INST 254: Introduction to International Relations

Introduction to International Relations

BAPE 1-1, Group 1 - Dialogue Essay #3
DE JESUS, Janice Ashley
FERNANDEZ, Eugenia Isabela
GABITO, John Paul R.
JACOBA, Elnora II
HAZY IDEOLOGICAL SHIFT
Since the dawn of civilization, societies have grappled with the question of how to distribute resources
and ensure a fair and just society. Socialism, as a socio-economic and political ideology, has emerged
as a response to the perceived inequalities and injustices of capitalist systems. Rooted in the
principles of social equality, collective ownership, and democratic control, socialism presents an
alternative vision for organizing society and the economy. The shift towards a market-oriented
economy in China has had a significant impact on the principles and implementation of socialism in
the country. China, under the leadership of Deng Xiaoping in the late 1970s, initiated economic
reforms that introduced elements of a market economy while retaining the socialist political system.
This transformation, commonly referred to as "socialism with Chinese characteristics," aimed to
modernize the economy, alleviate poverty, and improve living standards. Then, to what extent has
China's shift towards a market-oriented economy affected the principles and implementation
of socialism in the country?

1
Since seizing control of China's government from the Nationalists in 1949, the Communists have
strived to convert the country into a communist economy with industrialisation as the main economic
objective. Consolidation took place between 1949 and 1952, during which the new administration
launched a number of national changes. JOHN PAUL R. GABITO analyzed that the redistribution of
land was the most crucial. The Communists eliminated landowners as a class and redistributed
millions of acres of land in order to win the support of the vast majority of peasants. After that, it
underwent several stages of economic development: Second stage (1953-1957) was guided by the
Soviet Union in building power plants, refineries, and other manufacturing plants. Third Stage or The
Great Leap Forward (1958-1961) it called for the development of production techniques that could
make the greatest possible use of China’s enormous population. Fourth stage (1961-1965) marked a
return to the policies that proceeded the Great Leap Forward. Then, the Cultural Revolution
(1966-1969) opened the country to be free from traditional customs, it was led by Communist Leader
Mao Ze Dong. 2EUGENIA FERNANDEZ explained the transformation of China from a feudal society
to a socialist state took place over the course of several decades. She said that Mao Zedong's
leadership and the founding of the People's Republic of China in 1949 are both responsible for the
rise of socialism in China. 3The Communist Party of China (CPC), of which Mao Zedong was a
founding member, defeated the Nationalist Party in the Chinese Civil War under his leadership. Mao
put into effect socialist policies and plans after founding the People's Republic of China with the
intention of transferring wealth and power from the rich and powerful to the common people. ASHLEY

1
Smith, H. M. (1999). Understanding Economics
2
Dirlik, Arif. 2008. “Socialism in China: A Historical Overview.” Edited by Kam Louie. Cambridge University Press. Cambridge: Cambridge University
Press. 2008.
https://www.cambridge.org/core/books/abs/cambridge-companion-to-modern-chinese-culture/socialism-in-china-a-historical-overview/C0D081DE9AD5A
5FA7A67E245C60A0B73.
3
Reynolds Schram, Stuart. 2019. “Mao Zedong | Biography & Facts.” In Encyclopædia Britannica. https://www.britannica.com/biography/Mao-Zedong.
DE JESUS added that as Mao Zedong ascended to power, he explicitly wanted to pursue socialist
policies aimed at eliminating inequality, encouraging economic growth, and highlighting the elevation
of the Chinese standard of living. In terms of the socialist policies ensued, 4FERNANDEZ gave one of
Mao's most significant contributions to socialism in China. It was his implementation of land reform
policies. Prior to the establishment of the People's Republic of China, land ownership was
concentrated in the hands of a few wealthy landlords, while peasants were forced to work as tenant
farmers. Mao's land reform policies aimed to redistribute land from landlords to peasants, giving them
ownership and control over their own land. DE JESUS also mentioned Mao's infrastructure
development plans, naming the "Third Front" program in particular. The initiative for this program
began in 1964, with the goal of building roads, trains, bridges, airports, power plants, new cities, and
expanding existing ones to accommodate the inflow of workers and their families. She went on to
clarify that the goal was to build not only a new sector, but also military installations in China's
heartland and western regions, away from vulnerable coastal locations against foreign attack.5
Although there are some discrepancies and criticisms in the Third Front project, to DE JESUS, its
initiative was crucial in encouraging economic growth and industrialisation in China while maintaining
a socialist ideal in mind. Given that Mao Zedong’s socialist ideals founded many admirable projects
for the country, Deng Xiao Ping’s shift to a market-oriented economy carrying the social ideals of the
former administration led the country’s development to soar new heights. However, GABITO pointed
out the pragmatic acquisition of power of Mao created an upheaval disruption to the economy and a
sharp reduction in economic growth. Following these economic shenanigans of Mao, political
instability continued to interfere with economic progress as politics and economy goes hand in hand
in a control economy. 6FERNANDEZ said that following Mao Zedong's passing in 1976, Deng
Xiaoping took over as China's new leader. Deng was a realist who thought that for China to keep up
with the rest of the world, its economy needed to be modernized. He began a series of economic
reforms in 1978 with the goal of liberalizing China's economy and converting it to a market-oriented
one. Deng's first action was to establish Special Economic Zones (SEZs) in coastal areas of China.
7
These zones were designed to attract foreign investment by tax breaks and other incentives to
businesses that set up operations there. The SEZs were a huge success and helped to kickstart
China's economic growth.

