Western Private Economic Development Path Analysis

With the development of Chinese economic reformation, the problemof micro-economic organization becomes more and more important. Sowe must pay attention to the base of micro-economy. The subject of thispaper is "the developing routine of private enterprise in Western region".This paper takes the Western regional economic space as background,takes the private economic organization as the cutting point, studies thecoordinated developing machine-processed of several micro-economicorganizations, and proclaims the economic features in harmonious society.This research has important values: from the aspect of time, the specialstage of Chinese economic reformation constructs the political andeconomic environment for the private enterprise, and the historicalmoment of Western development benefits the private enterprise inWestern region. From the aspect of space, the imbalance of resources, thediversification in culture and the low level of economic development aremain feature in Western region. The Western region has to utilize theflexible institution of private enterprise, and take advantage of theregional condition. So the private economy will become the importantpower in Western economy. â…  The basic train of thought is: "theory basis, testing, applying of policy".So the main content of this paper has three parts: the first part is "theorybasis", including the first chapter, the second chapter and the third chapter.The second part is "testing", including the forth chapter. The third part is"applying of policy", including the fifth chapter, the sixth chapter and theseventh chapter. The first part introduces several theories about this paper. â‘ The firstchapter introduces three kinds of theories about institution. From theWestern liberalism, these theories include the institution economics, thedeals fees theory and the institutional transition theory. From the Westernintervening principle, the theory about institution includes theKeynesianism and Pigou's principle. This paper uses the Marxianinstitution theory in analyzing the western institution theory. â‘¡Thesecond chapter combines "the developing routine" with "the Chineseprivate economy ". Several scholars have studied the cause ofdevelopment, the main point in special stage and the model ofdevelopment. â‘¢The third chapter brings up "the economic space theory "as the core of theoretical basis. It explains the main viewpoint andmathematical expression. It also introduces two important inferences: oneis about the relationship of government's regulation and the competitionin economic space, another one points that various economicorganizations will form the mixed economy with the studyingmachine-processed. The second part uses the fact of the private economy in WENZHOU totest the theory. It includes three points: â‘ From the aspect of statisticalverifying, it analyzes the relationship of governmental regulation andprivate economy, and contrast several economic ingredients inWENZHOU. â‘¡From the aspect of case, it uses the case of ZHENGTAIto analyze the institutional evolution of private enterprise, and uses thecase of terminal industrial products market to analyze the development ofspecial market. â‘¢From the aspect of real difficulties, it explains thefinancial problem, the family institution and cultural shock. The third part is to concretely analyze the routine of private economicdevelopment in Western region. â‘ The fifth chapter analyzes its basiccondition. In the aspect of space condition, the natural resources spread inimbalance, the social cultures are various, and the economic developinglevel in Western region is low. In the aspect of time condition, the specialstage of Chinese private enterprise development and the Westerndevelopment offer the historical chance for Western private enterprise.â‘¡The sixth chapter analyzes the present situation of Western privateenterprise. It points out three problems in present, that includestate-owned enterprise generally changing into private ones, the agentproblem of regional government and the enterpri...