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It is a contemporarily important issue what to consider the recent Chinese economic system. Although some expected a few years ago that the economic system was sifting to the same 'socalled capitalism' as the Western or 'capitalism in general', today their expectation is changing into threat and uneasiness, since the economic system has too enlarged and closed combination between governmental power and enterprise business came out clear. As a result, they recognize this economic system as 'state capitalism'. Considering from this situation, this paper aims to examine the development process of the Chinese economic system and its present situation in order to clarify an illusion of the system which the expectation and threat causes and to show that 'the socialist market economy' is not the 'state capitalism' but 'party-state capitalism'. This paper also shows that party-state capitals in China have taken a dominant position in key industries and increased their fundamental capabilities through incorporation, by controlling the 'commanding heights' and using stock-ownership, so that the previous governmental funds have transformed into 'capital'. This paper summarizes the factors of 'the party-state capitalism' as follows: (1) economy established as a market economy, (2) the essential formation of capital-labor relationship, and (3) the solid establishment of the close relationship between the party and the state. |
