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China under the Leadership of Mao Zedong 中华人民共和国 China The Cultural Revolution in China

An integrated series of necessary measures and steps, such as the fight against speculation and profiteering, the readjustment and restructuring of industry and commerce, the movement against the "five evils, " workers' supervision of production and state monopoly of the purchase and marketing of grain and cotton, were bound to gradually bring backward, anarchic, lop-sided and profit-oriented capitalist industry and commerce into the orbit of socialist transformation.

3)Among the individual peasants, and particularly the poor and lower-middle peasants who had just acquired land in the agrarian reform but lacked other means of production, there was a genuine desire for mutual aid and co-operation in order to avoid borrowing at usurious rates and even mortgaging or selling their land again with consequent polarization, and in order to expand production, undertake water conservancy projects, ward off natural calamities and make use of farm machinery and new techniques. 

The progress of industrialization, while demanding agricultural products in ever increasing quantities, would provide stronger and stronger support for the technical transformation of agriculture, and this also constituted a motive force behind the transformation of individual into co-operative farming.

As is borne out by history, the general line for the transition period set forth by the Party was entirely correct.

During the period of transition, the Party creatively charted a course for socialist transformation that suited China's specific conditions. 

In dealing with capitalist industry and commerce, it devised a whole series of transitional forms of state capitalism from lower to higher levels, such as the placing of state orders with private enterprises for the processing of materials or the manufacture of goods, state monopoly of the purchase and marketing of the products of private enterprise, the marketing of products of state-owned enterprises by private shops, and joint state-private ownership of individual enterprises or enterprises of a whole trade, and it eventually realized the peaceful redemption of the bourgeoisie, a possibility envisaged by Marx and Lenin. 

In dealing with individual farming, it devised transitional forms of co-operation, proceeding from temporary or all-the-year-round mutual-aid teams, to elementary agricultural producers'co-operatives of a semi-socialist nature and then to advanced agricultural producers' co-operatives of a fully socialist nature, always adhering to the principles of voluntariness and mutual benefit, demonstration through advanced examples, and extension of state help. 

Similar methods were used in transforming individual handicraft industries. 

In the course of such transformation, the state-capitalist and cooperative economies displayed their unmistakable superiority. 

By 1956, the socialist transformation of the private ownership of the means of production had been largely completed in most regions. 

But there had been shortcomings and errors. From the summer of 1955 onwards, the Party was overhasty in pressing on with agricultural co-operation and the transformation of private handicraft and commercial establishments;it was far from meticulous, the changes were too fast, and it did its work in a somewhat summary, stereotyped manner, leaving open a number of questions for a long time. 

Following the basic completion of the transformation of capitalist industry and commerce in 1956, we failed to do a proper job in employing and handling some of the former industrialists and businessmen. 

But on the whole, it was definitely a historic victory for the Party has effected, and to have effected fairly smoothly, so difficult, complex and profound a social change in so vast a country with its several hundred million people, a change, moreover, which promoted the growth of industry, agriculture and the economy as a whole.

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