1. my country’s socialist economic system was initially established in the early 1950s
When the People’s Republic of China was founded in 1949, the party and government began to reform the semi-colonial and semi-feudal system of old China. We must carry out fundamental transformation and reform of the economic system and create a socialist new China's economic system. After three years of recovery and the first Five-Year Plan, by 1957, the new socialist economic system was initially established and formed.
The economic system of New China was formed through the step-by-step transformation from new democracy to socialism. It is generally divided into three steps:
The first step is to confiscate the bureaucracy. capital, complete land reform, and unify the finance and economy. The confiscation of bureaucratic capital allowed the country to control the economic lifeline and established the leadership of the state-owned economy owned by the whole people. Land reform was completed, ownership by landlords was changed to ownership by farmers, and agricultural production was restored and developed. Unifying the fiscal economy, including controlling major commodities, strengthening market, price and financial management, and further unifying fiscal revenue and expenditure, unifying material dispatch, and unifying currency issuance, achieved a fundamental improvement in financial and economic conditions by 1952. This laid a basic condition for forming a new economic system and carrying out planned economic construction.
The second step is to basically complete the socialist transformation of agriculture, handicrafts and capitalist industry and commerce. The three major reforms were basically completed in 1956, establishing the ownership structure of the means of production in which socialist public ownership had an absolute advantage. This is the basis of the entire socialist economic system.
The third step is to carry out planned economic construction and establish a centralized and unified economic system. In 1953, the first Five-Year Plan was implemented and unified management of key construction projects was implemented. Later, planned purchase and supply of grain were implemented, direct planning and in-kind allocation were mainly implemented for state-owned enterprises and some public-private joint ventures in the industry, materials, transportation and other sectors, and unified revenue and expenditure for finance, credit and labor wages were also implemented. , unified deposit and unified distribution and unified distribution. As a result, a centralized and unified economic system centered on the planned system was formed.
Regarding the formation of this system, the "Decision of the Central Committee of the Communist Party of my country on Economic System Reform" pointed out: In the early days of the founding of the People's Republic of China and during the first Five-Year Plan, our country was faced with the task of achieving national fiscal and economic unification and reforming the economic system. Capitalist industry and commerce carried out the arduous tasks of socialist transformation and planned large-scale economic construction, and gradually established a national centralized and unified economic system. At that time, the reunification was not yet complete in many aspects, and the methods and steps of socialist transformation were based on China's reality and made great innovations.
2. Preliminary exploration of economic system reform from 1958 to 1966
During the "Great Leap Forward" period, "left" ideas prevailed, and a series of major errors occurred in economic decision-making. In line with the goal of realizing the "Great Leap Forward", there were also many sudden changes in the economic system.
First, in terms of ownership, we are eager to pursue "one big and two public" and engage in "upgrading" and "transition" in an attempt to achieve a single state-owned economy and state management owned by the whole people as soon as possible. The people's commune movement started in rural areas, merging small cooperatives into large cooperatives, basically abolishing private land, and integrating administrative and social institutions. Urban transformation of "remaining private ownership" basically eliminates individual economy and self-employment, restricts collective economy and collective operations, and converts some into or merges into state-owned enterprises, and makes business methods, purchase and sales forms, distribution power, and laws uniform. This was all out of touch with the level of productivity development at that time, leading to the "production style", "exaggeration style" and blind command.
Second, in the relationship between the central and local governments, delegating management power without analysis is actually a "big let go". In response to the problem of excessive concentration of power in the past, it was necessary to decentralize management rights, but without analysis at the time, it went too far.
Third, in terms of the relationship between the state and enterprises, it is also necessary to expand the authority of enterprises, but in the context of the overall economic chaos, this will not help enhance the vitality of enterprises. At that time, it was stipulated to reduce mandatory indicators and implement a full profit sharing system. Enterprises had the right to adjust their organizations and allocate personnel, and handle fixed assets on their own. Due to the lack of correct leadership, indicators are raised at every level, the company loses normal management, and the economic benefits are greatly reduced.
Fourth, in the distribution system, whether in rural or urban areas, "one leveling and two adjustment" are carried out, which further develops egalitarianism, greatly dampens the enthusiasm of farmers and workers, and covers up the situation vigorously on the surface. down, labor productivity continues to decline.
In response to the serious difficulties in the national economy caused by the "Great Leap Forward", the central government decided to implement the policy of "adjustment, consolidation, enrichment and improvement". The center of the Bazi policy is adjustment. This policy was fully implemented when the "Seven Thousand People Conference" was held in 1962. To implement this policy, while reducing the scale of investment, slowing down the pace of development, reviving industrial and agricultural production, curbing inflation, and ensuring the people's minimum living standards, there are also corresponding countermeasures in the economic system.
