Modernising the Economy

The May Fourth Movement of 1919 marks the real beginning of China's modernising drive. What started as an angry protest in Beijing against the peace conference that denied China its seized territories became a full-blown movement. It galvanised a generation to attack tradition and to call for saving China through modern science, democracy and nationalism. Revolutionaries demanded the expulsion of foreigners who controlled the country's resources, the removal of inequalities and the reduction of poverty. Their reform agenda was sweeping: simple language in writing, abolition of foot-binding, ending the subordination of women, equality in marriage, and economic development to end poverty.

After the republican revolution, China entered a period of turmoil. Two forces emerged as major contenders for power — the Guomindang (the National People's Party) and the Chinese Communist Party (CCP) — both striving to unite the country and bring stability. Sun Yat-sen's ideas became the foundation of Guomindang political philosophy. He identified the 'four great needs' of the people as clothing, food, housing and transportation.

After Sun's death, Chiang Kai-shek (1887–1975) took over the leadership of the Guomindang. He launched a military campaign to control the 'warlords' — regional leaders who had usurped authority — and to eliminate the communists. His vision of modernisation was peculiar. He advocated a secular and rational 'this-worldly' Confucianism, but simultaneously sought to militarise the nation. The people, he insisted, must develop a 'habit and instinct for unified behaviour'. His prescriptions for women were regressive: they were encouraged to cultivate the four virtues of 'chastity, appearance, speech and work' and to recognise their role as confined to the household. Even the length of hemlines was prescribed.

The Guomindang's social base lay in urban areas, and industrial growth was slow and limited. In cities like Shanghai, which became centres of modern growth, an industrial working class had appeared by 1919 numbering 500,000. Yet only a small percentage of these were employed in modern industries such as shipbuilding. Most were 'petty urbanites' (xiao shimin) — traders and shopkeepers. Urban workers, particularly women, earned very low wages, worked long hours and endured bad conditions.

Social and cultural change was helped along by the spread of schools and universities — Peking University was established in 1902. Journalism flourished, reflecting the growing attraction of new thinking. The popular Life Weekly, edited by Zao Taofen (1895–1944), is representative of this trend. It introduced readers to new ideas and to leaders such as Mahatma Gandhi and Kemal Ataturk, the modernist leader of Turkey. Its circulation rose rapidly from just 2,000 copies in 1926 to a massive 200,000 copies in 1933. The novel Rickshaw by Lao She (1936) became a classic, telling the story of rising prices. …