ECONOMIC - LAND REFORM
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Collection:
Document Number (FOIA) /ESDN (CREST):
CIA-RDP80-00809A000600250597-2
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RIPPUB
Original Classification:
C
Document Page Count:
10
Document Creation Date:
December 22, 2016
Document Release Date:
July 1, 2011
Sequence Number:
597
Case Number:
Publication Date:
September 26, 1949
Content Type:
REPORT
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Mi-ch Lieu Tana-ti Chang-tale Hui- ien (A Compilation of Present Party
Policies,, Rorth;:aet Bx,kstora. FDB 403526 - Information requestbd..)
Land reform has been undertaken enthusiastically and much has been accomplieued,
the Central Committee has issued "An Outline of lend lave" as a guide in this
fundamental, far-reaching conver^ion, but many practical problems remain.
By What Criterion Are Classes of Rural. SooietZTo Be Dmnar:atnd?
The Central Crmmittee has recently reissueA tw-) 1933 deco ee e, "ucv To
Demarcate Classes" and "Decisions on Some lend-Conflict Problorit,0 1hic? have been
distributed as reference material. Ai.tf1rAgh they date from 1,933, these documents
are, by end ]arse, applicable at present; there are clear definitioxns as to
landlords, kulake, medium peasants, poor peasants, hired. peasants, etc. The
reason for distributing the docuaeate is that In sans places mistakes have arisen
in c]aFisifving because olasc,ttication at.aoslyda have not been grasped, and. tbere-
fore many pardons Love been given a wrong status; coneequentl;;, there is no clear.
distinction between the enemy and ourselves. Chairman Mao tells us to make clear
the boundary between the enemy and ourselves and to isolate and divide the enaap,
but not let ourselves stand alone. If many pcraens have been given a wrong
status, that causes confupion in our ranks and is full of danger.
1 will now cite a case history from Shanxi-Suiy'.an to show the seriousness
of the danger. The administrative village of To'ai-Chia-yai had 532 families,
of whom 124 were reckoned as landlords and. kul.aks, tint is, 22.46 percent.
Under the former gov-rnment, generally 'peaking, landlords would average 3 r9r-
cent of the familt*9, and kulaks 5 percent, making a total of 8 percent of the
families and 10 percent of the population. In the olier libera*e( arena, many
lar-'.lordV ? ^d ku aka hs.-e been _^^v'^rt_^d ^_L reoia991fipn_ an tan proportion
ought to be lees thin 8 percent. But in Tsai-ohia-yai the number is nearly
twice as much, later the land-reform office made a reassessment on the basis of
the two documents, finding that out of the i?I+ -families, 11 landlord units were
bankrupt or on The way thereto, ?.oh11e 20 k'Llak units were producing; thus 31
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CLASSIFICATION CO$FLIEiTISIT, ~(~~IDENTD ,
CENTRAL INTELLIGENCE AGENCY REPOR
INFORMATION FROM
FOREIGN DOCUMENTS OR RADIO EtROADC.ASTS CD O.
COUNTRY China
SUBJECT Economic land reform
PU3LISHED Booklet
WHERE
PUBLISHED Ts-lien
DATE
PUBLISHED 1948
HOW
LANGUAGE
DATE DIST. P Sep 1949
SUPPLEMENT TO
REPORT NO.
TXI. YOCHYERT CONTAINS iNIOLYATIO^ AIIECTINO 1.1 NATIONAL RETFNYL
THE tI NITEO ETATLS "ITHIN .1 NA.,. 01 F5110RAOL ACT 0
Y. I. C..:1 ANO .E. At ANL0910. .112 TYANNNIY5IRN 00 THE CL ILATIGN
OL Ili COXTMNl9 I. ANY ...HE. 10 11 ONAUTXORILlO ILRSRN IY.'INO
M10.11L0 tT LA". 1-WIT.Ol TNIY IONY If INOXI tilt
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o,!?in I,- gnntn, +Nr i
_sr3_ar!! npn
kulak families were reduced to 93, or 1(.84 percent of the total. Then an as-
one beginning 1940; thus reducing the nuiber of landlords and kulaks in Te'ai-
chfe yai to 71 families, which was still 12.26 percent of the whole. If calcu-
letel by considering the landlords who worked for 5 years,-and,i:hekuLekb ,ihb.,
b.>Venot exploited for 3 years, the adnberwould be yet smaller.
