The Socialist Market Economy

A socialist market economy is an innovative concept, and building such an economy represents an innovative undertaking by the CPC in its effort to build a socialist country with Chinese characteristics. The 14th CPC National Congress in 1992 decided that the goal of China’s economic reform was to build a socialist market economy. Over the past 20 years, China’s socialist market economy has taken shape, though some challenges persist, including weak regulation, stunted production factor market development, lack of regulatory consistency, and insufficient competition.

New measures were proposed in the report to the 19th CPC National Congress to accelerate improving the socialist market economy. Economic reform must focus on improving the system of property rights and strengthening the role of the market in allocating factors of production, to ensure that property rights provide effective incentives for individuals to engage in economic activities, and to ensure free flow of factors, market-based pricing, and fair and orderly competition, which determines the survival of businesses.

It is important to better manage different types of state assets. The existing authorization process for using state assets needs reform. Public sector structural reform and strategic readjustment should proceed at an accelerated pace. Necessary measures should be taken to protect and increase the value of state assets, put them to effective use, and prevent asset loss.

State-owned enterprises need further reform to embrace a mixed-ownership formula. Efforts will be on-going to turn Chinese enterprises into world-class, globally competitive firms. A negative list for market access will be introduced nationwide. Regulations and practices that impede the development of a unified market and fair competition will be reviewed and abolished. Specific measures will be rolled out to support the development of private businesses, and help inject new dynamism into the business sector.

Business reform will continue, to break any monopoly imposed through administrative means, and prevent any other form of monopoly from imposing itself through market means. The reform will include the introduction of market-based mechanisms for factor pricing, relaxation of control over market access in the service sector, and plans to improve market regulation. It is essential to improve macroeconomic control in an innovative manner to enable national development plans to provide strategic guidance for economic activities, and to better coordinate fiscal, monetary, industrial, regional, and other economic policies.

Measures will be taken to stimulate consumer spending, and strengthen the role of consumption in promoting economic growth. Further financial system reform is necessary, so as to enable investment services to play a crucial role in improving the supply-side structure.

A modern public finance system will be established, with clearly defined powers and responsibilities at the central and local levels, to ensure better fiscal coordination and greater balance between regions.

A comprehensive, transparent budgeting system will be in place with clearly defined, evidence-based and binding rules. Results-oriented performance appraisal will be introduced nationwide.

Further tax reform will continue, and local tax systems will be improved. Institutional reform in the financial sector is on-going, with the aim of making it better serve the real economy. Other reform objectives include increasing the proportion of direct financing, and promoting healthy development of a multilevel capital market.

We will further improve our two-pronged framework of monetary policy and macro-prudential regulation, and facilitate a move toward more market-based interest rate and exchange rate regimes. The bottom line is to improve the financial regulatory system to forestall systemic financial risks.

社會主義市場經濟體制

社會主義市場經濟體制是中國共產黨在建設中國特色社會主義進程中的一個重大理論和實踐創新。1992年，中共十四大正式確立“中國經濟體制改革的目標是建立社會主義市場經濟體制”。經過20多年實踐，中國社會主義市場經濟體制已經初步建立，但仍存在不少問題，包括市場秩序不規范、生產要素市場發展滯后、市場規則不統一、市場競爭不充分等。

中共十九大報告作出加快完善社會主義市場經濟體制的新要求。提出經濟體制改革必須以完善產權制度和要素市場化配置為重點，實現產權有效激勵、要素自由流動、價格反應靈活、競爭公平有序、企業優勝劣汰。完善各類國有資產管理體制，改革國有資本授權經營體制，加快國有經濟布局優化、結構調整、戰略性重組，促進國有資產保值增值，推動國有資本做強做優做大，有效防止國有資產流失。深化國有企業改革，發展混合所有制經濟，培育具有全球競爭力的世界一流企業。全面實施市場準入負面清單制度，清理廢除妨礙統一市場和公平競爭的各種規定和做法，支持民營企業發展，激發各類市場主體活力。深化商事制度改革，打破行政性壟斷，防止市場壟斷，加快要素價格市場化改革，放寬服務業準入限制，完善市場監管體制。創新和完善宏觀調控，發揮國家發展規劃的戰略導向作用，健全財政、貨幣、產業、區域等經濟政策協調機制。完善促進消費的體制機制，增強消費對經濟發展的基礎性作用。深化投融資體制改革，發揮投資對優化供給結構的關鍵性作用。加快建立現代財政制度，建立權責清晰、財力協調、區域均衡的中央和地方財政關系。建立全面規范透明、標準科學、約束有力的預算制度，全面實施績效管理。深化稅收制度改革，健全地方稅體系。深化金融體制改革，增強金融服務實體經濟能力，提高直接融資比重，促進多層次資本市場健康發展。健全貨幣政策和宏觀審慎政策雙支柱調控框架，深化利率和匯率市場化改革。健全金融監管體系，守住不發生系統性金融風險的底線。