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SOE Reform and Privatization in Transition: China in Comparative Perspective

In: Transition from Socialist to Market Economies

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  • Nakagane Katsuji

Abstract

Reforming state-owned enterprise (SOEs) is one of the most important issues in any economy in transition. The Chinese economy has been widely recognized as a successful case of gradualist transition, but unexceptionally was faced with poor management and low efficiency in many SOEs. Advocates of shock therapy have criticized the gradualist approach, maintaining that it makes comprehensive SOE reform ineffective (Sachs and Woo 1994). Nevertheless, even in the former Soviet Union (FSU), particularly the Commonwealth of Independent States (CIS) countries, and the Central and Eastern European countries (CEECs) that took the shock therapy adv ice follow ing the Washington consensus, the same SOE issues have persisted and some remain intractable.

Suggested Citation

  • Nakagane Katsuji, 2009. "SOE Reform and Privatization in Transition: China in Comparative Perspective," Palgrave Macmillan Books, in: Shinichi Ichimura & Tsuneaki Sato & William James (ed.), Transition from Socialist to Market Economies, chapter 4, pages 79-100, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-24498-6_5
    DOI: 10.1057/9780230244986_5
    as

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