China's Opening Door

Product DescriptionIn this volume, the authors examine the evolution and current positions of China's trade, foreign exchange, and investment policies. David Wall, of the University of Sussex, examines the importance of Special Economics Zones. He explores their background and achievements and offers a series of recommendations for the future. Jiang Boke, of Fudan University in Shanghai, considers China's gradual shift toward foreign exchange convertability. He covers the internal settlement rate and dual rate system, 1981-84; the intermediate period, 1985-93; and the exchange settlement system and Interbank Market since 1994. Yin Xianshuo, also of Fudan University, explores China's move from autarky to an increasingly liberal market-based trade policy. He examines the trade policy reforms and performance since 1979 and the impact of these reforms on industrial development.From the Back CoverThis study, by authors from the UK and China, examines the three key elements that led to the opening up of the Chinese economy to world markets. It reveals how the country's external economic policies have contributed to its growth and assesses the effects of Western market theory on the development of Chinese 'open door' policies. David Wall looks at the successes of the gradualist Chinese experimentation with reform in limited geographic areas, which shows a revealing contrast with the Big Bang failures of the Russian economy. Jiang Boke traces the evolution and liberalization of foreign exchange policy and the Chinese use of devaluation. Yin Xiangshuo evaluates the crucial trade policy reforms and their varying impact on Chinese industrial competitiveness, particularly with regard to the vested interests of state-owned enterprises that are resisting international competition. As this transforming socialist economy enters another period of political turbulence, the volume provides valuable insights into the way policy will develop if economic reform proceeds.