Guojinmintui : A New Round of Debate in China on State Versus Private Ownership

In 2009, the widening discrepancy between the performance of the state economy and that of the private economy in China triggered a sharp debate on the evolving system, especially the ownership structure, among people in academia, business and the political arena. In the debate, the rightists launched a campaign against the state-owned sector with false claims and misleading rhetoric, while the Party and state officials defended the state economy and leftist scholars responded with various perspectives on this topic. These different arguments must be examined from the standpoint of the associated class interest. From a Marxist perspective, this round of debate touches upon whether or not China should abandon or strengthen the socialist elements within a market economy. The current attack on public ownership, following the neoliberal trend in the West, strives to justify and promote an even further shift of power and wealth from the public to the capital-power elites. Advancing the state economy and improving democratic participation in it represents the fundamental interests of the working class and thus should be promoted in order to uphold and strengthen socialism.