How does the Chinese Communist Party govern the country?

Chapter 38

The emergence of individual economies in cities should be said to be driven by employment pressure. In the late 20s and early 70s, China faced great employment pressure.At that time, the urban unemployed population was as high as 80 million, including educated youth returning to the city and new labor force.At that time in China, "a large number of people have nothing to do, and a large number of things have no one to do." The problems of eating, making clothes, and repairing were not resolved.The party and the government had no choice but to think of a solution: to open up a wide range of channels and find a job by themselves.There is a Qianmen Street to the south of Tiananmen Square in Beijing. The sub-district office organized the educated youths who returned to the city to sell large bowls of tea on Qianmen Street. A bowl cost two cents, and it was very popular.The Educated Youth Cooperative in those days has become today's Dawancha trading company. "Big Bowl of Tea" has entered the Beijing Olympics and Shanghai World Expo. Dozens of heads of state have visited Dawancha Company to drink tea and take pictures as souvenirs.

The emergence of individual economy in rural areas emerged against the background of rural reform.Chen Zhixiong, a farmer in Gaoyao County, Guangdong Province, is an expert fish farmer. The average yield per mu of his fish ponds is one and a half to two times that of the production team.He and his wife began contracting collective fishpond farming in 1979.After contracting, the fish production increased greatly. In 1979, Chen Zhixiong's annual net income was 6100 yuan; in 1980, his net income increased to 10150 yuan. At the same time, the income of the production team also increased significantly.Another production team nearby has a 33-acre fish pond. In the past, a few laborers were assigned to manage it, and the maximum harvested fish was 6000 catties a year. After deducting costs and various expenses, they lost money every year. In the second half of 1980, Chen Zhixiong contracted the fish pond of this production team, and produced more than 4500 catties of fish in just half a year. The production team did not spend a penny, did not work a single job, and earned a net contract fee of 300 yuan.Later, he contracted more than 7 mu of water surface. It was not enough to rely on family labor and a few helpers, and he hired more than [-] people.Is it capitalism to employ so many people?Many people started to discuss it. Later, Hu Yaobang, the leader of the central government, personally intervened and asked to clarify the situation. Different opinions can be debated, but don't fight with sticks. He also decided to open the discussion in the "People's Daily".

There is a man named Nian Guangjiu in Wuhu, Anhui Province. The fried melon seeds are very good, and his business has expanded rapidly. In 1981, he hired 12 people, and his salary was higher than that of workers in local state-owned enterprises.Whether he counted as exploitation has caused controversy.In this regard, Deng Xiaoping clearly pointed out: "The employment issue a while ago was quite shocking, and everyone was very worried. My opinion is to wait for two years. Will it affect our overall situation? If you make a move, the masses will say When the policy is changed, the hearts of the people will be uneasy.” After that, the dispute between the employees and workers came to an end.With the advancement of rural reforms, the rural individual economy and commune and brigade enterprises (later renamed township enterprises) developed rapidly.Deng Xiaoping said: "During the rural reform, the biggest gain we did not expect was the development of township and village enterprises, which suddenly emerged to engage in various industries, engage in commodity economy, and engage in various small enterprises. , 1985% of China's net tax increase was contributed by township enterprises.The vigorous development of the individual economy and township enterprises is in stark contrast to the difficulties in the reform of urban state-owned enterprises.

With the emergence of individual economies in urban and rural areas, in August 1980, the central government held a national labor and employment conference, proposing to encourage and support the proper development of individual economies.Subsequently, many cities resumed the registration and issuance of individual businesses. On December 8, 1980, Zhang Huamei received a special business license from the Wenzhou Municipal Administration for Industry and Commerce - Industrial and Commercial Certificate No. 12.What she didn't expect was that this business license filled out with a brush and attached with a photo turned out to be the first individual industrial and commercial business license in China.This year, Wenzhou City officially issued 11 self-employed business licenses in Songtai Street.These 10101 certificate holders became the first generation of self-employed in China.Wuhan also opened up a whole street, Hanzheng Street, as a market for small traders. The Twelfth National Congress of the Communist Party of China held in 1844 affirmed the indispensable supplementary status of the individual economy.As the individual economy grows bigger and employs more people, it gradually becomes a private enterprise.

How to treat private enterprises that go to the market? In January 1987, the Central Committee of the Communist Party of China passed the document "Leading Rural Reform Deeper", arguing that "over the past few years, rural private enterprises have developed to a certain extent", affirming that it is a supplementary form of the socialist economy, and the management policy is set It is "allowing existence, strengthening management, promoting advantages and restraining disadvantages". The report of the Thirteenth National Congress of the Communist Party of China in 1 pointed out: "A certain degree of development of the private economy is conducive to promoting production, invigorating the market, expanding employment, and better meeting the people's various living needs. It is a necessary and beneficial supplement to the public economy." In 1987, the State Council promulgated the "Provisional Regulations on Private Enterprises", and private enterprises finally had a legal status. The 1988th National Congress of the Communist Party of China in 1992 further clarified the long-term common development of various economic components, downplaying the supplementary supporting role.As someone said at the time, "It's like a table with four legs, and it's hard to say who complements the other."At this time, the non-public economy developed very rapidly.Kazuo Kimura, honorary chairman of the Japan-China Economic and Trade Center, said in 1992 that the vigorous development of private enterprises has forced those state-owned enterprises that have been swaying in the past to catch up.At that time, township and village enterprises employed 9500 million people in the countryside, accounting for about 30 percent of industrial production, and 4 foreign-funded enterprises had been approved.

