Download POSC 215

POSC 215
Kesselman, pgs. 635-644, C:CP25-12
Political Economy & Development
True or False Questions
1. When the Chinese Communist Party came to power in 1949, China’s economy was
suffering from more than a hundred years of rebellion, invasion, civil war, and bad
government. True or False
2. In the early part of the Chinese communist revolution, the government initially allowed
some private ownership and many aspects of capitalism to continue in order to gain support
for the government and revive the economy. True or False
3. In the beginning of communist rule, China’s planned economy yielded horrible results
with bureaucratic bottlenecks and unnecessary, wasteful red-tape. True or False
4. In spite of the reforms that were instituted by Deng, much of China’s economy today is
still dominated by prices being set by administrative decree rather than market forces. True
or False
5. Although vastly outnumbered by private enterprises with many more workers in today’s
Chinese economy, state-owned enterprises still dominate its critical parts. True or False
6. In China, the state-owned sector remains a huge drain on the country’s economy. True or
False
7. The Chinese Communist Party is still exclusively manned by people that come from the
public sector and refuse to allow owners of private enterprises to join. True or False
8. The PRC has had the fastest-growing major economy in the world for more than two
decades. True or False
9. Under Deng’s revamped agricultural system, the village still owns the farmland, but it is
contracted out by the local government to individual families. True or False
10. Although economic reform has generated a tremendous amount of opportunities for the
people of China, it has also brought with it serious social problems that include crime and
prostitution. True or False
11. The government of China officially reports that the unemployment rate is about 4
percent of the urban labor force, a figure that many believe is actually two to three times
higher. True or False
12. In spite of the fact that women benefitted from socio-economic reforms since the
founding of the PRC, with the introduction of market reforms the trends are going toward
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Part V
greater inequality for women, keeping the majority in lower-paying, subordinate positions.
True or False
13. Farm labor has become increasingly feminized as many men move to jobs in rural
industry or migrate to the cities. True or False
14. While the PRC government praises the success of the one-child policy, it has been met
with little resistance in the rural areas because of the benefits that are provided. True or
False
15. Although there has been some relaxation of the one-child policy, especially for rural
couples and ethnic minorities, the PRC has announced that it will remain in effect until at
least 2015. True or False
16. Unlike the United States, China has been able to better control pollution by introducing
harsher restrictions on carbon dioxide emissions. True or False
17. Chinese exports have soared from negligible levels in the late 1970s to the world leader,
ahead of Germany, the United States, and Japan. True or False
18. In spite of China’s dramatic economic growth rates in foreign trade, it is still more
economically independent in this area than the United States or Japan. True or False
19. Despite having large domestic sources of petroleum and sizeable untapped reserves,
China is now a net importer of oil. True or False
20. Because of the CCP ideology, it has made every effort to dissuade and limit accessibility
to cigarettes, ostracizing smokers from leadership positions. True or False
21. Under Deng Xiaoping and his successors, the party-state has given up much of its
control of the economy and encouraged free market forces, private ownership, international
trade, and foreign investment. True or False
22. During World War II, China fought against the United States aligning itself with the
former Soviet Union. True or False
Multiple Choice Questions
1. In the early 1950s, the CCP set up a: a) market oriented economy for the rural areas, b)
socialist planned economy based on the Soviet model, c) flexible system that incorporated
elements of both socialism and free market principles, d) rigidly impenetrable economic
system that was geared only for domestic self-reliance and nothing more.
2. Mao’s approach and vision for the Chinese economy, reflective of the Great Leap
Forward and the Cultural Revolution, was to: a) establish a highly, streamlined bureaucracy
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where efficiency took priority over redundancy and rewards would be doled out based on
performance, b) create a less bureaucratic and more egalitarian system compared to the
Soviet model, c) establish a hybrid system of free economic zones in some sectors of society
while simultaneously experimenting with socialist principles in other sectors, d) eradicate
any challengers or threats to one-party rule so that the CPP would exist and dominate in
perpetuity.
3. What did Den Xiaoping mean when he remarked, “It doesn’t matter whether a cat is
white or black, as long as it catches mice.” a) It is better to survive even if it meant eating
mice rather than starve to death, b) Don’t be preoccupied with your neighbor’s behavior.
Focus on your own to assure the success of the revolution. c) Don’t be overly concerned
whether a particular policy is socialist or capitalist as long as it helps the economy, d) It is
better to be quick to change course, like a cat when it captures a mouse, while being true to
the revolution.
4. Companies in which a majority of ownership control is held by the government: a)
government driven businesses, b) state controlled firms, c) state-owned enterprises, d)
government directed companies.
5. From 1990 to 2009, China’s GDP per capita grew at an average rate of a little over: a)
5.2%, b) 6.6%, c) 7.23%, d) 9%.
6. As of 2010, GDP per capita in the United States was $47,500 while China’s was: a)
$7,400, b) $12,900, c) $14, 300, d) $19,500.
