Miracle of the Chinese Economy Rise of the Private Economy

Author: DAI Yuanchen, Editor-in-Chief
Publisher:
Publish Date: 2005-03-01
Features: After the decline of China's private economy, it experienced a resurgence. Initially proposed and implemented to create new job opportunities for urban unemployed youth and to provide livelihoods for a large surplus labor force in rural areas, the practical results were exhilarating. No one had anticipated that these small saplings would not only grow rapidly but also miraculously complete the initial capital accumulation in the development of private enterprises, rolling like snowballs into towering trees. During China's transition from a planned economy to a market economy, its rapid economic development was not driven by the success of state-owned enterprises reforms within the system, but by the rise of the private economy outside the system. Although the understanding of the private economy underwent a transformation during its rise, accompanied by repeated controversies, fluctuating policies, changing environmental conditions, and intense shocks.