Now that we are engaged once more in policy-making it is essential that we should keep clear before us that one of the central principles of Socialism is the substitution of public for private ownership. There is no way round this.

Socialism is found within the luminous Christianity that shook the foundations of Roman power, because of its notion of fraternity. And universal brotherhood will be the implementation of socialism, which is selflessness, sweetness, modesty, temperance, "All for one and one for all." These are sure steps that lead us to human perfection, toward the freedom and the still undefined spiritual progress of a plurality of superior worlds. Let us enlighten and purify ourselves, let us educate our wills to do good, and let us consume the fire of our passions under guiding reason, in an offering to human emancipation to achieve spiritual progress.

Socialism is far superior to capitalism. It enables us to go faster than capitalism in a comparatively short period and surpass capitalism in labour productivity step by step. We must expand production as quickly as possible under socialism, because this is the only way to satisfy the people’s growing needs gradually, and keep broadening the material basis of the socialist system. The consolidation of socialism requires, among other conditions, a strong material basis. In order to safeguard the socialist system it is imperative to have a powerful national defence, which presupposes great economic strength. Without a high degree of industrialization of the country, it is impossible for socialism to win final victory over capitalism.

This experience and the historical experiences gained by the Party since its founding can be summarized as follows: Our Party must always represent the requirements for developing China's advanced productive forces, the orientation of China's advanced culture and the fundamental interests of the overwhelming majority of the Chinese people. These are the inexorable requirements for maintaining and developing socialism, and the logical conclusion our Party has reached through hard exploration and great praxis.

The economic principles of Modern Socialism are a logical deduction from the principle laid down by Adam Smith in the early chapters of his “Wealth of Nations,” — namely, that labor is the true measure of price. But Adam Smith, after stating this principle most clearly and concisely, immediately abandoned all further consideration of it to devote himself to showing what actually does measure price, and how, therefore, wealth is at present distributed. Since his day nearly all the political economists have followed his example by confining their function to the description of society as it is, in its industrial and commercial phases. Socialism, on the contrary, extends its function to the description of society as it should be, and the discovery of the means of making it what it should be.

If enough people in society can be convinced that history is governed by scientific laws: that Soviet-style Socialism is the inevitable product of historical progress: and that the Soviet Union embodies all the finest socialist ideals of peace, equality, and justice, then rational people should be incapable of defying the rule of the Soviet government and its chosen allies.

Socialism rejects the premises and the conclusions of anarchy upon the State and upon government. What socialism says is "Away with the economic system that alters the beneficent functions of the central direction authority from an aid to production into a means of oppression." And it proceeds to show that, when the instruments of production shall be owned no longer by the minority, but shall be restored to the Commonwealth; that when, as a results of this, no longer the minority or any portion of the people shall be in poverty and classes, class distinctions and class rule shall, as they necessarily must, have vanished, that then the central directing authority will lose all its repressive functions and is bound to reassume the functions it had in the old communities of our ancestors, become against a necessary aid, and assist in production.

Democracy and dictatorship of the proletariat are two parts of the same antithesis, and proletarian democracy is far superior to its capitalist counterpart. We are emphasizing the Four Principles that we must adhere to: the principle of socialism, the principle of dictatorship of the proletariat, the principle of Marxism and Leninism elaborated in Mao Zedong Thought, and the principle of leaders supported by the Communist Party of China. So, you see, that even the principle of dictatorship of the proletariat has remained untouched and untouchable.

The answer that socialism provided to the age-old question of the proper balance between the public and the private can now, from our current historical perspective, be seen to have been wrong. But if it was based on wrong, or at least incomplete, economic theories, theories that are quickly passing into history, it was also based on ideals and values many of which are eternal. It represented a quest for a more humane and a more egalitarian society.

Chinese socialism, if you like to call it that, seeks above all else to preserve the birthrights of the individual. No state can be great and prosperous unless the people are contented.

Successes in socialist construction largely depend on the correct combination of the general and the nationally specific in social development. Not only are we now theoretically aware but also have been convinced in practice that the way to socialism and its main features are determined by the general regularities, which are inherent in the development of all the socialist countries. We are also aware that the effect of the general regularities is manifested in different forms consistent with concrete historical conditions and national specifics. It is impossible to build socialism without basing oneself on general regularities or taking account of the concrete historical specifics of each country. Nor is it possible without a consideration of both these factors correctly to develop relations between the socialist states.

The fundamental concept in social science is Power, in the same sense in which Energy is the fundamental concept in physics.

To sum up, the basic values that motivated my preference for socialism over capitalism were (1) efficiency in making sure that all resources were used, (2) the avoidance of war and other political corruptions of the pursuit of profits, (3) the achievement of freedom from control by a small elite, (4) equality of income and power, and (5) encouragement of cooperative as opposed to competitive motives in the operation of society.

We mustn't fear to adopt the advanced management methods applied in capitalist countries (...) The very essence of socialism is the liberation and development of the productive systems (...) Socialism and market economy are not incompatible (...) We should be concerned about right-wing deviations, but most of all, we must be concerned about left-wing deviations.