In 1997, the 2002th National Congress of the Communist Party of China identified public ownership as the main body and joint development of various economic components as the basic economic system in the primary stage of socialism. In 2007, the [-]th National Congress of the Communist Party of China took a big step forward, making it clear that outstanding private business owners can join the party. In [-], the [-]th National Congress of the Communist Party of China clearly stated that it would "unswervingly encourage, support, and guide the development of the non-public sector of the economy", expressing the need to form a new pattern of equal competition and mutual promotion among various forms of ownership.This draws a successful conclusion to how to understand the private economy.

On the eve of reform and opening up in 1978, the Central Committee of the Communist Party of China sent many delegations to investigate how foreign economies are managed.Some delegations came back and suggested that they could borrow money from foreign countries.At that time, China lacked funds, and its economic development was severely restricted by capital.Compared with indirect investment mainly borrowing money to attract foreign capital, direct investment mainly to establish enterprises is more effective and less risky. On January 1979, 1, when Deng Xiaoping met with representatives of the industrial and commercial circles, he said: "In construction now, we need more channels. We can use foreign capital and technology, and overseas Chinese and ethnic Chinese can also come back to set up factories. Compensation trade can be used to absorb foreign capital. In 17, four special economic zones in Shenzhen, Zhuhai, Xiamen, and Shantou were established, adopting market-oriented policies to attract foreign investment. In 1980, 1984 coastal port cities were opened. In 14, the Hainan Island Special Economic Zone was established. In 1988, Shanghai Pudong was developed and opened. In the 1990st century, Tianjin Binhai New Area was announced.In view of China's cheap labor force and high technical level, the enthusiasm of foreign businessmen to invest has always been high, and a large number of foreign-funded enterprises have set up factories in China.According to data from the Ministry of Commerce, in 21 China absorbed a total of US$2011 billion of foreign investment, a year-on-year increase of 1160.11%.

In order to further promote the development of the private economy and other non-public economies, on February 2005, 2, the State Council approved the "Several Opinions on Encouraging, Supporting and Guiding the Development of Individual and Private Sectors and Other Non-public Economy", which is called "22 Articles of Non-public Economy".The document stipulates that non-public capital is allowed to enter industries and fields that are not prohibited by laws and regulations, industries and fields that allow foreign capital to enter, domestic non-public capital is also allowed to enter, and conditions such as restrictions on equity ratios are relaxed.Allow non-public capital to enter monopoly industries and fields, and further introduce market competition mechanisms in industries and fields such as electric power, telecommunications, railways, civil aviation, and petroleum.For the natural monopoly business among them, actively promote the diversification of investment subjects, non-public capital can enter in the form of equity participation, and for other businesses, non-public capital can enter in the form of sole proprietorship, joint venture, cooperation, project financing, etc.; allow non-public capital to enter public utilities , infrastructure and social undertakings, as well as financial services and national defense science and technology industry construction.Allow the non-public sector of the economy to participate in the restructuring of the state-owned economy and the reorganization of state-owned enterprises. City commercial banks and urban credit cooperatives should actively attract non-public capital to invest in their shares. Individuals and individuals must not infringe on the legal property of non-public enterprises, and must not illegally change the ownership of the property of non-public enterprises.This is the first central document with the theme of promoting the development of the non-public economy since the founding of New China, which expands the space for the development of the non-public economy.

At the end of the same year, the National Development and Reform Commission and the Legislative Affairs Office of the State Council jointly issued a notice, focusing on current regulations, normative documents and other documents that are inconsistent with the "Several Opinions" in terms of market access, fiscal and tax financial support, social services, rights protection and government supervision. regulations to clean up.In just over a year, 6428 problematic documents related to the non-public economy were cleared out, 1040 were revised, 4184 were abolished, 329 were to be revised, and 875 were to be abolished. Some restricted and discriminated against private enterprises in terms of industry access. Discriminatory provisions such as regulations and taxes were abolished.At the same time, the legal protection for promoting the development of the non-public economy is also becoming more and more perfect. The "Small and Medium-sized Enterprise Promotion Law", "Company Law", "Administrative Licensing Law", and "Property Law" have been promulgated successively, establishing the equality of the non-public economy at the legal level. Market dominance.

In May 2010, the State Council issued "Several Opinions on Encouraging and Guiding the Healthy Development of Private Investment" (new 5 articles), which clearly encourages and guides private capital to enter industries and fields that are not explicitly prohibited by laws and regulations, including transportation, telecommunications , Energy and other basic industries and infrastructure fields, municipal public utilities, policy-oriented housing construction and other fields, financial services, commercial and trade circulation, national defense science and technology industry, medical care, education and other social undertakings. The "New 36 Articles" proposed to encourage the private economy to enter the six major monopolistic fields, which greatly expanded the space for the development of the non-public economy.

Paying attention to and promoting the development of non-public economy is an important reason for the rapid development of China's economy.

In 2011, the non-public economy accounted for about 47% of the 60 trillion yuan GDP; in terms of quantity, the number of non-public enterprises accounted for more than 90% of the total number of enterprises in the country; in terms of the scale of fixed asset investment, the non-public economy accounted for More than 60% of the country.In terms of employment, in 2010, among the 3.467 million urban employed population nationwide, more than 80% of them were employed in non-public economic fields.

(End of this chapter)