Question

Describe the political economy of the socialist countries after independence, and then in the socialist era. Explain for each period who were the ruling elites and their economic strategies.

Answer 1

Socialism means social equity /group responsibility /social ownership

Currrent Socialist Countries

1. marxist -leninist  :- China, Cuba, Vietnam, Lao
2. non-marxist-leninist :- Algeria, India, Korea, Bangladesh,Guyana, Nepal, Nicaragua, Portuguese, Srilanka, Tanzania

CHINA AND INDIA AFTER INDEPENDENCE, RULING ELITES AND ECONOMIC STRATEGY

CHINA:

Independence - September 21, 1949

Main objectives after independence:

• restoration of the economy through price stabilisation
• regulation of commerce and trade
• energising the agriculture sector

Elites - Chairman Mao Zedong, Deng Xiaoping(Architect of modern China)

Economic strategy : Leap- forward strategy (i.e., development of heavy industries to catch up with western industrialised countries)

market oriented economy

INDIA:

Independence - August 15,1947

Main objectives after independence:

• economic growth
• self-reliance
• reduce inequalities

Elites - Jawaharlal Nehru( Architect of modern India), Narasimha Rao(Father of Indian economy)

Economic strategy : Mixed economic strategy (i.e., co-existence of both public and private sector)

developing market economy