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The "Communist Party of China (CPC) Central Committee's Proposal on the Formulation of the 11th Five-Year Guielines (2006-2010) for National Economic and Social Development" adopted by the Fifth Plenum of the 16th CPC Central Committee put forward many new thoughts, new ideas and new moves. This will definitely exert mayor influence on the new practice of China's economic and social development, the following 11 key words merit attention.

7. Building socialist new villages

The "Proposal" clearly states: "Building socialist new villages is a major historical mission in China's modernization process."

The target and requirement for building socialist new villages can be summed up as follows: Developed production, well-off life, civilized rural customs, a neat and tidy appearance of village and democratic management. Such scenarios give full expressions to the requirements for rural economic, political, cultural and social development under the new situation.

Building socialist new villages requires upholding the principles of "giving more to villages, taking less from them and breathing new life to them", and "industry nurturing agriculture and cities supporting villages", improving farmers' living quality, bringing about a relatively big change in the outlook of rural areas as a whole. Emphasis is placed on strengthening plans for the construction of villages and towns and improving the environment, and on the construction of new villages and towns; developing various social undertakings in rural areas, fostering new farmers; strengthening construction of rural democracy and legal system and construction of spiritual civilization and encouraging new social practices.

8. Deepening reforms

The "Proposal" has the following salient characteristic: Promoting the strategic adjustment of structures and social progress through intensifying reform efforts.

The many contradictions and problems currently arising in China are rooted in the fact that the reform is not in place and the system imperfect: The reason for the periodical fluctuations appeared in China's macro-economy lies in the fact that reforms of the macro-management system and the micro-operational mechanism are not put in place; the reason for the extensive mode of economic growth is directly related to the fact that the change of government functions is not in place, the finance, taxation and banking systems are imperfect and enterprise reform is not in place; and the serious waste and low efficient use of resources is directly related to the indistinct defined property right systems of land, water and important mineral resources and to the irrational formation of mechanism.

The "Proposal" has worked out plans in regard to the emphasis on deepening reforms: First is to vigorously press ahead reform of the government's administrative management system. Second is to uphold and improve the basic economic system. And third is to push forward finance, taxation and banking system reforms.

9. Raising the level of opening to the outside world

During the "11th Five-Year Plan" period, China's opening program is faced with a more complicated international environment and new requirements set forth by domestic development. Such being the case, we must raise the level of opening to the outside world. The "Proposal" clearly calls for implementation of a mutually beneficial and win-win opening strategy, this is a major guiding principle for balancing domestic development and opening to the outside world during the "11th Five-Year Plan" period and is a guideline for further and wider opening to the outside world. Carrying out the mutually beneficial and win-win opening strategy requires: First, accelerating the change of the trading growth pattern, actively developing foreign trade, optimizing the mix of import and export commodities, and striving to bring about a basic balance of imports and exports; second, continuing an active and efficient use of foreign capital, focusing efforts on improving the quality of the utilization of foreign capital and strengthening guidance to foreign-funded industries and regions; third, supporting qualified enterprises in "going global" and investing abroad in accordance with common international practices.

10. Public service

The "Proposal" particularly stresses the need to further change government functions, to concentrate major government energy on economic regulation, market supervision and administration, social management and the functions of various public services. During the "11th Five-Year Plan" period, public service is raised to an unprecedented height. In relevance to the reduction in the economic indexes, human and social indexes are added to the projected targets of the "11th Five-Year Plan", such as civilian-concerned employment, social security, compulsory education, public health and public security. And

11. Social development

The "Proposal" points out that development must be a scientific one, it is necessary to incorporate the building of a socialist harmonious society into the connotation of development, to coordinate and promote economic construction, political construction, cultural construction and social construction, and propel humans' all-round development. The words "social development are especially eye-catching in the "Proposal". While impelling economic development, it is essential to pay attention to the problems concerning social development, such as how should wealth be distributed, how interests be coordinated and how contradictions be defused. Regarding this, the "Proposal" clearly points out the need to begin with tackling the practical problem that involves the vital interests of the people, to lay more emphasis on the coordinated economic and social development, to speed up the development of social undertakings; greater attention should be paid to social justice, so that all people can share the achievements of reform and development; more attention should be given to the coordination of reform, development and stability and maintenance of social tranquility and unity.

(People's Daily October 11, 2005)