First of all, strengthen the centralized and unified management of the central government and achieve a comprehensive balance. In order to overcome anarchism and decentralization, centralization and unity should be strengthened in economic management.
Secondly, start paying attention to the regulatory role of economic leverage. In order to correct the error of negating the law of value, attention was paid to the use of economic levers to regulate economic operations.
Thirdly, formulate various management regulations and strengthen economic supervision. In order to stop the chaos caused in various economic fields in the past few years, in addition to the "Sixty Articles for Agriculture", the "Seventy Articles for Industry", the "Forty Articles for Commerce" and the "Thirty-five Articles for Handicrafts" were also formulated. and "Sixty Articles on Higher Education", "Forty Articles on Scientific Research" and various work regulations such as planning and finance.
During the adjustment process, several explorations of institutional reforms were also made. For example: the trial establishment of trusts, the use of economic organizations to manage the economy, and the establishment of some national, regional and local companies in the industry and transportation departments in accordance with the principle of professional coordination; reform of the enterprise management system, in accordance with the "Industry Seventy Articles" ", requiring the state to implement the "Five Certainties" for enterprises, the enterprises to implement the "Five Guarantees" for the country, and establish a factory director responsibility system under the leadership of the party committee, etc.; to improve material management, it is required to refer to the practices of the commercial sector and arrange reasonable arrangements for production materials In the circulation link, supply outlets will be set up according to economic zones; two labor systems and two education systems will be trialled, that is, fixed workers will coexist with contract workers, temporary workers, and both workers and farmers, and full-time schools will coexist with part-time work and part-study, and part-agriculture and part-education. ; Appropriately expand local management authority, and on the premise of continuing to strengthen centralization and unification, gradually delegate some matters that should be managed by local governments to local management, including planning to leave flexibility and increasing the proportion of financial reserve funds, and giving authority to adjust material distribution, etc. . The institutional evolution during the adjustment period emphasized centralization and unification in response to adjustment-oriented tasks. Great achievements were made, difficulties were overcome, the economy recovered quickly, efficiency gradually improved, and a good situation rarely seen before emerged.
3. The great achievements of economic system reform since the reform and opening up
Since the reform and opening up, my country's economic system and operating mechanism have undergone profound changes. The highly centralized and administrative means The dominant planned economic system has basically "disintegrated", the fundamental role of the market in resource allocation under national macro-control has been greatly strengthened, the basic structure of the new system has been generally established, the pattern of opening up to the outside world has basically been formed, the comprehensive national strength has been greatly enhanced, and the people Living standards have improved significantly. Its main manifestations are:
First, the reform of the rural economic system has established a two-tier management system based on household contract management and a combination of unified management and decentralization, and social productivity has been liberated and developed.
Rural reform has become the starting point for my country’s economic system reform. Since the reform and opening up, major steps have been taken in the reform of the rural economic system: a two-tier management system based on household contract management and a combination of centralization and decentralization has been widely implemented, the "people's commune" system has been abolished, and mandatory plans for agricultural production have been abolished. The contract purchase system has been implemented; the prices of most agricultural products have been liberalized, and the state has implemented protective prices for major clothing products such as grain and cotton that are related to the national economy and people's livelihood; the development of various ownership economies and non-agricultural industries in rural areas has been encouraged, and township and village enterprises have emerged and developed rapidly; The integration of trade, industry, and agriculture and the "one-stop" construction of production, supply, and marketing have been promoted. Agricultural industrialization is in the ascendant. There has also been some development in adapting measures to local conditions, appropriate scale, and intensive operations, and small towns have risen rapidly. It can be said that after reform, rural areas, as the link with the strongest natural economy and the weakest level of economic development in the traditional economy, have basically taken the lead in entering the market economy track. The implementation of the new rural economic system and the continuous opening of policies have generally increased the enthusiasm of farmers across the country for production. The reform of the rural economic system has made great achievements, created miracles on earth, and played a great role in demonstrating and leading the reform and opening up in other aspects.
Second, the basic position of the market economy in resource allocation has been determined and has played a huge role.
In the past, mandatory plans were ubiquitous and all-encompassing, covering all aspects of the national economy. After reform, all mandatory plans for the production of agricultural products have been cancelled, and the state only implements guided plan management for the production of nine major agricultural products.
In the total industrial output value, the proportion arranged by national plans has dropped from more than 70% in 1979 to the current 4.6%; there are only 12 types of industrial products subject to mandatory plan management, and only among them Some of the output accounted for only 4.1% of the country's total industrial output value, a 90% decrease compared with before the reform. The production and prices of more than 95% of industrial consumer goods are independently determined by producers based on market supply and demand. In the total retail sales of goods, the proportion of state-managed prices in the total value of goods has dropped from more than 95% in 1979 to about 7.2%. A unified national commodity market has basically been formed. The development of factor markets, especially the capital market, has taken shape. By the end of December 1998, the total number of securities listed in Shanghai and Shenzhen had reached 999, with 851 listed companies, a total market value of 2.142 billion yuan, and 39.89 million investors.
