SOUND DEVELOPMENT

China Economic Weekly

March 7, 2011

Setting up special economic zones (SEZ) about 30 years ago was a policy to promote the local economy and further the national one. It has been proved to be a great success. In February 2008, a new era of SEZ began when the development strategy of Guangxi Beibu Bay Economic Zone was approved by the State Council. Since then, the Central Government has formulated a series of regional development plans. In essence, there is no difference with the SEZ policies 30 years ago. However, it enlarges the coverage of the policy, to include more cities and interprovincial regions.

China Economic Weekly says that after decades of development of SEZs, China is now in urgent need for integrated regional development planning. In recent years, the economy of some regions is over-developed and in disorder. Planning regional development at the national level aims at changing the situation by integrating resources within the regions so that the economy will be soundly advanced. More importantly, with the plans, coordinated development of the economy and environment will be achieved.  

COOLING DOWN

Economy and Nation Weekly

March 7, 2011

The rapid development of China's high speed rail (HSR) was undoubtedly a hot topic in 2010. According to statistics released by China's Ministry of Railways, the country had ranked No.1 in the world both in HSR network and traveling speed by 2010.

However, Economy and Nation Weekly suggests that although there is still a long way to realize the modernization of China's railway, the scale and speed of constructing HSR should be slowed down.

The magazine looks at reasons for cooling the construction. Industry insiders say that current funding and human resources are insufficient to meet the need of building HSR in such a large scale. If HSR continued to be built under such circumstances, their quality would not be guaranteed.

COSTS TO BE REDUCED 

Beijing News

March 9, 2011

Due to the spread of the same product, more and more domestic consumers tend to buy things, including those made in China, from foreign markets. Taking iPad assembled in Shenzhen, a city in south China's Guangdong Province, as an example, it sells at $499 in America, 3,888 HKD ($499) in Hong Kong, but 3,988 yuan ($606.5) in Chinese mainland.

Why is the price of the product in its manufacturing country higher than that in foreign markets? Two factors increase the cost of products made in China. One is China's export-stimulating policy. In China, export enterprises enjoy export rebates. So, when the products are sold in foreign market, the cost does not include the tax levied in the domestic market. The second factor is costs in the chain of circulation on the Chinese mainland are too high, including the cost of logistics and distribution.

PURSUING HAPPINESS

Oriental Outlook

March 10, 2011

Making people happy becomes the main theme of the 12th Five-Year Plan (2011-15) and the annual sessions of China's National People's Congress and Chinese People's Political Consultative Conference in 2011. It highlights the importance of sustaining economic development and improving people's livelihood.

Oriental Outlook believes that it is the local governments' task to create conditions for people to have a better life. It looks at the notion of happiness outlined by Chinese Premier Wen Jiabao. According to him, happiness is subjective perception. Local governments have set creating conditions for people's happiness as their primary objectives during the next five years. Policies include raising people's income, enlarging the social security coverage for the poor and investing more in health care and education.

PEOPLE FIRST

Changsha Evening Newspaper

March 7, 2011

Rich Fugu County and poor Zhenping County in Shaanxi Province once again take the lead in education. Fugu County has extended the 12-year free education it has implemented for two years to 15 years, covering the education in kindergarten. Zhenping County also extends the free education from nine years to 12 years. It shows that whether local governments will invest in education doesn't depend on how rich they are.

Improving people's well-being should be the primary concern of the government. The practice of the two counties provides inspiration for more local governments.