Wirtschaftliche Entwicklung und Innovationsfinanzierung in China seit der Wirtschaftsreform 1978: Eine systemisch-konstruktivistische (autopoietische) Erklärung auf der Grundlage der Entwicklungstheorie von Joseph Schumpeter

This book explains the quick and sustainable economic development of China and the finance of this development since the starting point of the economic reforms in 1978. For this purpose the author combines Schumpeter’s development theory and the modern views on system theory of Maturana and Varela as well as of Luhmann. The important findings are: the change from a planned economy to a market economy in China results from a spontaneous process of functional differentiation within the Chinese society, which can directly be traced back to organizational innovations in companies. The quick boom and the sustained growth of the Chinese economy are results of the undertaking and the linkage of many basic innovations at the same time. Innovations are coupled structurally with other areas of society (politics, scientific system, legal system etc.). For the innovations in China special financing sources have been developed, which are structurally connected to specific phases of innovation. The analysis is founded on three important theoretical thoughts: Schumpeter’s logic of innovation, the autopoietic systems according to Maturana and Varela, and Luhmann’s functional structural logic of system formation and theory of functional differentiation. The third chapter, based on the theoretical background of the first two, concentrates on an autopoieticly operating economic system in a functional differentiated society and its development from the systems theoretical point of view. The author first points out the functions and the elements of an economic system. Then she analyses the operations and characteristics of the system based on Maturana’s autopoietic theory and Luhmann’s approaches of sense, of structure formation of social systems, and of system formation through connecting potential elements. Thereafter, the author introduces the formation of an autopoietic economic system according to Luhmann, which results from the process of differentiation in a functional not differentiated society. Innovations, especially basic innovations, enormously widen business opportunities and connection chances within the entire economic system. They result in a high economic dynamic and generate a long run Kondratiev wave. Subsystems can exist in an economic system – routine, arbitrage, innovation and evolution system. Finally, the question how these innovations are financed is answered. The financing process in a functional differentiated society shows an autopoietic character: some sources finance a special development phase of innovations. Based on theses theories the great changes of the Chinese economy and the financing of this development are explained in the second part of the book. The forth chapter describes the change from the planned to a market economy. In the centre are business organizational innovations, new management methods and the emergence of autonomous enterprises, which lead to a functional differentiation in the society. A relatively independent economic system separates itself from the political system. The reactions of economic subjects to the reform indicate that the process of functional differentiation begins with an unplanned emergence of private enterprises and of TVEs. This process is then stabilised and further stabilised through continues economic development of independent enterprises, through the formation of a market economic order and at last through transformation of conventional SOEs to autonomic economic entities. The increasing independence of the economic system in China demands the political system to continue changes in the direction of a more and more favourable market economy order. The fifth chapter explains the rapid and sustained development of the Chinese economy. In the centre are the multi-Kondratiev wave and the formation of the autopoietic innovation system in China. It shows that the implementation of basic innovations derives from many for China new Kondratiev waves at the same time, and the “creative response” of many forms of enterprises (private enterprises, TVEs, private led state owned enterprises, returned Chinese founders, foreign companies and SOEs) in different branches. Thereby the effects of the internal environment (concurrences, demand) and the external environment (politics, legal system, scientific system, and culture) of the economy on innovations are analysed. In the sixth chapter the financial sources for innovations and their changes over time are traced. In this juncture especially the diversification of financial resources is analysed. The most important result is that the financing of innovations in China shows increasingly autopoietic characteristics. Innovations have gradually established links to specific capital sources (equity capital, public funds, venture capital, FDI and partly state owned banks), and the money derived from benefits of innovations supports further innovations.