Article contents
China's Cellular Economy: Some Economic Trends Since the Cultural Revolution
Published online by Cambridge University Press: 17 February 2009
Extract
The Cultural Revolution severely shook the organizational structure of China. In its aftermath came a general weakening of the administration and a loosening of control. As a result the country has experienced an intensification of the tendencies towards a cellular economy. The forces, already strong, which encouraged individual localities and enterprises to develop on self-sufficient autonomous lines, have received a new accession of strength. At present the country seems composed of a myriad of small discrete units, although there are at work technical forces which, it would seem, ought to be breaking down this cellular arrangement. This article looks at the emphasis on self-reliance and self-sufficiency, enquires into certain consequences of these trends and hexamines and speculates on the manner in which the separate units of the Chinese economy relate to each other economically.
- Type
- Research Article
- Information
- Copyright
- Copyright © The China Quarterly 1972
References
1. Krulich, Z. in Rude Pravo (Prague) 23 05 1970 quoted in BBC Summary of World Broadcasts Part 3: The Far East (hereafter FE), No. 3389/BII/1.Google Scholar
2. Interview with Edgar Snow, Epoca, 02 1971, p. 23.Google ScholarPubMed
3. Peking Review, 28 01 1972, p. 22Google ScholarPubMed and People's Daily, 15 01 1972, p. 1.Google ScholarPubMed
4. BBC, FE/3506/B/3, quoting Tanyug correspondent Stjepan Pucak, dateline Peking, 9 October 1970.Google Scholar
5. BBC, FE/W557/A/10, New China News Agency (NCNA), 30 January 1970.Google Scholar
6. NCNA in English, 15 January 1971.Google Scholar
7. e.g., Peking Review, 6 02 1970, pp. 10–11:Google ScholarPubMed “Vigorous development of small local industry.” See also China Reconstructs, 11 1970, p. 6:Google ScholarPubMedHung Chiao, “Thriving market, stable prices” – “since the beginning of 1970 more emphasis has been put on local materials and selling their products locally.”Google Scholar
8. BBC, FE/3507/BII/16, Shansi provincial service, 10 October 1970.Google Scholar
9. BBC, FE/W598/A/7, NCNA in English, 13 November 1970.Google Scholar
10. BBC, FE/W582/A/7, Hupeh provincial service, 26 July 1970.Google Scholar
11. Fang, Min, vice-chairman, Nanking Municipal Revolutionary Committee, “Correct handling of the masses,” Red Flag, 1 01 1971, p. 35.Google Scholar
12. BBC, FE/W59/A/5. NCNA in English, 3 November 1970 and FE/W601/A/9, Yunnan provincial service, 1 December 1970.Google Scholar
13. BBC, FE/W603/A/23, Hupeh provincial service, 25 December 1970.Google Scholar
14. NCNA in English, Nanchang, 2 October 1970.Google Scholar
15. People's Daily, 23 03 1963, p. 1.Google Scholar
16. Kuan, Ta-t'ung, “Our country's unified, socialist internal market,” Red Flag, No. 6, 1 04 1963, p. 35.Google Scholar
17. BBC, FE/3289/BII/2, Canton City service, 21 January 1970.Google Scholar
18. BBC, FE/3828/BII/8, Heilungkiang provincial service, 15 October 1971 and NCNA, Shenyang, 12 February 1972.Google Scholar
19. Peking Review, 20 02 1970, pp. 30–1 and BBC, FE/W637/A/11, NCNA, 25 August 1971.Google Scholar
20. Private communication to the author.Google Scholar
21. On the weakness of the economic planning system in China, see ch. 17 of my China's Economic System (London, 1967),Google Scholar and my monograph The Budget and the Plan (Canberra, 1972).Google ScholarPubMed
22. People's Daily, 15 01 1972, p. 3.Google ScholarPubMed
23. People's Daily, 12 06 1971, p. 4.Google ScholarPubMed
24. BBC, FE/W644/A/3, Kirin provincial service, 30 September 1971.Google Scholar
25. BBC, FE/W603/A/16, Kwangsi regional service, 25 December 1970.Google Scholar
26. BBC, FE/W644/A/9, Shensi provincial service, 14 October 1971.Google Scholar
27. BBC, FE/W647/A/3, Shantung provincial service, 11 October 1971.Google Scholar
28. At the end of September 1957 commerce accounted for around 85 per cent. of the total bank loans outstanding to both industry and commerce. China's Economic System, p. 422.Google Scholar On the diversion of working capital to investment in fixed assets see ibid. pp. 421–30.
29. 15 September 1971, pp. 1 and 4.Google Scholar
30. People's Daily, 15 09 1971, p. 4.Google ScholarPubMed
31. Ibid.
32. Increase in local self-sufficiency is likely to lead to a general fall in quality because it lessens the division of labour and the degree of specialization in production. The goods from other places previously sold in any locality presumably were brought in because of a superiority in quality or price to local goods.Google Scholar
33. BBC, FE/2983/B/11, Chekiang provincial service, 13 January 1969.Google Scholar
34. BBC, FE/3945/BII/10, Shensi provincial service, 15 March 1972.Google Scholar
35. BBC, FE/W659/23, NCNA, 27 January 1972.Google Scholar
36. People's Daily, 19 07 1971, p. 4;Google ScholarPubMedRed Flag, 1 01 1972, p. 64 and BBC, FE/W661/A/13, Hunan provincial service, 18 February 1972.Google ScholarPubMed
37. People's Daily, 12 08 1966, p. 5:Google ScholarPubMedWei, Tung-fang, “An examination of the ‘profit in command’ Theory” and Peking Review, 21 10 1966, pp. 21–5:Google ScholarMeng, Kuei and Hsiao, Lin, “On Sun Yeh-fang's reactionary political stand and economic programme.” See also Ching-chi Yen-chiu (Economic Research) No. 12, 12 1963, pp. 45, 47 and 50:Google ScholarYang Chien-pai, “The problem of national economic equilibrium and production price”Google Scholar and ibid. No. 5, May 1964, pp. 15 and 17: Ho, Chien-chang and Chang, Ling, “A tentative discussion on ‘production price’ in the socialist economy,” and China's Economic System pp. 162–3 and 480–1.Google Scholar
38. In 1968–9 a production brigade in Paoan hsien, Kwangtung was given a subsidy of Y220 by the hsien revolutionary committee for every young person sent down to it. Of this sum, Y50 was for food for the first six months and the rest for housing, farm tools, etc. (Private communication to the author.)Google Scholar
- 91
- Cited by