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According to those notes, until 1952, when the national economy recovered, industrial output of northeast China accounted for 110% of 1943. National output (35 major products) accounted for 126% of the highest annual national output. Products of light industry contributed most to output increase. The recovery of heavy industry was relatively slow and had to rely on imports. China imported 380,000 tons of steel for machine building in 1950, 420,000 tons in 1951, and 500,000 tons in 1952. Because of insufficiency of energy and raw materials, some products of light industry were under-produced. Productive capacity of matches accounted for only 30%, cigarettes 39%, and wheat flour 51%. See Xue (1952).
The management policy of “two participations, one reform and three combinations” has called attention of management experts at home and abroad. An Encyclopedia of Management published in Japan cited this policy in its first entry in section 1, chapter 1. See also Dai Maolin (1998).
In and before the time of his writing Properly Dealing with Contradictions among the People, Mao believed that classes always exist in human society, and there are contradictions and cooperation among classes. However, the theme of “taking class struggle as the key link” in economic construction betrayed his earlier and correct belief.