7. Economic Disintegration In China

Abstract

The world economic crisis has, since 1929, accelerated the process of expansionism in colonial and semi-colonial countries. How far has it affected China, which is already a semi-colony? Economic disintegration sums up the answer completely. Up to 1931 about half of the income of the Chinese National Government was taken from the customs revenue. Customs revenue and government finance are clear reflections of the present Chinese economic situation, which, for the sake of brevity, may be summarized in three phrases: the decline of handicraft industry, the retrogression of agriculture, and the infanticide of modern forms of industry. Foreign expansionism, especially after the beginning of the world economic crisis, has broken down the old economic balance of China, and is rapidly reducing the country to a colonial status. The three phases of finance are basic factors for an understanding of the present social and political situation in China. Keywords: agriculture; China; colonial countries; customs revenue; economic disintegration; foreign expansionism; handicraft industry; infanticide; semi-colonial countries; world economic crisis