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The first is to correctly handle the relationship between domestic demand and external demand. Standing on expanding domestic demand is a major strategic policy that we must adhere to for a long time. China is in the stage of rapid industrialization and urbanization, the improvement of the people’s income level and the upgrading of the consumption structure. The domestic savings rate is also high, which determines that we need to and can rely mainly on domestic demand to promote development.
It is necessary to continue to expand investment demand, keep investment in fixed assets growing at a reasonable scale and speed, and pay more attention to expanding consumer demand and further exerting the driving role of consumption in economic growth. At the same time, we must continue to expand the international market and expand foreign demand. We must combine the expansion of domestic demand and the rational use of foreign demand to promote steady and rapid economic growth.
The second is to correctly handle the relationship between the market mechanism and macro-control. Under the initial establishment of the socialist market economic system, we must conscientiously act according to the laws of the market economy and give greater play to the basic role of the market in allocating resources in order to increase economic and social vitality, optimize resource allocation, and increase economic efficiency. effectiveness. At the same time, we must strengthen and improve macro-control so as to guide and ensure the smooth and healthy operation of the economy. All countries have macroeconomic controls. China is a large country with a population of more than 1.3 billion. It is also in a period of rapid economic and social changes. It is particularly important to do a good job of macroeconomic regulation and control. It is necessary to improve and perfect the macro-control system and improve macro-control methods so as to better meet the needs of the new situation of reform and opening up.
The third is to correctly handle the relationship between the central government and the local government. Our country is big and the situation is different everywhere. The development is very uneven. Giving full play to the enthusiasm of the central and local governments is an issue that our party has always attached great importance to. When formulating guidelines and policies, the central government must consider overall interests and long-term development, and also take care of the characteristics and interests of different regions and treat them differently. Local governments should give full play to their enthusiasm and creativity and do a good job according to local conditions. However, they must maintain and obey the unified leadership of the Central Government and consciously consider the overall situation. This is a requirement that implements the national "one game of chess." We must resolutely overcome the phenomenon that there are no orders and prohibitions. Only by making good use of the enthusiasm of both the central and local governments can we properly handle China's affairs.
The fourth is to correctly handle the relationship between economic development and social development. The development of the economy and the increase of material wealth are the basis for promoting social development. We must unshakeably take economic construction as the center and promote the sustained and rapid development of the national economy. Social development is a necessary condition and an important guarantee for economic development. To meet the needs of building a well-to-do society in an all-round way, while developing the economy, we must pay more attention to all-round social progress, continuously strengthen the building of socialist political civilization, spiritual civilization, and a harmonious society, raise the level of modern society, and promote the coordinated economic and social development.
Fifth, correctly handle the relationship between reform, development, and stability. The tasks we face for reform, development, and stability are all very onerous. It is very important to handle the relationship between the three. Only by maintaining sustained and rapid economic development can we continuously enhance our overall national strength and international competitiveness, and better resolve the contradictions and problems in our progress. Reform is a powerful driving force for economic and social development. It is imperative to promote reform of the economic system, political system, cultural system, and social management system. Stability is the prerequisite for development and reform. We must unify the strength of the reform, the pace of development, and the degree of social sustainability, promote reform and development in social stability, and promote social stability through reform and development.
The "Eleventh Five-Year Plan" period is a very important period for the development of our country's history. Doing a good job in this five-year period will have extremely important significance for consolidating and developing the hard-won good situation and for successfully achieving the goal of building a well-off society in an all-round way. Let us closely unite around the Party Central Committee with Comrade Hu Jintao as the General Secretary, adhere to Deng Xiaoping Theory and the important thinking of the 'Three Represents,' and fully implement the scientific outlook on development, forge ahead, blaze new trails, and do solid work. China's reform, opening up, and socialist modernization drive forward and struggle.
Wen Jiabao: Explanation on the Formulation of the Eleventh Five-Year Plan Recommendation (5)
IV. Several major relationships that need to be handled during the “Eleventh Five-Year Plan†period The tasks in the “Eleventh Five-Year Plan†period are very arduous and arduous. There are many difficult problems that need to be solved. To do a good job for the next five years, we must grasp the overall situation, make overall plans and give prominence to the key points, and pay special attention to handling the following major relationships.