Accelerate the Improvement of the Socialist Market Economy System

Since the 18th National Congress of the CPC, the Party Central Committee with Comrade Xi Jinping at its core has accelerated the improvement

党的十八大以来，以习近平同志为核心的党中央加快完善社会主义市场经济体制，将社会主义市场经济体制作为社会主义基本经济制度的重要组成部分，强调使市场在资源配置中起决定性作用，更好发挥政府作用，强调正确认识和把握资本的特性和行为规律，深刻回答了加快完善社会主义市场经济体制面临的一系列重大理论和现实问题，深化了我们党对社会主义市场经济规律的认识，推进和拓展了中国式现代化，丰富和发展了马克思主义政治经济学关于市场经济的理论。党的二十大报告把“构建高水平社会主义市场经济体制”作为加快构建新发展格局、着力推动高质量发展的重要战略任务。深入学习贯彻党的二十大精神，加快构建高水平社会主义市场经济体制，必须坚持以习近平经济思想为指引，准确认识、全面把握社会主义市场经济体制的深刻内涵。

The socialist market economy system is an important component of the basic socialist economic system.

社会主义市场经济体制是社会主义基本经济制度的重要组成部分

The "Decision of the Central Committee of the Communist Party of China on Several Major Issues Concerning Upholding and Improving the Socialist System with Chinese Characteristics and Advancing the Modernization of the National Governance System and Governance Capacity," deliberated and approved at the Fourth Plenary Session of the 19th Central Committee of the CPC, [1]1 The Fourth Plenary Session of the 19th Central Committee of the CPC was held in October 2019, focusing on upholding and improving the socialist system with Chinese characteristics and advancing the modernization of the national governance system and governance capacity. listed the socialist market economy system as part of the basic socialist economic system. Together with the coexistence of public ownership as the mainstay and diverse forms of ownership developing side by side, and the coexistence of distribution according to work as the mainstay and multiple modes of distribution, it forms a "three-in-one" framework for the basic socialist economic system.

党的十九届四中全会审议通过的《中共中央关于坚持和完善中国特色社会主义制度、推进国家治理体系和治理能力现代化若干重大问题的决定》，将社会主义市场经济体制列为社会主义基本经济制度，与公有制为主体、多种所有制经济共同发展，按劳分配为主体、多种分配方式并存一起形成了“三位一体”的社会主义基本经济制度框架。

Developing a market economy under socialist conditions is a great innovation of our Party, achieving an organic combination of the basic socialist system and the market economy, and promoting the improvement and development of the basic socialist economic system. General Secretary Xi Jinping emphasized: "The reason it is called a socialist market economy is that we must uphold the superiority of our system and effectively guard against the drawbacks of the capitalist market economy. We must adhere to dialectics and the 'two-point theory,' [2]2 The "two-point theory" (两点论) is a dialectical materialist concept referring to the method of analyzing problems from two sides or contradictory aspects, avoiding one-sidedness. continue to work on the integration of the basic socialist system and the market economy, and give full play to the advantages of both sides." Since reform and opening up, a key factor in the great success of China's economic development is that we have both leveraged the strengths of the market economy and brought into play the superiority of the socialist system. The combination of the socialist system and the market economy endows socialist relations of production with new characteristics, achieving an intrinsic organic unity among ownership relations, income distribution relations, and the mode of economic operation. The socialist market economy system is both a platform for the integrated and coordinated development of public ownership as the mainstay and diverse forms of ownership, and a mechanism for realizing distribution according to work as the mainstay alongside multiple modes of distribution. This system can both mobilize the initiative of the broad masses of the people and promote the development of social productive forces, and also embody the superiority of socialism, continuously safeguarding and improving people's livelihoods, enhancing their well-being, and realizing the fine ideal of common prosperity for all the people.

