Ren Zhongping reflects on 20 years since China established a socialist market economic system. The system has changed China's fate by reshaping the lives of 1.3 billion people and stimulating creativity and enthusiasm. It has led to China becoming the world's 2nd largest economy and raised living standards. Establishing this system was a major innovation in Marxist theory and has been the highlight of China's road of building socialism with Chinese characteristics.

1. Ren Zhongping: the socialist market economy has
changed the fate of China
To change the fate of China's historical choice
- Written on the 20th anniversary of the socialist market economic system
established
Ren Zhongping
(A) of the socialist market economic system was born 20 years.
20 years can achieve what? A baby, will grow into a the bodybuilding the youth.
One of land, that can be cropped the the the joy of of dozens of quarter of of
Manchurian Long positions in. An invention, it may create great wealth and a
more agreeable life. As one of the most complex process of institutional
change in the history of mankind, brought to China 20 years of socialist market
economic system, far beyond the extraordinary imagination.
1992, from the the the beginning of the year Comrade Xiaoping all the way
south, published the the Universal Declaration of of once again ideological the
liberation of of the, to the early summer with Comrade Jiang Zemin in the
central Party School published About the the an important speech of the the
socialist market economy, and then to the 14th National autumn the party's
large to determine the to establishing a socialist market economic system
China's economic reforms, "feeling the stones" has finally shaken off the
fetters of the planned economy. 20 years, to establish and perfect the socialist
market economy, this new revolution carried out on 9.6 million square
kilometers of land, laid the new basic economic and institutional framework to
achieve a new leap in understanding of socialism. In 20 years, it reshaped the
lifestyle and mutual relations of production of 1.3 billion people, has changed
the destiny of the Chinese nation, and affect the direction of the whole world.
(B) the market economy, a way to make the term of the Chinese people have
mixed feelings.
A century ago, when the Chinese bourgeois democratic revolution to
overthrow the feudal monarchy, the growing trend of monopoly capitalism is
experiencing an unprecedented crisis of the world-wide. Market expansion,
resource exploitation, the result of competition between rich and poor
differentiation, the pursuit of profit maximization of the value orientation of the
cycle of economic crisis ... nearly a century, the impression of the market

2. economy in the eyes of the Chinese people are negative, even once it has
been described capitalist society, the source of all evil.
Opening its doors until the late 1970s, China shocked the world changes, the
first time to stop and re-looked at the market economy, starting from reality
rather than from books.
Economic development can not be separated from the allocation of resources.
With the interests of incentives, changes in supply and demand, price
fluctuations, free competition mechanism lever, the market for people with
limited financial, material to optimally assigned to the various fields of social
production, efficiency and wealth enhancing. To rely on market economy, "the
the the productivity of created by by the the bourgeoisie in the in the the it less
than 100 years class domination, all the productive forces to create than in the
past everything day and age we still need more, but also large." Improving the
market economy, many capitalist countries in the period of time to ease social
conflicts, promoting economic development, gained the upper hand in global
economic competition. http://www.cheappandorasale.biz/
The the dialectical of history, and reflected the in the the the people pairs of
understanding of the law among the the constantly deepen the of. China when
the time come to the threshold of the 21st century, once the market economy
as something peculiar to capitalism ", now to a market economy beckons.
(C) start from zero kilometers, the road of China's market economy, it is not
sunny smooth road.
This is the the a very thought-provoking the fact that - 20 years ago, the When
the the Communist Party of China for the first time will be "market economy"
written on the the socialist banner of, that it encounter is not just domestic
popular among the 'worry and anxiety of the the the people of the the the
traditional concepts and the subjective bias the shackles of, more in the market
economy on the road through the several hundred years of Western political
elites questioned.
This is to be paid attention "advice" - in 1991, former British Prime Minister
Margaret Thatcher's visit to China when he said: "socialist market economy
can not be compatible with the socialist market economy, wants to market
economy must be implemented to capitalism, privatization, it was predicted to
do so, not a socialist system to stifle the vitality of the market, the market
economy, the evolution of the socialist system ". Some people assertion, more,
"engage in the of a market economy socialism with Chinese characteristics, in
essence, is the with Chinese characteristics of the capitalism".