DE JESUS supported FERNANDEZ’s statement by adding one of Deng Xiaoping's foreign

investment policy; the establishment of Joint Venture (JV) partnerships between foreign companies
and Chinese state-owned enterprises. She points out that the same for the SEZ’s, the initiative for JV
is also to embark on a strategy to encourage foreign investors into the country. The program was first
introduced in the late 1970s as part of a series of economic reforms of the Deng administration to
promote and modernize the Chinese industry. JV were formed in a variety of areas, including
manufacturing, technology, and services. Equity joint ventures, in which the parties agreed to jointly
invest in a new firm, or contractual joint ventures, in which the parties entered into a contractual
4
Dan Moor. 2017. “Mao’s Agricultural Policy | Schoolshistory.org.uk.” SchoolHistory.org. November 30, 2017.
https://schoolshistory.org.uk/topics/world-history/mao-china-c-1930-1976/maos-agricultural-policy/.
5
Naughton, Barry. “The Third Front: Defence Industrialization in the Chinese Interior.” The China Quarterly, vol. 115, 1988, pp. 351–386.,
doi:10.1017/S030574100002748X.
6
Jian, Chen. 2010. “China and the Cold War after Mao.” Edited by Melvyn P. Leffler and Odd Arne Westad. Cambridge University Press. Cambridge:
Cambridge University Press. 2010.
https://www.cambridge.org/core/books/abs/cambridge-history-of-the-cold-war/china-and-the-cold-war-after-mao/20B103BD2559F8872C653584FB4A0E
F4.
7
Yeung, Yue-man, Joanna Lee, and Gordon Kee. 2009. “China’s Special Economic Zones at 30.” Eurasian Geography and Economics 50 (2): 222–40.
https://doi.org/10.2747/1539-7216.50.2.222.
arrangement to work together on a specific project, are two types of partnerships.8 In current times,
DE JESUS provides the automobile sector, an area in which JV has been prominently successful.
BMW, Volkswagen, Honda, Ford, and Toyota are just a few of the global auto firms that have formed
JV’s with Chinese enterprises to manufacture their product.9 10China's economy was significantly
impacted by these economic reforms. China's GDP increased by an average of 9.5% annually
between 1978 and 2018, making it one of the world's fastest-growing economies. For many Chinese
people, the reforms also helped to lower poverty and raise living standards. However, the shift
towards a market-oriented economy also had some negative consequences. Income inequality
increased as some people became very wealthy while others struggled to make ends meet.
Additionally, environmental degradation became a major problem as factories and other businesses
polluted China's air and water. GABITO added that senior officials in China were ardent supporters of
Deng's reform proposals because they understood that drastic measures would have to be taken to
preserve both the nation and themselves. While the conservative party understood that the only way
to maintain their constituency was by offering economic benefits, and the only way to provide these
benefits was through reform, the liberals were adamant that a market economy was appropriate for
China. As both groups' families learned that reform also offered them unique benefits for producing
money in the marketplace, their support for the reform grew.