Teas-chia-yai in Heiu Salem had indeed a greater density of these privi-
leged groups than the average locallt., We must let its experience teach us to
classify realistically, nr? enlarging the scope of our attacks or confusing the
battle line of the revolution. Note this carefully.
Hcnd did the assessors in Te'ai-chin-yai came to assign a wrong status? The
causes for late, down-grading of those 31 families may be listed as follows:
1. Fifteen families were wrongly reckoned because the graa:fether and the
farther had exploited labor, but the present need of the family had daao little
or no exploiting of labor since before 1936, the year before the formation of
the democratic anti-Japanese government.
2. Five families were wrongly reckoned because she head of the family in
earlier years had enjoyed the life of a landlord or kul.nk, but had worked in
later lifq, before the resistance to Japan, and had exploited labor very little
or acne at all.
3. Seven fe.,ilies were wrongly reckoned because the head of the family
worked hard, exploited labor only slightly, and had many "merchant stalls."
4. Three families were wrongly reckoned because the head 6t the family had
been very poor in early years and was bought or adopted by a landlord or kulak,
but put his erpbaoie on laboring and had done little or no exploiting of labor.
5. One family was wrongly reckoned because the crphane and widow were un-
tbl.J to work, and for a time employed laborers. The head of the family, when
krow.^_, ecnwe a leeEant, as was his father.
6. :n cueeb, where pact economic atrtue and exploitation of labor were
hi-r to determine, political attitude often decided the up-grading or down-
i>~d?
To
eta up: In the past, all sorts of factors have been ueel in classify-
aag; exosrt fo: explcitatica: of labor, none of these is valid. "-'hue it was that
i- Te'el-Chia-yai 50 families, about 300 people, were included in the enemy .
camp. The result was to etremgt:ien the enemy, not ourselves. What a mistake!
Remarks of sasant delegates revealed that the pseu.an:e were not pleased
with the fact that so many persons rare wrongly rated into the privileged class.
The example given above has been duplicated many tines throughout otdr liber-
ated areas.. The only course is to acknowledge the errors and to make each one
right, even though only one individual is affected.
The criteria used in the case cited were faulty. What then is the genuine
standard to apply? There is only cue standard for classifying into clar'ee:
sae's relatich to the means of production -- that is, whether one has rash manse
or not; how much one has; of That sort ii is; how it is used; a'd whither arc
is exploiting or being exploited. What is the means of production? The mean.
of produciion ?in +....''"etry 1.?. foete icu, =ebiroo. aw .s terIe1s 'A other __^,+-
tel. VIi agriculture, the means of production is land, farm animals, tiols,
dwelling houses, etc. Whether one has the means of production or not, how much
one hat; of list sores, slow used (self-tilled, tilled by hired labor, or rented
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out), and whether one. is exploi;bing or' u~+iatg 'oxplQi , .Loon uio
criteria for damarcating rural classes.
1 -- ;r1=1p-1 ..barmen fin ANrcrrrRteA ,s fOU:.uvs: Ce-
1. Landlords -- Those who possess such land, who do no manual labor, who
rely on rental to exploit peasants, or who also take high interest on loans.
11 . guleke (rich peasants) -- Thorn who possess much land, farm c.nimale,
and tools, and who take part in the chief labor, at the same time exploiting
peasants and hired laborers, China's old-style rich peasants were etrcngly
tainted with feudalism; they often took high interest on loans or rented out part
t
he
of their land. On the one hand, they also labored, and thus ware akin to
pe,ssnts; on the other, they practiced feudal or semifeudal exploitation, and
thus were akin to landlords.
3. Medium peasants =- Those who possess land, farm animals, tools, who also
labor, not exploiting other peasants, or doing it very' little.
4. Poor peasants -- Those who p:.ssess little land, tools, etc., who work
themselves, and alNo sell a portion of their labor,
5. Hired peasants -- Those who poesese no land; annals, or tools, and who
sell. their own labor.
The principal class lines in rural society should be drawn according to
these specifications. Rowever, are those who rent out land or hire long-term
employees to be treated uniformly as landlords and kuleks without exception?
