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The Transition Process In China: An Economic Development Perspective

  • Pu Chen


    (Faculty of Economics, University Bielefeld)

  • Chih-Ying Hsiao


    (School of Finance and Economics, University of Technology, Sydney)

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    During the last 25 years, the Chinese economy has experienced significant changes: the centrally planned economy has been reformed gradually into a market economy; the traditional agricultural economy is becoming more and more a modern industrial economy. In a dynamic two-sector-two-segment model we demonstrate that the economic reform has changed the industrialization mechanism in China. It released a decentralized industrialization process beside the centrally planned Soviet-type industrialization. This decentralized industrialization is shown to be the ultimate driving force of the transition from plan to market in China.

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    Article provided by Chung-Ang Unviersity, Department of Economics in its journal Journal Of Economic Development.

    Volume (Year): 32 (2007)
    Issue (Month): 2 (December)
    Pages: 113-134

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    Handle: RePEc:jed:journl:v:32:y:2007:i:2:p:113-134
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    1. Woo Wing Thye, 1994. "The Art of Reforming Centrally Planned Economies: Comparing China, Poland, and Russia," Journal of Comparative Economics, Elsevier, vol. 18(3), pages 276-308, June.
    2. Chen Pu & Hsiao Chihying, 2005. "the Transition Process in China: A theoretic and empirical Study," Development and Comp Systems 0507007, EconWPA.
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