3. The past 20 years, when the prophecy is still posted on the milestone in the
history, contrasting with the hardships and glory of a new road. "Socialist +
market economy," a new socialist development of the formula embedded in
contemporary history, the activation of the Chinese economy, stimulate the
enthusiasm and creativity of hundreds of millions of people.
20 years, China's economic aggregate ranked second in the world, per capita
GDP into the ranks of middle-income countries; "to education, employment,
medical services and a sense of security, and housing" from the people a step
by step, the vision turned into reality.
20 years, proudly joining the WTO, ranking the world's largest exporter. Along
with the WTO principles of non-discrimination, transparency, national
treatment and fair competition to penetrate the institutional mechanisms, we
have successfully integrated into the mainstream of world economy, louder
voice "in the international arena.
20 years, the country the vast majority of goods and services, price
liberalization, the market system robust development towards a unified, open,
capital, technology, labor, land and other elements of the market to speed up
the process; reform of state-owned enterprises to tackle tough, the
administrative system gradually break out of taxation, finance, foreign trade,
rural, investment, social security, resource prices, monopoly industries and
other areas of reform step by step forward, expanding the scope of
comprehensive reform.
20 years, we move from shortage to sufficient, from a seller's market into a
buyer's market, turned to the pursuit of people-oriented, comprehensive,
coordinated and sustainable scientific development from the pursuit of
economic growth. Rich and affordable on the socialist market economy has
brought not only material, but also brought about the emancipation of the mind,
ideas, free movement of persons, the development of increased opportunities,
and equal competition, efficiency, rule, rule of law and market awareness of
the wake ......
The socialist market economy, not just as Deng Xiaoping's assertion "does not
exist fundamental contradiction", but also in the mutual chemical reaction
greatly liberate and develop productive forces. Over the past 20 years,
socialism not only did not the market economy "peaceful evolution", but
prosperity in the market, rapid economic growth in the glow of unprecedented
vigor and vitality. Despite the doubts of this path is not yet vanished, but the
fact of the iron repeatedly confirmed a firm judgment - "China does not go this
route, there is no other way this road is the gateway to the rich and The road to

4. prosperity. "
(4) Only In retrospect, we know that they have come out far.
Different from the utopian socialists, Marx and Engels did not provide a
detailed blueprint for future society after the demise of capitalism. They are just
rough to assume that the future society will be a planned economy, commodity
money relations will gradually disappear.
The Soviet Union was once a thriving socialist economy, in the minds of the
Chinese pioneers who laid a deep imprint. The Soviet Union as a teacher, the
basic characteristics of the socialist planned economy as a market economy
and capitalism are equated, and deny the possibility of a market economy
under the socialist system and development to become a long period after the
founding of new China time, no doubt about the theoretical principles.
Looking back, reflect on the drawbacks of the model of the Soviet Union, to
explore the socialist economic model in line with their national conditions,
Comrade Mao Zedong in 1956, "On Ten Relationships" had emerged.
However, a sophomore public "concept under the weight of the" Three-Self a
bag of "grass does not rise; down decentralization of institutional
decentralization" from time to time encounter a flat tone typhoon swept;
recurring curse of "adjustment, consolidation, enrich and improve" like a flash
in the pan, put - chaos - Collapse - death always lingering ... the rigidity of the
ideas, the level of awareness limitations of these attempts can only plan
tinkering under the economic framework. Exploration of the socialist economic
model, the end is not out of the country's economic reform model in the Soviet
Union and Eastern Europe "cap".
The drawbacks of the economic system and the impact of the political
movement, not only stifle the development of market economy, even to make
the planned economy itself unsustainable. Years of planned economy,
although it laid the basis of the industrialization of the Republic, but the past
three decades, the Chinese economy is still a shortage economy, the poor
economy, the rigid economy.
Example is a repeated references have two factory in Shenyang, a transformer
factory, owned by the Department of Mechanical tube; a smelter, owned by the
Ministry of Metallurgical tube, copper transformer factory by the Ministry of
Machinery from Yunnan, a large number of transport, while Smelter production
of copper by the Ministry of Metallurgical assigned to the country. The wall
separates the two companies can not be horizontal linkages, wasting a lot of
manpower and resources. When the "People's Daily published a cartoon: a
company to buy a typewriter, take a train to Beijing to consult the documents

