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specializes in supplying Japanese mini lotus seeds

Phlaenopsis orchid

specializes in providing Phalaenopsis orchids in Ho Chi Minh City

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LONI sport is a football clothing shop in HCMC

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Supplying cheap football shoes in Ho Chi Minh City

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Supply flower seeds in Ho Chi Minh City – deliver flower seeds nationwide

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Awareness of the leading role of the state economy

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Author: Luu Van Tien

The state economy is an economic sector that includes state-owned enterprises, national resources and state-owned assets such as land, mines, forests and seas, the budget, state-owned bank reserves. water, insurance system, socio-economic infrastructure, state capital contribution to enterprises of other economic sectors.

The state economy is broader and stronger than that of state-owned enterprises. Distinguishing these two categories and realizing more fully the role of the state economy is a step in the development of the practical awareness of our country’s economy in the doi moi process. In order to gradually build socialist production relations with the current development level and in the coming years for the productive forces in our country, the state economy can only focus on developing in the following sectors and fields. in key areas such as socio-economic infrastructure, financial system, banking, insurance, production and trade facilities, and key services, a number of enterprises perform important tasks. special system to national defense and security … in general, medium and large scale, modern technology, high efficiency business.

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In the multi-component economic structure of the economy operating according to the socialist-oriented market mechanism in Vietnam (the socialist-oriented market economy), the state economy is determined to play the leading role. dominant role in the national economy. So how to understand the leading role of the state economy? In my opinion, the leading role of the state economy needs to be understood and implemented in the following basic aspects:

Firstly, the leading role is not expressed in the number of economic establishments of the State more or less and also in the proportion of output value created by the state economy in GDP. The leading role must first be shown in the level of technology, management level, productivity, socio-economic efficiency and high competitiveness.

Second, the state economy must play a leading role in overcoming and limiting the defects of the market mechanism.

Third, the state economy monopolizes the fields that are directly related to national security and operates alongside other economic sectors in important economic sectors of the national economy such as banking, air transport… However, it should be noted that the wider the scope of monopoly of the state economy, the narrower the positive impact of competition, which is one of the strongest drivers. of the market economy is eliminated. In addition, it is necessary to clearly define the economic role of the State in the multi-sector economic structure, with the state economic monopoly being specifically expressed in certain state enterprises, so as not to transfer the monopoly of the state economy to other sectors. state economy into a monopoly of state-owned enterprises. Because in the socialist-oriented market mechanism, the monopoly state economy is to have conditions to orient the movement of the economy according to certain goals and achieve socio-economic efficiency. Therefore, if a state-owned enterprise has a monopoly, its activities must be directed towards the nature of the State’s macroeconomic regulation tool for socio-economic goals, for the sake of the people’s national economy. birth, not for the business itself. In case the operation of the enterprise does not meet the above requirements, it should not give the enterprise exclusive privileges. In other words, state-owned enterprises monopolize but do not destroy the “rules of the game” of the market economy and not for the local interests of state enterprises, but for the sake of socio-economic benefits. The new enterprise’s action is literally performing the leading role in the socialist direction.

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Fourthly, the state economy orients and guides the activities of other economic sectors, so that all economic sectors operate according to the predetermined goals of the State through two ways which are carried out simultaneously:

– Strategic planning for the development of industries, regions and products of the state economy itself as well as of the entire national economy. On that basis, other economic sectors have more arguments to build strategies its business strategy.

– Provide socio-economic infrastructure and public services with high quality and low prices to other economic sectors in the areas that the state wants to encourage them to invest.

Fifth, the state economy supports and stimulates other economic sectors to develop. It is possible to understand the support and stimulation of the state economy for economic sectors including:

– Preferential loans, interest rates, taxes, and land rents for activities of all economic sectors.

– Search and expand markets, including input markets and output markets for all economic sectors.

– Subsidizing export prices for other economic sectors when necessary.

– Support and encourage all economic sectors to innovate technology and train human resources, improve competitiveness.

– Maintain stimulation of equal competition among economic sectors.

In summary, the leading role of the state economy in the socialist-oriented market economy is realized through including a system of macro-mechanisms and policies such as financial policy – currency, land, etc., and also in the activities of state-owned enterprises to unleash all capacities of the economy, promote the development of market institutions and meet the requirements of socio-economic development lasting.

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