Third, an enterprise management system aiming to establish a modern enterprise system is being formed and developed.
Although many state-owned enterprises are currently struggling in the fierce market competition, their management systems and operating mechanisms have undergone major changes compared with before the reform. The strategy of “grasping the big and releasing the small” and the measures of “three reforms and one strengthening” have been effectively implemented, and the establishment of a modern enterprise system is actively underway. The specific forms of reorganization and restructuring such as company formation, merger, alliance, leasing, contracting, joint stock cooperative system, bankruptcy, and sale are flexible and diverse. State-owned capital is transferring from some inefficient fields and areas that are not suitable for entry to basic, strategic and key industrial fields, thereby greatly improving the quality and quality of the state-owned economy.
This is not only conducive to the leading role of the state-owned economy, but also conducive to the development of multiple ownership economies. Many state-owned enterprises are transforming from a factory system to a company system; product management is changing to capital management; single investment entities are changing to diversified investment entities; decentralized and small-scale enterprises are beginning to turn to unionization and groupization. However, historical problems such as overstaffing, debt and social burdens in state-owned enterprises have not yet been fundamentally resolved, and their competitive conditions and environment need to be further improved. The reform of integrating the state-owned economy with the market and making state-owned enterprises become market entities is at a critical moment.
Fourth, the new system with public ownership as the main body and the simultaneous development of various economic components has added new content to the socialist economic system.
Before the reform and opening up, my country's economic sector was basically a single public ownership economy. After the Third Plenary Session of the 11th Central Committee of the Communist Party of China, the Central Committee of the Communist Party of China, based on the basic national conditions of the primary stage of socialism in my country, proposed the policy of adhering to public ownership as the mainstay, equal competition and coordinated development of multiple ownership economies, and actively explored the realization of public ownership. form, encouraging the development of individual, private and other non-public ownership economies, resulting in important changes in the ownership structure and completely breaking the single public ownership pattern under the traditional planned economic system. The structure of the state-owned economy has been greatly adjusted, and its control over the national economy has been greatly enhanced. For example: in 1978, the original value of fixed assets of state-owned enterprises was 448.82 billion yuan, and the net value of fixed assets was 320.14 billion yuan; in 1997, the original value and net value of fixed assets of state-owned enterprises reached 5,462.08 billion yuan and 3,887.85 billion yuan respectively, an increase of 10.2 times compared with 1978. and nearly 10 times. The public economy plays the main role and the state-owned economy takes the leading position has been basically realized. A situation in which different economic sectors such as state-owned, collective, individual, private, and foreign businessmen develop together in market competition has initially taken shape. This pattern of ownership not only adapts to the requirements of the development level of productivity in the primary stage of socialism in my country, is conducive to economic development, but is also conducive to the formation of a market mechanism full of vigor and vitality for multiple companies to compete.
Fifth, the mechanisms and means of using economic and legal means to regulate the economy are becoming increasingly mature and perfect.
When our country reformed the highly centralized planning management methods in the past, it did not let the market take its own course, but steadily strengthened the construction of the macro-control system. First, the fiscal system reform has made breakthrough progress. From the implementation of the fiscal system of "dividing revenue and expenditure and hierarchical responsibility" in 1980 to the establishment of a tax-sharing system based on division of responsibilities between the central and local governments in 1994, a new fiscal and taxation system framework that adapts to market requirements has been basically established and the national fiscal revenue has been guaranteed. steady growth. Secondly, the reform of the financial system has taken decisive steps. The central bank's macro-control and monitoring system has been initially established, and the control methods have been greatly improved. A financial organization system with state-owned commercial banks as the main body, separation of policy finance and commercial finance, and the coexistence of various financial institutions such as local joint-stock cooperative banks and foreign banks has been initially formed. The convertibility system of RMB under the current account has been realized. A unified and open financial market system with orderly competition and strict supervision has developed steadily. In addition, the reform of the investment and financing system has achieved substantial development, opened up a variety of financing channels, and attached great importance to the guidance of industrial policies and regional policies on social investment. In short, the framework of the new macro-control system has been generally established, and the state is increasingly using economic means to regulate social economic activities.
Due to the formation of an effective macro-control system, economic stability has been continuously enhanced while maintaining a rapid development rate. From 1978 to 1997, the gap in economic growth rate, that is, the difference between the highest annual growth rate and the lowest growth rate, was 11.4 percentage points; in the 26 years before the reform and opening up, the extreme difference in economic growth rate was as high as 48.6 percentage points. In particular, the current national economy is showing a good trend of "high growth and low inflation", which marks that our country has successfully got rid of the ups and downs and inflation that have appeared many times in history, and has begun to embark on the track of sustained, rapid and healthy development.
