Some people say that market economy is private ownership economy;

Some people say that the market economy is a value economy.

There are also spontaneous economy, competitive economy, survival of the fittest economy, credit economy, legal economy and so on

These statements all have some truth. But these statements are just like "the blind touch the elephant", and they only touch a part, and there is no overall summary.

It's actually quite simple. Market economy is an exchange economy based on the principle of equivalence.

The existence and development of market economy is based on the generalization of division of labor.

As we said, there is no market economy without industrialization.

Theoretically speaking, Deng Xiaoping's market economy theory is a breakthrough and assumption to Marx. For many years, people only understood the tutor's predictions dogmatically, in isolation and out of context, confined to the highly centralized planned economy, mistaking this for "authentic" and "pure" socialism, treating the practice of developing commodity economy and giving play to the market role as "abnormal" and heresy, and treating all this as the primary stage of capitalism. Marx's "hypothesis" has three "preconditions": first, socialism will win in the whole century; Second, it is proposed that the productive forces are highly developed; Third, "social production is regulated by a social center in a planned way", and the function of "state" begins to die out. The real society does not have these three conditions, or it is far from mature. In the primary stage of socialism, the social economy has not yet reached the level of abolishing commodities and money. Deng Xiaoping's theory of socialist market economy is a theoretical innovation of Marxism, which completely and accurately answers the correct path that socialism should take, is another major breakthrough in Marxist thought and a major contribution to all mankind.

In practice, Deng Xiaoping's market economy theory is the guiding light for enriching the people and strengthening the country and consolidating and developing the socialist cause. The breakthrough of theory will inevitably bring about the leap of thought and the renewal of ideas. A brand-new theory will create a new era. Once the theory has mastered the masses, it will be transformed into a more powerful force than the original matter. Deng Xiaoping's market economy theory, as a practical science, has been applied more and more widely, releasing more and more energy. Special economic zones and coastal opening-up are not only the experimental areas of Deng Xiaoping Theory, but also the verification areas of the theoretical strength of market economy. China's special economic zones have grown from scratch, from small to large. Although they are only over ten years old, they have made remarkable achievements. Special economic zones have promoted the reform of China's economic system and played an inestimable role in promoting China's economic development.

The formation and development stage of Deng Xiaoping's market economy theory is the fastest developing year in the history of China. With the theme of "The Legend of China's Market Economy", foreign news agencies have made many follow-up reports: "Since 1978 Deng Xiaoping put forward the reform and opening up, China's economy has grown at an average annual rate of 9.4%, and the per capita annual income of residents has increased by 8%. The income level of hundreds of millions of China people today is four times that of 20 years ago. " (12) "If the current direction and momentum of China's policy reform are maintained, the output value of China will surpass that of the United States around 2020. China readily accepts the market economy. "