Help


from Wikipedia
« »  
Following the 1988 Beidaihe meeting, the party leadership under Deng Xiaoping agreed to a transition to a market-based price system.
News of the relaxation of price controls triggered waves of cash withdrawals, buying and hoarding all over China.
The government panicked and rescinded the price reforms in less than two weeks, but its impact was pronounced for a much longer period of time.
Inflation soared.
Official indices report a Consumer Price Index increase of 30 % in Beijing between 1987 – 88, leading to panic among salaried workers that they could no longer afford staple goods.
Moreover, in the new market economy, unprofitable state-owned enterprises were pressured to cut costs.
The " iron rice bowl ", i. e., job security and a host of social benefits that come with it, ranging from medical care to subsidized housing, were at risk for a vast segment of the population.

1.801 seconds.