Agriculture and Industry - The First Five Year Plan Flashcards
Why did Mao launch the First Five Year Plan?
• Saw success of Soviet plans under Stalin in the 1930’s
• “ CPSU is our best teacher and we must learn from it “
• Mao hoped to develop into a modern industrial superpower
• Soviet Union was China’s only key economic partner
USSR’s support
• Mutual Assistance treaty of 1950
• Construction of 156 major industrial enterprises
• 11,000 Soviet and European industrial experts helped design, train and construct
• 28,000 Chinese studies in Russia
• £300 billion loan over 5 years
Plan’s targets
• High rate of growth
• Investment in technology
• Construction of modern industrial plants
• Self sufficiency
• High grain procurement
• Transformation into a Socialist society
Plan’s successes
• Growth averaged 16%
• Industrial output grew by 15.5%
• Heavy industry tripled
• Industrial working class grew to 10 million
• Standard of living improved with development of socialist society
• Greater urbanisation
Plan’s Failures
• Dependent on loans from the USSR
• Growth in agricultural output declined to 2.1% from 14% in 1952
• Low supply of consumer goods
• Chinese management lacked organisation and skill
• Little investment in healthcare and education
Conclusion of First Five Year Plan
• Great success for the CCP as urbanisation increased their power over the people
• Loss of personal freedoms, and Chinese peasants paid price as standard of living slightly improved
• Increased tension between China and the USSR