Recasting the Iron Rice Bowl: The Reform of China's State Owned Enterprises
Daniel Berkowitz ()
No 5858, Working Paper from Department of Economics, University of Pittsburgh
Following the enactment of reforms in the mid-1990s China'Â’s state owned enterprises(SOEs) became more profitable. Using theoretical insights from Azmat, Manning andVan Reenen (2012) and Karabarbounis and Neiman (2014) and econometric methodsin De Loecker and Warzynski (2012) this paper fiÂ…nds that SOE restructuring wasnevertheless limited. This is because SOE profiÂ…tability gains in part reÂ‡flect that theywere under less political pressure to hire excess labor and also their cost of capital felland their capital-labor elasticity of substitution generally exceeded unity. Moreover,SOE productivity lagged foreign and private firms.
New Economics Papers: this item is included in nep-cna and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:pit:wpaper:5858
Access Statistics for this paper
More papers in Working Paper from Department of Economics, University of Pittsburgh Contact information at EDIRC.
Bibliographic data for series maintained by Department of Economics, University of Pittsburgh ().