在社会主义条件下发展市场经济，是我们党的一个伟大创举，实现了社会主义基本制度和市场经济的有机结合，推动了社会主义基本经济制度的完善和发展。习近平总书记强调：“之所以说是社会主义市场经济，就是要坚持我们的制度优越性，有效防范资本主义市场经济的弊端。我们要坚持辩证法、两点论，继续在社会主义基本制度与市场经济的结合上下功夫，把两方面优势都发挥好。”改革开放以来，我国经济发展获得巨大成功的一个关键，就是我们既发挥了市场经济的长处，又发挥了社会主义制度的优越性。社会主义制度与市场经济的结合，使得社会主义生产关系具有新的特征，所有制关系、收入分配关系和经济运行方式实现了内在的有机统一。社会主义市场经济体制既是公有制为主体、多种所有制经济融合协调发展的平台，又是按劳分配为主、多种分配方式并存的实现机制。这一制度既能调动广大人民群众的积极性，促进社会生产力的发展，又能体现社会主义的优越性，不断保障和改善民生，增进民生福祉，实现全体人民走向共同富裕的美好理想。

The socialist market economy system is an important component of the basic socialist economic system, and it needs to be continuously improved both in theory and in practice. First, developing a socialist market economy must adhere to a people-centered development philosophy. People-centeredness is the fundamental stance of Xi Jinping's economic thought; "deploying economic work, formulating economic policies, and promoting economic development must all firmly adhere to this fundamental stance." Enhancing people's well-being is the fundamental purpose of socialist economic development, which requires that in the reform of the socialist market economy system, attention must be paid to people's livelihoods, safeguarding and improving them, so that the fruits of reform and development benefit the broad masses more and more fairly, continuously raising the quality of people's lives. Second, developing a socialist market economy must focus on resolving the principal contradiction in society. [3]3 The principal contradiction in Chinese society is currently defined as the contradiction between unbalanced and inadequate development and the people's ever-growing needs for a better life. Improving the quality and level of the supply system and meeting the people's aspirations for a better life require continuously perfecting the socialist market economy system and constantly enhancing the understanding and mastery of market laws. Third, developing a socialist market economy must unswervingly follow the path of common prosperity for all the people. Through the competition and incentive mechanisms of the socialist market economy system, the initiative, enthusiasm, and creativity of the broad masses are stimulated, and they work together to make the "pie" bigger, laying a solid material foundation for ensuring social fairness and justice. On this basis, through the continuous improvement of the socialist market economy system, the relationship between growth and distribution is scientifically handled, the "pie" is divided well, and the superiority of the socialist system with Chinese characteristics is more fully demonstrated.

社会主义市场经济体制是社会主义基本经济制度的重要组成部分，在理论上和实践中都需要不断加以完善。首先，发展社会主义市场经济要坚持以人民为中心的发展思想。以人民为中心是习近平经济思想的根本立场，“部署经济工作、制定经济政策、推动经济发展都要牢牢坚持这个根本立场”。增进民生福祉是社会主义经济发展的根本目的，这要求在社会主义市场经济体制改革中必须注重民生、保障民生、改善民生，让改革发展成果更多更公平惠及广大人民群众，持续提升人民生活品质。其次，发展社会主义市场经济要着力解决社会主要矛盾。提高供给体系质量和水平，满足人民群众对美好生活的向往，需要不断完善社会主义市场经济体制，不断提高对市场规律的认识和驾驭能力。再次，发展社会主义市场经济要坚定不移走全体人民共同富裕道路。通过社会主义市场经济体制的竞争与激励机制，激发广大人民群众的积极性、主动性、创造性，共同奋斗把“蛋糕”做大，为保障社会公平正义奠定坚实的物质基础。在此基础上，通过社会主义市场经济体制的不断完善，科学地处理好增长和分配的关系，把“蛋糕”分好，让中国特色社会主义制度的优越性得到更充分的体现。

Let the market play the decisive role in resource allocation, and let the government better play its role.

发挥市场在资源配置中的决定性作用，更好发挥政府作用

Continuously improving the socialist market economy system involves a series of deep-seated reform measures, including transforming the operational mechanisms of state-owned enterprises, cultivating and perfecting the market system, transforming government functions, improving income distribution and social security systems, expanding opening up to the outside world, and strengthening the construction of the legal system. From the course of establishing and improving China's socialist market economy system, scientifically defining and grasping the relationship between the government and the market has always been a core issue and an important part of economic system reform. General Secretary Xi Jinping pointed out that since the 14th National Congress of the CPC, [4]4 The 14th National Congress of the CPC, held in 1992, formally established the goal of building a socialist market economy system. "regarding the relationship between the government and the market, we have been constantly seeking a new scientific positioning based on the expansion of practice and the deepening of understanding." With the continuous deepening of economic system reform practice and the constant improvement of the socialist market economy system, the Party's understanding of the relationship between the government and the market has also been gradually deepening.

