This is a misconception that the development of the private economy will bring instability. Private | Economy | Economic Development
Recently, the Central Committee of the Communist Party of China and the State Council issued the "Opinions on Promoting the Development and Growth of Private Economy", which pointed out the direction for the development of private economy on the new journey. It is necessary for the whole society to further establish a correct understanding of the development and growth of the private economy.
The development and growth of the private economy is equivalent to the growth and development of the national economy——
There is a widely circulated saying about the status and role of the private economy, that is, the private economy contributes more than 50% of China's tax revenue, more than 60% of GDP, more than 70% of technological innovation achievements, more than 80% of urban labor employment, and more than 90% of the number of enterprises.
Many private enterprises provide products and services that are complementary to state-owned enterprises or state-owned holding enterprises. Without a large number of products and services provided by private enterprises, it is also difficult for state-owned enterprises or state-owned holding enterprises to operate normally.
To promote the development and growth of the private economy is to help the national economy move towards sustainable development——
At present, it is necessary to use monetary and fiscal policy tools appropriately, but we cannot overly rely on these two normal tools. Under the influence of expected investment returns, the effect of interest rate cuts is limited. This has been proven by relevant policy practices. In the international economic environment of external interest rate hikes and exchange rate fluctuations, the space for interest rate cuts is also limited. Meanwhile, a large amount of government investment will inevitably increase the financial and tax pressures on governments at all levels.
However, if we further optimize the development environment of the private economy, clarify the economic resource boundaries shared between private enterprises and state-owned enterprises, and "harden" policy operations for the development of the private economy, it is likely to achieve twice the result with half the effort in promoting economic growth.
For example, an increase of 300000 yuan in investment by government departments or large state-owned enterprises may not have a direct impact on the job market. If an entrepreneur invests 300000 yuan to open a new small restaurant, it may increase the employment of three or four people.
Developing and strengthening the private economy is not a temporary solution——
Some people are limited by backward understanding and believe that the development of private economy to a certain scale and level will bring instability and insecurity to the economic system. This is a very wrong understanding. All actions of private enterprises and their controllers must comply with national laws and regulations, and enterprises must also bear social responsibility. Many private enterprises release social responsibility reports every year. In the face of major natural disasters, many private enterprises not only obey the dispatch of relevant government departments, but also actively participate in the fight against disasters.
According to information publicly disclosed by some listed companies, many high-end supporting products in China's military production system also come from private enterprises. Meanwhile, among thousands of listed companies, many private enterprises are the champions of segmented business tracks. All of this indicates that private enterprises in China play an important role in technological innovation, business model innovation, and other aspects.
Successful private entrepreneurs often go through hardships and work hard all the way. They often have unique personalities and a unique perspective when it comes to problem-solving. We need a good and tolerant social public opinion environment.
