ABSTRACT

The renegade, hidden traitor, and scab Liu Shao-ch'i pushed reactionary policies to exploit peasants. The economic alliance of the workers and the peasants is realized chiefly through the commercial link. Agriculture is the base of the national economy and is also the base of the domestic market. The development of industry and the prosperity of the market cannot be divorced from that base. The main purpose of socialist commercial production and exchange is to consolidate the worker-peasant alliance. Socialist commerce consistently implements policies for the stabilization of prices, the policy of selling in large quantities at lower profits for industrial products, and the policy of trading at equal values or close to equal values in the exchange of industrial and farm products to gradually narrow the disparity; it correctly handles the relationship between the state, the collective, and the individual.