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Between plan and market: The role of the local sector in post-mao China
Affiliation:1. Department of Oncology, Liaocheng People''s Hospital, Affiliated to Shandong University and Clinical School of Shandong First Medical University, Liaocheng, 252000, PR China;2. Department of Mammary and Thyroidology, Liaocheng People''s Hospital, Affiliated to Shandong University and Clinical School of Shandong First Medical University, Liaocheng, 252000, PR China;1. Department of Urology, People’s Hospital of Hainan Province, Haikou, China;2. The Clinical Innovation and Research Center, Shenzhen Hospital, Southern Medical University, Shenzhen, China;3. Department of Urology, Affiliated Hospital of Xiangnan College, CenZhou, China;4. Department of Pathology, People’s Hospital of Hainan Province, Haikou, China;5. Department of General Practice, Shenzhen People’s Hospital, the Second Clinical Medical College of Jinan University, Shenzhen, China;1. Brazilian Institute of Economics (FGVIBRE), Rio de Janeiro, Brazil;2. Pontifical Catholic University of Rio de Janeiro, Brazil;3. Federal University of Juiz de Fora, Brazil;1. The Third Department of Orthopedics, The Fifth Hospital of Harbin, Harbin, 150040, Heilongjiang Province, PR China;2. Operating Theater, The Fifth Hospital of Harbin, Harbin, 150040, Heilongjiang Province, PR China;3. The Second Department of Orthopedics, The Fifth Hospital of Harbin, Harbin, 150040, Heilongjiang Province, PR China
Abstract:The Chinese economy has long been characterized by multilevel planning, with local governments controlling nearly half of total industrial output and allocating substantial resources. Because of the important role played by local governments, market reforms have not brought a straight-forward transfer of decision-making authority from the central government to economic agents. Instead, there has been a good deal of “leakage” in the reform process, with local governments retaining and even expanding control over enterprises through a variety of informal mechanisms, as well as through their control over geographically immobile factor resources. This paper looks at the local sector and how market reforms have affected it.
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