Chow Gregory C. - Routledge Handbook of the Chinese Economy

ROUTLEDGE HANDBOOK OF
THE CHINESE ECONOMY

Chinas rapid rise to become the worlds second largest economy has resulted in an unprecedented impact on the global system and an urgent need to understand more about the newest economic superpower.

The Routledge Handbook of the Chinese Economy is an advanced-level reference guide which surveys the current economic situation in China and its integration into the global economy. An internationally renowned line-up of scholars contribute chapters on the key components of the contemporary economy and its historical foundations.

Topics covered include:

the history of the Chinese economy from ancient times onwards;

economic growth and development;

population, the labor market, income distribution, and poverty;

legal, political, and financial institutions; and

foreign trade and investments.

Offering a cutting-edge overview of the Chinese economy, the Handbook is an invaluable resource for academics, researchers, economists, graduate, and undergraduate students studying this ever-evolving field.

Gregory C. Chow is Professor of Economics and Class of 1913 Professor of Political Economy, emeritus, at Princeton University, USA and has been on the Princeton faculty since 1970.

Dwight H. Perkins is the Harold Hitchings Burbank Professor of Political Economy, emeritus, at Harvard University, USA and has been on the Harvard faculty since 1963.

In this volume, Gregory Chow and Dwight Perkins assemble a global array of authors to provide a comprehensive account of Chinas economic development both before and after the reform initiatives of the late 1970s. While many of the contributors focus on institutions, policies and outcomes at the national level, detailed accounts by reform participants Wu Jinglian and Yi Gang along with an iconoclastic essay by Lynn White provide readers with unusual insight into the operational mechanisms of Chinas political economy.

Thomas G. Rawski, Professor of Economics and History, University of Pittsburgh, USA

The Routledge Handbook of the Chinese Economy excels in the breadth of its contributors and topics. Professors Chow and Perkins have assembled an all-star group of authors ranging from international academic leaders to those with relevant experience within the Chinese government. Topics range from historical perspectives to current economic issues on the road to reform. Anyone interested in the Chinese economy will find this Handbook must reading.

Burton G. Malkiel, Professor of Economics, Princeton University, USA

Gregory Chow and Dwight Perkins, two giants in economic science, were major figures in helping to start the process of training Chinese students in modern economics in 1986 through their chairmen-ship of the USChina Committee on Economics Education and Research at the U.S. National Academy of Sciences. We must thank them again now for sharing with us some of the significant fruits of that transformational training program. The many excellent articles in this Handbook on a broad range of topics make it indispensable to the library of a China scholar.

Wing Thye Woo, Professor of Economics, University of California, Davis, USA

ROUTLEDGE HANDBOOK OF
THE CHINESE ECONOMY

Edited by Gregory C. Chow and Dwight H. Perkins

First published 2015
by Routledge
2 Park Square, Milton Park, Abingdon, Oxon, OX14 4RN

and by Routledge
711 Third Avenue, New York, NY 10017

Routledge is an imprint of the Taylor & Francis Group, an informa business

2015 selection and editorial material, Gregory C. Chow and Dwight H.
Perkins; individual chapters, the contributors

The right of Gregory C. Chow and Dwight H. Perkins to be identified as authors of the editorial material, and of the individual authors as authors of their contributions, has been asserted by them in accordance with sections 77 and 78 of the Copyright, Designs and Patents Act 1988.

All rights reserved. No part of this book may be reprinted or reproduced or utilized in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers.

Trademark notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe.

British Library Cataloguing in Publication Data

A catalogue record for this book is available from the British Library

Library of Congress Cataloging-in-Publication Data

Routledge handbook of the Chinese economy / edited by Gregory C.

Chow and Dwight H. Perkins.

pages cm

Includes bibliographical references and index.

1. ChinaEconomic conditions. 2. ChinaEconomic policy. 3. Economic development. I. Chow, Gregory C. II. Perkins, Dwight H. (Dwight Heald)

HC427.R667 2014

330.951-dc23

2014000039

ISBN: 978-0-415-64344-3 (hbk)

ISBN: 978-1-315-76747-5 (ebk)

Typeset in Bembo

by Cenveo Publisher Services

CONTENTS

Kenneth S. Chan, Professor emeritus, McMaster University. He was the Head and Professor at the Department of Economics and Finance, City University of Hong Kong. His research is in the area of international economics, with numerous publications in leading journals. He is the Editor of the Pacific Economic Review, and sits on many journal editorial boards.

Gregory C. Chow is the 1913 Professor of Political Economy, emeritus, at Princeton. He was Director of the Economic Research Program at Princeton, now named the Gregory C. Chow Econometric Research Program. He advised top leaders of Taiwan and China and introduced economics education in China. Author of 16 books and over 200 articles, he is a columnist for three major newspapers in China, one in Hong Kong and one in Taiwan. A recipient of honorary degrees from Zhongshan University, Lingnan University, and the Hong Kong University of Science and Technology, he is a member of the American Philosophical Society and of Academia Sinica, a Distinguished Fellow of the American Economic Association, and a Fellow of the Econometric Society and the American Statistical Association.

Jacques deLisle is Stephen A. Cozen Professor of Law, Professor of Political Science, Director of the Center for East Asian Studies, and Deputy Director of the Center for the Study of Contemporary China at the University of Pennsylvania. His scholarship focuses on domestic legal reform in China, the roles of law in addressing crises in China, and Chinas engagement with the international legal order.

Fan Shitao is a Lecturer at Beijing Normal University. He primarily researches the history of the Chinese economy. His recent papers include Inclusive Institutions, Extractive Institutions and Sustainability of Prosperity and How Had the Cultural Revolution been Started?.

Richard B. Freeman holds the Ascherman Chair in Economics at Harvard University and is Faculty Co-Director of the Labor and Worklife Program at the Harvard Law School. He directs the Science and Engineering Workforce Project at the National Bureau of Economic Research, and is a Fellow of the American Academy of Arts and Science.

K. C. Fung is Professor of Economics at the University of California, Santa Cruz. His research interests include international economics and Asian economies. He was a senior economist in the Clinton Administration White House Council of Economic Advisers. His most recent book is