Research On Development Of Mixed Economy In The New Reform Of State-Owned Enterprises

The reform of state-owned enterprises (SOEs)has been one of the central parts of the reform of economic system since 1978. The report ofthe Third Plenary Session of the 18th Central Committee of the Communist Party of China puts forward that we shoulddevelop a mixed economy vigorouslyto deepen SOEs’reform,which gives mixed enterprises anunprecedented economic advancement and reflects the affirmation and expectation of mixed economy’s contributions to the reform of SOEs from government.Accordingly, it is necessary to carry out a specialized research on mixed economy. Through reviewing the reform process of SOEs, this article clarifies the implication of mixed ownership and the key points to make it take effect, and evaluates breakthroughs and limitations of diversified ownership objectively, which contributes to advance and formulate rational expectation of diversified ownership.There are five sections in this article. The first partintroduces background, methods and structure about the research. Section onereviewsthe definitions of SOEs and mixed economy in conception and relative research achievements. Section twosummarizes the process of SOEs’reform and the reasons for developing mixed economy in the new reform.Firstly, the implementation of mixed economy helps to deal addressed drawback of SOEs in institution. Secondly, mixed economy has played an important role in our economy in the past reform and the government has accumulated plenty of experience in theory and practice, then it has the potential to become the main development direction of the next phase.Besides, both private economy and public economy have attained certain achievement, so it is not conducive to economic development if we split them into two groupsartificially and hold backtheir powerful combination of complementary advantages. Section three concludes that the reform of SOEs has not been completedand mixed economies in the past practice have nosignificant efficiency advantages by comparing efficiency about enterprise of different type. Consequently, the positive analysis leads to further discussion of the conditions to achieve the efficiency of mixed economy and to reflect its limitations. Internal conditions to develop mixed economy include perfect agent of the mixed economy, equal status between shareholders andreasonable classification in the mixed schedule, and external conditions include an equal footing with other companies as well as suitable mixing environment.In the last section, this article draws an conclusion that mixed economy is a good trial which need us to eliminate the factors hindering its development. However, reform towards mixed economy is an interim policy rather than an end in the SOEs’ reform, and there are more explorations in theory and in practice to achieve expected success for the reform of SOEs.