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China ORGANIZATION
The government managed industry according to type and level of
control, using various State Council ministries and commissions
(see The State Council
, ch. 10). In 1987, there were separate
ministries for aeronautics, astronautics, chemical, coal,
electronics, metallurgy, nuclear-energy, ordnance, petroleum, and
textiles industries, light industry, the railways, and water
resources and electric power; there were two commissions--the
National Defense Science, Technology, and Industry Commission and
the State Machine-Building Industry Commission.
In 1986 the government recognized four types of economic
enterprise ownership: "ownership by the whole people" (or state
ownership), collective, individual, and other. Under state
ownership the productive assets of an enterprise were owned by the
state, activities of the enterprise were determined by national
economic plans, and profits or losses accrued to the state budget.
Most of the largest modern
enterprises were state-owned and directly controlled by the central
government. Many other enterprises also were state-owned but were
jointly supervised by the central government and authorities at the
provincial, prefectural, or county levels. Profits from these
enterprises were divided among the central and lower-level units
(see Local Administration
, ch. 10).
Under collective ownership, productive assets were owned by the
workers themselves (in the case of an urban enterprise) or by the
members of enterprises established by rural units. Profits and
losses belonged to the members of the collective, and government
authorities directed the enterprise loosely. Collectively owned
enterprises were generally small and labor intensive, employing
approximately 27 million people in cities and towns in 1983.
Individual ownership belonged to the category of individual
handicrafts in the 1950s; by the mid-1980s it also included
individual enterprises with a maximum of thirty employees. The
Chinese authorities left the "other" category undefined.
Data as of July 1987
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