"One country, two systems" is a fundamental state policy of the Chinese government to accomplish the peaceful national reunification. The policy was put forward by the late Chinese leader Deng Xiaoping in January 1982.
This means that within the People's Republic of China, the mainland will maintain the socialist system, while Hong Kong, Macao, and Taiwan continue under the capitalist system.
Hong Kong returned to its motherland in 1997 under this model, and Macao followed in 1999.
The return of Hong Kong and Macao under the “one country, two systems" concept not only marked an important step forward in the great cause of Chinese reunification, but also set a new example for the international community to peacefully resolve issues between countries left over from history.
Former British Prime Minister Margaret Thatcher once described the design as "an ingenious idea."