China's economic growth: Trajectories and evolving institutions

Arbeitspapier

This paper investigates the institutional reason underlying the change in the trajectory of economic growth in post-reform China, and argues that the trajectory of growth was much more normal during the period of 1978-89 than in the post-1989 era. In the former period, growth was largely induced by equality-generating institutional change in agriculture and the emergence of non-state industrial sector. In the latter period, growth was triggered by the acceleration of capital investments under authoritarian decentralized hierarchy within self-contained regions. Such a growth trajectory accelerates capital deepening, deteriorating total factor productivity and leads to rising regional imbalance. This paper further argues that the change in the trajectory of growth is the outcome of changes in political and inter-governmental fiscal institutions following the 1989 political crisis.

Object Details

• ISBN: 978-92-9230-079-1
• Language: Englisch

References and Relationships

• Bibliographic citation: Series: WIDER Research Paper ; No. 2008/33

Classification and Topics

• Classification: Wirtschaft ; Public Administration; Public Sector Accounting and Audits ; Socialist Systems and Transitional Economies: Political Economy; Property Rights
• Subject: economic growth ; political institutions ; Wirtschaftswachstum ; China

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Zhang, Jun
• Event: Veröffentlichung
• (who): The United Nations University World Institute for Development Economics Research (UNU-WIDER)
• (where): Helsinki
• (when): 2008

Further information

• Handle: http://hdl.handle.net/10419/45165
• Last update: 10.03.2025, 11:42 AM CET