The Geneva Peace Accords were considered a temporary resolution to conflict in Indochina, resulting in the division of Vietnam into the North and South. …show more content…
The division of the Vietnam, had disastrous upon the North, with famine and food shortages being one of the most pressing issues. The overpopulated Red River Delta of the North, was no longer able to receive food from its usual supplier in the South, Mekong Delta. The North were not yet self-sufficient and struggled to produce enough food for the masses. The Party’s leaders were intent on establishing socialism throughout the North, but there was debate as to how they should proceed. Moderates wanted a gradual transference of land to poor peasants, while radicals preferred the Chinese model of rapid land reform. The democratic Republic of Vietnam implemented disastrous Agricultural land tribunals whose purpose was to supervise the redistribution of land but this regime only exacerbated problems. The reforms intensified the widespread starvation and the agricultural slowdown. In 1958 the Tribunals were soon for a more moderate programs were adopted. By 1957 North Vietnam had achieved self-sufficiency in rice production, and after 1957 there was a growth in key industries such as transport, coal production, cement production, and electricity. By 1960, North Vietnam had changed from a country facing impending famine to the country with the fastest growing economy in South-East Asia. The free market economy in South Vietnam was far more stable and encouraged extensive trade with other anti-communist or non-communist countries such as the US, Canada, France, West Germany, Japan and Thailand. Following the division of Vietnam, the South controlled the major sources of food production and had a larger history of capitalist agriculture and infrastructure. South Vietnam was financially supported by the USA and in 1957, the America made an assurance to Diem that US $250 million in aid would be provided each year. The