by Helen Zia
Within a record time of nine months, Ho had completed all of the requirements for his master’s degree, earning A-pluses in most of his courses. Though the classes were taught in English, he had managed, since the math and science provided a common language. His lowest grade was a single A-minus. He didn’t brag or gloat—he expected excellence from himself and had applied the same laser focus since his middle school days in Shanghai.
Yet a nagging worry continued to threaten his years’ worth of careful planning for graduate school and the car factory he hoped to build in China. Money—or more specifically, his family’s difficulties in getting foreign exchange—could derail everything. As soon as he’d arrived, he’d opened a bank account with the one thousand U.S. dollars he’d brought from Shanghai, obtained after his family received special permission to convert Chinese yuan into U.S. dollars. In theory, when his money ran low, his family would get another authorization certificate to convert yuan and to wire him dollars.
But according to his family’s letters, it was getting more difficult and costly to exchange the needed funds. Back in 1946, before Ho had even applied to schools, for every one U.S. dollar, his family would have needed to convert about thirty-four hundred yuan. By the spring of 1947, one dollar cost fourteen thousand yuan. In 1948, a single U.S. dollar cost a million yuan on the black market. If he ran out of money, he’d be in serious trouble, because U.S. law prohibited foreign students from working. That was his biggest worry. That was why he’d pushed himself to complete his master’s degree as soon as possible. It was his lack of money, not vanity about getting top grades, that compelled him. The sooner he finished, the sooner he’d end this vexing burden on his family.
Ho followed the routine that had stood him well in Shanghai, cutting a triangular path between his room, his classes, and the library. His daily fare consisted of boiled noodles with a few vegetables tossed in, fried pork chops, and eggs—without variation. His sole adventure was a visit to the nearby city of Ypsilanti, to see how cars were produced at the Willow Run auto plant. He didn’t go to parties or dances. Dating was out of the question. There were too few female Chinese students—and the ones he knew were already spoken for. Michigan admitted more overseas Chinese students than other schools, but most were men. Still, on his transpacific voyage, Ho had enjoyed the company of a few women students. He knew that his mother would approve of those young ladies because they came from well-heeled families who could afford to send their daughters abroad.
Without any new Chinese women to meet, Ho’s main pastime was fraternizing with the other Chinese engineering grad students—all male. They discussed ways of navigating school, America, and how to meet Chinese girls. Sometimes they gathered over a cheap dinner at a local Chinese restaurant serving “Chinese American cuisine.” They all lamented that the Americanized food bore little resemblance to the home cooking they missed.
By far, their most frequent topic of discussion was the situation back home. Because American news carried little meaningful information about China, the students depended on letters from their families for updates, sharing what they learned with the group. Ho received so much mail that he was the envy of other students. Some weeks, he received several letters, each filled with family gossip and news of the rapidly declining political situation.
Ho’s letters from home added fuel to his motivation to finish his doctoral program as swiftly as possible. His family often spoke of the extreme inflation and how difficult it was for them to pay for their essential needs, let alone to send U.S. dollars for his studies. His sister, Wanyu, wrote in 1948:
DEAR YOUNGER BROTHER,
THERE IS NO BIG NEWS FROM CHANGSHU, BUT INFLATION HERE IS TERRIBLE, EVEN WORSE HERE THAN IN SHANGHAI. LOTS OF THINGS ARE MORE EXPENSIVE. WE HAD TO RENT OUT MORE LAND TO FARMERS. PRICES ARE RISING LIKE CRAZY. PEOPLE LIVING ON FIXED WAGES CAN BARELY SURVIVE….
As each letter from home underscored the mounting difficulties, Ho agonized over the strain he was placing on his family. He decided that he had to earn some money—in spite of being forbidden to do so by his visa restrictions. In the spirit of the Chinese proverb “Heaven is high and the emperor is far away,” Ho was certain he could find a solution that didn’t exactly violate the rules. By carefully searching university bulletin boards and making inquiries of other students and professors, Ho learned of something called an “internship” that would give him practical experience with the university’s approval. If he could find an internship that provided a stipend for his living expenses, he could save money by living cheaply, and it wouldn’t be a prohibited job under Immigration and Naturalization Service (INS) rules. Ho was thrilled to find such an elegant solution to his problem—worthy, he felt, of a clever Shanghainese. All he had to do was find a company to offer him such an internship.
