ABSTRACT
Since economic units are scattered, there can be no planned economy without an overall, integrated balance. In the past, the central ministries probably overlooked local governments, but after central authority is transferred down, a tendency of overlooking the whole situation can occur as well. The manufacture of thermoses should be concentrated in coastal areas, for long distance transport and sale is inappropriate; but the demand of the interior to be self-sufficient in everything is wrong, because it necessarily leads to waste of existing facilities. The localities should actually control the direction of financial investment. The use of funds may not be approved by one person, but must go through a specified organization. The system of revenue sharing between the Center and the localities will be basically unchanged for three years; however, after one year of implementation, there should be a partial adjustment if there is anything inappropriate.
