The new edition of a comprehensive overview of the modern Chinese economy, revised to reflect the end of the “miracle growth” period.
This comprehensive overview of the modern Chinese economy by a noted expert on China's economic development offers a quality and breadth of coverage not found in any other English-language text. In The Chinese Economy, Barry Naughton provides both a broadly focused introduction to China's economy since 1949 and original insights based on his own extensive research. This second edition has been thoroughly revised to reflect a decade of developments in China's economy, notably the end of the period of “miracle growth” and the multiple transitions it now confronts―demographic, technological, macroeconomic, and institutional. Coverage of macroeconomic and financial policy has been significantly expanded.
After covering endowments, legacies, economic systems, and general issues of economic structure, labor, and living standards, the book examines specific economic sectors, including agriculture, industry, technology, and foreign trade and investment. It then treats financial, macroeconomic, and environmental issues. The book covers such topics as patterns of growth and development, including population growth and the one-child family policy; the rural and urban economies, including rural industrialization and urban technological development; incoming and outgoing foreign investment; and environmental quality and the sustainability of growth.
The book will be an essential resource for students, teachers, scholars, business practitioners, and policymakers. It is suitable for classroom use for undergraduate or graduate courses.
Author(s): Barry Naughton
Edition: 2
Publisher: MIT Press
Year: 2018
Language: English
Pages: 609
City: Cambridge, MA
Contents
Acknowledgments
1. Introduction: The Chinese Economy in Context
1.1 Enabling Conditions
1.2 Growth and Development Level
1.3 Growth: Looking Backward and Forward
1.4 Structural Transformation and the End of the Miracle-Growth Era
1.5 System Reform: An Increasingly Contested Transformation
1.6 Growth Acceleration and Slowdown
1.7 Responding to the “New Normal”
1.8 Using This Book
Bibliography
I. Legacies and Setting
2. The Geographic Setting
2.1 Landforms
2.2 Climate and Water
2.3 Provinces and Regions
2.4 Natural Resources
2.5 The Built Landscape
2.6 Changing Regional Dynamics
2.7 Conclusion
Bibliography
3. The Chinese Economy Before 1949
3.1 The Traditional Economy, 1127–1911
3.2 The Failed Response to the West and Japan
3.3 The Beginnings of Modernization, 1912–1937
3.4 War and Civil War, 1937–1949
3.5 Legacies of the Pre-1949 Economy
Bibliography
4. The Socialist Era, 1949–1978: Big Push Industrialization and Policy Instability
4.1 The Big Push Development Strategy
4.2 The Command-Economy System in China
4.3 Policy Instability
4.4 Legacies of the Socialist Period
Bibliography
5. Market Transition: Strategy and Process
5.1 The Challenge of Reform
5.2 Reforms Begin: Political Relaxation and the Rural Breakthrough
5.3 Accelerated Transition, 1984–1989
5.4 Interlude, 1989–1992
5.5 Accelerated Transition, 1993–1999
5.6 A New Institutional Framework (Political Economy Interlude No. 2)
5.7 Reform Slowdown After 2003
5.8 Renewed Reform Initiative After 2013
5.9 Market Transition: Conclusion
Bibliography
6. The Urban-Rural Divide and Chinese-style Urbanization
6.1 A Dualistic System: The Division Between Urban and Rural
6.2 Urbanization
6.3 Rural-to-Urban Migration
6.4 Economic Consequences of the Urban-Rural Divide
6.5 Policy Efforts to Close the Urban-Rural Divide Since 2003
6.6 Conclusion: The Urban-Rural Divide Today
Bibliography
II. Patterns of Growth and Development
7. Growth and Structural Change
7.1 Long-Run Growth
7.2 Structural Change
7.3 Investment
7.4 Production Functions, Productivity, and Growth Decomposition
7.5 What Is a Growth Miracle?
7.6 The End of the Growth Miracle
7.7 Conclusion
Bibliography
8. Population: Demographic Transition, the Demographic Dividend, and the One-Child Policy
8.1 The Demographic Transition and the Demographic Dividend
8.2 China’s Demographic Transition
8.3 The Role of Government Policy
8.4 The Impact of the One-Child Policy and Declining Fertility
8.5 Changing Age Composition
8.6 Long-Run Trends and Population Aging
8.7 Conclusion
Bibliography