Through his student network, Ho learned of a newly established company called China Motors, founded by Chinese American businessmen and funded by New York’s Chinatown merchants. The company had opened a factory in Linden, New Jersey, just outside of New York City, to produce cars and other machines to be sold in China. It was the kind of company he’d dreamed of starting himself.
After writing to the company, Ho was overjoyed to receive an offer of an internship as an engineering trainee in the Production Engineering Department. He would assist with tool design and selection, plant operations, and blueprint controls, with a stipend for living expenses of $180 per month. That was a huge amount by Chinese standards. He wrote to his family with the good news. Elder Brother Hosun, who lived at the family house in Shanghai, sent a letter in response that arrived soon after Ho’s graduation:
10 JUNE 1948:
YOU’RE SO YOUNG AND BRIGHT. KEEP WORKING HARD—DON’T LET US DOWN.
I’VE HEARD OF CHINA MOTOR COMPANY. IT’S GOOD FOR YOU TO WORK THERE. YOU CAN BUILD A GOOD RELATIONSHIP WITH THE CHINESE THERE AND GET TO KNOW LOTS OF FOREIGN BIG SHOTS. WHEN YOU COME BACK, IT WILL ALL COME TOGETHER.
IF YOU GO TO A FOREIGN FACTORY, BE CAREFUL IN CASE THERE IS DISCRIMINATION AGAINST CHINESE OR POSSIBLE PROBLEMS WITH THE IMMIGRATION BUREAU.
INFLATION IN CHINA IS VERY SERIOUS, LOTS OF INCREASES EVERY DAY. THINGS FROM OVERSEAS ARE EVEN MORE EXPENSIVE, SO SEND SOME SILK STOCKINGS. THE WEMBLEY NECKTIES YOU SENT ME COST A LOT, SO I DON’T DARE TO WEAR ONE OFTEN.
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IN THE SUMMER OF 1948, with his master’s diploma in hand, Ho left Michigan for New Jersey and quickly found a cheap room in Elizabeth, an old industrial city near Linden. It was a short bus ride down Route 1 to the factory.
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After receiving his graduate degree from the University of Michigan in 1948, Ho started his dream internship with China Motors in Linden, New Jersey.
Ho eagerly started at China Motors, excited that it was near a giant General Motors auto assembly plant. His first project involved refrigeration units, not cars, that China Motors was contracted to produce. After living expenses and rent, Ho had about ten dollars a week to spare. From his first paycheck, he sent five dollars to his mother. She chastised him in her next letter, telling him to keep the money and to eat better.
The letters from home included requests to buy items for his family that he could ill afford. Ho shook his head at some of the requests. Do they think I’m rich because I’m making a little money in America? he wondered. The wish list included a wireless radio, a watch with a nightlight on the dial, silk stockings, a camera flash attachment, subscriptions to Life magazine for acquaintances, a microscope, a Rolleiflex camera, Botanaire ties, and a new needle for a phonograph.
To save more money, Ho found a cheaper rental. He didn’t tell his family about the peeling paint in the dark hallways or the industrial soot and smell. The run-down area was depressing compared to the elegant buildings of Shanghai and even his attic room on Medhurst Road. He didn’t mention that he was paring down his
living situation to pay for the items he sent home along with the occasional five-dollar bill. The airmail postage took an additional bite, and he could never be sure that his parcels would reach his family.
Now that he was a bit less worried about money, Ho found the reports on the rapidly declining situation at home to be unnerving. His family regularly reported on conditions in frightening detail.
A letter dated July 6, 1948, from his brother-in-law living in Huainan, a city in Anhui Province about three hundred miles northwest of Shanghai, said:
THE COMMUNIST ARMY HAS TAKEN KAIFENG [AN ANCIENT CAPITAL OF CHINA, APPROXIMATELY FIVE HUNDRED MILES NORTHWEST OF SHANGHAI]. THE COMMUNISTS NOW USE ROCKET CANNONS, VERY DIFFERENT FROM BEFORE. THEY ALSO LET YOUNG PEOPLE LEAVE TO MAKE COMPARISONS IF THEY WISH TO GO TO THE NATIONALIST-CONTROLLED AREAS. MANY OF THOSE RELEASED STUDENTS BECOME PROPAGANDISTS FOR THE COMMUNIST PARTY. RIGHT NOW ONE U.S. DOLLAR IS WORTH ONE MILLION YUAN, SO YOUR PAY IS HIGHER THAN THAT OF THE OFFICIALS IN THE GOVERNMENT. IF YOU’RE ABLE TO STAY IN THE USA, YOU’RE VERY LUCKY.
