Zhongcaiwei And Economic Order In The Early Years Of New China Established

At the beginning of the people’s republic of China, the national economy was onthe verge of collapse after a long-term destruction and attrition of the war. Theobstruction of urban and rural, the recession of market, the abnormal rampant ofspeculation and profiteering and the runaway increase in prices make people live inprivation. At the same time, the partial war was still go on, Chinese Communist Partyconfront the tremendous financial crisis because of the expenses of nine million staffof military affairs and politic require and the gradually recovery of national economy.As the Finance and Economy Committee of the Central People’s Government, whichunified manage our national revenue, was started from extremely poor and wakeeconomic foundation to build a new economic order in a short time, which overcomesthe shortage of talents and the deficiency of nature resources and make significantcontribute to the quick recovery and improvement of national economy in the earlynew China. The academic circles had sufficiently researched about the economicachievement in the early founding of China. But pay less attention to the Finance andEconomy Committee of the Central People’s Government. However, the researchabout this committee’s function in the founding of economic order of new china waspretty wake. Through the investigation the implementation of new democraticeconomy platform, the institution and practice of financial policies of Finance andEconomy Committee in the founding of economy order, we can reveal the transitionfrom semi-colonial and semi-feudal economic pattern to new-democratic economicpattern, and the exploration of develop road made by Communist Party. Meanwhile,the research of the historical contribution for the recovery and development ofnational economy made by the Finance and Economy Committee under the hardcondition could reflect the historical necessity of the ruling Chinese Communist Party.Started from the establishment process and the organization mechanism of theFinance and Economy Committee, the thesis combs its predecessor and also its innerstructure and working methods. Moreover, the paper analyses the basic circumstanceof its inner institution changes from establishment to the withdrawal period.Based on the former analysis, the dissertation expound the graduallyestablishment of new china’s economic program after a long-term exploration. Theeconomic program is the fundamental guiding to the Finance and Economy Committee to launch all kinds of work. According to the objective established byeconomic program and combine with the economic situation of the early founding ofnew China, the primary mansion is to build a unified system of economicmanagement by putting the market environment in order, and strive for keepingbalance between budgetary revenues and expenditures, regulate the economicactivities such as industry and commerce, transform or eliminate the ills of old society.Finally set up the economic order in the early new China.In order to build the economic order, the most pressing matter is to rectify theextremely disordered market order, strike the activities of capital speculation anddispel the vicious inflation. Combining with the economic measures andadministrative means, and comprehensive utilize the instruments of trade, bankingand finance, the Finance and Economy Committee continuously achieved triumph ofagainst capital speculation, swiftly stable the price, and win the initiative of marketcontrol. But still not loose the attention to the price. During the Korean War, thespeculative forces stir up troubles again, in face of this situation, he Finance andEconomy Committee promptly take measures to avoid the fluctuation of price.Owing to the unified management of national finance and economy from ourgovernment, the price maintain stable and also give strong guarantee to strive forkeeping balance between budgetary revenues and expenditures. The new China hasalready been established, which objectively needs to concentrate financial power andmaterial resources on matters of great importance. Under the leading of theCommunist Party, the Finance and Economy Committee ensured the opportunity ofunifying the finance and economy; rapidly realize the unified management to thecountry, by widely publicity and effective deployment. However, after the expositionof the limitations of unified financial, the Finance and Economy Committee adjustedthe relationship between central and local governments in light of local conditions.Consequently mobilized the initiative of the local governments.The situation of fiscal balance is the great matter affected the development ofsocial economy, and also is the foundation of normal economic order. The Financeand Economy Committee unified the tax policy and increase the tax collection.Moreover, issuing the first bond to raise found, drawing up the national fiscalbudgetary, and prescribing the missions and objectives for national finance toaccomplish. Through the former measures, we achieved the essential improvement of fiscal situation.After the stabilization of prices of commodities and unification of finance,private businesses cannot be able to run the Finance and Economic commission of theCentral people’s Government in collaboration with government carries out policiesabout every aspects in adjusting the business polices which pay more attention torelation between publican and privacy, employee and employer, produce andsale.Meantime, they turn to order and purchase native products to help privatebusiness out.Through conducting these important economic activities, the Finance andEconomy Committee has broken the traditions and achieved innovations, establishingeconomic orders of new China.Looking back to efforts Finance and Economic commission of the Central people’sGovernment has made to formulate economic orders of new China, we summarizeand absorb the brilliant work methods and experience on finance to facilitate ourstudy.