Price Reform in the Past 40 Years: Review and Reflection
- WANG Zhenxia & WEN Guifang
- National Academy of Economic Strategy, CASS, 100028.
Price reform is central to China’s economic system reform and plays an important role in building a socialist market economy with Chinese characteristics. As a breakthrough point, the price reform has quickly broken the rigid planned economy system and injects vitality into economic construction. After nearly 40 years of unremitting efforts, we have made great achievements in price reform. The reform of the price formation mechanism has basically been completed, and the allocation of resources has been gradually rationalized. This has effectively promoted optimization of the industrial structure and sustainable economic development. However, it should be noted that the incremental price reforms leave many historical problems that have long plagued China’s economic restructuring unresolved. With the changes in the economic situation, many new problems and difficulties call for prompt efforts in theoretical innovation and deepening reforms. At the current stage, summing up the 40 years of successes and lessons in price reform, identifying areas for deepening reform, and making justifiable policy proposals is an important part of the national economic restructuring.
- Price Reform, Historical Review, Theoretical Innovation, Deepening Reform