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How the Chinese Nationalist Government tried to use co‐operatives as a socio‐economic instrument in mainland China (1928‐1949) but met with little success is discussed. The historical background of the Chinese co‐operative movement is presented, the structure and quality of different types of co‐operatives examined, the performance of co‐operatives and the benefits of being a co‐operator evaluated and the characteristics and problems of this system considered.

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