Question

Explain any four factors responsible for the economic growth of communist China after the inception of the People’s Republic of China in 1949.

Answer 1

After the founding of the People’s Republic of China in 1949, under Mao’s leadership, economically backward Communist China resolved to cut links with the capitalist world.

1. For backup, it used its own resources. The goal was to build a strong heavy industry sector owned by the government with the money saved from farming.
2. China chose to buy more goods made in China instead of buying goods from other countries because it didn't have enough foreign currency to pay for technology and goods.
3. China was able to build an industrial economy on a scale that had not been possible before using this plan.
4. All of the people living in China were guaranteed jobs and social benefits. China also did better than most developing countries at educating its people and making sure they had better health.