The reference is to the economic readjustment carried out between 1950 and 1952 and to the work of readjusting, consolidating and filling out the national economy and raising its standards carried out in the period 1961-65. The readjustment in the early post-Liberation years of 1950-52 was aimed at restoring the national economy, damaged by long years of war and reactionary Kuomintang rule. In the first half of 1950, through nationwide unification of fiscal revenues and expenditures, and of distribution of materials and control of the money supply, China quickly established unified nationwide management and guidance for all its financial and economic affairs and thus achieved an approximate balance between state revenue and expenditure and stabilized the prices of commodities. Readjustment of private industry and commerce began in June 1950. Relations between the state and private sectors of the economy, between labour and capital, and between production and marketing were adjusted through such state activities as guidance by the national plan, the placing of state orders with private enterprises for the processing of materials or the manufacture of goods, the granting of loans and the readjustment of taxes, wages and salaries and commodity prices. The economic readjustment in the early 1960s was carried out at a time when the national economy faced serious difficulties in the wake of the Great Leap Forward. The relations between industry and agriculture and between city and countryside were initially readjusted through such measures as drastic reduction of the scale of capital construction, cutting down on heavy industry, increasing production of industrial goods for daily use, reducing the number of workers and office staff and city population generally and cutting down grain sales in cities and towns. The Central Committee drafted separate regulations on work in the rural people's communes, industry, commerce and other spheres. All of them represented efforts to sum up, in a fairly systematic manner, China's experience in building socialism. This spurred the readjustment of the national economy, which basically attained the anticipated results by 1965.