Till now, we have looked three big problems: the tendency of deflation, the problems after the entry into WTO, and the outcomes of economic globalization. In fact, we still have many other troubles to solve. I now just point some of them. First I??d like to raise a new concept ??Reform Cost??, which means the cost of some twenty year??s reform. After many years of reform, we can see that the living condition of our people has increased a lot, but there so many people still live in poverty. Meanwhile, there are several millionaires enjoy their life through drugs and outlaw activities. Is it a fair play? The answer is absolutely not. The rich try to evade taxes and do not like to share a little with their fellows, or even dare to invest any money to help them. Simultaneously the poor experience the torture of reform cost, such as, unemployment, laid out, extremely hard works. It??s the poor and the average people take the responsibilities of reform cost, but not the rich. This makes our economy develops in a lopsided and abnormal way. We must stress more restrictions on the rich and force them to invest their money to help others development. At the same time, we also need set up perfect social security system for the poor.
Another trouble I refer to is the bureaucracy in our economic system. We could find this kind of bureaucratic taps (also called ??red taps??) everywhere. They hinder our economic growth and the entire country??s development. They set up unfair competitions and make people believe they are the masters, it is impossible to develop yourself without their helps. If we want to compete in just environment, we must set up an impartial and honest government. No justice, no competition.
Because we are now setting up socialist economic system with Chinese characteristics, there have no direct and indirect experiences for us, we must practice with our own experiences, and perfect ourselves through changes and improvements. There has an old saying that ??Practice makes perfect.?? With all these problems I point out ahead, it??s really difficult for us to achieve a promising future. On the other hand, if we deal with these troubles properly, they will give us a kind of power, a kind of responsibility, by which we could get a happier life in near future and accomplish great national rejuvenation of our country.
IMF: World Economic Outlook. October, 1998
Baily, Martin Neil, Macroeconomics, Richard D. Irwin, Inc., Boston, M.A., 1st Edition, 1991.
NSB (National Statistics Bureau): Yearly Report (1978-1999).
Hyman, David N., Microeconomics, Richard D. Irwin, Inc., Boston, M.A., 2nd Edition, 1992.