7. The term used by the government of China to refer to the country’s current economic
system: a) communist state economy, b) social-democratic economy, c) socialist market
economy, d) Marxist structured economy.
8. In the mid to late 1950s when collectivization was introduced in the Chinese countryside,
a) peasants were allowed to keep whatever they produced, b) peasants had to sell most crops
and other farm products to the state at low fixed prices, c) peasants were free to sell their
products to the highest bidder, d) peasants earned salaries based on market demands.
9. The system put into practice in China beginning in the early 1980s in which the major
decisions about agricultural production are made by individual farm families based on a
profit motive rather than by a people’s commune or the government: a) elaborate local
control, b) bourgeois decision-making, c) decoupling agrarian reform, d) household
responsibility system.
10. Today, how many people are employed in rural factories and businesses outside of the
urban areas in China? a) 60 million, b) 190 million, c) 270 million, d) 325 million.
11. A feature of China’s socialist economy during the Maoist era (1949–1976) that provided
guarantees of lifetime employment, income, and basic cradle-to-grave benefits to most
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urban and rural workers: a) communist commitment system, b) iron rice bowl, c) communal
safety net, d) socialist security rights.
12. Migrants from the rural areas of China who have moved temporarily to the cities to find
employment: a) floating population, b) agrarian labor migration, c) employment safety
valve, d) egalitarian adjustment activity.
13. Because of the rising disparities in income distribution, especially between the urban
areas of China, the CCP has begun to promote the development of a higher average standard
of living for the whole country, referred to as: a) egalitarian socialism, b) constructive
redistribution, c) harmonious socialist society, d) equitable income balance.
14. At China’s current population growth rate, it will double in: a) 45 years, b) 56 years,
c) 91 years, d) 144 years.
15. How much did foreign trade account for the PRC’s GDP from 2000-2009? a) 39%, b)
47%, d) 53%, d) 60%.
16. What is the primary reason that attracts foreign companies and investors to the oneparty, authoritarian state known as China? a) the government’s stability, b) the low wages,
c) the lack of oversight, d) the government’s subsidies.
17. Sino is a term derived from Latin that is often used to refer to: a) Argentina, b) China, c)
New Zealand, d) Indonesia.
18. Why did Sino-American relations warm up after decades of hostility and tension? a)
China was fearful that the United States would one release its nuclear arsenal against it, b)
Each country saw the Soviet Union as its main enemy and decided to cooperate with each
other in order to weaken their common foe. c) For years, religious organizations in the U.S.
had been demanding that Washington seek some form of rapprochement, d) The U.S. was
losing the Vietnam War and believed that the only it could extricate itself was by
establishing closer ties with China, Vietnam’s primary supporter.
19. In 2009, U.S. imports from China totaled almost: a) $70 billion, b) $175 billion, c) $300
billion, d) $450 billion.
20. How much U.S. government debt is owed to China, according to the authors? a) $450
billion, b) $530 billion, c) $750 billion, d) $900 billion.
Fill-in Questions
1. In mid-to the late 1950s, what did the CCP do in the countryside?
a) The state reorganized peasants into ___________ farms and _________
b) in which the ________, not ____________, owned the land,
c) and local officials directed all ___________ and ______.
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2. What methods have been applied by China’s government to enforce its one-child policy?
a) Intensive ______ campaigns laud the patriotic virtues and economic benefits of
small families.
b) Positive incentives such as more _________ or preferred ________ have been
offered to couples with only one child.
c) Large _____ and loss of _____ have been used to punish violators.
3. In the early 1980s, China embarked on a strategy of using trade as a central component of
Deng Xiaoping’s drive for economic development which included:
a) following the model _______-____ _______ pioneered by ______ and newly
industrializing countries (NICs) such as the Republic of Korea (South Korea) and
Taiwan.
b) taking advantage of ____-_____ domestic ______ to produce goods that are in
demand internationally.
c) using the _________ from those goods to __________ the economy.
4. What are some of the concerns raised by critics of U.S.-China trade policy?
a) the PRC engages in unfair ______ practices,
b) exploits __________ labor,
c) and suppresses independent ______ activity.
5. How does the United States benefit from U.S. trade with China?
a) consumers benefit greatly by the availability of a large variety of _______________ products.
b) the United States should focus on developing more _____-_____ businesses to
create jobs rather than trying to compete with China and other countries in “oldfashioned” ______-__________ industries.
c) many American firms have huge ___________ in China, which will grow as will
________for American products as that country becomes more modern and
prosperous.
Answers
True or False Questions
1. True
3. False
5. True
7. False
9. True
11. True
13. True
15. True
17. True
19. True
21. True
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Multiple Choice Questions
1. b
3. c
5. d
7. c
9. d
11. b
13. c
15. d
17. b
19. c
Fill-in Questions
1. a) collective, communes, b) village, individuals, c) production, labor
3. a) export-led growth, Japan, b) low-wage, labor, c) earnings, modernize
5. a) less-expensive, b) high-tech, labor-intensive, c) investments, demand
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