On 26 February 1978, Chairman Hua Kuo-feng of the People's Republic of China delivered a report on the work of the Government at the First Session of the Fifth National People's Congress. The report-entitled, Unite and Strive to Build a Modern Powerful Socialist Country!-is a mixture of revolutionary rhetoric and programmatic delineation. In addition to detailed discussion of political issues, both internal and international, the report provides an insight into the substantial changes in economic and social policy in China since the death of Mao Tse-tung and gives a blueprint for rapid economic development in the coming years. The report stresses the primacy of the agricultural sector, discusses an ambitious industrialization program, and deals with the related issues of economic management, work incentives, and income distribution. The excerpts reproduced below are from Sections 3 (Speed Up Socialistic Economic Construction) and 4 (Develop Socialist Science, Education, and Culture). They amount to a concise statement of key issues of economic and social policy as seen by the leadership of post-Mao China. As the quoted passages suggest, the tone is heavily exhortative, and discussions of problems of feasibility and implementation are largely missing. Targets that are spelled out in specific quantitative terms are relatively scarce in the report. Conspicuous emphasis on the importance of rapid agricultural development culminates in the setting of a grain-production target of 400 million tons by 1985. This implies an increase of some 40 percent above current levels and an annual rate of increase substantially above average performance during the last 20 years. Direct