Deng Xiaoping's "get Rich First" Thought

At present the reform in china takes on some new characteristics and brings about new problems. With the abundance of products more opinions on economic reform are derived, and people have higher expectations for economic progress. So they demand highly and complaint much while economic growing at top speed for a long time. In the crucial periods of reform, should the policy of" some people rich first" continue? If should, then why? And how? Analyzing this question before putting forward some rational measures, have great magnificence on theory and in practice."Encourage some people rich first" was proposed firstly at the end of 1978, in an article of "emancipating the mind, seek truth from facts and unite as one and see forward" by Deng Xiaoping. Then it influences extensively as a policy. The thoughts of "rich first" and "rich together " taken shape and developed in sober understanding of China's conditions by Deng Xiaoping. "Rich first" is starting point of "rich together" by promote material prosperity. And "rich together" is the goal of "rich first". During the reform and development period Economic thoughts of "Encourage some people rich first", by Deng Xiaoping, have important effects, Including Incentive Effect, the Competition Effect, Help Effect. These effects exert an important influence on speed, quality, and state of economic development. Incentive Effect can irritate people's enthusiasm to expand the production, which is the base of "rich together". Competition Effect also promotes people to create more material wealth by improving their efficiencies. Help Effect is the concrete behavior of the first rich help later rich finally into rich together. However, some problems appear though great achievement has been made during the process of implementing the policy of "rich first". For example, the idea of "rich first" fiercely conflict with equalitarianism during the process of implementing the policy, which cause unnecessary society grit and make the policy of " first rich" fail in executive. The practice of " rich first " deviate from the goal of "rich together ", which make people doubt if the policy of "encourage some people rich first" should be continued. If no theory removed the doubt, the policy of "rich first" probably will fail in the midway. So "rich first" theory by Deng Xiaoping must be reaffirmed to be against equalitarianism, and emphasize that "rich together" should base on " first rich" at present. Without Incentive Effect, Competition Effect, Demonstration Effect and Help Effect of "rich first", there is not necessary wealth for "rich together". Encourage some people get better off earlier by honest works and legal income, which is still necessary to improve the whole society economic welfare. Because of backwardness of social system, the ways of "rich first" can't run smoothly and " original sin" of the rich occurs. The key of solving this problem is to strengthen the institutional construction, especially in the field of property right. As socialism's final goal, Rich Together should act with undue haste, less to wantonly deprive the property of the rich by government. Base on esteeming citizen's economic ration, the government must probe some new measure on income distribution to realize progressively the great goal of rich together in lower price by market and institution.The dissertation is divided into six parts. The first is introduction. The second part refined the main content of the "rich together" and "rich first" proposed by Deng Xiaoping. Part there is to analyze emphatically the reform effects of "first rich". Part Four analyze some problems and reasons which occur in the process of "rich first" practice. Part Five proposes some countermeasures to effectively implement "rich first " policy. The last part of the dissertation lists some important references.