Deng Xiaoping Theory

• ``Socialism with Chinese characteristics"
  1. Liberation and development of the productive forces
  2. Elimination of exploitation and polarization
  3. The ultimate achievement of prosperity for all
• ``One central task and two basic points"
  • One central task: economic construction
    • The ``four modernizations":
      1. Agriculture
      2. Industry
      3. Science and technology
      4. National defense
  • Two basic points
    • Basic point one: ``Four cardinal principles"
      1. Marxism-Leninism and Mao Zedong Thought
      2. Socialist road
      3. People's democratic dictatorship
      4. Leadership by the Communist Party
    • Basic point two: the reform and open policy
      1. Rural household contract responsibility system with remuneration linked to output
      2. Urban economic reforms
         • Multiple forms of ownership
         • Less economic planning
         • Decentralized administration
         • Prices set by market
      3. Openning to the outside world
         • Special Economic Zones
         • Foreign investment
         • Exports and imports
• Late 1970s: Deng garnered support by: (Lieberthal 1995, page 132)
  • Creating flexibility within Maoist dogma
  • Providing quick payoffs to supporters
  • Creating vociferous domestic advocates of modernization
  • Disciplining the bureaucracy
• 1980s: Cycles of ``loosening" and ``tightening"
  • Radical reformers: Hu Yaobang and Zhao Ziyang
  • Conservative reformers: Chen Yun
• 1990s: Socialist market economy