Theoretical foundation

After five years of "practice", the theoretical foundation of China's economic development is now labeled, "Xi Jinping Thought on Socialist Economy with Chinese Characteristics for a New Era", paralleling the phrase added to the Party Constitution two months earlier. The "thought" is based mainly on Xi's new concept of development－innovative, coordinated, green, open and shared development－which has been the core of his economic philosophy.

For the first time at this annual conference, topics other than economics were on the agenda. Diverse public concerns were addressed, such as burdensome homework for schoolchildren, sex discrimination in the workplace, and online scams. This was a clear consequence of how China's new "principal contradiction" in the "New Era" now drives domestic policy; as Chinese citizens seek a "better life", the government must respond.

To pick one message to characterize the year, it is this. In 2017, under the leadership of Xi, China set the trajectory, in all vital areas, of the country's domestic development and international engagement for the next 30-plus years, to mid-century, to 2050.

Every year brings challenges. For China, no doubt, big ones lie ahead. In 2018, China will celebrate the 40th anniversary of reform and opening-up. The world is watching.

The author is a public intellectual, international corporate strategist and investment banker, and China expert/commentator. He is co-creator (with Adam Zhu) and host of CGTN's Closer to China with R.L. Kuhn and "The Watcher" commentaries.