What was a major impact of economic reforms instituted by Deng Xiaoping?

The major impact of economic reforms instituted by Deng Xiaoping was indeed the decreased government oversight in markets. These reforms, which began in the late 1970s, shifted China's economy towards a more market-oriented model. Deng's policies allowed for greater individual entrepreneurship and private enterprise, which led to significant economic growth.

The reduction in government control over markets was exemplified by the introduction of the household responsibility system in agriculture, which permitted individual farmers to make decisions about production and sales rather than following state directives. This shift not only increased agricultural productivity but also laid the groundwork for broader economic reforms in industry and services.

Furthermore, these changes opened China's economy to foreign investment and global markets, which significantly increased trade and growth rates. This approach marked a significant departure from the previous era of strict central planning and highlighted a pragmatic shift in the Chinese Communist Party's economic strategy.