The Research On China's Nongovernmental Investments

In recent years, Chinese nongovernmental investments have played an increasingly important role in promoting economic growth. This kind of investment has extended into the sixteen main trades of our national economy and can absorb people from all levels of knowledge and quality, specially masses of people of the poorly educated, so further expansion of nongovernmental investments will activate China' s economic growth. With daily perfection of market economy system, nongovernmental investments that can be characterized by its large sum in investment, rapid speed in expansion, high returning efficiency will surely be a vigorous element in China's economic growth. However owning to some obstructions existed in nongovernmental investments, its potentials are far from fully developed. From the latter half of 1998, Chinese government carried out the Expanding Financial Policy taking infrastructure investment as its focus and with a main measure of issuing state bonds. Though this kind of measure optimized the structure of investment, increased the quality of our economic operation, stimulated a fast economic growth, a long-term dependence on state bonds investment may result in debt crisis and a decrease in investment efficiency. Meanwhile, there are limitations on introducing foreign investments on an extremely large scale. Thus it is particularly pressing task to further promote Chinese nongovernmental investments, to lessen step-by-step investment growth's dependence on state bonds, and to boost our economic growth in an independent way.The article is to research profoundly into Chinese nongovernmental investment by using the methods of both theoretical analysis and positive analysis.The article firstly analyze the limitations of governmental investmentsand foreign investments in promoting our economic development, then it analyzes analysis the inevitability and feasibility of nongovernmental investment, putting forward the view of giving full play to nongovernmental investments. Secondly, it analyzes qualitatively the role of nongovernmental investments in economic growth; then quantitatively giving and analyzing some real examples to verify nongovernmental investments' force to promoting economic growth. Thirdly, we analyze nongovernmental investments' present situation, barricades and successful experience which some developed countries and regions, China's Taiwan, Wenzhou, Taizhou have achieved. Finally, we go further into the problem of how to promote China' s nongovernmental investments.