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Summary Successes and Failures of Five Year Plans - China
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This document clearly summarizes the successes and failures of 1-3rd Five Year plans in China under Mao + Liu and Deng
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1st & 2nd Five Year Plan:How accurate is it to state that, as far as industry was concerned, the First Five – Year Plan
was a success and the Second Five – Year Plan was a failure? (20 marks)
First Five-Year Plan Successes:
- Industrial production annual growth rate was about 19% per year during the plan
- Iron, steel and coal production and machine building all drastically increased
however figures may not have been accurate.
- Many factories and building facilities opened.
Second Five Year Plan Failures:
- Backyard furnaces, the steel being produced wasn’t quality enough. The home-made
steel was useless. It damaged the economy
- State ownership of enterprises proved to be inefficient because it removed
incentives to work harder – therefore production would have lowered.
Second Five Year Plan Successes:
- Decentralized target system
Deng & Lui + 3rd Five Year Plan:
Changes to be made:
- Bring back some private enterprise
- Private property, less collectivization
(Both challenge Communism ideologically)
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