After discussing the history of socialism in China, the discussion will proceed to the current situation
of socialism under Xi JInping's leadership and his "Chinese Dream." According to FERNANDEZ, Xi is
both the president of the People's Republic of China and the current general secretary of the
Communist Party of China. President 11Xi’s support for the "Chinese Dream," a strategy for China's
future that emphasizes social stability, economic growth, and national renewal, has grown
significantly since he assumed office in 2012. The Chinese Communist Party has traditionally placed
a high value on ideology (CCP). Yet under Xi Jinping, his particular form of Marxist-Leninist
nationalism has been solidified. GABITO extrapolated that this was evident in Xi's early writings from
2013, which came along with the party's reassertion of its Leninist dominance over Chinese affairs.
After the 19th Party Congress in 2017, when he formally redefined the party's ideological priorities
away from the exhilarating days of "reform and opening" to develop the economy to a new era
dealing with the "imbalances of development" that the Deng Xiaoping, Jiang Zemin, and Hu Jintao
periods had created, his Marxist ideological worldview started to extend to the economy. Compared to
previous congress reports from the previous 40 years, the 20th Party Congress report was more
ideological in tone and content. Xi urges the party to "grasp both the worldview and methodology of
Socialism" and to use the analytical tools of dialectical and historical materialism to the Party's
understanding of the great challenges of the time; 12the report of Dr. Kevin Rudd in his China Matter
Oration, speaks to the great ideological progress which has been achieved over the previous decade
in developing a "new chapter in a modern Marxism for the 20th century" Indeed, this ideological lens

8
Pearson, Margaret M.. Joint Ventures in the People's Republic of China: The Control of Foreign Direct Investment under Socialism, Princeton:
Princeton University Press, 1991. https://doi.org/10.1515/9781400820566
9
Hays, Jeffrey. FOREIGN CAR COMPANIES IN CHINA | Facts and Details. factsanddetails.com/china/cat9/sub61/item360.html.
10
World Bank. 2021. “GDP Growth (Annual %) | Data.” Worldbank.org. World Bank. 2021.
https://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG?locations=CN.
11
Cushman , Chloe . 2022. “Xi Jinping Amends the Chinese Dream.” The Economist. November 22, 2022.
https://www.economist.com/china/2022/11/10/xi-jinping-amends-the-chinese-dream.
12
China’s Competing Ideological and Economic Policy Objectives in 2023. (n.d.). Asia Society.
https://asiasociety.org/policy-institute/chinas-competing-ideological-and-economic-policy-objectives-2023
should be applied "to advance every aspect of our work". As per DE JESUS, she agreed to Allison's
(2017)13 remark of Xi's "great rejuvenation of the Chinese nation," as "his China Dream combines
prosperity and power," implying that Xi dreams of China becoming a strong, prosperous, and modern
socialist country. With this in mind, DE JESUS points out how the Xi administration vigorously pushes
both its socialist values and its economic ambitions through market-oriented policies in order to
accelerate China's growth that could be criticized in terms of its impact on human rights,
environmental sustainability, and geopolitical tensions. In the opinion of FERNANDEZ, government
intervention and SOEs have contributed to China's recent rapid economic growth, but they have also
come under fire for their detrimental effects on competition and innovation. In their respective
industries, SOEs frequently enjoy monopolies or oligopolies, which can stifle competition and produce
inefficiencies. Government intervention may also skew market signals and result in resource
misallocation.

GABITO concluded that China has exercised particular caution when it comes to privatization. Its
policy is to postpone privatization until it has cleared a number of significant obstacles. China must
first successfully liberalize prices in order to prevent corporate bankruptcy. Second, to prevent
pensioners from losing their pensions, a national pension system needs to be established. After that,
China must offer its large population access to healthcare and educational opportunities. Additionally
necessary for the communist authorities to adapt to private enterprise are banking reforms. China
also has to establish a functioning stock market so that it can oversee stock transactions, study
trends, and evaluate company performance. Although China's progressive privatization strategy has
drawn heavy criticism, it has been essential to the country's overall prosperity. Many people have
welcomed the Soviet Union's spontaneous privatization, but it has also led to the failure of important
enterprises and discouraged both domestic and foreign investment. The Chinese government's policy
has encouraged massive investments from both foreign and domestic companies, helped to reduce
poverty among the populace, and provided funding for answers to China's problems. JACOBA,
concluded that the socialism significant focus has been placed on fostering a “harmonious society”
recognizing the need to address social issues and maintain stability while pursuing economic growth.
This approach reflects a deep understanding that progress must extend beyond mere economic
indicators. Additionally, the government has taken measures to retain control over vital sectors such
as finance, energy, and telecommunications, ensuring a degree of state influence over the economy.
The continued dominance of the Communist Party and its centralized decision-making power serve
as a testament to the commitment of upholding socialist principles and safeguarding the interests of
the people. For FERNANDEZ, It is difficult to foresee what function socialism will serve in China's
future development. The CPC appears to be building on its socialist foundations. Regardless of which
direction China takes, she said that it is clear that socialism will continue to play a significant role in
the country's political ideology for the foreseeable future. Meanwhile, according to DE JESUS, the
future of socialism in China will be determined by an array of factors, including the government's
willingness to confront issues of inequality, corruption, and environmental sustainability, as well as its
attitude toward civil liberties and free expression, which she believe was driven by the country's
transition to a market-oriented economy. She also stated that if the government continues to ignore
their criticism, the future of socialism in China will be bleak, even perhaps it could also impede their
advancement. ALL IN ALL, the group alluded that Socialism is unsuitable for China as it plans to