There are exceptions: orphans, widows, maimed, sick, and those unable to work;
these my be permitted to r'ut out their little plots of ground. Blareover,
physicians, elementary-school teachers, and artisans who own a little ground.,
but cannot cultivate it because of their occupation, cannot be counted as land-
lords or kulaks, even though they rent out or hire labor. Besides, there are
complex circumstances, which need detailed definition; what we mention here are
merely typical conditions.
How to dietinguisn between rich and medium peasants is a question that must
be handled very carefully. Generally speaking, medium peasants do not exploit
others; but those who do it only slighffly or inadvertently must still be recognized
as medium peasants. On this question, the Central Ccaiittee has recently adopted
a more liberal policy; that in, those persons still will be courted as medium or
msdirm-plus peasants if they exploit in a mild dud?ree (ouch as employing a person
to herd cattle or sheep, or do odd fobs, or work by the month; or one or two to
rork on a long term; or ranting out a small parcel of lara; or loaning out a
little osah). Tf exploitation profits ao not exceed 25 portent of a loereon'a
toLt? inoosn, hw will still be counted a medium peasant or a medium-plus pea mrLt.
This is more liberal than the 1933 decision, which put the figure at 15 percent.
hose whose exploitation prcfita exceed 215 percent for 3 consecutive years will
be counted as rich yeasants.
In new areas, for one year before the setting up of a demoaiatic authority,
landlords and kulaka who have gone bankrupt and become medium or poor peasants
should be recognized as bein3 of medium-or poor-peasant status. If in a year
their status Is oiuanbed, it is because whey were forced down by KW oppression.
But those who rise from the peasant class to the landlord and kulak class, that
is, those who became rich by hard work and saving over a long period, must not
be counted landlords and kulake until after 3 years.
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me t, begun to (1) bear burdens rightly, reduce rent and. an uInteyes, and 3)
settle the attacks made on them, suld have their status changedsandbe rated as peasants (medium, poor, or hired, as the facts demand), landlords who, for
a period, of 9 years. have n
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also have their status changed to peasants. Kulaks who for 3 years, have ceased
exploiting, ahculd also have peasant statue. But those landlords and kulaks
who still retain feudal possessions in quantity still must hand over their surplus
property to be divided among the pcor c.~asents. The decision as to whether land
lords and kulake, after changing their status, may be allowed to join pe0.3ont
unic.ie and poor peasant groups suet be left for said organizations to investigate
and decide individually on uach,case.
The 1933 regulations provided that yovag men from the privileged strata
who nerved in the Bed Aru{y should not suffer discriminatory treatment, The sans
general principle, necessary changes having been made, applies now, landlords
and kulake who servo 2 years, and intellectuals who serve one year, shell be
treated as revolutionary veterans. Of course they must be loyal to our program.
Is there danger in the principle that landlords who work 5 years and kulaks
who desist from exploiting for 3 years may change their statue? I think not,
because their land and pr.rperty are already equally distributed (in the cave of
kulaks, just the surplus, not the entire possessions, is requisitioned), and
during this number of years of work they can reorient their attitudes. landlords
and kulake of the liberated areas, before having their status ohanged, should,
except as epeulally permitted, be deprived temporarily of their war service
privileges, but still be given tasks of helping behind the lines,
fhe 14otira_(iroup of 7sedlua peasants Should Be Firmly Bound Together
Liquidating Cie feudal claae involves a fierce struggle. This struggle can
be won only by relying on the poor and hired psaaantp as backbone and satisfying
their demands, and by firmly uniting the medium peasants. At the eighth assembly
of Commnlst delegates, the uniting of medium peasants ..as stressed, and the con-
fusing of them with rich peasants was condemned as a bad error; it might lose
them to the landlords end cause the revolution *o fail.
under the old gove~sment, medium peasants eomprlsed about 20 percent ,r the
population; in thatold liberated areas, they cc prised 50 percent, more or loss.