不断完善社会主义市场经济体制，涉及转换国有企业经营机制、培育完善市场体系、转变政府职能、完善收入分配和社会保障制度、扩大对外开放、加强法律制度建设等一系列深层次改革举措。从我国社会主义市场经济体制建立和完善的历程来看，科学界定和把握政府和市场的关系始终是核心问题，也是经济体制改革的重要内容。习近平总书记指出，从党的十四大以来，“对政府和市场关系，我们一直在根据实践拓展和认识深化寻找新的科学定位”。随着经济体制改革实践的不断深入、社会主义市场经济体制的不断完善，党对政府和市场关系的认识也在逐步深化。

The Third Plenary Session of the 18th Central Committee of the CPC creatively proposed "letting the market play the decisive role in resource allocation and letting the government better play its role," and emphasized the need to "advance market-oriented reform in breadth and depth," scientifically positioning "the duties and role of the government." It stressed that the market determining resource allocation is the essence of a market economy, and organically integrating effective government governance with the market role is an inherent requirement for leveraging the advantages of the socialist market economy system. This indicates that the Party's theoretical consciousness and confidence in the "scientific positioning" of the relationship between the government and the market have reached a new height, marking a new stage in the reform and improvement of the socialist market economy system. General Secretary Xi Jinping pointed out, "The market determining resource allocation is a general law of the market economy. A market economy is essentially an economy where the market determines resource allocation. To improve the socialist market economy system, we must follow this law and focus on solving problems such as an imperfect market system, excessive government intervention, and inadequate supervision." China implements a socialist market economy system and must adhere to giving full play to the superiority of China's socialist system and the active role of the Party and the government.

党的十八届三中全会创造性地提出“使市场在资源配置中起决定性作用和更好发挥政府作用”，并强调要“从广度和深度上推进市场化改革”，科学定位“政府的职责和作用”，强调市场决定资源配置是市场经济的本质，将有效的政府治理与市场作用有机融合起来，是发挥社会主义市场经济体制优势的内在要求。这表明党对政府和市场关系“科学定位”的理论自觉和自信已经达到新的高度，标志着社会主义市场经济体制的改革和完善迈入了一个新的阶段。习近平总书记指出，“市场决定资源配置是市场经济的一般规律，市场经济本质上就是市场决定资源配置的经济。健全社会主义市场经济体制必须遵循这条规律，着力解决市场体系不完善、政府干预过多和监管不到位问题”。我国实行的是社会主义市场经济体制，必须坚持发挥我国社会主义制度的优越性、发挥党和政府的积极作用。

On the new journey to uphold and improve the socialist market economy system, on the one hand, by reducing direct government intervention in microeconomic activities, we should further solve problems such as an imperfect market system, excessive government intervention, and inadequate supervision, fully leverage the market's decisive role in resource allocation, and promote the maximization of benefits and optimization of efficiency in resource allocation. On the other hand, we should transform government functions, improve the macroeconomic governance system, innovate regulatory methods for market activities, optimize the supply of public services, strengthen the safeguarding and improvement of people's livelihoods, and enhance people's well-being, so as to better compensate for market failures. General Secretary Xi Jinping pointed out, "On the issue of the role of the market and the government, we must apply dialectics and the 'two-point theory,' making good use of both the 'invisible hand' and the 'visible hand,' and strive to form a pattern where the role of the market and the role of the government are organically unified, mutually complementary, mutually coordinated, and mutually reinforcing." Practice has proven that accelerating the improvement of the socialist market economy system and achieving the organic unity of the government's role and the market's role conforms to the objective law that relations of production must adapt to the development level of productive forces, can greatly liberate and develop productive forces, and continuously meet the people's growing needs for a better life.

新征程坚持和完善社会主义市场经济体制，一方面，应通过减少政府对微观经济活动的直接干预，进一步解决好市场体系不完善、政府干预过多、监管不到位等问题，充分发挥市场在资源配置中的决定性作用，推动资源配置实现效益最大化和效率最优化；另一方面，转变政府职能，健全宏观经济治理体系，创新市场活动监管方式，优化公共服务供给，加强保障和改善民生，增进民生福祉，以更好地弥补市场失灵。习近平总书记指出，“在市场作用和政府作用的问题上，要讲辩证法、两点论，‘看不见的手’和‘看得见的手’都要用好，努力形成市场作用和政府作用有机统一、相互补充、相互协调、相互促进的格局”。实践证明，加快完善社会主义市场经济体制，实现政府作用与市场作用的有机统一，符合生产关系必须适应生产力发展状况的客观规律，能极大地解放和发展生产力，并不断地满足人民日益增长的美好生活需要。

Correctly understand and grasp the characteristics and behavioral patterns of capital.

