ABSTRACT

China is now undergoing an in-depth economic development and social transition. Historically, except for China, no other country has ever achieved such a quick economic growth and such an extensive social transition with regard to such a huge population and within such a short period of time. In particular, since the beginning of the reform and opening up, China has already experienced three historic transitions: the first was from a traditional agricultural society to a modern industrial society (namely, industrialization); the second was from a centrally planned economy into a market-oriented one (namely, marketization); and the third is from a closed economy into an open one (namely, economic globalization). Many distortions and deficiencies existing under the previous planned economy have been gradually eliminated. Market force is now playing an increasingly important role in economic operations and decision-making.