After a thorough land-distribution, the large majority of the rural people are
sodium peasants, exceptions being few. When we were fighting Japan, medium
peasants contributed nu little strength and money. Likewise, in fighting Chiang,
they give much and their merit is great. In our Liberation Army, 30 - 4C per-
cop'; are medium peasants. If we disregard their volfare, causing a rift between
them and us, we will lose the var. I- the setting. of tr- o cnom? o..* _' the New
Democracy, in the transition from an individual to a crl Ct. S r? ?-ov,,;,r', we
suet rely heavily on the 'd. and the new ;,riddle-claee peataetu. 2?he;y t~.ve a
rich experience in production, which to worth learning by the poor arui the farm
laborers; they are fairly v311 sggipped and can help thr latto-, In the futuro,
the medics: peasants will travel with as toward socialism, Therefore, trey are
our everlasting allies.
However, we know that in many places throughout the liberated areas, when
land reform has been started there have been leftist tendencies to impose on
and exclude the medium peasants. Following are rcaw examples:
1. Wrongly determining the statue of certain medium peasants. For instance,
in the case study of Total-chin-yal above, more than 50 medium sad medium-plus
---
~.+o ete a . "WO-_o-._;ro oven a iax poor p.; ants) Voro ! acorrect]y rated as rich
peasants or bankrupt landlords. In may places, .having been wrongly classified,
their property wan ccofieiated. Some peasants were even flogged,
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2. It was made clear that medium peasants were not wanted In the trans-
action of business. The medium peasants wondered whether they were wanted or
not. Excluding old places whert land equalization had already taken place, the
the backbone of the land-reform movement. That was necessary. But in Some
places it turned ou that the poor and hired peasants took charge of everything.
That was wrong. For instance, only pror and hired peasants became members of
delegates' meetings and committees; there were no medium peasants participating.
Many Important questions each as the d'tarmining of status, division of crops,
assigning of duties, etc., wero decide;: without the medium peasants having eeny
voice in the matter, this caused them to foal that their fate ms entirely in
the hands of poor and hired peasants, and they ahowed much discomfort over this.
3. In assigning duties, the interests of medium peasants were not kept in
Tiev; their duties were made especially heavy. In soma places, it appeared
that assigning of quotas for public grain 'rue done by only poor and hired peasant
cells in conference. Consequently, because after land refoa?m, the landlords and
kulaks had no resources with which to meet any quota, the responsibility for
public grain was all put on the heads of the medium peasants, and also even the
responsibility for transporting It. This sort of doing will certainly arouse
objections from the medium peasants,
k, In dividing the crops, medium peasants were entirely left out. The
medium peasants felt that they were needed to assist in attacking the landlords,
and thus they lost much time from work. However, when it camp to dividing the
crops, t'ere was no share for the medium peasants, and they were not even admitted
to the crop-dividing meeting.
The aforesaid tendencies to impose, on the medium peasants, neglect their
interests, and exclude theL are exceedingly dangerous; they are ter_donciee to
an extreme anti-Marxist-Leninist, leftist adventurism. Thm attention of the
entire party should be aroused. This erroneous tendency must be firmly corrected;
otherwise. ire will isolate ourselves and endanger the success of the revolution.
?Rifts do exist between poor, hired, and medium peasants, tat thee* can be
solved. In the old social order, medium peasants did surfer from exploitation
and oppression. In all revolutionary movements they were site by aide with the
poor and hired peasants, fighting under Communist leadership. The chief differ-
ence among them is that the poor and hired peasants ;ere die&aat,sfie,1 vita the
medium peasants' not being firm enough in the attacks upon lan&lcprda and kulaks,
end at times seemed unstable and hesitant. T~is uea1.was really exists arorg
the raediua pealesita. But by following !ao'e maxims, lee_ai.ng then firmly agatnet
feudalism and also watch_ng out for their interests, Sri educating them politi-
cally, 'hey can be united for the struggle. AFain, in land-equalization, it is
possible that medium-plus peasants were not willing to su.-render a portico of
their laser. Land-egral!zatioa. is the ,s st thorough, the beat method of destroy-
ing the feudal system. In land equalization, the large majority of medium peas-
ants neither gain nor lose; only a few medium-plus ;.aaaants mast surrender e
little land (their movable property cannot be touched); eu4 the medimmm-m5nP9
peasants may gain a little land.
Medium peasants under the new government get many political, economic, and
cultural advantages, so as a clans they fever land-equalisation. But, in carry-
ing out the presses, medium nen.snnte mast be caclted and their approval obtained.