Ho’s sister added this note:
I’VE HAD TO RETURN TO CHANGSHU BECAUSE OUR HOUSE IN HUAINAN IS NOW OCCUPIED BY NATIONALIST SOLDIERS. I ASKED THEM TO LEAVE ME SOME SPACE IN MY OWN HOUSE BUT THEY WON’T. I’M SO ANGRY ABOUT THESE BAD NATIONALIST SOLDIERS. EVERYBODY HATES THEM. SOME EVEN WISH FOR ANOTHER WORLD WAR TO GET RID OF THEM.
The letters also detailed the many problems in exchanging Chinese yuan into U.S. dollars. It was necessary for Ho to first apply for the government in China to issue a certificate, which that office would send to him. Then he had to mail the certificate to his family in China, allowing them to exchange their money and wire U.S. dollars to him.
On July 12, 1948, his brother, Hosun, wrote:
I HAVE RECEIVED APPROVAL FOR THE FOREIGN EXCHANGE APPLICATION, SO I CAN EXCHANGE THE MONEY VERY SOON. BUT ACCORDING TO THE NEWSPAPER, THE NEW PROCEDURES FOR FOREIGN EXCHANGE SALES ISSUED BY THE ADMINISTRATION ARE VERY DIFFICULT, AND THE RATE IS NOT THAT GOOD. I’VE TOLD MOTHER ABOUT THE SITUATION, AND WE WILL TRY OUR BEST TO GET MONEY TO YOU. IN THE FUTURE YOU CAN REPAY US SINCE IT’S A LOT OF MONEY.
This was the first time that Ho’s family mentioned the need for him to repay them. That had always been his intention, but with the exchange rate now increasing to about 4 million yuan per dollar, his brother wanted to make that expectation perfectly clear. On the black market, the rate was even more shocking, about twice the official rate. By prevailing on their tenants for the rent, Ho’s mother gathered more than 2.5 billion yuan to exchange, but even that wasn’t enough to send him another one thousand U.S. dollars to cover his anticipated tuition.
Two weeks later, on July 30, 1948, Ho’s brother wrote:
THE STRIKE IN OUR AREA HAS BEEN SETTLED, AND THE BASIC SALARIES ARE BEING ADJUSTED TO THE COST OF LIVING AND THE RAPID INFLATION. I WILL GET PAID ONE HUNDRED MILLION YUAN, AND THAT WILL BARELY SUPPORT MY FAMILY. IF I EXCHANGE THE YUAN ON THE BLACK MARKET, MY SALARY IS FIFTEEN U.S. DOLLARS PER MONTH.
Soon came the news Ho had hoped never to hear: The civil war had arrived at his family’s doorstep in Changshu. Twenty thousand Nationalist troops were billeted in his hometown and were eying the Chow family home. In spite of the frightening news, his mother reassured him: “Don’t worry; if it isn’t safe here, we will leave. Stay happy always, Mother.” Ho was more worried than ever.
A letter of August 10, 1948, from Hosun described the disastrous efforts of Chiang Ching-kuo, the generalissimo’s son, to solve the terrible inflation in Shanghai:
THE CURRENT SITUATION MAY IMPROVE, BECAUSE THE NATIONALIST GOVERNMENT SAYS THAT AMERICAN REINFORCEMENTS WILL COME SOON. THE NATIONALISTS [UNDER CHIANG CHING-KUO] ARE ISSUING SOME NEW ECONOMIC REFORMS. THE GOVERNMENT WANTS TO TAKE CONTROL OF ALL THE GOLD FROM ALL THE PEOPLE FOR THE STATE, AND THEY SAY THAT THEY WILL REFORM THE CURRENCY.
OUR NATIONALIST ARMY IS TRYING TO KILL THE COMMUNIST BANDITS, BUT THE SITUATION IS NERVE-RACKING BECAUSE WE LOST KAIFENG AND WE ARE LOSING THE IMPORTANT CAPITALS [OF THREE PROVINCES]. THE ECONOMY CAN’T STABILIZE WHILE THE MILITARY SITUATION DETERIORATES.
