Innovation is the soul of a nation. It is the never-ending power for a country's prosperity and the source of energy of a political party. At a recent conference for the academicians of the Chinese Academy of Natural Sciences and Chinese Academy of Social Sciences I stressed the importance of promoting the spirit of science within the Party as well as among the general public. What we mean is to seek truth from facts, to make new explorations into the unknown world, to respect the truth and be bold enough to make new innovations, so as to push forward all the work of the Party and state.

　　Innovations include those in theoretical, system, scientific and technological and other fields. For the past two decades, the glorious achievements we have made under the Party's leadership in our reform and opening-up and our modernization drive are all closely associated with innovations in theory, systems, and science and technology. The formation and development of Deng Xiaoping Theory is the crystallization of theoretical innovation by the Party in the new era as well as its greatest achievement. All other innovations are undertaken under the direction, promotion and influence of this theoretical innovation. Now, in response to the new situation and new problems in China and in the world as a whole, we must persevere in taking Marxism-Leninism, Mao Zedong Thought and Deng Xiaoping Theory as our guide. We must uphold the Party's ideological line of proceeding from reality in everything we do, emancipating our minds and seeking truth from facts. We must follow the tide of the times, study new situations that crop up constantly and solve new problems, so as to form a new type of awareness and explore new frontiers.

　　To make innovations to our systems means improving the existing systems so that they will suit the development of the socialist market economy and the building of socialism with Chinese characteristics. Thanks to the explorations and efforts since the introduction of the reform and opening-up policies, and particularly since the 14th Party National Congress, we have established the basic framework of the system of socialist market economy. However, a series of deep-rooted problems must be tackled before we can make this new economic system complete and mature. The pattern in which public ownership plays the dominant role in the national economy, while other forms of ownership develop side by side, must be improved systematically. New breakthroughs must be made in the reform of state-owned enterprises, with emphasis on the establishment of a modern enterprise system. A regulated, unified national market will have to be established and improved. Through further reform, we must establish and improve an economic and technological competition and cooperation mechanism as a requirement for China's entry into the World Trade Organization; a distribution system, which integrates distribution according to work with distribution according to production factors; a multi-layer social welfare network; the government's management and operation system, and the Party's and state's leadership system. We must continue with investigations to adapt ourselves to the changing conditions and requirements of socialist modernization, and make new achievements in the innovation of the economic and other systems.

　　To make scientific and technological innovations is to make science and technology a strong driving force behind China's cross-century development. We are now in an era of fundamental scientific and technological revolution. We must focus on those significant scientific and technological projects that are of strategic, basic or vital importance to China's economy, science and technology, national defense and social development, and make innovations on our own. Following the principle of concentrating on certain areas while placing less emphasis on other areas, we shall aim at the vanguard of the world's scientific and technological development, trying to make breakthroughs in areas where conditions are favorable, to make new discoveries in basic science and new technological inventions so as to realize a leapfrog expansion of China's science and technology.

　　To make theoretical innovations is to push forward our Party's basic theories through absorbing new practical experience and new ideas while inheriting the good things of the past. In July 1937, in "On Practice," Comrade Mao Zedong pointed out: "Discover the truth through practice, and again through practice verify and develop the truth. Start from perceptual knowledge and actively develop it into rational knowledge; then start from rational knowledge and actively guide revolutionary practice to change both the subjective and the objective world. Practice, knowledge, again practice, and again knowledge. This form repeats itself in endless cycles, and with each cycle the content of practice and knowledge rises to a higher level. Such is the whole of the dialectical-materialist theory of knowledge, and such is the dialectical-materialist theory of the unity of knowing and doing." To uphold Marxism, it is most important to uphold Marxism's scientific principles and spirit as well as its spirit of innovation. In view of the changes in reality, it is important for us to constantly absorb nutrition from the practice of the masses to enrich and develop the basic theories so that they can better guide our work.

