Telegram to Chen Yi [1] on Taxation and Unemployment (April 16, 1950) Comrade Chen Yi: Your noon telegram has been received. It is most gratifying that the issues of taxation and unemployment can be resolved in accordance with correct principles, with the consent of all parties and in a prudent manner. We are now in a tense period of transition. Our task is to ensure that this transition proceeds as smoothly as possible: things that should not be disrupted ought not to be disrupted, or at least disrupted as little as possible. If you keep this point firmly in mind, you will be able to reduce resistance and gain the initiative. Please keep me informed of the situation at the conference [2] as it develops. Mao Zedong 10:00 p.m., April 16 Based on the manuscript. Notes [ ] Chen Yi was then First Secretary of the CPC Shanghai Municipal Committee and Mayor of the Shanghai Municipal People’s Government. [2] Refers to the Third Shanghai Conference of Representatives of All Circles, held from April 15 to 23, 1950.