In China, the first Chinese private economy--Taizhou, Zhejiang Province, was born with the share-cooperation system, 27 years later, it was confronted with the recurrent proposition: shareholding system reengineering. The Taizhou government intends to help hundreds of private enterprises complete equity restructuring within 3 years, and expects to reduce the proportion of civilian-owned economy to 68% of GDP from 98%. The reform is the background of the "Taizhou model" seems to be no longer: in the first half of this year, Taizhou's GDP growth rate of 4.4%, the increase in Zhejiang last. In the past 30 years, Taizhou GDP average annual growth of 19.5%, Taizhou private enterprises for many years has been immersed in high growth of the downwind. The local government of Taizhou, there is one thing to be sure that they do see the development of private enterprises in the institutional problems, especially the property rights system issues. However, the controversy followed. Can the proportion of economic components in the reform of shareholding be adjusted in a planned way? Why are some companies not keen to participate in the share reform? Can the concept of foreign investors and reformed enterprises be merged? Whether to use private enterprise restructuring line "the country into the people back" reality? Where is the boundary between "inaction" and "promising" government? What kind of institutional mechanism does the private enterprises need in the new period to keep their vigor?
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