Institutional Change And China's Economic Growth

As underground for survival and development of human being's soceity, economic growth until now is one of the most important fields of study on economy. But since long before, institution, as an external variable, has always been a fixed hypothesis. Now, Institution School justifies the hypothesis. They explores and traces the source of economic growth from the aspect of institutions, which creat a wide and tangible background for economy growth. All of those are discussed concretely in the institutional change theory by Prof North. From 1960's to 1990's, Prof North issued a range of papers and books, which formed the exclusive institutional change theory, with property rights, states and ideology included. He pointed out that efficient economic organizations are a key to the economic growth, and institutional change is the dominant power for economic growth and depress.From the beginning of 1980's, foreign and domestic scholars have give much study on economic growth and system reform respectively, but few of studies on economic growth are carried from the angle of institutional change. The paper, according to the thought of "history and logic's consistence" of Marxism, adopted the study means of positive analysis, and insisted scientific attitude of seeking truth form facts, hi the process of understanding and analyzing problems, the ways of research such as relation, comprehensive, development, objection and so on are all concerned. And it also integrets theory and practice, macroscopic and microcosmic, history and reality, quanity and quality anaylsis together. All of those adopted tend to supply on the basis of Prof North's thorey outlines that state, state institution and Chinese culture play a decisive role to the china's economic growth. Meanwhile, it puts forward personal views or opinions as to the more important reforms hi the future at the end of the paper.There're 4 new amendments of this paper. Firstly, it, broadening Prof North's ideology theory to be a cultural theory, seeked the influence on china's economy and social development from the great history's prospective. Secondly, it systematically studys china's reform and opening through innovative institutional change theory. Thirdly, it points out the relation of deep and superficial, essence and phenomenon between Marxism and economics. Fourthly, it emphasizes that china should goes the road of "modern state" . But, it should be admitted that, limited by the author's knowledge, experiences, the depth and width of thought, this paper is a little inexqusitve. However, It will be broadened constantly as an outline for the future study.