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Last updated at: (Beijing Time) Monday, May 12, 2003

China's Differences in Regional Economic Development Sees No Diminishing Tendency

The research subject "On Diminishing the Regional Differences in China" jointly chosen by Finance and Taxation Research Center of the Chinese Academy of Social Sciences and the National University of Australia has recently been brought to finish. The study indicates, though the differences of marketization are shrinking in different areas in China yet the differences of regional economic development haven't seen correspondingly narrowing.


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The research subject "On Diminishing the Regional Differences in China" jointly chosen by Finance and Taxation Research Center of the Chinese Academy of Social Sciences and the National University of Australia has recently been brought to finish. The study indicates, though the differences of marketization are shrinking in different areas in China yet the differences of regional economic development haven't seen correspondingly narrowing.

In combination with the reality in China the research result is roughly synthesized as follows:

The first is the differences between the market opening-up and the regional economic development. The research indicates that there is no cause and effect between the marketization and the differences of regional economic development. The factor that plays a constant effect on the differences of regional economic development remains still the initial level of economic development, regional superiority and infrastructure conditions as well as the educational level and accumulation of human capital. The second is about the transference of payment and the differences of regional economic development. In this regard the research holds that in China, it is very difficult to achieve an expected result in reducing the gaps of regional economic development only by relying on the governmental transference of payment. The measure must be taken in combination with the opening-up of the market so as to create certain conditions for the development of market economy in various areas by way of transference payment. The third is about the resources tax and the differences of regional economic development. About this, the subject group holds that to make the economically backward areas get in more from the rent distribution of the local natural resources, this must be handled from adjusting the rent distribution system of the local resources instead of raising lopsidedly the resources taxation.

By People's Daily Online


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