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By Ross Gregory Garnaut, Guo Shutian, Ma Guonan

ISBN-10: 0521554098

ISBN-13: 9780521554091

The 1st revolution within the chinese language nation-state was once the land reform after 1949. the second one was once the shift to the loved ones accountability approach as a foundation for agricultural creation. This set the scene for the 3rd revolution. This ebook has contributions from a crew of specialists at the chinese language economic system on problems with poverty and feeding the chinese language inhabitants, agricultural cost reforms, overseas and local problems with China's agricultural economic climate, and institutional adjustments linked to the 3rd agricultural revolution.

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Extra info for The third revolution in the Chinese countryside

Sample text

The financial burden became especially heavy when unexpected output growth started to emerge in 1982. 6 per cent of the state budget) in 1984 (SSB, ZTN 1988: 747, 763). To reduce the state's burden and to increase the role of markets, mandatory procurement quotas were abolished for cotton in 1984 and for grain in 1985, and replaced by procurement contracts which were 20 Justin Yifu Lin supposed to be negotiated t nd agreed by the government and farmers. The contract price was a weighted average of the basic quota and above-quota prices.

Work on private plots was prohibited. Billions of work-days were mobilised as expected. The communal movement ended up facing a profound agricultural crisis, however, between 1959 and 1961. 5 per cent in 1961. Most importantly, grain output declined by 15 per cent in 1959, and another 16 per cent in 1960, then slowly began to rise. The dramatic reduction in grain output resulted in a widespread and severe famine, estimated to have resulted in 30 million deaths (Aston et al. 1988). Communes were not abolished after the great crisis.

Price reform The most important policy change intended by the government at the beginning of the reforms was the adjustment of procurement prices for major crops. Before the reforms two distinct prices - quota prices and above-quota prices - existed in the state commercial system. Quota prices applied to crops sold in fulfilment of procurement obligations; abovequota prices to crops sold in excess of the obligation. 3 per cent for pork. 1 per cent (SSB, Trade and Price Statistical Division 1986: 404-6).

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The third revolution in the Chinese countryside by Ross Gregory Garnaut, Guo Shutian, Ma Guonan


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