Abstract: The public economic production mode and the production mode of public goods are two important issues that haven’t been studied and elaborated in neither Western economics nor Marxist economics. However, the study on public economic production mode and its optimization path is of great academic value. It not only contributes both to the establishment of Marxist paradigm and Chinese style public economic theory system, but also propels the practice of national governance modernization. Based on the theoretical inference——that public economic production relationship plays an stimulative or an impeditive role is achieved by employment mechanism for public sector’s , the decision making mechanism for public goods’, the allocation mechanism of public resource, the distribution mechanism of labor, responsibility and rights, and the incentive mechanism in it, this paper studies on the constitution, inner contradictions, classification and core elements of the public economic production mode, and did tentative discussion on the basic path of its optimization.

Key words: public economy, production mode, productivity, production relationship