Post-mao economic transition: The role of non-state enterprises

Wai Kwong Mok

Research output: Journal article publicationJournal articleAcademic researchpeer-review

3 Citations (Scopus)


Pursuing a gradual reform process, China has avoided experiencing declining incomes and massive unemployment. This study surveys the speed of China's reforms and the main sources of the country's economic growth. A major finding is that China's economic growth is mainly derived from the massive rise of non-state enterprises and an increase in competition between state and non-state enterprises. Among the various types of non-state enterprises, the emergence of the fast-expanding rural collectives has been most striking. Their success is largely attributed to the fact that these non-state enterprises face hard budgetary constraints, enjoy artificial cost advantages, and benefit from a faster rate of institutional innovation in the rural areas. However, these enterprises have had major difficulties obtaining funding for long-term investment from outsiders and from banks. Thus, their apparent success is largely attributed to their artificial cost advantages.
Original languageEnglish
Pages (from-to)1-30
Number of pages30
JournalIssues and Studies
Issue number2
Publication statusPublished - 1 Jan 2000


  • Bankruptcy
  • Economic growth
  • Non-state sector
  • Reform approach
  • Rural collectives

ASJC Scopus subject areas

  • Sociology and Political Science
  • Political Science and International Relations

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