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State Intervention And Business In China
The Role of Preferential Policies

Ding Lu, University of the Fraser Valley, Canada and Zhimin Tang, formerly of The International Graduate School of Business, Australia
1997 168 pp Hardback 978 1 85898 476 6 £68.00 on-line discount £61.20

‘This book is a useful contribution for those involved or interested in business relations with China, for it highlights some important features of China’s economic environment. . . The two authors provide a systematic and in-depth analysis of preferential policies, by examining the different phases of Chinese reforms.’
– Stefania Paladini, World Affairs

‘It is well endowed with numerous informative charts and tables and as such offers substantial back-up to the case it makes in its analysis. It is a “technical” read for China-watching economists, as well as post-graduates. . .’
– Malcolm Warner, Asia Pacific Business Review

‘This book is the most analytical and comprehensive I have ever read. It provides a clear and correct picture about the evolution of China's preferential policies in the past 18 years and these policies have been fast changing and often implemented with discretion. The authors appreciate the rapid development China has achieved, and frankly criticise many drawbacks including state intervention and preferential policies in doing business. In my opinion, this book would be very helpful to foreign investors who are planning to make direct investment in China and scholars who are interested in the study of the contemporary Chinese economy.’
- Tzung-shian Yu, Chung-Hua Institution for Economic Research, Taiwan

State Intervention and Business in China is a systematic study of China’s preferential economic policies. Dr. Lu and Dr. Tang present these policies in three categories, namely, the investor–oriented, the region–oriented, and the industry–oriented policies. The authors give a clear account of policies including: preferential tax rates, state bank loans, trade protection and subsidies, and licensing schemes. The book provides the in–depth political–economy analyses that reveal the sources and functions of these policies. By offering empirical observations on impact of state intervention on regional development and economic structures, this book sheds new light on the prospects for China’s economic policy making.

Contents: Foreword 1. Introduction 2. Investor-Oriented Policies 3. Region-Oriented Policies 4. Industry-Oriented Policies 5. Uncertainty in Preferential Policies 6. Epilogue: Prospects of Preferential Policies Appendix Index





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