If in touoh_.g a portion. ,,f sesilmmm-plus pebsabts' lead, t;o:y show objection,
then give in, du not touch their 1`-ad. When dividing crops, the poor end hired
peasants should bb told to take out a portion for t1o m di= jeasanta, to preserve
._-;+ty TIn a word, in all , ee_io^ aim to hold the -`?',.u" - - -t.; toga'tta.:
understand that uniting 5'O percent of the rural population is the fundamei.tal
requisite for abolishing feadallem and gaining victory. Whatever happens, keep
the attack scope within the circle of the genuinely feudal exploiting class,
never go baycM It. In regions orginally K)ff where the Liberation Army has now
comae, contract the ettack scope. Attack the entire feudal apparatus and, as
c.;nditious J,..s t'? fy, dKStroy Chas whole system.
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make up to them out of what is taken from landlords. If medium peasants let a
destitute peasant have some extra grain, let it be considered as a loan, or as
charit?.
Again, get the medium peasants to take an active part in all deliberative
gatherings, and thus enjoy their point' al rights. They siiould comprise about
one-third the number, poor and hired peasants constituting the other two-thirds,
roughly reflecting the proportion of population. In oldor regions, where medium
peaetnts predominate, let the proportion be reversed, Lei: them be in on all
government groups. They may express opinions on all questions, but final decisions
lie with the all-embracing rural assembly, Show respect to t.ie mida.lers, never
anger them, but hold them no a uuited mass,
Again, duties must be shared fairly (public grain, aid to the f*??nt line,
etc.). On no account may landlords' and kulaks' work fall on medium peasants.
This is what the latter dread most, and it is not fair. Poor and hired peasants
need relief, but there cannot be too great disparity between them and the middle-
class peasants, In any event, all assignments must be made in an all-inclusive
gatherir7,
Fair treatment in all these maatter&, with ?_nu indoctrination, will hold
the ma&ium peeafi'tnto. This ties in with Communist doctrine, let all leader groups
be on guard against infractions,
Methods a2 Attack Uocu land-ords and Rich Peasants
Iii an economi: sense, to destroy the landlords as a class is rot an easy
thing, it is bitter warfare. After the landlord class hoe been beaten politi-
cally, it does its beet to survive in an economic sense, and often tries to
stage a con,baok, landlords and kulake do their beet to bore into the govern-
merit ari the party: they give their daughters in marriage to cadramen; they buy
over etoagas, bad cadremen; and bad party members. If you plan to organize a
poor peasant group and a peasant union to institute land reform, landlords and
kulake can also organize a bogus group and bogus union. Wks a sham confiscation;
put over a false divislou; and call an assembly "to attack landlords and kulake,"
By these methods, they succeed In retaining land and property. Therefore, thorough-
going land reform r.quirea precise and "killed lsai,ership, Only ad the masses
are really aroused can the feudal class be liquidated; no stills cr inpatient
methods will do. Some old areas .rant to get it done before sprig plowing this
year. To do a thorough job in 2 - 3 years, however, will be doing well.
Tc destroy th landlord c?.asa and feudal ayst?m, the chief point is to coa-
fieeate the landlord c2aee'a land, grain, farm animals, tools, etc., and requi-
sition the kulaks' surplus property for distribution to the peasants. Most basic
of ell this Is the divivl^n, of the land. Do not let minor Wells delay pushing
through this primary project. 2-ion when this is out of the way, much remains
to be done in the raising of living standards.
Many methods of attack now in use are not appropriate. It will not do to
use the new methods on all. A distinction mutt be made between the methods for
attacking landlords and those for attarpng kalake. The land law provides for
oanoellinn all landlord a.aership rights and confiozat:.ng their animals, tools,
and all property, As for kaiaks, besides equal division of their land, o .v
their aw plue property Is taken, that is, surplus as compared with medium peasants'
E^ _.t.. nd not .. all of it ...,nfiew atcd, . Tf tlho-2 are t~:solo .g ea .ust 1?.k- 7nd',nrd
..- s.. ,
rot only io the distinction erased, but medium peasants also will be led into
a: and instability, for the medium peasants are. . si.ratum sandwiched between
the rich peasants and poor peasants. When they -bava no better avenue of adtiance-
m'ant, toy will certainly want to attain to the position of rich peasants. I
the vulaka are treated too roughly, medium peasants will become scared. So we
must distinguish between landlords,ard kulake.
