The Chinese experience is a unique and unique international model, thanks to the economic miracle that was achieved in a short time. The Chinese economy succeeded in becoming the second largest economy after the US economy with a total domestic output of about 10.35 trillion US dollars  According to World Bank statistics, China is the fastest growing economy in the past 30 years with an annual growth rate of more than 10%, but has shrunk in the past two years to 7.3% with speculation of continued decline in growth over the coming years to reflect the real state of China's economy. .

There is no doubt that China has gone through many difficult stages to shift from a planned or central economy that has not succeeded in achieving the desired development goals to a market economy based on fair competition. Decentralization has helped to raise economic growth rates thanks to the right of local governments Autonomy as well as the growing role of the private sector and its contribution to economic life.

 China is classified as the highest middle-income group by the World Bank. GNI per capita in 2014 is about US $ 7,400. China is not the only country with the largest population in the world, with a population of 1.357 billion With a unemployment rate of 4.1% in 2013.

 The Chinese yuan is the official currency of the country. The Chinese People's Republic of China is proclaimed as the capital of Beijing in 1949 and Shanghai is the largest city in China. Mandarin is the official language of the country.

Instead of stabilizing the political situation in China, things got worse and the civil war broke out. Once the situation began to stabilize until the Japanese invasion of Manchuria in 1931, followed by the outbreak of the Second Sino-Japanese War between 1937 and 1945 and the defeat of China by Japan, The Chinese government and the Communist Party militias. In 1949, the Communist Party's Red Army controlled the government and Mao Zedong announced the establishment of the People's Republic of China.

The Socialist Model and the Central Economy (1949-1977)
  With the proclamation of the People's Republic of China in 1949, the government began to build a socialist model based on central government. Despite Mao's insistence that the government's goal was to regulate capitalism rather than destroy it, the reality was contrary to those statements. The place of private capitalism. Mao applied the Soviet economic model for the purpose of establishing an intensive socialist model of economic and social growth. Hence the idea of ​​medium-term planning or five-year plans, [5] which is the modus operandi of China to this day. The phase of socialist construction was characterized by the re-organization of agriculture and the transformation of a centrally managed agricultural economy. Agricultural land was grouped into large cooperative societies. Each of the 1200 rural families had no private ownership, in order to establish full agricultural socialism.
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The first five-year plan (1957-1957) focused on the strategy of heavy industries, especially those related to national defense, with the aim of transforming China from an economically backward agricultural country to an industrial one, with technical, technical and financial support from the Soviet Union. This strategy was characterized by a decline in the rate of GDP growth. In 1953, the growth rate was about 15.6%, while it fell to 5.1% in 1957. [6] This decline in growth is due to the inadequacy of the Soviet strategy applicable to China. The focus was on industries And the neglect of the agricultural sector and light industry as a middle stage of industrial development, which led to the re-crystallization of the foundations of China's new economic development based on the principle of self-reliance to achieve socialism was adopted the second five-year plan or the so-called "strategy of the Great Leap Forward" (1958-1962). One of the most important ideas was to liberate the masses, eliminate bureaucracy, and dispense with models. The motive was to abolish cooperation agreements between China and the Soviet Union and stop Soviet aid to China.

The Great Leap Forward strategy is based on a set of principles, the most important of which is the comprehensive development of the development of all sectors and the principle of administrative decentralization, such as encouraging the lower units to make decisions. The People's Commune was formed as a result of the integration of a number of small economic units into large socialist cooperatives, Industrial and agricultural activity, education and culture, but the actual implementation of this strategy resulted in a great recession. The communists were required to hand over about a third of their production as a state tax, leaving the rest as the food of the housing complex for each commune. From the occurrence of drought in that period, but the supporters of "Mao" close were reporting on the increase in grain production in large numbers and so it came to pay the majority of the production of the state tax as a result of a quarter of the inflation rate of one third, according to excessive production figures, resulting in a significant reduction in purchasing power And the lack of resources available for agricultural production and famine at a time when grain stores in the country full, the number of deaths due to diseases and undernourishment in that period, according to official figures, nearly 30 million cases [7]

When Mao realized that the Great Leap strategy was not a success, he stepped down to Liu Shaoqi, one of the leaders of the Communist Organization before the Revolution, and merely as leader of the ruling Communist Party.

