conomics in China, it seems apparent that some members of the CCP would also not be in favor of the plan. Nevertheless, the Open Policy was implemented and has become instrumental in the success of the burgeoning Chinese economy. The implementation of the Open Policy was so successful that by 1988 the leaders of the CCP were encouraged to create a new program called the "coastal development strategy." In this program, even more of the country was opened up to foreign investment--an area that, at the time, included nearly 200 million people. Moreover, by involving more overseas investors, "importing both capital and raw materials," and "exporting China's cheap excess labor power," the new policy was one of "'export-led growth' or 'export-oriented industrialization.' It was explicitly modeled on the experiences of Taiwan and the other Asian 'small dragons'" (Nathan 99). One analyst has maintained that "China now stands at the threshold of the greatest opportunity in human history: a new economic era promising greater wealth and achievement than any previous epoch" (Gilder 369). Illustrative of this optimistic feeling is Shanghai, an area that was designated for preferential conditions for foreign investment and as a base for the development of exports in 1988. This city and environs in the Yangtze Delta area have a population of approximately 400 million people and the city has become the nation's financial hub for international and national investors. For political reasons, this area was excluded from the original Open Policy designation in 1978, but is currently in the process of catching up with other areas so designated. Indeed, the increase in foreign investments in the last two years is striking. The area received 3.3 billion dollars in foreign investments during the 1980s. The area received the same amount from foreign investments in 1992 alone. In only the first ten months of 1993, the area had received over six billion dollars wo...
