| By: |
David M. Kotz (University of Massachusetts Amherst) |
| Abstract: |
This paper compares two radically different approaches to transforming an
economic system based on central planning and state property into a capitalist
system, the neoliberal transition strategy and the state directed transition
strategy. Russia’s transition since 1992 is examined as an example of the
neoliberal approach, while China’s transition since 1978 is analyzed as an
example of the state directed approach. The primary explanation for China’s
economically superior transition performance is located in the advantages of
the state directed transition strategy. However, contradictions in a state
directed transition strategy are identified which tend to promote an eventual
shift toward a neoliberal strategy. JEL Categories: P27, P21, P52 |
| Keywords: |
transition, neoliberalism, state, Russia, China |
| Date: |
2005–04 |
| URL: |
http://d.repec.org/n?u=RePEc:ums:papers:2005-04&r=his |