was one impact of the political changes from the Reform and Opening Up?

Initial relaxation of control over speech Signup and view all the answers

Which technological advancement did China achieve by the 1980s?

Launching satellites Signup and view all the answers

What factor contributed to the rise of private enterprises in China between 1979 and 1996?

Shift from a public ownership model Signup and view all the answers

What was a major economic issue that contributed to hyperinflation in China?

Issuing large amounts of paper money Signup and view all the answers

What was the unemployment rate trend in China between 1985 and 1997?

It rose each year from 1.8% to 3.1% Signup and view all the answers

Which of the following social issues was amplified by the one-child policy in China?

Gender imbalance Signup and view all the answers

What factor was a notable contributor to the widening gap between rich and poor in China?

Differences in urban and rural economic development Signup and view all the answers

What was the consequence of trade disputes with foreign countries for Chinese goods?

Higher tariffs imposed on Chinese exports Signup and view all the answers

How did educational resource expenditure in China compare to national income?

It accounted for 2.56% of national income Signup and view all the answers

What was one significant effect of social security system inadequacies in China?

Rising medical and housing expenses Signup and view all the answers

What were the inflation rates in China from 1980 to 1990?

Increased from 6% to 17-18% Signup and view all the answers

What was the volume of trade between China and Japan from 1979 to 2000?

$85 billion Signup and view all the answers

Which country aided China in constructing a stadium during the 1980s?

Burma Signup and view all the answers

From 1980 to 2000, how much did South Korea's trade with China increase?

$41 million to $34.5 billion Signup and view all the answers

What did Russia export to China according to the information?

Heavy industrial products Signup and view all the answers

What organization did China join in 1991 to promote free trade?

APEC Signup and view all the answers

Which of the following was a notable civil exchange indicator between China and Japan?

24,000 Chinese students studied in Japan in 1995 Signup and view all the answers

What kind of support did China provide to Laos regarding drug issues in the 1990s?

Training officials to combat drug smuggling Signup and view all the answers

What was the primary goal of the three-step strategy of socialist modernization by the end of the 1980s?

To double the GNP by the end of the 1980s Signup and view all the answers

What was a significant outcome expected by the end of the year 2000 from the 'three-step' strategy?

A moderately prosperous society Signup and view all the answers

What fiscal strategy was employed to manage economic growth and avoid inflation?

Adjusting interest rates and controlling monetary supply Signup and view all the answers

What significant policy change occurred during the 11th Central Committee session?

Focus shifted to economic development Signup and view all the answers

What was one of the key components of the economic reform initiated in 1978?

Introduction of the household contract responsibility system Signup and view all the answers

Which of the following best describes the 'Reform and Opening Up' policies?

Increasing integration with global economies Signup and view all the answers

What was one method used to suppress inflation during the economic reforms?

Stopping the construction of infrastructure projects Signup and view all the answers

What long-term goal was set to be achieved by the year 2050 within the modernization strategy?

Establishment of a highly developed country Signup and view all the answers

Study Notes

Reform & Opening Up Since 1978

Reform and Opening Up, initiated in 1978, aimed to adapt Marxism-Leninism to Chinese conditions.
Hua Guofeng initially championed continuity with Mao's policies, but Deng Xiaoping advocated seeking truth from facts and focused on developing productive forces.
Deng Xiaoping emphasized achieving common prosperity through allowing some regions and people to get rich first.
The Third Plenum of the 11th CPC Congress (1978) defined the direction of running the country based on establishing a socialist market economy and opening up to other countries.
The three-step strategy aimed to achieve modernization by 2050.
The reform policy included restructuring state-owned enterprises, promoting township enterprises, and reforming agricultural practices through the household contract responsibility system.
A diversified economic structure was encouraged including private and foreign investment.
Macroeconomic regulation and control was implemented using fiscal and monetary policies.
Coastal areas were opened up for foreign investment with special economic zones (SEZs) and economic open zones (EOZs).
China actively participated in international trade organizations and fostered diplomatic relations with other countries.

Economic Aspect

Agricultural reforms involved household contracts, enabling peasants to retain and sell surplus crops, boosting agricultural output
Industrial and commercial reforms involved various restructuring strategies within state-owned enterprises such as the director responsibility system and shifting toward a joint-stock system.
Open policies of the 1980's provided opportunities for foreign investment, which aided the national economy.
Economic reforms were intended to modernise industrial structure.
Opening up policies increased the presence of foreign-owned enterprises and multinational corporations in China.

Limited Political Reforms

Decentralized power among leaders to avoid autocracy and foster collective leadership
Empowerment of grass-roots democracy expanded political participation among locals.
Constitutional reforms ensured legislative and supervisory functions in the National People's Congress and local People's Congresses.
Introduction of legal principles like 'presumption of innocence' to improve the legal system.

Developing Science & Technology

The government prioritized the development of high technology, particularly in aerospace and related areas.
Science parks and research hubs were established to support technological progress.
Modernization of the military involved reducing troops, but upgrading military equipment.

Introduction of family planning policies to control population growth.
Increased investment in education, emphasizing 9-year compulsory education and the development of higher education institutions.
The modernization of rural areas focused on developing infrastructure, raising living standards, and improving regional equity.

Impact of the Reform & Opening Up

The reform brought about greater diversification of economic structure, improving productivity in both rural and urban areas.
Increased living standards and development in technology, alongside military modernisation.
Development of social aspects, including educational expansion, and implementation of comprehensive family planning policies.
Though reforms had positive impacts, the rapid pace of change led to social inequality, corruption among officials, and challenges in legal systems.

Political Aspects

The one-party political system remained in place despite reforms to the economy.
Increased freedom of speech and political expression was initially noted in the early stages of reform.
But the CPC reasserted control over the political climate.
Challenges remained in regards to corruption and enforcing laws.

Foreign Policy & Military Aspect

China's foreign policy emphasized peaceful coexistence and friendly relations with neighbouring countries.
It addressed disputes diplomatically.
It sought to participate in international affairs, promoting cooperation, and reducing potential conflicts with other nations through diplomacy.
China had frequent military exchanges with other nations to upgrade military capabilities.

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Description

This quiz explores the establishment of coastal Special Economic Zones (SEZs) in China and their significant outcomes. It covers key changes in production units, the reform of state-owned enterprises, and the effects on China’s economic structure during the mid-1980s. Test your knowledge on the pivotal transformations in China's economy during this period.