Policy Needs Of The Private Economy To Continue To Develop

The non-state-owned economy is the folk economy that is not owned by state and operated by government. It includes the enterprises that are held by society, collectivity, individual, private sectors, pool and non-state-owned power. The "non-state" includes and comes from "private", gives prominence to the idea of "folks oriented". Relative to state-owned and state-operated enterprise, the non-state-owned economy belong to non-state-owned and non-state-operated economy, because it's main bodies are folks;relative to autarky economy in which the family is the unit of production, the non-state-operated economy belong to commodity economy and not nature economy, because the purpose of operate is not to satisfy their selves but to get profits from the market competition.The non-state-owned economy has been more important in the national economy. It altered from "the profitable supplement" to "the important part of our country's socialist market economy". With the continuous reforming of national economic systems, the non-state-owned economy has played more and more important role in country' economy, has promoted and accelerated the fast increase of national economy and has been one mode of economy that has most energy. And in theory it has sufficient academic reason to develop the non-state-owned economy.The development of the non-state-owned economy is closely connected with the situation of policy supplied by the government. The systemic factors have most important affects on the development of the non-state-owned economy. The policy supply is the important function of government. The transfer of system has been realized through the continuous policy supply and actualizing, and through the competition between the government and the non-state-owned companies. The government has powerful affect on the development of the non-state-owned economy. The non-state-owned economy has both the satisfactory foreground and many restrictions to its development.Although the various inner factors have effected the continuous development andimpeded the momentum of promotion, the outer factors and conditions have a decisive affect on the existence and development of the non-state-owned economy. The history from the opening-up and reforming in which the changes of policy had caused the different stages has show us that the outer factors are most impediment of the existence and continuous development of the non-state-owned economy especially the small or middle ones.The restrictions and impediments of the non-state-owned economy from government exist in the relatively prominent problems: market admittance, financing restrictions and revenue problem.In respect of market admittance: in the initial stages, the policy of market admittance for the non-state-owned economy is not stable and had discriminations to the non-state-owned economy;at the respect of industry of market admittance, the non-state-owned economy had been in the dry tree comparing not only with the state-owned and collectivity-owned companies but also with the "three capital" companies;at the respect of domain of admittance of the non-state-owned economy, there are many discriminations to the non-state-owned economy;"the administration monopoly" limited the scope and size of admittance. The cause is: the traditional ideas of system of property rights impeded the acquirement of legal status of the non-state-owned economy;the biggest bondage to the non-state-owned economy is systemic bondage;and the absence of protection of the non-state-owned economy in the actual laws and criterions and in the directing ideas.In respect of financing: although the restrictions and bondages have been relaxed for recent years, there are a lot of problems in financing of the non-state-owned economy, including the lag of financing system and financing structure;the lack of the non-state-owned economy in capital market;the bank' cautious attitude, the absence of trust and discriminations to the non-state-owned economy;finally the difficulty in assurance.In respect of reforming of tax system, the actual revenue policy has caused the heavy burden on the non-state-owned economy. At the value added tax and income tax of company, the non-state-owned economy is higher than state-owned and foreigncapital companies in proportion of tax;at the collection and management of tax, the non-state-owned economy fall under various unfair treatment and discriminations that should not be.Based on the analysis of the outer factors that impeded the development of the non-state-owned economy, we can conclude that: the non-state-owned economy will not continue to develop fast and healthily, unless we adjust the policies in the three aspects. In respect of market admittance: we must deepen the reforming of system of property rights and economic system so that the non-state-owned economy can acquire the legal status finally in socialist market economy;we must support, encourage and direct actively the non-state-owned economy in order to build a loose environment for folk' investment;we must carry out the open, fair and impartial policies of investment to widen the scope of folk' investment, so we can fulfill the real "civil treatment" . In respect of financial problem: we should quicken the reforming of financial system and widen the financial markets in order to afford capital supports for the non-state-owned companies;we should build the institutions of credit and assurance in order to solve the bottle-neck problems of financial and development of the non-state-owned companies and to open the direct gate of financing;we should allow the non-state-owned companies to enter the market in the status of main body of market and to enjoy the real "civil treatment", so that they can be larger and stronger;we should build the protective system of law ,and elevate the level of management and strengthen the capability of companies. In respect of revenue: we should role the channel of collection and distribution of tax in order to alleviate the burdens of companies;we should consummate and carry out the benefit policies of tax on the small and middle the non-state-owned companies;we should encourage and accelerate the civil investment;finally the tax department should be legal in action and be firm in collection and management.