893.00B/8–2349: Telegram
The Counselor of Embassy in China (Jones) to the Secretary of State
[Received August 24—1:54 a. m.]
1878. Four months of CCP occupation has failed to convince Nanking people of merits of Communist regime. Primary cause of widespread discontent among all classes is severe economic depression which Communists unable to alleviate. Important aggravating factors are ruthless discharge of former Nationalist Government employees and heavy taxation. “Streamlining” campaign recently embarked upon by Communists has added to ranks of jobless hundreds of persons who take small comfort from Communist injunction to return to country and produce. Business and vehicle taxes introduced within past month affect large number of persons including even such impecunious groups as pedicab drivers, sidewalk junk-sellers and vegetable peddlers.
Among bitterest critics of Communist regime are those intellectuals at first favorably impressed but now disillusioned. They have nothing good to say for Communists and repeat with relish stories of Communist difficulties. Merchants, apprentices, industrialists and unemployed laborers all affected by deep economic slump, share common resentment against “liberators” and compare unfavorably present conditions [Page 501] with Kmt days. Servants also express dissatisfaction with new regime perhaps because of Communist bias against them as “unproductive” class, but more likely because of close ties most of them maintain with country and their knowledge of oppressive Communist policy there. It is probably no exaggeration to say that at least 90 percent of population (excluding, of course, CCP and PLA) are dissatisfied and feel they were better off before “liberation”.
However, there is small group of intellectuals, among them number of younger college professors, who admit economic situation is bad but consider it inevitable at this stage and do not blame Communists for it. They are impressed by discipline of PLA, frugal mode of living of cadres, and relative absence of corruption. They point to stability of prices during past few weeks as good augury for future. On other hand they criticize one-sided reporting of world news in Communist press and Communist inefficient use of personnel which lays more stress on person’s political thought than technical ability for job at hand.
A third group, very small indeed, are those wholeheartedly convinced that in CCP lies salvation of China. This consists primarily of students and those who have actively joined CCP program whether from reasons of idealism or personal advantage. They refuse to admit any faults in CCP’s program and outdo CCP itself in proclaiming party line.
It is significant that dissatisfaction with Communist regime results to very large extent from economic pressure. There is little criticism of CCP regimentation and thought control partly because such measures are not very severe nor widespread in Nanking and partly because average Chinese has always been more deeply concerned with earning his daily bread than with freedom of thought. There is no sign as yet that grumbling heard on every hand in Nanking is likely to find expression in organized direct action such as has been reported from some country districts.
Sent Department; repeated OffEmb Canton 788, Shanghai 1032.