China as a Global Power

The economic history of China is a fluctuation based greatly around trials and errors. It is important to note these tribulations to have a concrete overview of how China ended up where they are at today. There are many unique aspects in which the country attempted to grow over the past eight or so decades. Through different shades of government, philosophies of leaders and motivations, China has managed to emerge as a global power.
China developed a heavy industry, socialist development strategy around 1949. This strategy came to be known as the “Big Push” strategy. Emphasis was put on accelerated industrialization while consumption took a seat on the back burner (Bozheng). Government overtook the economy in large part and conducted a resource re-direct to the construction of new factories. New industries rose up along with economic growth. Previous inflation was minimized by the end of the decade through tight budget and money supply control. At the outset of the Communist party rule in China, the leaders agreed that it was necessary to take advantage of capitalist perspectives to help the construction of “New China” and merge it into communism (Bozhong).
Greater chances took place in the 1950s-60s within China’s economic priorities and policies. Under Mao Zedong, the First Five-Year Plan (1953-57), instituted a policy of continued industrial progress but included a falling out of other economic sectors. The state invested funds directly into the industrial sectors. Agriculture, making up 78.6% of the labor force at the time, was forced to attempt to utilize its own minimal capital resources for the majority of its funding needs (Watkins). Coal, iron and steel, electric power, building materials, engineering, and chemicals were where the priorities were dedicated to. Using the Soviet model of industry, China hoped to set up technologically advanced, large capital-intensive plants (Watkins). The Soviets offered technical and financial assistance at this time...