From the perspective of the cultural exchange between China and the West, and the social changes, this book analyzes three rounds of China’s modernization process. It identifies the social foundation of capitalism and communism in China, analyzes the political ideologies and administrative models of the Nationalist Party and the Communist Party, which controlled the modern histories of China. The book also explores the deep impact of these processes on the mindset and characters of Chinese intellectuals. While exploring the living conditions and conflicts among various social classes, it also predicts the future trends of Chinese society.