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Nor we can only t;tke Hnrnl?a r,pgr+R r m. rat ^rcon then
out clean. Heroefter
can we treat their farm increment as we do that of ti,,e land-
lords, for they themselves labor, and what they have accumulated is partly the
result of "their own work,
IT, F.t tni;ai;,py innuiords, a distinction.must be made between big, middle,
and small, and between grasping and nongraeping. In dealing with big and
grasping landlords, be more savers, as a warning to others, no that they will
understand the sweep of land reform and act refuse to comply; or else talk
them not of it. Itln not necessary to 'r lug the landlorde before the assembly
to mass them surrender their land and goods. So long as they yield, nod, and
obey the government and land law, all will be well.
Against the exploitation system of the landlord class we adopt a polio,
of abolition; but not against the landlords as individuals. In the case of
iid.ividual landlords, except a few treltore'ad. civil-war criminals condemned
by the courts, we should, by the land law, give land and goods no more and no
less than to the peasant, force them to work, az;d reconstruct diem. For land-
lords, after joining the ranks of labor, are no small producing force, which we
should not discard. Furthermore, if we do not give them the neceseary land and
d
th
goo
s,
ey will rob, steal, bet, cause social unrest, and the rural folk will
suffer damage. then criminals, if not marked for execution, should get their
share; only thus will social order prevail. Our Ooamuuist-led revolution in
better than all other revolutions in. history because only we adopt the fairest
and tie,? tiet policies, and increase to the highest degree society's producti
power, so that everyone has enough to eat end wear, and had lodging, employment,
and a motive for study, ad that everyone will attain satisfaction in 137ing.
We do thus, first to secure satisfaction for the laboring people, and next to
give the landlords a means of livbllhpod. landlords who have eoac business left
by which to make a living need not ha-.c land given to them, if the bucinass is
not enough to maintain them, they still need to receive a piece of ground.
There should be a distinction betws3n treatment of now- and old-style kulake.
Poor peasants who, under the democratic government, rose to be new rich peasants
by their own exertions should be treated in the land reform as medium-plus peas-
ants, and.thvir surplus land must not be touched without their ccnsect, The
production of new kulaks was developed, under the democratic government; if such
kulaks are now attacked, medium peasants will become unsteady. Thee. new kulakn
are no harm to us. In the future they will grow. In the past we have encouraged
such kulake (such an Wu Dien-y,3) to increase their production, and they have been
very useful in steadying the mediuu peasants and stimulating their seal for
producing. Our fniure policy should be like thin.
Po~6S Toward 'Made emd Indust~g
No risky policy should be adopted. In many places business has been injured.
For example, when lrao-chia-pao in Shen-mu District of North Shensi was taken by
our troops, even small peddlers had property confiscated. That is a suicidal
policy. The lend law says: "Protect the property of those in trade and im6:wtry
and their le.it?aate operations to they suffer no 'injury." All. trade and indus-
try should be protected, even that of landlords and kulaks, which shouln not be
confiscated, but shonli'. receive p"otecticn from the people's government. The
party is to confiscate only bureaucratic capital and the business of tii y op-
pressive reaobionaries. All enterprises needed for the national economy should
be allowed to carry on. They should not be closed or destroyed. This policy
applies to all liberated areas and to new areas. Let not the mistake of dao-
ohia-pro be repeated, shall the property of those who, when rout and interest
were reduoed+ invested in business be now confiscated? No. We protect and
encourage such enterprises, because they help Ch_+na'e ?crn,nmy. When attacking
a landl3rd's profits, do not let him iuatroy his business enterprises.
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CONFIDENTIAL
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Sanitized Copy Approved for Release 2011/07/06: CIA-RDP80-00809A000600250597-2
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ecxaomy of the vast petty and medium bourgeois class, even after nationwide
revolutionary victory, for a long period of time must be allowed to exist.