5. related to department leadership desk piled thick stack.
Crisis, opened the door of the emancipation of the mind. Change, the most
critical link point to economic activity - resource allocation. The Third Plenary
Session of the Eleventh CPC Central Committee opened the curtain of the
reform and opening up, get rid of ideological superstition, seek truth from facts,
the mental state of the whole of China for a new one. With the deepening of
economic reform, with the thriving commodity production and exchange, from
12 Third Plenary Session of the concept to the party's 13th, the commodity
economy increasingly popular, groping towards a market economy step by
step closer.
Decisive turning point occurred in 1992, the 14-year plan to reform and
opening up and market to the debate to an end. The 14th Party Congress
solemnly declared: "China's economic reform goal is to establish a socialist
market economic system. Since then -
In 1993, 14 Third Plenary Session of the CPC Central Committee Decision on
the establishment of a socialist market economic system, lays out the basic
framework of the socialist market economy;
1997, the party's 15th National public ownership is dominant, the economy and
allowing diverse forms of ownership and common development "clear the
basic economic system of the primary stage of socialism, the major innovation
of the theory of ownership;
In 2003, the Third Plenum make the decision of the CPC Central Committee
on improving the socialist market economic system ", marking the Chinese to
enter the period of institutional innovation to improve the market economic
system as the core content ...
If the reform and opening up is a critical choice to determine the fate of
contemporary China, for the establishment of socialist market economy, open
to the reality of the door; then the establishment of a socialist market economic
system, establishing the most important focus of the reform and opening up,
played reform and the great cause of the most stirring of the grand movement
of people. It not only laid the path and direction of reform and opening up, but
also created a magnificent era of upheaval in the land of China.
This is the historical choice to decide the fate of China. Along this trajectory,
China's economic reform has gone through a man suddenly in the initial stages.
Under the command of the scientific concept of development, innovation and
political system of the economic system, cultural system and social
management system innovation are intertwined, supporting each other.

6. China's reform and opening up the ship is heading for a deeper, farther and
more magnificent sea.
(E) establishing a socialist market economic system is a major innovation in
the theory of Marxism.
What a departure from Marxism, or the development of Marxism? Develop a
market economy under the socialist system gave birth to the date of facing
such a sharp torture.
Marx and Engels indeed predicted that in a socialist society, the capitalist
private ownership of the means of production is socialist public ownership is
replaced by the whole society the production of the plan will replace the
anarchy of social production. Lenin also indeed once stressed that the, as long
as the the the market economy is still exist, as long as the also maintained a
currency the powers and capital of forces, the any legal Du on of the the world
is can not get rid of the inequality and exploitation. However, in a specific
environment for the future, you should do something, you should immediately
do something, which of course depends entirely on the people will have in
which activities that established the historic environment, to uphold the
scientific attitude theorists, Marx never an ideal target on the other side, to
impose also reality on this side of people. As realistic revolutionaries Lenin of
old age "of the entire view of the socialist fundamentally changed," he
proposed "new economic policy", the need to develop the commodity economy,
capitalism and building a socialist.
Deng Xiaoping's great, is both a true Marxist kind of pragmatic attitude and the
courage of the emancipation of the mind.
- China's socialist society is and will be long-term in its infancy. The theory of
the primary stage of socialism, opposed to an ideal instead of reality, and laid
the foundation for the introduction of market economy from the standpoint of
historical materialism.
- The development of socialist productive forces, enhance the comprehensive
national strength of the socialist countries, to improve people's living standards.
Criterion, "three" is the root of the problem of abstract ideological debate.
- Plan a little more to market forces is not the essential difference between
socialism and capitalism. Talk in the South, tear up the label, has long been
attached to the body of market economy capitalism and building a socialist
market economic system not found on this classic answer of "world and the
challenges of the century" and thus the essay.

