China's economic growth, 1978-2007: structural-institutional changes and efficiency attributes

Dic Lo and Guicai Li

Journal of Post Keynesian Economics, 2011, vol. 34, issue 1, 59-84

Abstract: China's sustained rapid economic growth over the era of its systemic reform is of general importance for late development under globalization. This article seeks to construct an explanation of the experience, which centers on the notion of an evolving development path that embodies an uneasy mix of the attributes of allocative and productive efficiency. In this light, the analytical findings of the article give rise to two main propositions. First, in contrast to the general direction of market reform in the institutional dimension, China's actual path of industrialization and economic growth has rather tended to contradict the principle of (endowment-determined) comparative advantage. It has been in the direction of capital deepening, especially since the early 1990s. Second, China's reformed economic institutions have encompassed both market-supplanting and market-conforming elements. These are represented by state-owned enterprises and non-state-owned enterprises, respectively, with the former accounting for the improvement in productive efficiency and the latter accounting for the improvement in allocative efficiency. The article concludes with a discussion on the significance and policy implications of the findings.

Date: 2011
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://hdl.handle.net/10.2753/PKE0160-3477340103 (text/html)
Access to full text is restricted to subscribers.

Related works:
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:mes:postke:v:34:y:2011:i:1:p:59-84

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MPKE20

DOI: 10.2753/PKE0160-3477340103

Access Statistics for this article

More articles in Journal of Post Keynesian Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().