On the Theoretic Ground for Distribution According to Performance and Productive Factor

Karl Marx thought that a distribution system was determined by its relevant mode of production. In a capitalist society, the individual income is totally based on productive factors, which is decided by the ownership of capitalist productive factors and development of productive force; in a socialist society, distribution according to performance is based on the socialist mode of production that unite production relation with productive force. At present, China is adopting a mixed system of distribution according to both performance and productive factor, which is justified by the special ownership structure of productive factors and mode of production at the primary stage of socialism. It is the basic feature and prerequisite of market economy to permit and encourage distribution according to productive factors and the socialist system of distribution according to performance must be conditioned by the socialist system itself.