What is the Socialist Market Economy?

For any sensible mind, the term ‘socialist market economy’ is an oxymoron the two adjectives conflict. This definition appeared relatively late — in 1992, during the 14th National Congress of the Communist Party of China — as the policy of reform and opening that began in 1978. Up to this point, one spoke of a ‘commodity economy’ to avoid using the words ‘market economy’, which were taboo. The ‘market economy’ was discovered before the word was used. The policy of ‘reform and opening’ was meant to be a transition, but a transition to what? Towards socialism, or towards capitalism? It took Poland three years to complete what China has not yet achieved in thirty. The word ‘transition’ is the only stable part of the policy of reform — a sort of new ‘perpetual permanent revolution’, to paraphrase Lenin. However, the idea that something goes from A to B is not consistent with the traditional Chinese way of thinking. Everything is ephemeral; all events are part of a continuum without a beginning or an end. Everything forms part of the flow of the eternal stream of all things. Nothing is fixed, not even the truth — which is contingent by definition.