Page 1 of 11

Advances in Social Sciences Research Journal – Vol. 9, No. 8

Publication Date: August 25, 2022

DOI:10.14738/assrj.98.12865. Xia D., & Tian, G. (2022). Shi Zhengyi on China Ethnic Minority Areas Economic System Reform. Advances in Social Sciences

Research Journal, 9(8). 216-226.

Services for Science and Education – United Kingdom

Shi Zhengyi on China Ethnic Minority Areas Economic System

Reform

Dongming Xia, Guang Tian

Huaihua University

ABSTRACT

This article introduces Professor Shi Zhengyi’s early theoretical thinking on

reforming the Chinese ethnic minority economic system. Due to historical and

political reasons, China had built a planned economic system after the founding of

the People’s Republic of China before the reform. That economic system helped

China develop its industries. But that rigid economic system became incompatible

with product development, especially in ethnic minority areas. Ethnic minority

areas were backward in production and unbalanced in development. After 1978,

China gradually built its new socialist economic system, a planned commodity

economy based on public ownership. It suggested that in this economic system

reform, the minority autonomous areas should be open to foreign countries,

introduce advanced technology and investment, and develop import and export

trade. At the same time, the minority autonomous areas should strengthen

economic cooperation with other regions. Ethnic minority areas must also carry

out comprehensive economic system reform, which should fully consider the

specific characteristics of these areas, especially the ethnic and regional factors.

Keywords: China ethnic minority area; self-sufficient natural economy; unbalanced

; economic system reform; ethnic feature; regional characteristics

INTRODUCTION

From 1949 to 1976, China finished industrialization and built its national economic system.

But China’s economic efficiency is backward to that of countries and regions with rapid

development, and its economic vigor is also insufficient. In 1978, China’s politics changed

considerably. China’s economy began to reform. It effectively promoted the transformation

from a planned economy to a market economy. Chinese leaders are aware that the market is

conducive to promoting economic efficiency and vitality and put forward the idea of

respecting the autonomy of economic subjects, which has triggered a wave of independent

operation of farmers and urban self-employed operators across the country. The complexity

of the economic system in Chinese ethnic minority areas and the difficulty of its reform

required considering ethnic and regional elements to establish a new economic system in

ethnic minority areas. Professor Shi stated three principles in studying ethnic minority

economy: integrity, interrelation and optimization (Shi, 1984).

Professor Shi proposed the comprehensive opening-up policy for ethnic minority areas be an

international and domestic two-way opening and circulation (Shi, 1985). Professor Shi

believed the substantial resource advantages of the western region would play an invaluable

role in the westward shift of national construction priorities (Shi, 1996). Professor Shi

Page 2 of 11

217

Xia D., & Tian, G. (2022). Shi Zhengyi on China Ethnic Minority Areas Economic System Reform. Advances in Social Sciences Research Journal, 9(8).

216-226.

URL: http://dx.doi.org/10.14738/assrj.98.12865

proposed ethnic minority areas adjust measures to local conditions and give full play to local

advantages. Ethnic minority areas should develop comprehensively and strengthen horizontal

economic ties between regions. Professor Shi indicated the unbalance and backwardness of

the economy in ethnic minority areas are more desirable and suitable for diverse economic

forms and management styles. He also stressed the characteristics of ethnic minority areas

mainly included the following aspects: ethnic, regional, backward, complex, and international

(Shi, 1984).

This article introduces Professor Shi Zhengyi’s early theoretical thinking and primary

contributions to reforming the Chinese ethnic minority economic system. The contents in this

article came from the collected works of Shi Zhengyi (2001), and we just edited and sorted

them. So, the theoretical contribution of this article is attributed to Professor Shi Zhengyi. We

will take the whole responsibility for all mistakes in this article.

THE FOUNDATIONS OF CHINA’S ECONOMIC SYSTEM

Before founding the People’s Republic of China, China was a semi-colonial and semi-feudal

society. China’s economy was highly backward then, and the self-sufficient natural economy

had an absolute advantage. Therefore, the “Natural Economic Theory” inevitably negatively

influenced the construction of China’s economic system.

The Chinese revolution was a process of long-term armed struggle. The “supply system” of

military communism was formed in the harsh war environment. It made an essential

contribution to the victory of the revolution. The old revolutionaries were familiar with the

system and quite used to it. Therefore, the economic system formed after the establishment of

New China was inevitably mixed with factors of the supply system.

The imperialist invasion brought great disaster to China’s people of all ethnic groups. This

naturally made the masses hate and despise Western countries. In addition, Western

countries have adopted economic blockade policies against New China. Therefore, to build

China’s new economic system, the Chinese people did not want to absorb western capitalist

countries’ economic management methods. In addition, people couldn’t do so even if they

wanted to.

In building a new socialist economic system, China’s guiding ideology was “leaning to one

side” and “comprehensively learning from the Soviet Union.” In this process, China learned a

lot of valuable things. However, we inevitably accepted many useless and even harmful items

to our country in the meantime. For example, from the perspective of the economic system,

the degree of national concentration was too high, the production of goods was restricted, and

the law of value was ignored. These disorders greatly impacted the economic system

established in China in the early days.

In socialist transformation, China successfully utilized, restricted, and transformed capitalist

industry and commerce. However, the practice of unified purchase and exclusive sales

implemented during the transformation was kept in the subsequent economic system. Under

the guidance of ultra-leftist thinking, China vigorously implemented the “great, public, high

(high speed), fast (fast transition)” strategy. This has dramatically enhanced the concentration