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Property Rights, Productivity Gains and Economic Growth: The Chinese Experience

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  • Vai Io Lo
  • Xiaowen Tian
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    Abstract

    This study finds that the Chinese experience cannot, as some have claimed, pose a challenge to the property rights theory. The unsatisfactory economic performance of the Chinese private sector in the 1980s is attributed to the discriminatory legal environment within which private property rights developed. Private property rights had to develop under the disguise of collectives. Once the political and legal environments improved in the 1990s, the private sector achieved significantly greater productivity gains and contributed more to economic growth than all other sectors. Accordingly, private property rights are crucial to economic performance; China is no exception.

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    File URL: http://www.tandfonline.com/doi/abs/10.1080/14631370220139945
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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Post-Communist Economies.

    Volume (Year): 14 (2002)
    Issue (Month): 2 ()
    Pages: 245-258

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    Handle: RePEc:taf:pocoec:v:14:y:2002:i:2:p:245-258

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    8. Furubotn, Eirik G & Pejovich, Svetozar, 1972. "Property Rights and Economic Theory: A Survey of Recent Literature," Journal of Economic Literature, American Economic Association, vol. 10(4), pages 1137-62, December.
    9. Feder, Gershon, 1983. "On exports and economic growth," Journal of Development Economics, Elsevier, vol. 12(1-2), pages 59-73.
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