Study On The Private Capital Investment When Building A New Socialist Countryside

It is the major historic task of building a new socialist countryside duringthe course of modernization. Due to historical and practical reasons, the inputinto countryside construction is insufficient. If agriculture and ruraldevelopment is relied solely on the state, farmers, bank loans and foreigncapital, it is difficult to meet the practical needs, therefore, to find new sourcesof capital is urgent. Since the beginning of reform and opening up,development of private capital is rapid; the strength is growing, which canprovide the capital support to build a new socialist countryside. Privatecapital investment in rural areas can solve effectively the problem ofinadequate input, it also provides the good opportunity for private capital tofurther develop, which means both sides achieve positive interaction, mutualbenefits and win-win.This paper is guided by the Marx capital theory and applied by themethod of empirical analysis and normative analysis. Firstly, it analyzes thestatus quo of rural investment to show the necessity for private capitalinvestment. Secondly, it discusses the present situation and problems ofprivate capital investment in rural areas, also probes into the factors whichhinder the private investment. Thirdly, it sums up the European Union, Japan,South Korea's experience and China's successful model of private enterprisesin building a new countryside. Last, it proposes the proposals to promote andsupport the private capital investment in new rural areas.