Social development in market society by intrinsic value account: a case of China

Abstract

PurposeThe purpose of this paper is to reargue the great controversies surrounding marketization, by the concept of intrinsic value and to give a panorama of China's marketization and social development during last 30 years.Design/methodology/approachThe concept of intrinsic value is elaborated, and marketization and closely linked concepts such as price, wealth, happiness, freedom, etc. are reargued. An intrinsic value account (IVA) is constructed and the enhancement and weakening of some intrinsic values could be clearly shown. A panorama of China's marketization and social development is exhibited by IVA.FindingsThe basic point of this paper is that social development is a concept with strong but implicit ethical assumption and should be explicitly based upon intrinsic value. Without concrete definition and consensus on intrinsic value, it will face great disputes on judging human history as social development or social degradation. Market is not only an objective value‐neural system, but a subjective moral entity. China's maketization has enhanced economic value greatly, but suffered great loss by other intrinsic values.Practical implicationsIVA could be a practical instrument to evaluate social development and clarify the possible academic controversies on market. The arguments of China's marketization experience could be of benefit to other developing countries.Social implicationsThis paper could encourage people, particularly policy makers, to consider their value assumptions, value priority, some basic concepts in market, and what human kind is really pursuing.Originality/valueThe paper shows that IVA could be a new instrument to better evaluate social development, similar to the National Income Account or National Happiness Account.