It actually does change the dynamics of the economy, but in a positive way. As the small and medium private firms and cooperatives grow, they socialize, meaning it’s more effective to integrate them into the public sector. The reason the PRC has a private sector to begin with is because they take that stance on production and distribution, ie markets for secondary and smaller firms, SOEs for the commanding heights. Private sector growth, as long as it doesn’t come by way of overtaking SOEs, is therefore a positive step towards higher development of socialism overall. This is, of course, in the context of a socialist economy.
No problem! This is why I always try to stress the importance of the essence, or principle aspects, of an ecomomy. Simple ratio comparisons don’t actually determine what controls the economy. If private sector growth comes from privatization of SOEs, for example, that’s quite dire, but cooperative growth and development provides the basis of socialized production. This is one of Marx’s key observations about markets, this trend towards socialization of production from decentralized “anarchy of production.”
No problem! This is why I always try to stress the importance of the essence, or principle aspects, of an ecomomy. Simple ratio comparisons don’t actually determine what controls the economy. If private sector growth comes from privatization of SOEs, for example, that’s quite dire, but cooperative growth and development provides the basis of socialized production. This is one of Marx’s key observations about markets, this trend towards socialization of production from decentralized “anarchy of production.”
It actually does change the dynamics of the economy, but in a positive way. As the small and medium private firms and cooperatives grow, they socialize, meaning it’s more effective to integrate them into the public sector. The reason the PRC has a private sector to begin with is because they take that stance on production and distribution, ie markets for secondary and smaller firms, SOEs for the commanding heights. Private sector growth, as long as it doesn’t come by way of overtaking SOEs, is therefore a positive step towards higher development of socialism overall. This is, of course, in the context of a socialist economy.
Oh, well nevermind my response to you just prior to this. That’s a bit more reassuring, thanks for explaining.
No problem! This is why I always try to stress the importance of the essence, or principle aspects, of an ecomomy. Simple ratio comparisons don’t actually determine what controls the economy. If private sector growth comes from privatization of SOEs, for example, that’s quite dire, but cooperative growth and development provides the basis of socialized production. This is one of Marx’s key observations about markets, this trend towards socialization of production from decentralized “anarchy of production.”
No problem! This is why I always try to stress the importance of the essence, or principle aspects, of an ecomomy. Simple ratio comparisons don’t actually determine what controls the economy. If private sector growth comes from privatization of SOEs, for example, that’s quite dire, but cooperative growth and development provides the basis of socialized production. This is one of Marx’s key observations about markets, this trend towards socialization of production from decentralized “anarchy of production.”