Abstracts

It is generally believed that there are two hands influencing resource allocation and economic development in China. One is the visible hand of government intervention, while the other is the invisible hand of market regulations. A basic proposition of this book is that the structural transformation of society is also a vital mechanism for allocation of social resources. The function of structural transformation of society is different from both the visible hand of the government, and the invisible hand of the market. To study the regulations and impacts of transformation of social structure is particularly important in China, as the society is in a period of rapid structural transformation, and the economy is experiencing a wider range of non-equilibrium state. In the transition period, structural transformation, as an invisible yet tremendous power, shapes the trend of social development and the direction of resource allocation in its own way. This power cannot be categorized as either government intervention or market regulations. In the general development process, this power is only a sort of potential driving force, and in the rapid structural transitional period, its power becomes more evident. Based on abundant empirical materials and survey data, the author analyzes the process, mechanism, rules and logics of the structural transformation of the Chinese society from various aspects, including social stratification, enterprise organization, employment and rural industrialization.