II. The theory of 'socialism with Chinese characteristics'

• • According to Marxism-Leninism, socialism is a progress to the stage of communism.
  • In the Maoist period, the CPC proclaimed that China became a socialist state in 1956 when the major socialist transformation was completed.
  • However, China's productivity still remained low.
  • After Deng gained power, he put forward the theory of constructing 'socialism with Chinese characteristics', which served to be China's guiding principle of socialist modernization.
• A> Marxism-Leninism adapted to Chinese conditions

  • In the course of modernization, the country should seek truth from facts, not taking Marxism as a dogma, or mechanically copying the models of foreign countries.
  • Instead, China should proceed from her actual conditions and follow her own road.
• B> Emphasis of increasing productivity

  • Deng stressed that 'poverty is not socialism, and development that is too slow is not socialism either'.
  • The socialist system must strive to create productivity greater than that under the capitalist system so as to improve the living standard of people.
• C> Achieving common prosperity and avoiding polarization

  • The major task of socialism was to develop productivity, with the ultimate aims of eliminating exploitation, avoiding polarization of rich and poor, and achieving common prosperity.
  • To succeed, the public sector of the economy should always be predominant and allow many different ownership systems (including private economy) to exist and develop.
  • The principle of 'distribution to each according to his work' should be preserved.
• C> Achieving common prosperity and avoiding polarization

  • Deng was aware that to achieve common prosperity for all regions at the same time was unrealistic, and it could be a slow and difficult road.
  • Hence, he suggested that some regions and some people might prosper before others, and then they could help other regions and people to achieve the same.
• D> 'Reform and Opening-up' as the guiding principle of modernization

  • Deng believed that to stimulate the economy, the government should arouse the initiatives of the people, and eliminate all obstacles to production.
  • This was realized through internal reforms.
  • The ultimate aim was to create a socialist market economy.
• D> 'Reform and Opening-up' as the guiding principle of modernization

  • In addition, Deng maintained that for a country to develop, she must abandon her isolationist attitude.
  • If China was to develop, she must learn from other countries, especially the developed countries, in science, technology, management and operations, and apply this knowledge to the conditions in China.
  • This was to aim of opening-up to the outside world.
• E> The 'three-step' strategy of modernization

  • Deng thought that China was still at an early stage of socialism, and the transition to socialism could not be reached rapidly.
  • He outlined the socialist modernization in a 'three-step' model: The first step was to double the Gross National Product (GNP) of 1980 by the end of the 1980s.
  • At that time, the problem of food and clothing would be largely resolved.
• E> The 'three-step' strategy of modernization

  • The second step was to double the GNP again by the end of the 20th century, when a moderately prosperous society would be gradually secured.
  • The third step was to achieve modernization by the mid-21st century, when the living standard of people would be better, and China would have reached the level of other moderately developed countries.