Opinion
Keep power away from capital
(China Daily)
Updated: 2010-01-21 07:53
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A training school for so-called second-generation entrepreneurs was opened recently in Wenzhou, Zhejiang province, with the local government paying a large part of the students' fees. This is not right, because in market economy power should be kept away from capital, says an article in China Youth Daily. Excerpts:
A special training school was inaugurated in Wenzhou recently. Many of its students are offspring or potential successors of entrepreneurs. But surprisingly, the local government will pay a large part of the fees for these rich students, for "it is highly likely that the students would decide the economy of Wenzhou in the future".
No doubt, private enterprises have played a big role in propelling the country's economy during the last 30 years. In Wenzhou, they account for about half of the tax revenue and employ almost 80 percent of the workers. There is no denying their importance.
The government's gesture to pay part of the fees for the students, according to a local official, is a move to boost economic development. For sure, the local government should take steps to stimulate the economy. But should it pay a large percentage of the fees for rich people's children?
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Power should always be kept away from capital. Too close a link between a government and enterprises more often than not produces unhealthy results.
But many private enterprises depend on the authorities to derive the maximum benefit. This should not be encouraged in market economy.
A wise government should spend taxpayers' money for the common good of the people. Its best support to private enterprises would be the creation of conditions for fair competition and healthy growth. History shows that whenever power and wealth have come together the results have been disturbing.
Hence, a government should be the supervisor, rather than a participator in market economy.