Moreover, according to the division of labor in the national economy, those
the total econcasy." We must make this point clear to the laborers and peasants,
shoving them -rhy there shoui., be buainF;e9, on the principle of temporary benefit
being subordinate to long-term advantage, for instance, in the case where a
landlord operates a furnace, peasants co'.ld benefit temporarlljr by confiscating
ant lividing up the equipment. If we flow that sort of thin3i it outwardly
appF.ars as if we are following the line of the masses; but in fact It is a case
of "tailiem" (tall wagging the dog). We must lead the peasants to tee the value
of tbo fume:e. Taken apart, it is of no u-e, and even the ,individuals have no
coil to burn, Thus the economy of the freed areas is harmed.
We say that econony of the liberated areas must be independent and au-
tonomoue; we cannot be the colon;, of a colony. We can be politically and mili-
tarily strong so long as our economy does not rely on othere. To make our
economy independent, all forme of industry and fa ?sing must be developed, enough
food and necessities produced for both the people and the army; And a balance
of trade preserved (there should be an excess of exports and no baying of goods
from Chiang regions or from the YB).
Having,industrial and agricultural products, trade becomes ne rssary, in
order that the whole economy may flourish. In the liberated areas the tra-to
company has not yet been able to eat up stores everywhere, and there are many
1rregularitive in tLe state-owned and cooperative stores. As a resLllt private
merchants are still necessary. Of course they exploit; the shops of merchants
4o not produce any goods, they merely share in capitalist proi`its or exploit
bgth produce. and consumer. With hoarding and speculating, the berm becomes
worse. However, the problem is not to destroy business, Lut to Snide it. We
must control all profits, so that merchants become useful to us without exploit-
ing us. As to small shopkeepers and peddlers, they are poor; their livelihood
is on a par with that of poor peasants,, or medium and medium-plus poabante.
that happen' at lao-ehia-pao was absolutely wrong; after buoines, was destroyed
there, the oc,uon people had to go to other towns to trade, at -at Inconvenience.
So toward bkeluoes we mast adopt the policy of protection and guidance, never
destruction, which is suicidal. Business should be taxed, but equitably, so as
not to hinder maintenance and growth. Anything else is wrong.
Among Intellrctxale are many from landlord and kulak homes. Whet policy
shall ve adopt in regard. to them? Teachers, scientists, engineers, artiste, etc,,
although they generally come from capitalists home, are brainvorkers, The
people's government should protec*, Srainwor'-are and nag thew in the service of
the demcoratic repurlic.
Thcse in free occupations make t.:.eir 11?7ing by their own knowledge and skill.
In I territor the vaat majority of such persons haze a difficult time, being
circumscribed politiB Imperialism, and are sympathetic with the revolutionary movement, or are
neutral. These people can be captured. If we lead than carefully in politics
r..'ad th:agbt, educes a and recoz:etruct them, their knovledgc and skill car, aarrd
a Chinese Republic of the low Democracy.
I
Q.qf l'TIAI
50X1-HUM
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mv.jorlty are dissatisfied with Chiang's reactionary and autocratic rule, and
favor democracy. The three big student movements of last year came just at
the time of our rural land reform. Many prorevolutionary students, including
rang from Fr?.vileged h=em, did not oppose changing the lar.,' syatea, ,;
actively worked for democracy, because the;, came to see that land reform was
a fundamental factor in the democracy which they were seeking. 3h;sy other
Students, seeing the revolution's grnvth, and seeing that the nation was being
awing over to the democratic side and oppoca US imperialism and Chiang.Kai-
ahel-'s rule. Among the masses of students there are some antirevolutionary
special-duty elements, but vary feu. Members of the San Min Chu I Youth Corps
in the schools ?are not all firmly antirevolutionary. Only a sell fraction
liberated areas contain 160 million people, and that number is still growing.
In 3 - 5 years the revolution can achieve a nationwide victory. This deaanda
many intellectuals just as a hoep5tal needs to have trained workers of various
kinds -- and. also a railway. Th:a liberated areas need rai:u aye and agricultural
improvement, and all this calla for many educated specialists. We m1,est seek
trained talent for the Now Democracy.
There are many unemployed youths in the better homes of the eountr7sid6,
Just so they comply with our program and take our training, they can be used in
our work. But they must be kept cut of important positions and carefully watched,
lest bad ones among them vitiate our efforts.
