Special Deals with Chinese Characteristics

Chong-En Bai, Chang-Tai Hsieh and Zheng Michael Song

No 25839, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Chinese local governments wield their enormous political power and administrative capacity to provide “special deals” for favored private firms. We argue that China’s extraordinary economic growth comes from these special deals. Local political leaders do so because they derive personal benefits, either political or monetary, from providing special deals. Competition between local governments limits the predatory effects of special deals.

JEL-codes: E02 F00 N00 P0 (search for similar items in EconPapers)
Date: 2019-05
New Economics Papers: this item is included in nep-cna, nep-mac and nep-tra
Note: DEV EFG IFM ITI POL
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (28)

Published as Special Deals with Chinese Characteristics , Chong-en Bai, Chang-Tai Hsieh, Zheng Song. in NBER Macroeconomics Annual 2019, volume 34 , Eichenbaum, Hurst, and Parker. 2020

Downloads: (external link)
http://www.nber.org/papers/w25839.pdf (application/pdf)

Related works:
Chapter: Special Deals with Chinese Characteristics (2019)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nbr:nberwo:25839

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w25839

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().