The process of reform will accelerate and the basic issues
restricting China's long-term development will be targeted,
according to the report delivered by General Secretary Hu Jintao at
the 17th National Congress of the Communist Party of China
(CPC).
First, innovation will be the key to promoting development.
There are three types of innovation: ideological innovation,
scientific innovation and technical innovation.
Since the 16th National Congress of the CPC, the Central
Committee of the Party, with General Secretary Hu Jintao at its
core, has put forward a series of important strategic thoughts such
as the Scientific Outlook on Development and the building of a
harmonious socialist society. These concepts emerged at a time when
the country faces unprecedented opportunities and challenges and
are examples of ideological innovation. The implementation of these
concepts after the 17th National Congress will lay a solid
foundation for innovation in other fields.
The historical process of China's development shows that
innovation has always been a key factor. In the long run, the
competition between countries is basically a competition of the
ability to innovate. History has proved that countries with a fine
environment for innovation enjoy a high level development while
those who inhibit innovation generally have a low level of
development. The lack of innovation creates insufficient drive for
social development.
In the initial stages of development, developing countries
usually face the following problems: backward technologies and
inefficient production. Developing countries can import advanced
machines, improve productivity and reform backward systems. Their
economies will grow at a relatively brisk pace for a time. But if
they only import without innovating, the speed of their development
will prove unsustainable.
China's social and economic development have reached a
reasonably high level, and innovation has become a pressing and
vital issue. Guided by the Scientific Outlook on Development, our
systems and policies will be reoriented toward innovation. And the
process will be accelerated constantly.
Second, coordination will become a central characteristic of
policy measures.
China is now in the middle of a profound social and economic
transformation. Such a transformation creates vitality as well as
social contradictions. It has stimulated adjustments and the
reorganization of society. The creation of different kinds of
economic ownership and market competition has expanded the income
gap. The urban-rural economic structure and large-scale population
flows have led to a fundamental change in the way Chinese farmers
live. The transformation of the country's economic growth model and
industrial restructuring have increased the mobility of
employment.
Together with some questions left from eras past, social
relations are more complicated today than ever. Therefore, policies
that used to promote economic growth but lacked fairness should be
adjusted, and any lingering inharmonious phenomena should be
reversed.
The spirit of building a harmonious society is to coordinate
interests, resolve social contradictions and realize harmony and
stability. The new policies are to promote coordinated
social-economic development by focusing on people's livelihoods and
areas such as poverty, unemployment, education and public health
and the social security system. The goal is to guarantee that all
the people can enjoy the fruits of reform and development.
The basic requirement of the Scientific Outlook on Development
is to develop the country in a comprehensive, balanced and
sustainable way, and the fundamental approach is to carry out
unified planning with due consideration for everyone. Coordination
will be a key characteristic of future macroeconomic policies.
Last but not least, the improvement of people's livelihoods will
become a key measure to assess the performance of economic
development.
The Scientific Outlook on Development puts people first. The
report by Hu included the phrase "accelerate the development of
social programs and improve every aspect of the people's wellbeing"
in the new requirements for attaining a moderately prosperous
society.
Hu said social development is closely related to people's
wellbeing, and we must do our best to ensure that all people enjoy
their rights to education, employment, medical and old-age care and
housing.
History has shown that people's livelihoods are measured by
social development and political stability. Improving people's
lives will pave the way for social harmony. The next few years will
reflect how far China has come in this respect.
The variables used to assess economic development will change.
In regions where the environment has suffered, economic growth will
no longer be the sole objective of development.
The author is an economist with the State Information
Center
(China Daily December 18, 2007)