7. Socialism to a market economy, which is a great innovation for the
development of Marxism in the New Communist Party of China for "what is
socialism and how to build socialism" creative answer. Disperse the fog of
stalking all my heart, unlock trouble a big question mark about the overall
situation of socialist modernization, and socialist economic theory, more full,
more alive, more times.
(F) the establishment of the socialist market economic system is a major
highlight of the road of socialism with Chinese characteristics.
In the pursuit of modern Chinese copy books, superstition over dogma,
through a lot of detours. High tuition fees allow us to wake up: Only the
universal principles of Marxism with the concrete practice of China combined
to go its own way, building socialism with Chinese characteristics, can be a
strong nation, to the great rejuvenation of the Chinese nation.
Go its own way, easier said than done. Every step of the innovation, are faced
with radical dual challenges of ossified dogma and beyond the stage; every
breakthrough, have suffered the inheritance and development of realistic and
long-term, progressive and break through the barrier of the dilemma; every
decision, may touched a vested interest in cheese, lost in the "to do the cake
and the cake," difficult to reach.
The economy and allowing diverse forms of ownership and common
development, will shake the dominant position of public ownership? Non-public
economic development, will erode the fairness of socialism? Market failure and
government abuse of power, what kind of risk? Efficiency and fairness is more
important? How can we achieve a win-win rather than non-engaged? The
establishment and improvement of the socialist market economic system, it is
in the encounter and so on thorny issues to move forward. Only in
extraordinary difficult, but also highlight the great significance; more
complicated, the more superior wisdom.
Building a socialist market economy as the core content of economic reform,
has opened a contemporary Chinese economic transition, social transition, the
development of the changing way of the curtain. 20 years, began in the
economic field break the ice, and stirred a huge response for all-round reform
and development of reference and power: the transformation of government
functions, to maintain fairness and justice, building the market economy of the
legal system in many other areas of political, cultural, social, for the
construction of socialist democratic politics and a huge demand for traction;
give full play to the important role of the market in the configuration of cultural
resources, and become an important means of building an advanced socialist
culture and means; deepen the reform of the social management system to

8. coordinate the interests of all parties, so that economic development to benefit
more people, the building of a harmonious society is the inevitable choice in
the market economy, advance to a certain stage ...
If, 20 years ago, a huge turning point in the revitalization of socialism from the
rigid theory, then the glorious 20 years of practice are difficult to explore
refresh people's understanding of the mode of economic development for the
modernization of the country opened out a new path.
(G) establishing a socialist market economic system is a major contribution to
the development of socialism in the world.
In 1516, Thomas More's "Utopia" to be donated to the dreams of countless
socialist beliefs. In 1848, the "Communist Manifesto" blew the horn "around
the world, unite". From utopian socialism to scientific socialism, the
generations pursued the exploration and understanding of socialism vary.
Drastic changes in the Soviet Union and Eastern Europe, the world socialist
movement were hit; the collapse of the Soviet Union, developing countries
generally fall into the reflection. Many scholars in the West that socialism came
to an end. However, the failure of the Soviet model does not represent a failure
of socialism, socialist ideals are not devoid of socialist practice, nor had
stopped.
Be foreign as the new Chinese regime "socialist market economy, breaking
down the traditional economic model of the socialist economic system
innovation, socialism based on the solid earth, truly active and thrive in China.
The brilliant achievements of socialism with Chinese characteristics, so that
once again be reflected in the vitality of socialism. Under the haze of the
international financial crisis, the Western world a reflection of the
"consultations" for capitalism, "save capitalism from the capitalists," the voice
sounded again, "Beijing Consensus" re-activated the different development
model, with different social the imagination of the system. 1/5 of the global
population is to fulfill the practice of this change, and deepen people's
understanding of socialism, socialism with new vision.
This is not only the latest achievements of scientific socialism in contemporary
Communist Party of China, the development of socialism in the world and
describe important revelation: any system should withstand the test of practice
in different social soil, under different historical conditions. Courage to the
trend of world civilization with its own development and progress, good will
combine modern law with its national conditions, socialism can radiate vigor.

9. To be effective, to be fair to a socialist to a market economy. Continuous
improvement of this new economic system, to promote China's reform and
opening up and modernization to a new high point, displaying a magnificent
landscape of the human society.
(H) "occurred in the past 20 years, is any plan to plan out." Was to evaluate the
use of such rhetoric, a miracle created by the socialist market economy in
China's vast.
The achievements of these "Plan" does not fall from the sky, is also not a
"market economy one to engage in the spirit" of the simple logic that can not
be explained. Behind them, embody the concept of reform and development
based on national conditions, inclusive, bears many of the summary and
deep-seated need to be further summarized the law and experience -
Understand the two "inequality". Chinese people from the "planned economy is
not equivalent to socialism," the market economy is not capitalism, "the
exposition of the harvest is thinking to explore the endless courage. Make bold
changes and innovations, and never rigid, never stagnant, become the source
of power for 20 years, people continue to overcome ideological obstacles.
Grasp the two "focus". Focus on the liberation of the development of
productive forces, "three" inspection reform effectiveness is 20 years of market
economic reform is the most important foothold in China.
Adhere to the "two unwavering." Unwaveringly consolidate and develop the
public sector of the economy, unswervingly encourage, support and guide
non-public economic development, diverse forms of ownership to force the
release of the infinite energy of the market players.
Adhere to the "two hands". Good market allocation of resources for this
"invisible hand" and the government's macro-control only the "visible hand" of
the socialist market economy is showing great superiority relative to the free
market economy.
Play to the initiative. Focus on fiscal reform and administrative reform,
adjustment of central-local relations, and continuously improve the central
macro-control capacity, enhance local development.
Make good use of the "two markets." Going out and bringing to full use of
international and domestic resources, a more powerful China, gave birth in two
general situations of international and domestic co-ordination.
To build two security system. To build a code of ethics and the legal system,

