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The theme of this book is economic transitions of Zhejiang Province under the guidance of “China Dream” policy. It reviews the economic development of Zhejiang Province during the last 10 years and concludes with the experiences and achievements of the local government. As Zhejiang is one of the most economically successful regions in China, the challenges concerning economic transition for the government are a higher priority. This book describes the endeavors and practices that are accomplished by the local administration in system reforms, private sectors, industrial transition and upgrading, ecological harmony, new urbanization, marine economy and open policies. Case studies, live examples and detailed policy interpretations and conclusions are presented throughout this book. The book will assist scholars and policy makers in discovering how the major statecraft has guided and influenced Chinese economy.



Chapter 1. Introduction: Zhejiang’s Economic Development and the Chinese Dream

Zhejiang has witnessed sustained rapid economic development since its reform and opening up; in particular, since the beginning of the 21st century, the Zhejiang Provincial Party Committee and the Provincial Government have comprehensively, systematically summarized eight advantages of Zhejiang Province in development, and have put forward and thoroughly carried out eight measures for future development—the “Eight-Eight Strategies”.
Jianfeng Xu

Chapter 2. Pursuing Scientific Development and Constantly Promoting Transformation and Upgrading

For many years, the successive Party Committees and governments of Zhejiang Province proceeded from the Scientific Outlook on Development to push forward the strategic adjustment of the economic structure and fundamental change in the growth mode, and unremittingly explore Zhejiang’s road to economic transformation and upgrading. Sustained exploration of scientific development, transformation and upgrading of Zhejiang’s economy since the 21st century is Zhejiang’s practice of the Chinese Dream; it provides ample and vivid samples for realizing the Chinese Dream of making the people well-off and the country powerful.
Feng Xiang

Chapter 3. Upholding Innovative Development and Building an Innovative Province

Since 2003, the successive Party Committees and governments of Zhejiang Province have always placed innovative development in an important strategic position, they have made relevant arrangements in a profound way and have carried out sustained practical work; the overall scientific and technological strength and competitiveness of the whole province have been elevated to a new level, with an important supporting role played in promoting economic and social development. In 2006, the provincial conference on independent innovation explicitly put forward the goal of innovative development: By 2020, turn Zhejiang Province into an innovative province with a sustained capability for innovation; the 12th Party Congress of Zhejiang Province identified independent innovation as the core strategy for achieving sound and fast development of the whole province; the 13th Party Congress of Zhejiang Province and the Second Plenary Session of the 13th Party Committee of Zhejiang Province vowed to comprehensively carry out the strategy of innovation-driven development.
Ying Guo

Chapter 4. Scientifically Using “Two Hands” and Intensifying the Reform of the Economic System

During the period of the 10th Five-Year Plan, Comrade Xi Jinping, then Secretary of the Zhejiang Provincial Party Committee, quoted the theory of “two hands” from the Wealth of Nations written by Adam Smith in the process of intensifying reform to further enrich innovation and put forward the new philosophy of “two hands”: the visible hand—the government—and the invisible hand—the market—should mutually coordinate, perform and play different functions and roles in light of different stages and requirements of economic development.
Guo Ying

Chapter 5. Pursuing Open Development and Establishing a New System of an Open Economy

Zhejiang is an economically developed province in the southeastern coastal area. The opening of Zhejiang’s economy includes not only opening to the outside world (international opening), but also opening to the domestic market (inter-regional opening). As Zhejiang’s economy enjoys a relatively high degree of marketization, Zhejiang’s economy is closer to an open economy. Since the reform and opening up, great progress has been made in Zhejiang’s foreign trade and introduction of foreign direct investment. In particular, since the beginning of the 21st century, the Zhejiang Provincial Party Committee and the Provincial Government have proceeded from Zhejiang’s actual conditions and have followed the developmental trend of the world economy to “go out of Zhejiang to develop Zhejiang” so as to continuously increase the level of Zhejiang’s open economy. The development of Zhejiang’s open economy is the best practice of the Chinese dream of a large open country.
Jianfeng Xu

Chapter 6. Developing the Marine Economy and Building a Strong Marine Province

As Zhejiang is situated in China’s coastal areas and the T-shaped Yangtze River economic belt and at the estuary of the Yangtze golden waterway, Zhejiang enjoys unique abundant marine resources and a superior advantage for its location. Zhejiang is an important province of marine resources in China’s coastal areas; it abounds in such marine resources as ports, fishery, scenery, oil, tideland, energy and islands. Since ancient times, thanks to the advantage of its geographical location in the coastal area, Zhejiang has a long history of a marine economy. The traditional marine industries, including fishery, salt and shipping, began to take shape before the founding of new China. In the late 1980s, especially since the beginning of the 21st century, the successive Party Committees and governments of Zhejiang Province, have been attaching great importance to the development of the marine economy and have put forward the basic strategy of Zhejiang’s development of a marine economy. After many years of continued efforts, Zhejiang has gradually marched from a large province of marine resources to a strong province with a marine economy.
Xiaolu Wu

