China’s rapid industrial growth can be traced back to its reforms in 1978. Do you agree? Elucidate.

Ans. Yes, China’s rapid industrial growth cannot be denied as a result of the various economic reforms implemented in stages since 1978. Reforms in agriculture, foreign trade, and investment were initiated in the initial phase. The Commune System, a collective farming system, was implemented. Land was divided into small plots and assigned to individual households under this system. After paying taxes to the government, these households were allowed to keep the remainder of their land income. Reforms in the industrial sector were initiated later in the phase.Dual pricing was also included in the reforms. Dual pricing implies that farmers and industrial units were required to buy and sell a fixed quantity of inputs and output at a government-determined price, while the remaining quantities were traded at market prices. The reforms also included the establishment of Special Economic Zones in order to attract foreign investors. As a result, China’s rapid industrial growth can be attributed to the success of various stages of its economic reforms.