Choice Of Policy To Promote The Private Investment

As the systematic reform deepens and the economy continues to grow fast in China, the development of private investment has been increasingly concerned about, since it plays an important roll in developing the national economy, expanding the employment, activating the market and pushing the reforms of the economic systems. It's become a main force for the economic and social developments in China. In recent years, however, the decrease of the private investments has greatly influenced the results of the positive financial policies adopted by the Government and the steady growth of the national economy. Therefore, to further activate the private investment and achieve better economic results is certainly a logical choice under the market economic system.Based on the theories of investment, of investment cycle and investment efficiency, and with the main line of enhancing private investment, this thesis, starting with the current scales and structures of private investments, presents a further study on the factors in the system and policies which hinder the development of private investments. It points out that the basic cause for the inefficiency lies in the fact that the development of private investment is influenced by the uncertainty of the expected benefits, and by the systems, policies, ideologies, environment and markets, etc.According to the current economic situation and the problems in private investments in China, the thesis puts forward the following policies to enhance the private investment and push the development of the national economy: To continue to deepen the reforms and innovations of the system, create a better environment for investment policy and minimize the influences by the system; To improve the systems and adjust the micro-economic systems according to the system environment; To strengthen the financial support to the economy, especially to the private investment and improve the various service market systems for its development; To break up the monopoly by the governmental organizations beyond the economy; To gain a better knowledge of the private investment, away from the fetters of the conventional views, to give full play to the regulating and instructing function of the governmental investment to the private investment, so as to push the continuing, fast and healthy growth of the national economy.