The paper starts with a brief discussion of recent developments of economic
restructuring of the State Owned Enterprises in China and their related re
forms in social insurance and social assistance, It then reports the findin
gs of an attitude survey of residents in Shanghai in 1996 towards the socia
l and economic consequences of economic reform. It reveals that, despite th
e fact that most people feel better off with the reforms, there is still a
need for the state to play a role in social protection.