Mao's Economic Problems (1949) Flashcards
1
Q
What was the main economic issue that Mao faced?
A
Hyperinflation.
2
Q
How did the GMD cause Hyperinflation?
A
They set to bankroll its armies through printing money, as it was unable to support itself through taxation.
3
Q
What could 100 yuan buy you in 1940/1945/1946? (Hyperinflation Example)
A
A pig in 1940, a fish in 1945 and an egg in 1946.
4
Q
What was China’s economy reliant on?
A
Small-scale agricultural production.
5
Q
What % of China’s population lived in rural areas?
A
80%
6
Q
How far was China’s factory output in 1949 below that of in 1937?
A
Factory output in 1949 was 44% below the level in 1937.
7
Q
What did one foreigner comment on the factory output of cotton mills?
A
“Cotton spinning mills are working three days a week and only have six months left of stock.”
