Research On Legal Affairs Of Rural Shareholding Co-operative System

As a typical system transition, double-tier management system that combines unified and separate operations on the basis of the household-based output-related contracted responsibility system has taken place during the rural reform of China. However, the socioeconomic transition has also changed such system's adaptability. Since China's opening-up and reform, numerous farmers has courageously introduced the modern stock system and carried out creative practice of shareholding co-operative system in process of exploring survival and development, which has been promoting the development of rural productivity as being combined with national conditions especially the rural realities. After the State Council picked up the first trial area for rural shareholding co-operative system reform in 1987, local governments followed up one after another; despite a variety of problems, successes are obvious to people. Fast pace of national industrialization and urbanization has made agricultural resources including land quickly transferred to nonagricultural industries. Collective economy has also been crippled with its assets running off. As a result, many cities and regions including Guangzhou, Shanghai, Beijing, Zhejiang and Jiangsu had carried out shareholding co-operative system reform upon village collective economy and had produced a marked effect. Theoretically speaking, shareholding co-operative enterprise is a kind of co-operative economy adopting some measures of stock system, or a new form of collective economy combining joint labor and joint capital. Joint capital is supposed to provide conditions for joint labor, which means that it is labor that dominates capital rather that capital dominates labor. People have ignored built-in conflicts of shareholding co-operative system while too much highlighting its advantages of both co-operative system and stock system. It is such conflicts that delays legislative process of shareholding co-operative system; enterprises of this kind, therefore, have no regulations to obey.Rural urbanization drives non-agricultural farmers to leave their hometown and their farmland; collective ownership of collective assets and dying of farmers'collective group after urbanization shows the essential status of stock system reform upon such collective ownership; and the process of rural urbanization is bound to break the isolation of rural communities. From this, rural shareholding co-operative organizations will exist in long run and perfect gradually, which are to break the isolation of rural communities, realize social circulation of stock rights and become the real stock company. As is predicted, villatic community system formed by China's feudal system in thousands of years is going to change deeply in line with the process of rural urbanization, and some urbanized rural communities will become urban communities.