China Should Seek New Economic Approach

In the Shanghai Daily, Mei Xinyu writes:

FOR years, "opening further to the outside world" has been the fundamental guiding principle for trade policies in China.

Although the principle was once well targeted, it is now out of date if the changing situation is taken into consideration.

A more appropriate expression today might be "constructing an open economic system."

There are several reasons for the change.

One, the implied meaning in the expression of "opening to the outside world" is that China passively allows foreign investors to take advantage of its sales and investment markets.

By contrast, the expression of "constructing an open economic system" is neutral, showing the extent to which China's economy is open to the outside world.

At present, the over-dependence on exports, the over-favorable treatment to foreign investments and the monopoly of foreign investments in the Chinese market are exerting increasingly negative impacts on China's national economy and its social development as a whole.

In such cases, the change of China's fundamental guiding principle for its trade policies toward advocating the dominance of domestic investment and independent innovation conforms to the will of the people.

To read more:

http://www.shanghaidaily.com/sp/article/2008/200802/20080213/article_348344.htm