9. Labor and Human Capital
9.1 The Chinese Labor Force Today
9.2 The Institutional Transformation of Chinese Labor
9.3 How Well Do Labor Markets Function in China Today?
9.4 Human Capital and Educational Attainment
9.5 Returns to Other Attributes
9.6 Labor-Market Segmentation: A Deeper Look
9.7 The Migration Decision
9.8 Labor Supply and the Lewis Turning Point
9.9 Conclusion
Bibliography
10. Living Standards: Incomes, Inequality, and Poverty
10.1 Income Growth
10.2 Poverty
10.3 Inequality
10.4 Physical Quality of Life Indicators
10.5 Conclusion
Bibliography
III. The Rural Economy
11. Rural Organization
11.1 The Chinese Village
11.2 Agricultural Collectives
11.3 The Second Revolution in the Countryside: Rural Reforms, 1979–1984
11.4 The New Socialist Countryside: Establishing Supportive Government Policy
11.5 Conclusion
Bibliography
12. Agriculture: Technology, Production, and Policy
12.1 Output Growth in Agriculture
12.2 The Green Revolution
12.3 Technology Choice and Innovation in Agriculture
12.4 Diversification and Structural Change
12.5 Agricultural Policy
12.6 Conclusion: Toward Sustainable Agriculture
Bibliography
13. Rural Industrialization: From Township and Village Enterprises to Taobao Villages
13.1 Origins of the TVEs
13.2 The Golden Age of TVE Development
13.3 Causes of Rapid Growth
13.4 Diverse Regional Models of TVE Development
13.5 The Transformation of TVEs in the New Century
13.6 Emergence of Rural Industrial Clusters in the Twenty-First Century
13.7 Epilogue: Taobao Villages
Bibliography
IV. The Urban Economy
14. Industry: Ownership and Corporate Governance
14.1 Entry of Small-scale, Hybrid, and Private Firms
14.2 A Diverse and Competitive Industrial Economy
14.3 Ownership and the Public Interest
14.4 Corporate Governance: Firm-Level Institutions
14.5 Public Ownership Agencies and Their Missions
14.6 Profitability and Finance of the State Industrial Sector
14.7 Sectoral Composition of the State Sector
14.8 Conclusion
Bibliography
15. Technology and Industrial Policy
15.1 Framework
15.2 Technology Effort
15.3 Human Resources
15.4 Strategies of Technology Development
15.5 The Turn to Techno-Industrial Policy After 2006
15.6 A Multistranded Program of High-Technology Development
15.7 Outcomes
15.8 Technology Policy Issues
15.9 Conclusion
Bibliography
V. China and the World Economy
16. International Trade
16.1 Background
16.2 Reforming the Trade System
16.3 A Dualist Trade Regime: The Strange Career of Export-Processing Trade
16.4 WTO Membership and Steps to an Open Economy
16.5 Composition of Trade
16.6 Technological Sophistication
16.7 Trade Partners
16.8 Accommodating Structural and Regional Change
16.9 Conclusion
Bibliography
17. Foreign Investment and the Capital Account
17.1 FDI in the Chinese Economy
17.2 “Zones”: Gradual Liberalization of the Investment Regime
17.3 The Impact of FDI
17.4 Sources of Investment in China
17.5 The Sectoral Composition of FDI and WTO
17.6 Outbound FDI
17.7 The Balance of Payments and the Capital Account
17.8 Accommodating Capital Outflows
17.9 Conclusion
Bibliography
VI. Macroeconomics and Finance
18. Macroeconomic Policy: Instruments and Outcomes
18.1 The Objectives of Macroeconomic Policy
18.2 A Snapshot of China’s Macroeconomic Record, 1978–2016
18.3 The Demand Side and Macroeconomic Policy Instruments
18.4 Money and Monetary Policy
18.5 Special Features of China’s Monetary System
18.6 Chinese Monetary Policy in Practice: Three Episodes
18.7 Macroeconomic Policy After the High-Growth Era
18.8 Conclusion
Bibliography
19. The Financial System
19.1 Building Block Concepts
19.2 Saving
19.3 The Chinese Banking System
19.4 Capital Markets: Equity
19.5 Capital Markets: Bonds
19.6 Shadow Banking
19.7 Liberalization and the Marketization of Interest Rates
19.8 Conclusion
Bibliography
20. The Fiscal System
20.1 Revenue and Taxation
20.2 Expenditures
20.3 Central and Local Budgets
20.4 Rural Government Budgets
20.5 Urban Government Budgets
20.6 Local-Government Debt
20.7 Fiscal Reform and Overall Economic Reform
20.8 Conclusion
Bibliography
VII. Conclusion: China’s Future
21. Environmental Quality and the Sustainability of Growth
21.1 The Energy Baseline and the Coal Problem
21.2 Energy and Environmental Policy
21.3 Pollution
21.4 Conclusion: The Environment, Sustainability, and Global Warming
Bibliography
Index
