The Chinese Civil War ended in 1949 with the Communist Party of China in control of the mainland, and the Kuomintang retreating to Taiwan and some outlying islands of Fujian. On October 1, 1949 Mao Zedong proclaimed the People's Republic of China, declaring "the Chinese people have stood up."
Following a series of dramatic economic failures, like the famous Great Leap Forward, Mao stepped down from his position as chairman in 1959, with Liu Shaoqi, nominated by the National People's Congress, as successor. Mao still had a huge influence over the Party, but was removed from day-to-day management of economic affairs, which came under the control of a more reasonable leadership consisting of Liu Shaoqi, Deng Xiaoping, and others who initiated economic reforms.
Following a series of dramatic economic failures, like the famous Great Leap Forward, Mao stepped down from his position as chairman in 1959, with Liu Shaoqi, nominated by the National People's Congress, as successor. Mao still had a huge influence over the Party, but was removed from day-to-day management of economic affairs, which came under the control of a more reasonable leadership consisting of Liu Shaoqi, Deng Xiaoping, and others who initiated economic reforms.
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