Question

Explain any three changes made in China that raised the growth of its economy.

Hint:

China grew fast after 1978 through Open Door reforms, privatisation of farming and industry, Special Economic Zones and WTO entry in 2001.

Answer 1

Step 1: Background:
After the 1949 revolution China followed a closed, state-controlled model, and its growth was slow.
From 1978, under Deng Xiaoping, it made major changes that lifted the economy.

Step 2: Change 1 - Open Door policy and market reforms:
In 1978 China started the policy of opening its economy to the world and welcomed foreign capital and technology.
It moved step by step from a fully planned economy to a market system.

Step 3: Change 2 - Privatisation of agriculture and industry:
Farming was privatised first, in 1982. The commune system ended, and farmers could keep and sell what they grew.
Industry followed, with privatisation in 1998. This boosted production.

Step 4: Change 3 - Special Economic Zones and WTO:
China set up Special Economic Zones where trade barriers were removed to draw foreign investment.
In 2001 China joined the World Trade Organisation, which gave it a bigger place in global trade.

Final Answer:
The Open Door and market reforms, privatisation of farming and industry, and SEZs with WTO membership were three changes behind the Chinese growth.