Document 3

Zhuo Yongliang

Chinese Economy, 1998, vol. 31, issue 6, 26-31

Abstract: In reviewing the process of system transformation in Zhejiang's economy, we can see that it has unfolded on two fronts: first, government-induced reform of the planned economic system, which operates from top to bottom; and second, rural residents who rely on their creative activities to form system arrangements. This is a grassroots and popular system transformation from bottom to top. In relation to the latter front, we can see that simultaneously with the development of independent, creative activities from the grassroots and the masses come specially designated system arrangements that are the mutual cause and effect of the development of the productive forces. Thus, it is believed that a certain development in the productive forces must be accompanied by certain system arrangements and development.

Date: 1998
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