Deng Xiaoping's Economic Reforms

Deng Xiaoping's Economic Reforms

Over the past two decades, China has been dominated by Deng Xiaoping, who has been a major figure in the ruling Communist Party since the 1930s. Deng has twice survived being denounced and demoted; he reemerged in the late 1970s following the death of Mao Zedong, the long-time leader of the country. Deng seized formal control of China in 1981.

Deng has been identified with reform, although his record with political reform is mixed. In 1979, he and other Communist leaders allowed the so-called Democracy Wall movement to flourish for a short time. In that movement, ordinary Chinese citizens were allowed to freely advocate political and social views in a designated area in Beijing, the capital. Deng and the other leaders apparently became alarmed that antigovernment sentiment might threaten their hold on power, so the movement was crushed in December 1979 and several people were arrested. Zhang, W. W. (1996). Ideology and economic reform under Deng Xiaoping, 1978 to 1993, London: Kegan Paul International. Ten years later, the country's leaders tolerated student-led pro-democracy demonstrations in Beijing and other cities. However, the army, with Deng's backing, brutally crushed protesters gathered in Beijing's Tiananmen Square in June 1989. More than 1,000 people were killed and hundreds were arrested. The incident was condemned by most governments worldwide, including the U.S., and several countries imposed temporary economic and trade sanctions against China.

Deng has been more successful in his emphasis on economic reform. Under his guidance, China's economy has grown steadily since the early 1980s, except for a slight dip immediately following the Tiananmen Square incident. He has opened the country to foreign investment and has tried to make China's state-run companies more efficient.

The volume of China's trade with the U.S. and the rest of the world has soared over the ...