Forum on the Theory and Practice of Government and Market Economics

2020-07-29

On July 29, 2020, the Academic Center for Chinese Economic Practice and Thinking (ACCEPT) of Tsinghua University and Sina Finance held an online forum titled “The Theory and Practice of Government and Market Economics.” Attendees included Tang Ke, Director of the Institute of Economics within the School of Social Sciences at Tsinghua University, Wang Yong, Deputy Director of the Institute of Economics within the School of Social Sciences at Tsinghua University, Pan Qingzhong, Executive Dean of Schwarzman College at Tsinghua University, Huang Zhangkai, Associate Professor in the Department of Finance within the School of Economics and Management at Tsinghua University, Li Daokui, Director of the Academic Center for Chinese Economic Practice and Thinking at Tsinghua University, and ACCEPT research fellows Yuan Gangming, Wang Hongling, Jin Xingye, Hu Sijia, Mei Jinghua, Zhang Chi, and Feng Xuming. Li Keaobo, Deputy Director of ACCEPT, presided over the meeting.

  In Dr. Li Daokui's remarks, he stated that there are still many problems in global economic development, including in China, which must be faced and resolved through economic research. In fact, the process of addressing problems through research allows the field of economics itself to constantly change and develop. Economic development requires the close integration of thought and practice, the development of technology through advances in thought, and the process of extracting universality from the particularity of economic history. The industrial revolution belongs to the United Kingdom, and Marx's theory of capital is based on British economic phenomena. It is imperative to view economic principles of universal significance within the context of their particular environments.

  In addition to following the universal laws of internationalism, the role of the market, comparative advantage, and the reform of state-owned enterprises, what particularities have allowed for China's rapid development over the past 40 years? Can other countries learn and draw inspiration from the specific problems addressed by China's economic practice? There is existing research in the fields of public economics, public finance, etc. in mainstream economics, but there is a lack of research in the field of government and market economics. As an integral participant in economic activities, the government's behavior and incentives play a significant role in economic efficiency and development. Dr. Li Daokui believes that China's economic practice is most likely to inspire the world in this regard. The establishment of the Academic Center for Chinese Economic Practice and Thinking (ACCEPT) and the Society for the Analysis of Government and Economics (SAGE) at Tsinghua University both serve as active explorations of discipline development, theoretical research, and practice guidance on the role of government.

  Following Dr. Li Daokui's remarks, the guests at the conference elaborated on the new experiences and ideas that have taken shape through China's unique economic practices. They elaborated on possible supplements to modern economics drawn from topics such as the creation and development of new enterprises, real estate, finance, opening-up, macroeconomic management, the digital economy, the platform economy, infrastructure construction, scientific research, education, and more. Beginning from China's unique and successful practices, the forum launched into a study of the incentives of government behavior in an effort to provide the world with new knowledge of universal significance.