Foreign Trade and Economic Reform in China

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This study explores the relationship between China's foreign trade reforms and the domestic economic reforms that undergird China's policy of openness in the 1980s and 1990s. It provides the first comprehensive analysis of how China has emerged since reform began in 1978 as one of the most dynamic trading nations in the world. It examines both the external policy changes, such as the decentralization of trading authority and the devaluation of the domestic currency, and internal economic reforms such as the increased use of markets and prices. The volume concludes with an analysis of the sources of China's export growth and outlines further domestic economic reforms that the author believes will be required to sustain China's increasing integration into the world economy.
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Editorial Reviews

From the Publisher
"...likely to remain the defining work by an economist on China's foreign trade during the first decade of reform." Asian Journal

"This study of China's foreign trade system contains interesting information for economists and China specialists alike...clearly written and thoroughly researched...very timely." The China Business Review

"Mr Lardy looks at the narrower issue of Chinese trade policy, but in the process uncovers the best kept secret of post-1989 China--that the country is now further along the road from Marx to the market. The conventional view that China is a communist system doomed to fail like its comrades in Europe is wrong, if only because, at least in economic terms, vast parts of the Chinese economy are already in private hands." The Economist

"...the defining work by an economist on China's foreign trade during the first decade of reform." Journal of Asian Studies

"...excellent....It is the first comprehensive analysis by an economist of how China has emerged since 1978 as one of the largest trading nations and with the world's fastest-growing economy in the 1980s. Lardy places China's trade policy in a stimulating context....Lardy concludes with suggestions as to how China's experience may be relevant to both eastern Europe and the former Soviet Union." Foreign Affairs

"Events are changing rapidly in China, and Lardy's book provides a good survey of important issues in its recent history." Journal of Economic Literature

"...a thorough treatment of the link between China's economic reform policies and trade reforms in such areas as foreign exchange, licensing, taxation, and pricing, presented against a backdrop of alternate models of trade regulation....Accompanied by useful appendices and an excellent bibliography, this book uses economic analysis to illuminate the linkages between economic and trade policy, thus providing a useful starting point from which to examine China's foreign business relations since 1978....provide[s] extremely useful information about China's foreign trade and investment regimes during the 1980s decade of reform....should be required reading for those who seek a better understanding of China's open-door policy during the first decade of reform." Pitman B. Potter, Pacific Affairs

" detail and subtle analysis of contemporary Chinese trade of the best available economic treatments of the topic." George T. Crane, The Annals

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Product Details

  • ISBN-13: 9780521414951
  • Publisher: Cambridge University Press
  • Publication date: 10/25/1991
  • Pages: 209
  • Product dimensions: 6.14 (w) x 9.21 (h) x 0.75 (d)

Table of Contents

Preface; 1. Trade policy and economic development; 2. The prereform foreign trade system; 3. Reforming the foreign trade system; 4. The efficiency of China's foreign trade; 5. Integrated versus partial reforms; Appendices; References.
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