Wo eiust avoid, in our zeal for abolishing feudalism, excluding all who have
any connectica with the syetam, it would harm the people's movement. At the
same time, we must train the youth of peasants and laborers, and workers who
lave experibcced the benefits of the overturn, seeking out the best for the
bearing of responsibility. We must not depend on ready-made Intellectuals.
During the resistance to Japan, when rent and interest were reduced and
the three-three system was in vogue, intelligent village elders like Li Ting-min
joined our government and aseemblies. Nov, in war against Chiang and in lend
reform, are they unwanted? They have fought alongside us against Japan, against
Chine,, and suffered with us; we must now respect them. Land must be divided,
but they react not be attacked, their errors any be criticized, but they them-
selves must not be touched, Only the oppreesore, hated by the people, must be
Aealt with severely, Those who loyally `cork with us, like Li Ting-min, say go
cm., those he do not, cill suffer. By this inclusive policy we mare truly
represent the whole poeple.
The Problem of Beating and. Sil.llag
Yes Cemmnist Party staunchly opposes beating and kil.liag and mutilation
of crininala; these are feudal practices. Only feudal lords and niliterieto
carry out such practices. The European and American revolutions of a century
ago proclaimed the slogans of protection for the person and abolition of muti-
lr.??Son. Our Communist revolution, on a higher scale, will of course decry all
such practices. Why bring up the matter seriously? Because bad elements who
have slipped in have caused many abuees of this klm4.
CO?W1D B` .ULCON tiOLiliTGAL
Sanitized Copy Approved for Release 2011/07/06: CIA-RDP80-00809A000600250597-2
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their guilt. Otherwise, the ravolution'a eoeiai order cannot be maintained. But
?ecklese killing cannot be done. Killing does not soi:c r.-~ble a, Our u ty is
to solve problems of oppression and injustice, but exclusive of large-scale
slaughter of enemies at the front, rich killing and mistaken killing solve no
problems, postpone solution and even cause a temporary setback. Such killing
alienates the masses, arouses nntagonp=, goes age"-net Marxism-Leninism and the
Landlordo and kulake (numbering more than 30 million,) comprise about 10
percent of the population. In the old feudal society of China, they relied wholly
or in large part upon exploitation for livelihood. After that old system is dome
away with, and they receive land portions the lama as any other peasant and depend
cn their own labor for a living, they can be changed gradvally into a power for
creating 6?oalth and benefiting society. If we kill at will landlords r?id kul,sks
.to do not stand out against our program, we will lose the sympathy of the mssees,
isolate ourselves, lose some of the nation's labor resources, and reduce the
production of wealth. And when, through killing of the breedwinrer, the family
cannot make a living, society has an added burden.
We must also oppose beating. In mase movements, when out of righteous-
in,dignation, a hated oppressor is beaten by the mob, the Communist Party should
not forbid or hinder, but should sympathize with the mob's righteous anger;
otherwise,we will lose touch with the masses; But Communists and democratic
government workers, in ordinary circumstances, should not organize beatings.
We must, at suitable times, explain to the masses that taking the long view,
they should educate landlords and old-style kulake who have surrendered; we are
liquidat!ng the class, not the individuals. Put those fells . to work; '.ook
upon then as a labor resource; and force them, In laboring, to change themralvee.
Only thus will the last vestiges of tendelism be wiped. it, and our work w.+7.1
be highly succecefal,
It is a good! plan to have the masses take part, in our part;; assemblies,
iu investigations concerning mistakes by eadrea.en and party AoQere In the
rural districts. Those men have served us well in carrying out their commission,
but have also committed many offenses against the village folk. They lack
supervision, or do not heed it. Sometimes the rural masses who have boeu fooled
and beaten give these fellows a sound thrashing in recampGneo, Now let it be
clearly understood hit in alteroetions with party vorkcrs, tongue -laehiage are
permissible, but not co:poral flegellatin,
besides, the masses should have a direct voice in dismissing or proposing
dismissal of party workers. The maaoee may accuse the bad ones before the courts.
We persuade the masses not to beat; but unless they a v given this right, they
will not dare to criticize. in a word, let the fighting be done by words, not
blows. Thus all will to put on a Laeie of democratic legality,
CONFIDENTIAL
Sanitized Copy Approved for Release 2011/07/06: CIA-RDP80-00809A000600250597-2