As the Nationalist government spiraled out of control, Ho’s family sent him a flurry of anxious letters about Chiang Ching-kuo’s economic reforms and currency adjustments that forced citizens to turn in their savings of gold, silver, foreign currency, and old yuan. Like others in Shanghai, the Chow family faced the agonizing decision of whether or not to comply.
A letter from Ho’s mother dated August 14, 1948, said:
HO, MY SON, YOU NEEDN’T SEND MONEY TO US, THOUGH I AM STILL NOT CONFIDENT ABOUT BEING ABLE TO COLLECT OUR RENT. YOU SHOULD JUST KEEP IT. DON’T WORRY TOO MUCH FOR ME; I CAN LIVE A SIMPLE LIFE. YOU MUST BE WORKING VERY HARD. PLEASE DO TAKE CARE, AND TRY TO EAT WELL.
In a letter of August 16, 1948, Hosun wrote:
THE FOREIGN EXCHANGE FINALLY CAME THROUGH, AND I HAVE CONVERTED NINE HUNDRED DOLLARS OF U.S. CURRENCY THIS MORNING. I’LL SEND THE MONEY TO YOUR ADDRESS IN ANN ARBOR, MICHIGAN. IT ISN’T POSSIBLE TO SEND THE MONEY TO YOUR FACTORY. THE SITUATION HERE IS REALLY BAD; THE COST OF LIVING IS GETTING HIGHER AND HIGHER. INDUSTRY AND COMMERCE CAN’T FUNCTION ANYMORE.
Another letter from Hosun, dated September 4, 1948, said:
DID YOU RECEIVE THE USD? SINCE THE AUGUST 19 CURRENCY REFORMS BY CHIANG CHING-KUO, INDIVIDUALS ARE PROHIBITED TO HAVE GOLD OR U.S. DOLLARS. PEOPLE ARE RUNNING TO THE BANKS TO WITHDRAW THEIR MONEY. THE CROWDS ARE ENORMOUS! ALL THIS INSTABILITY IS DRIVING PRICES HIGHER AND HIGHER, AND PEOPLE ARE PANIC BUYING. CHIANG CHING-KUO IS ARRESTING THE SPECULATORS AND BAD BUSINESSMEN, BUT PEOPLE DON’T TRUST THE NEW CURRENCY SYSTEM.
A letter dated September 9, 1948, from Wanyu, who was staying with their mother in Changshu, reported:
WE’VE LOST HALF OF OUR COTTON HARVEST BECAUSE OF HEAVY RAINS. MOTHER IS WORRIED ABOUT IT. I TRY TO COMFORT HER, BUT DON’T WORRY TOO MUCH. MOTHER IS CONCERNED THAT YOU WILL WANT TO CONTINUE WITH YOUR EDUCATION AND THEN WE WILL NEED TO SEND MORE MONEY TO YOU. WE ARE NOT SURE IF WE WILL HAVE ENOUGH, BECAUSE OUR INCOME THIS YEAR IS BAD. WE ARE WORRIED. MOTHER’S TEMPER IS LIKE A HOT PEPPER THESE DAYS, SO I TOLD HER YOU HAVE A SCHOLARSHIP TO MAKE HER FEEL BETTER.
On October 10, 1948, his brother-in-law in Huainan wrote:
THE SITUATION IS WORSE THAN BEFORE. PEOPLE ARE AFRAID AND THE NATIONALISTS ARE LOSING THE CITIES ONE BY ONE. IT’S GETTING DANGEROUS AND DIFFICULT BECAUSE THOUSANDS OF PEOPLE ARE OUT OF WORK AFTER THE LATEST DEFEATS. YOU GUYS WHO LIVE ABROAD ARE INCREDIBLY LUCKY.
THE TWO STREAMS OF THE COMMUNIST ARMY IN THE NORTH ARE A BIG THREAT TO THE NATIONALISTS, BUT NOT MANY PEOPLE ARE FLEEING YET. ON THE ONE HAND, IT IS HARD TO EARN A LIVING IN ANOTHER PLACE. ON THE OTHER, MAYBE THE COMMUNIST PARTY ISN’T AS BAD AS THE JAPANESE. THE NATIONALISTS SPREAD A LOT OF PROPAGANDA, AND EVERYONE KNOWS THERE’S A BIG DIFFERENCE BETWEEN THEIR WORDS AND THE TRUTH. BUT WITH ALL THIS CONFUSION, ORDINARY PEOPLE WILL SURELY LOSE EVERYTHING THAT ISN’T ATTACHED TO THEIR BODIES.
