On A Number Of Elements Of The Revitalization Of The Economy In The Northeast

Just as the Great Developing of West China, the renovation of old industry bases such as north-east China district is also an important strategy during the economic development of our country. The economic issue of north-east China is special and typical. How to rebuild the economy in the situation that the influence of plan economy still exists and the state-owned firms dominate in this area? Dealing with this question will change the life and wellbeing of people there, will impact on the industry strategy of the whole country, and will be of great importance for opening-up policy and development of market economy in the new era.Market economy must be fulfilled by micro-entities. For this reason, this essay starts with an introduction of the situation of the whole north-east China as well as that of firms and local government there, making a brief description of its historical economic development which is characterized by "prosperity-stagnation-comedown" track. What lead to this special economic and social characteristic of this area? In order to answer question, an introduction of the firm theory of new institutional economics is followed, The conclusion is that in order to develop market economy in this area, we must reform the micro-entities including state-owned firms, private economy and regional government to construct basic conditions for the development of market economy. In the third part, the focus is put on the analysis of the special development path of this district, with analyzing the present situations of micro-entities in this district with transaction-cost economics and property rights theory, and find out the underlying causes of it. The experience drawn out of the history will be conducive to our further choices in developing north-east district of China. Finally, some factors like state-owned firms, private economy, professional market of managers and the function of local government are discussed respectively with the guidance of firm theories, at the same time, suggestions and advices are put up on the reforming of these factors.Normative and positive methods, as well as qualitative and quantitative methods are used in this essay, aiming to uncover the present problems the micro-entities face and the important meanings of their reform. It is of certain value for further understanding of economic renovation of north-east China.