13
Allison, Graham. “What Xi Jinping Wants.” The Atlantic, 31 May 2017, www.theatlantic.com/international/archive/2017/05/what-china-wants/528561.
topple the United States from economic supremacy. Moreover, they should consider public opinion as
they are part of the actors for a healthy circulation of the country’s economy, since it is planning to
moderately shift to privatized market. With this, China needs to carefully scheme their transition as it
could plummet in their tracks. They need to retain vital sectors within their control such as agriculture
and energy. China’s attempts to be globally competitive cost it ideology aside—a move that can
impower their economy to be the best.
 BIBLIOGRAPHY

Allison, Graham. “What Xi Jinping Wants.” The Atlantic, 31 May 2017,

www.theatlantic.com/international/archive/2017/05/what-china-wants/528561.

China’s Competing Ideological and Economic Policy Objectives in 2023. (n.d.). Asia Society.
https://asiasociety.org/policy-institute/chinas-competing-ideological-and-economic-policy-objectives-2
023

Cushman , Chloe . 2022. “Xi Jinping Amends the Chinese Dream.” The Economist. November 22,
2022. https://www.economist.com/china/2022/11/10/xi-jinping-amends-the-chinese-dream.

Dan Moor. 2017. “Mao’s Agricultural Policy | Schoolshistory.org.uk.” SchoolHistory.org. November 30,
2017.
https://schoolshistory.org.uk/topics/world-history/mao-china-c-1930-1976/maos-agricultural-policy/.

Dirlik, Arif. 2008. “Socialism in China: A Historical Overview.” Edited by Kam Louie. Cambridge
University Press. Cambridge: Cambridge University Press. 2008.

Hays, Jeffrey. FOREIGN CAR COMPANIES IN CHINA | Facts and Details.

factsanddetails.com/china/cat9/sub61/item360.html.

Jian, Chen. 2010. “China and the Cold War after Mao.” Edited by Melvyn P. Leffler and Odd Arne
Westad. Cambridge University Press. Cambridge: Cambridge University Press. 2010.
https://www.cambridge.org/core/books/abs/cambridge-history-of-the-cold-war/china-and-the-cold-war-
after-mao/20B103BD2559F8872C653584FB4A0EF4.

Naughton, Barry. “The Third Front: Defence Industrialization in the Chinese Interior.” The China
Quarterly, vol. 115, 1988, pp. 351–386., doi:10.1017/S030574100002748X.

Reynolds Schram, Stuart. 2019. “Mao Zedong | Biography & Facts.” In Encyclopædia Britannica.
https://www.britannica.com/biography/Mao-Zedong.

Smith, H. M. (1999). Understanding Economics

Pearson, Margaret M.. Joint Ventures in the People's Republic of China: The Control of Foreign Direct
Investment under Socialism, Princeton: Princeton University Press, 1991.
https://doi.org/10.1515/9781400820566

World Bank. 2021. “GDP Growth (Annual %) | Data.” Worldbank.org. World Bank. 2021.
https://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG?locations=CN.

Yeung, Yue-man, Joanna Lee, and Gordon Kee. 2009. “China’s Special Economic Zones at 30.”
Eurasian Geography and Economics 50 (2): 222–40. https://doi.org/10.2747/1539-7216.50.2.222.