Pearson Edexcel · GCSE · History

    Course version: 1HI0 · Version from Sept 2016

    Key topic 2: Economic policy, 1949–65 - 4 Economic reform: Reasons for,…

    Full specification wording

    Option 32: Key topic 2: Economic policy, 1949–65 - 4 Economic reform: Reasons for, and features of, economic reform (1962–65) under Liu and Deng.

    Between 1962 and 1965, Liu Shaoqi and Deng Xiaoping implemented sweeping economic reforms to rescue China from the devastation of the Great Leap Forward.

    Checked against the Pearson Edexcel 1HI0 specification (opens in a new tab) on .

    • Point 2 of 2
    • 4 key terms

    Study notes

    From the checked teaching notes for this specification point.

    The idea

    Between 1962 and 1965, Liu Shaoqi and Deng Xiaoping implemented sweeping economic reforms to rescue China from the devastation of the Great Leap Forward. The primary reason for these reforms was the collapse of agricultural and industrial production, which had caused the Great Famine. The features of their reforms were highly pragmatic. In agriculture, they reduced the size of communes, restored private plots, and permitted free markets to incentivise peasants. In industry, they closed down inefficient backyard furnaces, shifted focus to producing consumer goods, and reinstated financial bonuses for factory workers. Furthermore, technical experts and managers, who had been sidelined during Mao's campaigns, were returned to authority to ensure factories were run efficiently rather than ideologically.

    What earns the marks

    • Identify the need to recover from the Great Famine and industrial collapse as the main reason for the reforms.
    • Describe agricultural features, such as the downsizing of communes and the reintroduction of private plots and markets.
    • Detail industrial features, including the closure of backyard furnaces and the restoration of piece-rates and bonuses.
    • Explain the reinstatement of technical experts and managers to replace politically appointed cadres in running industries.

    Common mistakes and how to put them right

    • Stating that the reforms abandoned communism.

      Put it right: The state still controlled heavy industry and the overall economy, but introduced pragmatic incentives.

    • Confusing the timeline and attributing these specific reforms to the period after Mao's death in 1976.

    Exam tips

    • Clearly separate your answer into 'reasons for' and 'features of' the reforms to ensure you address both parts of the specification.
    • Use the contrast between Mao's reliance on mass mobilisation and Liu/Deng's reliance on technical experts to highlight the nature of the reforms.
    • Provide specific examples of features, such as financial bonuses in factories, to demonstrate detailed knowledge.

    Try the lesson

    The start of the Option 32: Key topic 2: Economic policy, 1949–65 - 4 Economic reform: Reasons for, and features of, economic reform (1962–65) under Liu and Deng. lesson, made from checked teaching notes for this specification point.

    Have a go first

    Which of the following was a key feature of the economic reforms introduced by Liu Shaoqi and Deng Xiaoping between 1962 and 1965?

    Listen

    Between 1962 and 1965, Liu Shaoqi and Deng Xiaoping implemented sweeping economic reforms to rescue China from the devastation of the Great Leap Forward. The primary reason for these reforms was the collapse of agricultural and industrial production, which had caused the Great Famine. The features of their reforms were highly pragmatic. In agriculture, they reduced the size of communes, restored private plots, and permitted free markets to incentivise peasants. In industry, they closed down inefficient backyard furnaces, shifted focus to producing consumer goods, and reinstated financial bonuses for factory workers. Furthermore, technical experts and managers, who had been sidelined during Mao's campaigns, were returned to authority to ensure factories were run efficiently rather than ideologically. A strong answer earns marks for these points. Identify the need to recover from the Great Famine and industrial collapse as the main reason for the reforms. Describe agricultural features, such as the downsizing of communes and the reintroduction of private plots and markets. Detail industrial features, including the closure of backyard furnaces and the restoration of piece-rates and bonuses. Explain the reinstatement of technical experts and managers to replace politically appointed cadres in running industries. Exam tip: Clearly separate your answer into 'reasons for' and 'features of' the reforms to ensure you address both parts of the specification.

    See it

    A flowchart beginning with a node stating the reason for reform: the collapse of agricultural and industrial production and the Great Famine. An arrow leads to a node for the economic reform under Liu and Deng, 1962–65. From this, two branches emerge. The first branch, agricultural features, leads to three nodes: reduced size of communes, restored private plots, and permitted free markets. The second branch, industrial features, leads to four nodes: closed inefficient backyard furnaces, shifted focus to consumer goods, reinstated financial bonuses for factory workers, and returned technical experts and managers to authority.
    It shows the reason for the 1962–65 reforms and their agricultural and industrial features.

    Key words

    Say what each word means before you turn the card.

    Economic recovery

    Try answering aloud or in your head before turning the card.

    Pragmatism vs Ideology

    Try answering aloud or in your head before turning the card.

    Industrial management

    Try answering aloud or in your head before turning the card.

    Policy reversal

    Try answering aloud or in your head before turning the card.

    See every definition
    Economic recovery
    The rescue of China from the devastation of the Great Leap Forward, as the collapse of agricultural and industrial production was the primary reason for the reforms.
    Pragmatism vs Ideology
    The contrast between Mao's reliance on mass mobilisation and Liu and Deng's reliance on technical experts, showing the nature of the reforms.
    Industrial management
    The reinstatement of technical experts and managers, who had been sidelined during Mao's campaigns, to authority so that factories were run efficiently rather than ideologically.
    Policy reversal
    The introduction of pragmatic incentives, such as private plots and free markets in agriculture and financial bonuses in industry, while the state still controlled heavy industry and the overall economy.

    Label the diagram

    Some boxes have lost their names. Pick the right name for each number.

    The diagram again, with 3 boxes numbered instead of named. A flowchart beginning with a node stating the reason for reform: the collapse of agricultural and industrial production and the Great Famine. An arrow leads to a node for the economic reform under Liu and Deng, 1962–65. From this, two branches emerge. The first branch, agricultural features, leads to three nodes: reduced size of communes, restored private plots, and permitted free markets. The second branch, industrial features, leads to four nodes: closed inefficient backyard furnaces, shifted focus to consumer goods, reinstated financial bonuses for factory workers, and returned technical experts and managers to authority.
    • 1Box 1

    • 2Box 2

    • 3Box 3

    0 of 3 labelled

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