On October 22, 1948, Hosun reported from Shanghai:
THE GOVERNMENT HAS TAKEN SO MUCH GOLD AND FOREIGN CURRENCY FROM THE PEOPLE. IT ALSO RAISED THE TAXES FOR CIGARETTES AND ALCOHOL, SO NOW THE PANIC BUYING IS EVEN WORSE. THE CHEAPEST ITEM IN THE WHOLE CITY IS A TICKET TO THE MOVIES: IT’S ONLY 0.4 YUAN TO GET INTO THE GRAND THEATRE. THE MOST EXPENSIVE ITEM IS A PEDICAB—THE GOVERNMENT CAN’T LIMIT WHAT THE DRIVERS CHARGE. CURRENCY REFORM MAY JUST BE AN EMPTY DREAM. WE WISH YOU COULD COME HOME AS SOON AS POSSIBLE, BUT THE SITUATION IS REALLY, REALLY BAD. MANY PEOPLE HAVE DIED IN THE BATTLES THAT THE GOVERNMENT LOST. IN MY OPINION, THE COMMUNIST BANDITS ARE GETTING STRONGER AND STRONGER, AND IT IS NOT SAFE IN SHANGHAI.
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EACH LETTER’S DISTRESS ENGULFED Ho in a new tempest, pulling him down and sending him gulping for air. He struggled to stay focused on his work—what else could he do? As the Nationalist government
sank deeper into the abyss, he and his coworkers at China Motors despaired over a possible devastating battle and revolution that could destroy Shanghai and everyone in it. The frenzied exodus from China—and from Shanghai in particular—had begun in earnest. As time went on, Ho’s family wrote that they, too, were considering an escape.
In a December 10, 1948, letter, Hosun wrote:
IT’S BEEN A WHILE SINCE I SENT YOU A LETTER. HOW ARE YOU DOING? DO YOU MISS HOME? THERE’S A LOT TO TELL YOU ABOUT THE WAR. THE SITUATION IN CENTRAL CHINA IS VERY GRIM. THE NATIONALISTS SEEM TO LOSE EVERY BATTLE AND WILL BE DEFEATED BY THE RED BANDITS SOON. BEIJING, SHANGHAI, AND THE CAPITAL ARE IN DANGER, SO THE SITUATION IS SCARY, AND LOTS OF PEOPLE ARE CONSIDERING LEAVING. THERE ARE HUGE NUMBERS OF REFUGEES ON TRAINS AND BUSES. IT’S SO CONGESTED, I CAN’T EVEN DESCRIBE IT. THE PRESENT MILITARY CAMPAIGN IS FOCUSED ON HUAI-HAI [A REGION NORTH OF THE YANGTZE RIVER]. BOTH ARMIES HAVE LOST MORE THAN EIGHT HUNDRED THOUSAND LIVES; IT’S THE MOST TRAGIC SLAUGHTER IN OUR COUNTRY. THE FUTURE BODES ILL FOR THE NATIONALISTS. MAYBE THE CIVIL WAR WILL LAST SEVERAL MONTHS BECAUSE THE BANDITS HAVE LOTS OF SUPPLIES. MAYBE THE NATIONALIST AIR FORCE CAN MAKE A DIFFERENCE.
I HAVE MADE MY DECISION TO STAY IN SHANGHAI UNLESS IT GETS REALLY, REALLY BAD. STAYING TILL THE END CAN’T BE WORSE THAN BECOMING A REFUGEE. MANY RELATIVES HAVE MOVED IN WITH US. I HEARD THAT THE BANKS AND GOVERNMENT BUREAUS IN SHANGHAI ARE ALL SHIPPING IMPORTANT DOCUMENTS OUT. THE WHOLE SITUATION IS TERRIBLY BAD. WHAT IS THE FUTURE FOR US SHANGHAINESE PEOPLE? I THINK THERE IS LOTS OF BITTERNESS AHEAD.