A Theory of Ambiguous Property Rights in Transition Economies: The Case of the Chinese Non-State Sector
Can ambiguous property rights sometimes be efficient? Ambiguous property rights arises when owners' rights axe not guaranteed before hand. Instead, owners have to fight for actual control, ex pos. We show that China's highly successful non-state sector is a major example of ambiguous property rights. We then propose a theory of ambiguous property rights, which argues that ambiguous property rights arise due to an imperfect market environment. We argue that the immature market environment in China makes ambiguous property rights often more efficient than unambiguously defined private property rights.
|Date of creation:||01 Jun 1996|
|Contact details of provider:|| Postal: 724 E. University Ave, Wyly Hall 1st Flr, Ann Arbor MI 48109|
Phone: 734 763-5020
Fax: 734 763-5850
Web page: http://www.wdi.umich.edu
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:wdi:papers:1996-8. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (WDI)
If references are entirely missing, you can add them using this form.