10. compatible with the socialist market economy and to build the world's largest
social safety net, enhance national security and happiness, to maintain and
achieve fairness and justice.
To prevent the two tendencies. Resolutely eliminate the interference of the left
and right, fear no risks, not confused by any interference, do not take a rigid
and closed the old road, do not walk Gaixian changing of the guard astray.
20 years, it is the socialist market economic system combined with the basic
system of socialism, and constantly deal with these in pairs of the complex
relationship process, the market economy out of a unique path in socialist
China. 20 years of exploration gave birth to a unique experience and ability to
control, let us in the face of the rare heavy and arduous tasks of reform and
development, the face of complicated contradictions and problems, in the face
of predictable and unpredictable risks and challenges, with an unprecedented
calm and confidence.
(Ix) the establishment of a socialist market economy era left us a valuable
asset. Improve the socialist market economy, is a glorious mission history has
given us.
20 years of market economic reforms, China's economy brought to the
continued growth in the fast lane trek on the road to modernization onto a peak.
However, be vigilant in peace time, we have not had a moment forget that
"unbalanced, uncoordinated and unsustainable" development potential risks;
little worry, "and later developed than not to develop less.
Up the total economic output, the quality of development needs to be improved,
to hinder the economic development pattern of the drawbacks of the systems
must speed up to clear; non-public economy is booming, but not completely
overcome, breaking administrative monopolies restricting its development and
growth of institutional barriers, promote the rising voice of fair competition;
administrative system continued to deepen, but the economic regulation
offside, the absence of market supervision, social management, misplaced,
public services are not in place, the problem persists, the urgent need for
government departments to accelerate its reform; security system lag birth of a
social anxiety, the trend of widening income gap become a social risk, and
adjustment of relationship is the most urgent task of building a harmonious
society; factor markets underdevelopment, distorted price signals and hinder
the optimization of resource allocation, market-oriented reforms of the
elements of the field need to further promote the ... ...
Construction and improvement of socialist market economy is an extremely
complex systems engineering, and more forward, touched the deeper

11. contradictions, the more complex interests involved, the greater the problems
encountered. "Adhere to the direction of reform of the socialist market
economy, reform and scientific decision-making, and enhance the coordination
of reform measures, identify breakthrough in deepening reform and opening,
and a clear focus of deepening reform and opening up, seize the opportunity to
push forward the reform in important fields and key links" Comrade Hu Jintao's
speech at the General Assembly to celebrate the 90th anniversary of the
founding of the Communist Party of China, declared the strategic choice of our
party to address these problems.
Firmly grasp the theme of scientific development, to deepen cooperation to
accelerate the development of ways to change the main line of economic
reform, and promote the equalization of basic public services as the main line
of social reform, adhere to the administrative reform of the main line to the
transformation of government functions, from the " The goal of 2020 to
establish a relatively complete socialist market economic system "only eight
years, only continue to deepen reform unswervingly in order to properly
resolve the" Growing Pains ", through the reform of the deepwater reefs and
waves.
(X) 1992-2012, spread the seeds of the market economy into the socialist soil,
the growth of strong, exuberant vitality of the great achievements, more than
all the people had the imagination. Various contradictions, problems and risks
it may encounter in the future on the road, the same non-specific foreseeable
20 years ago can.
The beginning of the 20 "stepping stones" along the way, if the reform, we are
faced with nine loop "river", the future, we should cut across the magnificent
"sea". Let us remember the history of the earnest exhortations: "from now until
the middle of the next century will be very critical period, we have to work hard.
Heavy burden on our shoulders a great responsibility."