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By Gao Shiji & Zhuo Xian, Research Team on “Risk Prevention and Countermeasures in the Economic Transformation Period”, DRC

Research report No.187, 2017 (Total 5262) 2017-12-20

Abstract: China is experiencing multiple transformations of growth modes, economic structures and social forms, which will lead to complicated risks caused by mutually impacted factors. Compared with the common risks facing industrialized countries, the risks in front of China in the transformation period are more complicated with more uncertainties. In pushing ahead with modernization, the government functions are not capable of addressing the risks arising from the economic and social transformations. The most fundamental approaches to effectively dissolving the risks in the course of transformation are to gradually define the law-based duties shouldered by different social entities, highlight the major role of the government, especially the Central Government in handling the risks amid transformations and strengthen the government capabilities to rise up to various risks. In a bid to prevent the mutually impacted risks from ballooning into severe crises, the government should make sophisticated risk management plans based on consummate information. It should enhance its administrative capacity, public credibility and financial power and flesh out its risk management system so as to build and improve relevant institutional mechanisms supporting different social entities to handle various risks and ensure the steady progress of modernization.

Key words: risks in the transformation period, modernization, capabilities of the government