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Presents a story of two Chinas - an entrepreneurial rural China and a state-controlled urban China. In the 1980s, rural China gained the upper hand. In the 1990s, urban China triumphed. In the 1990s, the Chinese state reversed many of its rural experiments, with long-lasting damage to the economy and society.
This book proposes a different perspective on China's integration in the world economy. Most economists view China's large foreign direct investment (FDI) inflows as a result of China's economic success. This book views the same phenomenon as a function of the imperfections in the Chinese economic system.
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