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0 White Paper on the Business Environment in China

am in the White House from his science adviser by conservative Republicans. In the federal district
Frank Press. Carter thought some major disaster court his opponent's won. However, in an appeals
had occurred, but no, Press told Carter that he was court the government's position that Carter had
in Beijing with Chinese leader Deng Xiaoping, who the power to abrogate the treaty without Senate
wanted to know at that moment if China could send consent prevailed. The Supreme Court then threw
5,000 students to the US. "Tell him to send 100,000," the entire case out without rendering any decision,
Carter replied. And currently about 360,000 Chinese thus leaving the constitutional victory with the
students are studying in the US (Xhou). president by default. Carter's recognition of China
significantly reduced tensions in East Asia. Hard-
Deng Xiaoping advocated individualism liners in China were replaced by communists
and material incentives in China’s attempt to who were more interested in economic growth
modernize its economy. Deng sought to open than in military confrontations. Beneficial trade
China to foreign investment and create closer relations were established between China and the
ties with the West. In January 1979, he signed US, leading to huge imports of finished consumer
accords with President Jimmy Carter, and later goods from China, in return for US lumber and
that year the United States granted full diplomatic foodstuffs (Strong).
recognition to the People’s Republic of China.
In 1981, Deng instituted widespread economic Vice Premier Deng paid an official good-will visit
reforms in China. The reforms were based on to the United States at the invitation of President
capitalist models, such as the decentralization Carter in early 1979. This was the first visit by
of various industries, material incentives as the a Chinese leader to the United States after the
reward for economic success, and the creation of founding of the People's Republic of China and
a skilled and well-educated financial elite. As chief was warmly welcome by the US Government
adviser to a series of successors, he continued and people. During his visit, Vice Premier Deng
to be the main policy maker in China during the exchanged views with President Carter on the
1980s. Under Deng, China’s economy rapidly international situation. When touching on the
grew, and citizens enjoyed expanded personal, question of Taiwan, Vice Premier Deng said that
economic, and cultural freedoms (Deng Xiaoping). China was willing to solve the Taiwan question in a
peaceful way. The Joint Press Communiqué issued
In a reflection of the waning importance of by both sides said that both sides were of the
the Cold War, some of Carter's contemporaries view that differences in social systems of the two
labeled him as the first post-Cold War president, countries should not impede the enhancement of
but relations with the Soviet Union would continue mutual friendly relations and mutual cooperation.
to be an important factor in American foreign During the visit, the two sides signed an agreement
policy in the late 1970s and the 1980s. Many of on cooperation in science and technology and a
the leading officials in the Carter administration, cultural agreement. They also signed agreements
including Carter himself, were members of the on cooperation in education, commerce and space,
Trilateral Commission, which de-emphasized and on the mutual establishment of consular
the Cold War. The Trilateral Commission instead relations and the opening of Consulates-General
advocated a foreign policy focused on aid to Third in each other's country (PRC, Establishment).
World countries and improved relations with
Western Europe and Japan. Ronald Reagan

With this in mind, Carter continued to expand President Ronald Reagan’s 1984 official visit
American contacts with China, granting the nation to China highlighted his administration’s desire
formal diplomatic recognition on January 1, to improve diplomacy with China in light of the
1979. To do so required quite a bit of diplomatic growing economic relationship between the
housekeeping. Carter unilaterally revoked the two nations. During a welcoming ceremony
1955 Mutual Defense Treaty with the Republic of in Tiananmen Square, Reagan was greeted by
China, effective January 1, 1980. Carter's treaty President Li Xiannian of China with a 21-gun
abrogation was challenged in the federal courts

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