Economic Responsibility Systems in Industry, Spring 1981–November 1982

Abstract

This period saw the productionist interests eventually prevailing over a most stringent readjustment policy, as the restriction of wage incentives crumbled from below. At the end of 1980, Deng Xiaoping had conceded that the prescription by the central controllers would lead the economy for a considerable time to come. In light of the austerity of the policies adopted, however, it was questionable how long the grassroots could bear them. Another question concerned the reformers representing the production departments which bore the brunt of deflationary measures. Their opportunities to counter-attack increased in spring and summer as the annual cycle of policy formulation turned to their advantage.