One Country, Two Systems

"One country, two systems" is an idea originally proposed by Deng Xiaoping, then Paramount Leader of the People's Republic of China (PRC), for the reunification of China during the early 1980s. He suggested that there would be only one China, but independent Chinese regions such as Hong Kong, Macau and Taiwan, could have their own capitalist economic and political systems, while the rest of China uses the socialist system. Under the suggestion, each of the three regions could continue to have its own political system, legal, economic and financial affairs, including commercial and cultural agreements with foreign countries, and would enjoy "certain rights" in foreign affairs. Taiwan could continue to maintain its own military force, thus evading recognition of Taiwan as part of the Republic of China.