Sixth, a distribution system and social security system that combines distribution according to work and distribution according to factors are being established and implemented.
In the past, we implemented a highly centralized and egalitarian distribution management system, which severely suppressed the enthusiasm of workers. In a sense, China's reform began with the elimination of the egalitarian "big pot meal". Since the reform and opening up, we have resolutely implemented the policy proposed by Deng Xiaoping to allow some people and some areas to get rich first through honest labor and legal management. We have adhered to the principle of giving priority to efficiency and taking into account fairness, and implemented distribution according to work as the main body and various distribution methods. Coexisting policies allow production factors to participate in distribution, link effective personal contributions with economic interests, and effectively mobilize the enthusiasm of all parties. The egalitarian distribution method has been basically replaced by the distribution method of more reward for more work; the single distribution pattern has been replaced by a pattern of distribution according to work and the coexistence of multiple distribution methods. In order to solve the excessive income gap and ultimately achieve universal prosperity, while gradually straightening out the primary distribution relationship, we should focus on establishing a redistribution adjustment system with taxation as the main means. The traditional welfare housing distribution system is changing from physical distribution to monetary distribution. Welfare housing distribution has been stopped, and a housing provident fund system and an affordable housing supply system have been established.
Seventh, market economy regulations and a new economic order are gradually taking shape.
The market economy is a legal economy.
The more the socialist market economy develops, the more the legal system needs to be comprehensively strengthened. Since the reform and opening up, the National People's Congress has attached great importance to legislative work and accelerated administration and reform according to law. According to statistics, from 1979 to the end of 1997, the National People's Congress and the Standing Committee of the National People's Congress reviewed and approved 328 laws and decisions on related legal issues. The State Council issued and approved the issuance of 791 administrative regulations and multiple local regulations. Relevant departments of the State Council, There are about 17,000 regulations formulated by the regional people's government, which play an important role in regulating the behavior of market economy entities, maintaining market order, strengthening macro-control, enhancing legal awareness, and expanding opening up to the outside world. In order to adapt to the internationalization needs of the market economy and strengthen the international protection of intellectual property rights, our country has signed a series of international conventions, which also provided a legal basis for our country's early accession to the World Trade Organization.
Eighth, with two markets and two resources, the Chinese economy is moving towards the world economic stage.
In the early stage of reform and opening up, 4 special economic zones were established and 14 coastal port cities were opened. Later, the Hainan Special Economic Zone and Pudong Development New Area were established, and a series of open ports along the border, open cities in the interior and The development zone has basically formed a multi-level, multi-form, multi-field, and all-round opening-up pattern, and a foreign economic operation mechanism that adapts to international practices has been initially established. The reform of the foreign trade system continued to deepen. Starting from the end of 1994, the country canceled the foreign exchange revenue and expenditure plan. The total import and export volume increased from US$20.6 billion in 1978 to US$325.1 billion in 1997, an increase of nearly 15 times. my country's ranking in world trade has risen from 32nd to 10th. The government actively supports qualified domestic enterprises to enter the international financial market for direct financing. By the end of 1997, 41 national large and medium-sized enterprises had successfully been listed overseas, raising a total of US$9.56 billion in funds. Breakthrough progress has been made in absorbing foreign direct investment and utilizing foreign capital. Since the reform and opening up, more than 370 billion U.S. dollars of foreign investment have been actually utilized, of which the total foreign direct investment attracted is nearly 230 billion U.S. dollars; more than 300,000 foreign investment projects have been approved, employing 17.5 million people. Since 1993, my country has become the developing country that absorbs the most foreign investment in the world for five consecutive years. Overseas investment has also taken gratifying steps. By the end of 1997, there were more than 5,000 companies established overseas, covering 139 countries and regions around the world. While making full use of foreign capital, we also pay attention to effectively avoiding foreign debt risks.
In short, reform and opening up have brought about historic changes in my country's economic operating mechanism. The administrative directive and planned vertical allocation of resources have basically changed to the multi-party competition and horizontal market allocation of resources; this has been achieved Transformed from a seller's market with voucher supply and commodity scarcity to a buyer's market with a wide variety and rich products; realized the transformation from a closed and semi-closed economy to a multi-level, all-round open economy; the economic operation has changed from "shortage" as the basic feature The supply-constrained type is changing to a type that is dominated by market demand constraints and combined with resource constraints; the economic growth mode is changing from extensive management to intensive management; the national economy has shifted from ups and downs to sustained, rapid, and healthy development. Reform and opening up has effectively promoted the development of various economic and social undertakings and brought about earth-shaking changes in our country.
("Theory and Practice of Socialist Construction")