Relevance of New Democratic Economic Policy of Mao Tse-Tung in Contemporary Nepal

Abstract

This thesis entitled ‘Relevance of New Democratic EconomicPolicy of Mao Tse-Tung in Contemporary Nepal,’ try to analyze therelevance of New Democratic Economic Policy of Mao in contemporaryNepal. New Democratic Economic policy of Mao and its relevance incontemporary Nepal are chronologically analyzed. The writing style ofthis thesis is both analytical and descriptive. New Democratic EconomicIdeology/Policy of Mao is nothing more than mixed economic systemwhich is weighted heavily on socialist side and give more emphasis on‘equalization of land ownership’ and ‘control of capital’. ThisIdeology/Policy aims to secure the interest of not only public andcooperative sector but also the private sector. There is the co-existenceof public, cooperative and privatesector. In the history of economic development of Nepal, neo-liberaleconomic policies adopted could not found successful in achieving thegoals set by these policies. As a result, the country is politically unstable,socially decaying, economically stagnant and institutionally frustrating.Therefore, it becomes urgent to frame a alternative ‘New EconomicModel’ based on our geo-political, geo-morphological, geographicallocation, social diversity and resources of the country to transform ourcountry into independent, self-reliant and modern industrial economy.In this context, New Democratic Economic Ideology of Mao is beingmore relevant in contemporary Nepal. It favors state capitalism. Understate capitalism, state coordinate and regulate the activities of allenterprises – large and small, whether state, cooperative, individualpeasant, private capitalist or joint state-private capitalist owned-in thespheres of operation, supply of raw materials, markets, labour and trade,so that all units of theeconomy contribute to the rapid industrializationand transformation of the whole economy. Therefore, it may be the bestpolicy prescription to transform our country into self-reliant, independentand modern industrial one with social justice and equity