Chapter 7. Pursuing Coordinated Urban, Rural and Regional Development

In the process of accelerating modernization, Zhejiang is facing a salient problem—wide regional disparity. The people throughout the province cannot become well-off if the people in the underdeveloped areas do not become well-off; modernization cannot be achieved throughout the province if the underdeveloped areas are not modernized. The Zhejiang Provincial Party Committee and the Provincial Government have given overall considerations, attached importance to coordinated development and given top priority to the work regarding agriculture, rural areas, and farmers; they have taken narrowing the regional developmental gap and achieving a coordinated regional development as the core in overall coordinated development, they have actively pushed forward innovations in philosophy, policies, institutions and working methods. Attention has been paid to correctly weighing two tendencies, going beyond agriculture, rural areas and farmers to improve the work regarding agriculture, rural areas, and farmers; efforts have been made to develop agriculture, rural areas and farmers by taking actions in a coordinated way in urban and rural areas to promote a coordinated urban and rural development. An integrated urban and rural institutional framework has been preliminarily established; the whole province has entered a new stage of integrative development of urban and rural areas; Zhejiang has stayed ahead nationwide in the levels of agricultural modernization and coordinated urban and rural development; with the implementation of such projects as the Mountain-Sea Cooperation Project, the project with ten-billion in assistance and support for achieving prosperity and the project for turning the underdeveloped villages and towns into well-off ones, Zhejiang has embarked on a new path of coordinated regional development with Zhejiang’s characteristics which features help and support making the local people self-reliant, develop two-way interaction and win-win cooperation; Zhejiang Province is now at the forefront nationwide in coordinated regional development.
Haiyan Wen

Chapter 8. Advocating New-Type Urbanization and Promoting the Interactive Development of Urbanization and Industrialization

In the 30 years since the reform and opening up, as one of the regions with the most vibrant economic development in China, Zhejiang stayed ahead nationwide in urbanization development. Zhejiang has become No. 1 nationwide on many fronts, such as, the first farmer city, the first policy for granting registered permanent residence through the purchase of a house, the first urbanization development plan, the first urban system plan, the first plan for canceling the change from “the status of agricultural to that of non-agricultural”, the first urban-rural integration plan, the first pilot work on land for social security, the first birth of the concept of new-type urbanization in China. Zhejiang has ventured down a path towards urbanization with Zhejiang’s characteristics. Such great achievements in Zhejiang are attributable to continuous innovations in its philosophy of urbanization, increasing benign interaction between urbanization and industrialization and constant practice in urbanization.
Haiyan Wen, Wei Mao

Chapter 9. The Experience and Inspiration from Zhejiang’s Economic Transformation and Development

As indicated by the 30-year course of Zhejiang’s reform and opening up, the pioneering work carried out by the Zhejiang Provincial Party Committee and the Provincial Government at different stages was immeasurably important for building a prosperous Zhejiang. The great development of township enterprises and specialized markets in the 1980s was conducive to rapidly promoting Zhejiang’s urbanization and industrialization. Since the beginning of the 21st century, the “Eight-Eight Strategies” put forward by the 11th Party Committee of Zhejiang Province and the strategy of making the people rich by starting a business and of building a strong province through innovation—that strategy continues and expands the “Eight-Eight Strategies”—initiated the efforts to adjust Zhejiang’s economic structure and promote its transformation, elevating Zhejiang’s transformation of the economic developmental mode to a new level. Zhejiang has ranked No. 1 nationwide for 13 consecutive years in the per capita disposable income of urban residents; this undoubtedly suggests that Zhejiang has entered a new stage of economic transformation and upgrading and coordinated development. With solid work done to stay ahead, Zhejiang carried through one blueprint to pursue development over 10 years; obviously, the experience and inspiration from Zhejiang’s developmental practice in this process are great treasures for China as China is undergoing comprehensive economic transformation and upgrading. The previous chapters of this book provide a systematic analysis of institutional reform, open economy and new-type urbanization, while this chapter will, on this basis, fully summarize the basic characteristics of and experience from the 10-year-long development of Zhejiang’s economic transformation.
Zhigang Huang, Xiahui Liu


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