正确认识和把握资本的特性和行为规律

At the present stage, China has various forms of capital, including state-owned capital, collective capital, private capital, foreign capital, and mixed capital, which exhibit notable characteristics such as a significant increase in scale, greater diversification of subjects, accelerated velocity of circulation, and a large influx of international capital. In the socialist market economy, recognizing and affirming the existence and positive role of capital, and correctly understanding and grasping the characteristics and behavioral laws of capital, is a major theoretical innovation of Xi Jinping’s economic thought and an inevitable requirement for building a high-level socialist market economy system.

现阶段，我国存在国有资本、集体资本、民营资本、外国资本、混合资本等各种形态资本，并呈现出规模显著增加、主体更加多元、运行速度加快、国际资本大量进入等明显特征。在社会主义市场经济中，承认并肯定资本的存在及其积极作用，正确认识和把握资本的特性和行为规律，是习近平经济思想的重大理论创新，也是构建高水平社会主义市场经济体制的必然要求。

Capital has characteristics such as competitiveness and expansiveness. Under capitalist conditions, capital ceaselessly pursues surplus value, to the point of repeatedly triggering economic crises, destroying the ecological environment, and causing social polarization; these negative effects intensify in the process of capital’s profit-seeking, accumulation, and expansion. Under socialist conditions, the negative effects and drawbacks of capital are largely overcome. But as long as it is capital, it has a profit-seeking nature, and the problem of disorderly expansion may arise, requiring regulation and guidance to fully leverage its role in promoting the development of productive forces, effectively aggregating resources, and driving production, exchange, distribution, and consumption.

资本具有竞争性、扩张性等特点。在资本主义条件下，资本无休止地追求剩余价值，以至于不断地引发经济危机、破坏生态环境、造成社会两极分化，这些消极作用会在资本逐利、积累和扩张的过程中加剧。在社会主义条件下，资本的消极作用和弊端很大程度上被克服了。但只要是资本，就有逐利性，就可能出现无序扩张的问题，需要加以规范和引导，充分发挥其促进生产力发展、有效聚集资源，推动生产、交换、分配和消费的作用。

Capital is an important factor of production in the socialist market economy. General Secretary Xi Jinping emphasized, “We must explore how to bring into play the positive role of capital under the conditions of the socialist market economy, while effectively controlling its negative role.” Under the conditions of the socialist market economy, capital, as an important factor of production, has its own operational laws. Accelerating the improvement of the socialist market economy system, letting the market play a decisive role in resource allocation, and enabling various forms of capital to have equal opportunities, fair entry, and orderly competition, requires both leveraging the positive role of capital as a factor of production and effectively controlling its negative role. On this basis, comprehensively enhance the effectiveness of capital governance, strengthen effective supervision of capital in accordance with the law, set up “traffic lights” for it, form a legal and regulatory system with a complete framework, clear logic, and comprehensive institutions, prevent capital from shifting from real to virtual sectors and growing wildly, and better play the important role of capital in promoting the development of productive forces, creating social wealth, and ensuring and improving people’s livelihoods.

资本是社会主义市场经济的重要生产要素，习近平总书记强调，“我们要探索如何在社会主义市场经济条件下发挥资本的积极作用，同时有效控制资本的消极作用”。在社会主义市场经济条件下，资本作为重要生产要素，有其自身的运行规律。加快完善社会主义市场经济体制，让市场在资源配置中起决定性作用，使各种资本机会平等、公平进入、有序竞争，既要发挥资本作为生产要素的积极作用，也要有效控制其消极作用。在此基础上，全面提升资本治理效能，依法加强对资本的有效监管，为其设置“红绿灯”，形成框架完整、逻辑清晰、制度完备的法律制度体系，防止资本脱实向虚、野蛮生长，更好地发挥资本在推动生产力发展、社会财富创造、民生保障和改善等方面的重要作用。

(Author: Yang Jing, Professor at the School of Marxism, University of Chinese Academy of Social Sciences, and Distinguished Researcher at the Research Center for Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, Chinese Academy of Social Sciences)

（作者：杨 静，系中国社会科学院大学马克思主义学院教授、中国社会科学院习近平新时代中国特色社会主义思想研究中心特约研究员）

Online Editor: Tongxin

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