First hold a working conference to prepare documents for the Central Committee plenary session. Starting tomorrow, we will begin discussions. Liu ×× suggested establishing a core group, and several other groups, to solve the problem of the six large groups not being able to speak freely. The core group will consist of members of the Standing Committee, the Secretariat, plus the first secretaries of the major regions, and the responsible comrades from various central departments, totaling twenty-three people: Mao, Liu ××, Zhou, Zhu ×, Deng ××, Peng ×, Fuchun, Xiannian, Tan ××, Boda, Lu ××, Fuzhi, Gumu, Luo ××, Chen Yi, Yang ××, plus the first secretaries of the major regions.

1.  In socialist countries, do classes actually exist? Some people abroad say that there are no classes anymore, therefore the Party is a party of the whole people, not a tool of the class, not a party of the proletariat. The dictatorship of the proletariat no longer exists, the dictatorship of the whole people has no object, only external contradictions. Is this also suitable for countries like ours? Should we discuss this issue? I have spoken with comrades from several major regions and learned that some people were greatly surprised to hear that classes still exist domestically. The bourgeois rightists have never admitted that classes exist, believing that there are no classes, no need for transformation, not acknowledging class struggle, saying that class struggle was fabricated by Marx. The bourgeoisie does not acknowledge class struggle. Sun Yat-sen did not talk about class, saying there was only a distinction between the very poor and the slightly poor. Whether or not classes exist is a fundamental question.

2.  The situation issue should also be discussed. We need to find a few people to prepare on the international situation. What is the actual situation? Imperialism, revisionism, reactionary nationalism, the broad masses of the people of all strata, the national bourgeoisie, peasants, urban petty bourgeoisie...

Let's talk about the domestic situation. What has it been like in the past two years? What experiences have we had? In the past few years, many tasks were not done well, but many were done well, such as industrial construction, agricultural construction, water conservancy, etc. Some people say that the countryside was better last year than the year before, and this year is better than last year. Is this statement correct? The first half of the year was not so good for industry, due to subjective and objective reasons. We still need to see what the second half of the year will be like. Some comrades used to think it was all bright, but now it is all dark, with no light. Is it all dark? Which of the two views is correct? If neither is correct, should there be a third view? It is not all dark, basically bright, but there is darkness, there are many problems, indeed very big. Let's return to the three sentences from the 1959 Lushan Conference: "Great achievements, many problems, bright future." The two years of adjustment, the policy of thorough adjustment, consolidation, filling out, and raising standards, was not done so well. Taking agriculture as the foundation was talked about for three years, from 1959 to 1962, four years, but it was not actually implemented. Some things from the Central Committee did not get down, some became waste products. What is meant by not implemented is that it was not done seriously, or it was done individually, or it was done very poorly. On the issue of the situation, I tend to be not so pessimistic, it is not all dark. The view that it is all bright now is gone, it does not exist. Some people are ideologically confused, have no future, and have lost confidence, which is not right.

3.  The issue of contradictions. What contradictions are there? One type is the contradiction between ourselves and the enemy, and the other is the contradiction among the people. There are two types of contradictions among the people. One type of contradiction, the contradiction with the bourgeoisie, is essentially antagonistic, it is the contradiction between socialism and capitalism. We treat it as a contradiction among the people. If we admit that classes still exist domestically, then we should admit that the contradiction between socialism and capitalism exists. The remnants of classes are long-term, and the contradictions are also long-term, not just decades, I think it will be hundreds of years. When exactly will we enter socialism? Once we enter socialism, will there be no more contradictions? Without classes, there is no Marxism, and it becomes the theory of no contradictions, the theory of no conflict. Now some peasants are clamoring for individual farming. What percentage is it? Some say 20 percent, more in Anhui. Nationwide, this period is relatively prominent. Which road should we take, socialism or capitalism? Is rural collectivization necessary? "Contracting output to the household" or collectivization? For those who have already "contracted output to the household," do not force them to correct it, we must do work. Why are we making so many documents? To consolidate the collective economy. Now there is a trend of clamoring for individual farming, and it is getting bigger the higher up you go. Where there are classes, there are strata. The remnants of landlords and rich peasants still exist. Those who are clamoring for individual farming are the wealthy strata, the middle peasant strata, and the remnants of landlords and rich peasants. The bourgeoisie is competing with the petty bourgeoisie for individual farming. If the proletariat does not pay attention to leadership and does not do work, it will be impossible to consolidate the collective economy, and it may lead to capitalism. Some people also want to clamor for individual farming.

Furthermore, there is the contradiction between production and distribution, and the contradiction between accumulation and consumption. If there is too much accumulation, there will be less consumption.

Furthermore, there is the contradiction between centralization and decentralization. After the Seven Thousand Cadre Conference, I don't think it has been resolved, we must continue to do work. The contradiction between democracy and centralization, we must use democratic methods to achieve the goal of centralization. We must let people speak. Without democracy, centralization cannot be achieved, we must continue to do work.

Socialism and capitalism are essentially antagonistic contradictions, but we treat them as contradictions among the people. There is too much accumulation, and we must continue to work on democracy and centralization. Do classes exist or not? What is the domestic situation like? Contradictions, one is the contradiction between ourselves and the enemy, and the other is the contradiction among the people. The contradiction between ourselves and the enemy involves the issue of suppressing counter-revolutionaries. There are still counter-revolutionaries, we must see that. It is not good not to see it, but it is also not in accordance with the facts to see it too seriously.