In the same year, criticism of the strategy and its mismanagement, especially from the party's senior leaders, came to fruition as the party sought to overcome its failure to implement it, leading to a purge against Mao's enemies, especially those within the ruling party.

The Chinese government was engaged in the period 1963-1966 in studying the reasons for the failure of this strategy and the way to find an appropriate method to achieve the growth of productive forces resulting in the adoption of the strategy of the Cultural Revolution [9] (1966-1976) ) And fourth (1971-1976) [10]

The main feature of China's economy during the Cultural Revolution period was self-reliance. Initially, the state was interested in reducing individual consumption in order to boost investment. This trend caused the economy to be disrupted initially. GDP growth contracted by 5.5% and 4.1% In 1967 and 1968, respectively, but grew strongly over the next two years due to the mobilization of productive resources as well as the restoration of order after the deportation of the Red Guards to the countryside in 1968. A major earthquake in 1976 and Mao's death caused political unrest in the same year,

The Cultural Revolution ended with the death of Mao in 1976 and two years of power struggle until Deng Xiaoping took power. China entered a new phase of transformation. From 1949 to 1978, it was an economically poor country where there was no foreign investment until 1978, Their contribution to world trade was too small to match a country of its size.

2. Economic Liberalization and Reform Policies (1978-1988)
China began implementing reform and opening-up policy to the outside world and moved to an economically advanced stage that was different than before 1978. During the Eleventh Congress of the Communist Party of China (CPC) in the same year, it was agreed to carry out economic reforms,

To make the Chinese economy more able to adapt to and integrate into the changes of the global economy.
Revisiting the priorities of development The agricultural sector comes first followed by industrial science research and defense.
Restructuring of the production sectors and allowing private projects with the state retaining control of heavy industries, energy and mining.
Allowing a greater degree of autonomy for administrative institutions away from the bureaucracy of the ruling party.
Encouraging the tourism sector.
The age to join international financial and trade bodies.
 During his ruling party conference in 1982, Deng introduced his idea of ​​socialism with Chinese characteristics [11] and the need to shift to "market socialism" [12] in the sense of an economic system in which the means of production are public property, Determine the wages of employees, and as a source of public funding.

Deng believed China would get the technology and capital that China needed for its rise. China declared that opening up to the outside world was one of China's key policies, attracting foreign capital and advanced technology, and studying successful experiences in economic planning and management. And encourage state institutions to participate in competition in world markets and to promote deepening internal reform and economic development.

This period witnessed the beginning of the economic renaissance of the People's Republic of China and many achievements were achieved. A development strategy for China was set in three steps and a period of 70 years was set for achieving its objectives. During the first step, the first step was to provide food and clothing for all citizens within 10 years. To achieve this goal before the end of the eighties The second step was to double the GDP by four times at the end of the twentieth century and reached the required rate in the mid-nineties, and the third step was to increase the per capita income to reach the counterpart in the medium-growth countries in 2050 [ 14]

China has signed the Treaty of Peace and Friendship with Japan in 1978. During a visit to the United States in 1979, it was able to restore relations with the United States, and China's relationship gradually improved with the Union. Soviet after a long break, in addition to encourage Chinese youth to study abroad.

The reform of the agricultural sector was first initiated as an input to development. Popular communes were abolished and land was distributed to families. Farmers were also allowed to choose the types of crops they wished to grow. These reforms contributed to the increase in agricultural production by large percentages. Figure 1 shows wheat production in the period 1977-1984 .

In 1984, the ruling party adopted a series of reforms based on decentralization in the management of public enterprises, especially with regard to pricing and employment policies. Local provinces were entitled to have trade representatives abroad and to open private and joint ventures with foreign investments. In both the agricultural and industrial sectors and in addition to the opening-up policies of the world in advancing China's development and raising growth rates.

In the mid-1980s, growth accelerated in line with economic reforms until inflationary pressures began to emerge in 1988, prompting the president to urge officials to find a solution to the problem, carry out price reforms and face obstacles to reform and economic growth. Prices to reach acceptable inflation rates.