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 | Monday, April 17, 2000, updated at 14:19(GMT+8) | ||||||||||||
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Talent, Education Key for Western AreasThe campaign to develop the western areas of China aims to fundamentally change the undeveloped local economy.To yield the development of the economy, society and environment in harmony, many issues should be handled with care. Due to historical reasons, the economic disparity between the west and east is not only shown by the growth rate but also mirrored by the difference in the quantity and structure of economic progress. Comparatively speaking, economic growth presents an increase in the quantity of production while economic progress indicates the optimization of economic structure, improvement in profit distribution and the overall advancement of society. In light of this, during the incipient stage of the programme, although a larger growth rate is desirable, more efforts should be made for economic progress. The focus should be on infrastructure, a structural adjustment of economy, the protection of ecological environment and science and education. The construction in the above fields will help pave the way for economic growth and progress. Thus, a comprehensive plan for the campaign should be outlined in advance, which will prevent short-term exploration of natural resources at the cost of the deterioration of the environment. Compared with the eastern areas, the western areas have distinctive advantages in natural resources but lack economic advantages in overall strength in science and technology, quality of labour and comprehensive competitive edge. As a result, in tapping the natural resources, strenuous efforts should be made to raise the production capacity and enhance intensive processing, which will increase product value. Equal attention should be paid to industrial and agricultural projects. In selecting industrial plans, priority should be given to those emerging high-tech industries. This will facilitate the upgrading of product mix and industrial structure, which will bring forth high value-added and competitive products with established brands. Only in this way can the advantages in natural resources be transformed into economic advantages. During the process of developing the western areas, the guidance of national policies is indispensable. In the meantime, the campaign is against the backdrop of China's transition into a market economy. The market acts as the main engine behind resource allocation. Under this circumstance, the implementation of the campaign should be based on the support of favourable policies and the functions of the market mechanism. The government only has to provide infrastructure and create a good environment while concrete steps in the selection and completion of the projects should strictly follow rules in a market economy. The drive to develop the western areas portends that in the long run, capital and technology will flow into the areas under the guidance of preferential policies. This favourable external investment is necessary, yet the internal elements may play the decisive role. Of the current factors that restrain the region's growth, the issue of talent is the most significant and prominent. The lack of talents and the low competency of laborers have become a bottleneck on the local economic growth. Science and education is the best solution but the effects won't appear for some time. Concrete policies should be issued to divert the eastern talent flow to the west and foster an environment that gives free rein to those talents. The infusion of investment coupled with human resources will bring sustainable economic growth of western areas. The final aim for the drive to develop the western areas is to achieve the common prosperity of the entire country. In 1997, 61.4 per cent of the GDP was contributed by the eastern areas while the western areas occupying more than half of the national land only accounted for 14.8 per cent. The campaign will elevate the status of the western areas in the national economy and reverse the current irrational economic frame. The westward development should be considered a good opportunity to foster new economic growth items, which will bring extensive investment space and huge market capacity. The development of the western areas will inject dynamite into China's overall economy. The eastern and western areas will co-operate and progress in harmony and finally become equal contributors to the national economy. The author is the vice-director and professor of the Art and Law College of Tongji University. (China Daily)
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