　　Marx, Engels, Lenin, Mao Zedong and Deng Xiaoping had set good examples for us in theoretical innovations. Marx and Engels extensively absorbed the theoretical literature of their predecessors, and summed up the objective law of the development of human society, pointing out that the movement of the contradictions between the productive forces and the relations of production are the driving forces of social development, and came to the scientific conclusion that this will inevitably lead to communism. They criticized and surpassed the theories of Adam Smith, David Ricardo, Georg Hegel and Ludwig Feuerbach to create a scientific guidance for the liberation movement of the proletariat and mankind as a whole. Later, they constantly came up with new judgments and offered new theoretical explanations in light of the new situations of the development of capitalism and new practices of workers' movement. In his article "A Critique of the Draft Social-Democratic Programme of 1891" Engels points out that capitalist production by joint-stock companies is no longer private production but production on behalf of many associated people. "And when we pass on from joint-stock companies to trusts, which dominate and monopolize whole branches of industry, this puts an end not only to private production but also to planlessness." Marx and Engels predicted that socialist revolution would erupt in some developed capitalist countries simultaneously, and be victorious. After analyzing imperialism's economic and political characteristics and basic contradictions, Lenin shed light on the law concerning the imbalance in the economic and political development of the imperialist countries. He came to the conclusion that socialist revolution could succeed in the weakest link of imperialism - in one or a few countries first. And he led the October Revolution to victory. For a period after the October Revolution, Soviet Russia attempted to implement a "wartime communism" policy, whereby commodities and money were eliminated and equal distribution among all people was adopted. But its practice soon made Lenin realize that "a proletarian country using direct orders to adjust the production and distribution of the country's products according to the principle of communism in a peasant country" was a practice divorced from reality and that "reality proved us wrong." Therefore, Lenin put forward his "new economy policy," using commodities and money to resume and develop the economy. Integrating the fundamental tenets of Marxism with the specific conditions of the Chinese revolution, Mao Zedong originated the theory of the new-democratic revolution, and pointed out that China should take a road differing from armed uprisings in cities, as occurring during the October Revolution, by encircling the cities from the rural areas. And he guided the Chinese revolution to victory. When the "cultural revolution" came to an end, Comrade Deng Xiaoping, with unrivaled courage, directed the Party members to emancipate their minds and seek truth from facts. Fully confirming Mao Zedong's historical achievements, he resolutely corrected the mistake of "taking class struggle as the key link" and put forward the new theory of reform and opening-up and the modernization drive. Deng Xiaoping constantly made theoretical innovations based on his analysis of China's reform and construction. A series of new concepts, including the primary stage of socialism, the household responsibility system, allowing some people and some areas to get rich first, the establishment of special economic zones, the dual functions of the plan and the market, and "one country, two systems" - are extraordinary theoretical creations and a remarkable development of Marxism-Leninism and Mao Zedong Thought. Think about it. Without Comrade Deng Xiaoping, who led the Party to carry out the ideological line of emancipating the mind and seeking truth from facts, and insisted on reform and making innovations, would the undertakings of our Party and state be in such good shape as they are today?

　　The history of Marxism has taught us a profound truth: social practice is a continuous process, we should keep renewing our ideas and make innovations in light of practical needs. Emancipating the mind and making theoretical innovations are the powerful driving force behind great social progress. We must always take Marxism-Leninism, Mao Zedong Thought and, particularly, Deng Xiaoping Theory as our guide. Meanwhile, we must make new explorations based on new practice and come up with new theories which serve as guides to practice. The 15th National Congress of the Communist Party of China called upon all Party members - with practical problems in China's reform and opening-up and the modernization drive and what we were doing as their focus of study - to consider the application of Marxist theories, make theoretical examinations of practical problems, and consider new practices and new developments. The 15th Party National Congress also pointed out that to uphold Deng Xiaoping Theory and continue to enrich and creatively develop the theory is a solemn historical task for the central leadership as well as for ordinary Party members. All Party members should take this task as their sacred responsibility, pool the wisdom of the masses, study and solve important strategic problems concerning the development of the cause of the Party and state to ensure that the Party is always in the forefront of the times, and truly fulfill the requirements of the "Three Represents."

　　*Excerpt from a speech delivered by Jiang Zemin at a symposium on Party building in the five provinces and autonomous regions of northwest China and the development of the western regions of China.