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JOINT ECONOMIC COMMITTEE

(Created pursuant to sec. 5(a) of Public Law 304, 75th Cong.)

HUBERT H. HUMPHREY, Minnesota, Chairman
WRIGHT PATMAN, Texas, Vice Chairman

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Transmitted herewith for use by the Joint Economic Committee, the Congress, and the interested public is a factual and analytical study of the economy of the People's Republic of China entitled "China: An Economic Reassessment." This is a compilation of invited papers designed to meet the interests of the committee and the Congress in an up-to-date body of factual data and interpretative comment on the state of the domestic economy of China, including the record of its recent experience in economic development and its relations with the outside world.

Early in the Great Proletarian Cultural Revolution the Joint Economic Committee released a pioneering, two volume assessment, entitled "An Economic Profile of Mainland China" (1967). As the People's Republic of China began to relate more with the world community through its membership in the United Nations it seemed appropriate to supplement the earlier study by a presentation of information and analysis that has become available to the various Departments of the Federal Government. Therefore the "People's Republic of China: An Economic Assessment" was released by the committee in 1972. China, the largest nation in the world, remains both an enigma and a potential factor in world stability. Certainly, the Chinese economy is a subject of primary concern, and we have an obvious and compelling need of knowledge on the subject. This extensive compilation was organized by the staff in the hope that it will help to serve this need. It covers all of the major aspects of the Chinese economy and should provide a valuable source book for further committee studies of the subject. It is our intention to follow this study with hearings at governmental and nongovernmental experts may testify, thereby helping the Congress to obtain a clear view of what is taking place in China.

In the wake of United States withdrawal from Vietnam and Cambodia, it is especially timely that we review all aspects of our policy with the People's Republic of China. Such a review may also be useful in guiding the Congress toward a new, more informed role in foreign policy formulation. Many of us have been fortunate enough to travel to China recently to view the people and talk with the Chinese leaders first hand. This comprehensive volume will add depth and insights to those impressions.

Our earlier volumes provided a factual basis for better understanding of the economy of China. We hope this volume will not only update this earlier effort but provide a current reassessment. The sources of information on China are still limited but better than during the earlier studies.

It is hoped that this volume, drawing on research at universities, research institutions and in the Federal Government, will serve as an

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