China and Globalization: The Social, Economic and Political Transformation of Chinese Society (Global Realities)

China and Globalization: The Social, Economic and Political Transformation of Chinese Society (Global Realities)

Doug Guthrie

Language: English

Pages: 360

ISBN: 0415504015

Format: PDF / Kindle (mobi) / ePub

Choice Outstanding Academic Title 2009!

In its quarter-century-long shift from communism to capitalism, China has transformed itself from a desperately poor nation into a country with one of the fastest-growing and largest economies in the world. Doug Guthrie examines the reforms driving the economic genesis in this compact and highly readable introduction to contemporary China. He highlights the social, cultural and political factors fostering this revolutionary change and interweaves a broad structural analysis with a consideration of social changes at the micro and macro levels.

In this new, revised edition author Guthrie updates his story on modern China and provides the latest authoritative data and examples from current events to chart where this dynamically changing society is headed and what the likely consequences for the rest of the world will be.

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of district companies, on the other hand, are much more closely monitored by their government organizations (relative to those under bureaus), and these firms are offered a significant amount of administrative help and attention in the economic reform. The result is that when the opportunity to apply to become a company and adopt the Company Law arose, managers under high-level governmental offices had the autonomy (and the impetus) to move their firms toward adopting this institutional change. A

institutions today. Faced with serious local corruption in the late 1980s, the CCP realized it was losing legitimacy in rural areas. As a result, a law on village 91 Changing Social Institutions committee organization, stipulating that directors, deputy directors, and members of village committees would be chosen by direct democratic elections, was introduced in 1987 on a trial basis. In 1989, a similar law, defining neighborhood committees in cities as autonomous organizations, took effect.

their power and trade favors for profitable deals. There is strong evidence that China is well on the way to rationalizing its rule by law, but during the long-term transition toward that goal, there has been much room for abuse of the emergent system. Xiaobo Lu’s (2000) work in this area provides an insightful explanation of why a revolutionary party like the CCP has trouble institutionalizing a modern bureaucracy that should bring about impersonal, rational offices and functions. Lu argues that

established the Hangzhou Eastern Telecommunications Company, or Eastcom. When I visited the Hangzhou factory in 1995, this deal was already well under way. As such, the top-level managers with whom I spoke had already benefited from extensive experiences of sitting on a joint board with Motorola management and going through the details of negotiating a complex joint-venture deal, not to mention the years of joint work in the production of Motorola handsets through the previous licensing agreement.

firms that receive foreign capital or some form of foreign involvement and those that do not. Table 4.2 shows that, according to a number of different economic indicators, Chinese firms that have some kind of funding coming from foreign sources do significantly better on a number of different economic indicators.28 These firms have better ratios of output to assets, profits to cost, and they are nearly 40 percent more productive than firms with no foreign funding.29 Not surprisingly, there is variation

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