After 14 years and 7 trials, NPC (National People's Congress) enacted Property Laws (物权法) today (March 16th, 2007) in Beijing. This is a landmark legislative event. Modern China has followed the constitution that emphasize on the government's rights on all properties. This legislation codified a watershed change. First time, country, individuals, and collectives are on even playing ground in terms of ownership.

Few concepts made this law so difficult to pass.

• Should the government have an upper-hand in properties over its citizens? This touches the fundamental founding principles of this country. Properties are the means for production and basis for profits. If individuals have the same rights on properties as the nation, the society will fundamentally be a market-driven economy.

• By constituion, the government owns all the land as well as the natural resources, such as oil, gas, coal, etc. that are associated with the land. The government leases land to citizens. Those "use rights" leases expire in 70 years in the cities and only 30 years for argricultural farm land. Since the country began its existence only in 1949, there has been no precedences on such expiration. This property law stipulated the leases will be renewed automatically — but maybe for a fee.

• The law recognizes collectives as a first class concept. Argricultural and food production are high on the government's concerns. Farm lands cannot be converted to other uses without approvals. They cannot be mortgaged either.

Last year, a professor in Peking University vehemently wrote an open letter accusing the draft law unconstituional. "It is capitalism, not communism." He claimed. That letter stalled the passage of the law and led to furthur modifications. This year, the debates shifted to minor subjects such as parking rights and easements. Most pundits predict its smooth passage.

If individual ownership of properties is guaranteed, people will pursue wealth and better life-style using those properties. In the process, they will accumulate more properties. The cycle continues and guarantees the market-driven economy forever. With money, by Maslow's hierarchy of needs, people will pursue freedom (or self-actualization). This law, that profesor is right, will change China irreversibly.