Business‐Government Relations in Industrializing Rural China: A principal‐agent perspective

This paper explains why rural enterprises prosper in the post-Mao reform era. Based on a case study of Shaanxi province, the paper argues that the institutional arrangements in rural China under economic reforms are conducive to sustained economic growth because the principal‐agent problem is alleviated in two dimensions. First, the interests of local government officials and enterprises overlap. Prompted by the fiscal pressures on local governments as a result of the fiscal reforms, particularly the 1994 tax-assignment reform, local governments are eager to promote local industrial growth. Apart from absorbing rural surplus labour and contributing to the provision of communal welfare to local residents, rural enterprises provide local governments with tax and non-tax revenues to finance their expenditure obligations. In return, local governments provide preferential aid to their enterprises in the form of tax and credit privileges. Second, the principal‐agent problem is abated by a closer effort-and-reward link for the various parties involved in the operation of rural enterprises.     

Frustrations and Hopes: An American perspective on United States‐China relations

China is important to Americans but the United States is critical to China. Engagement has enhanced mutual understanding, but the asymmetry of the relationship often causes the Chinese to view American policy with suspicion and Americans to be insensitive to Chinese concerns. The Chinese seldom acknowledge that their own actions and statements shape American perceptions and policies; Americans often overestimate their ability to change China in specific ways while underestimating the cumulative benefits to the US of sustained engagement.     

Hopeful China

I began to pay close attentionto what was going on inChina in my university years.This Oriental big nation was thenstill waging a bitter struggle.Later, the establishment of thePeople's Republic of Chinachanged the physiognomy of theOrient and the world at large,After 45 years of hard work,China has achieved world ack-     

China Freezes

Widespread snowfall and plummeting temperatures in the second half of January have paralyzed parts of China, especially the unprepared south Heavy snowstorms throughout the central and southern provinces of China are the result of extreme weather conditions at a global level and the occurrence of La Ni(?)a,said Xu Xiaofeng,Vice Director of the China Meteorological Administration,in an in- terview with the China Central Television (CCTV).     

Graying China

The social convention of filial piety complicates old-age careinstitutionalization in China.     

China Colors

THE color red was that mostbeloved in the CelestialKingdom long before itsassociations with the Com-munist Party and the na-tional flag.Over the course of centuries,Chinese people have linked red with joy,happiness and auspiciousness.Bridesdressed in red.chunlian(Spring Cou-plets,a traditional facet of Spring Fes-tival,or Lunar New Year)decorations,are written on red paper bands,and redis the color of envelopes containing giftsof money at weddings and New Year.As regards the current econ…     

China Revisited

EVER since I left China afterhaving spent a continuouseight years in 1983,I have longedto see the country I had come toknow, perhaps understand andcontinue to admire. The chancecame in June 1995 when the Chi-nese People's Association forFriendship with Foreign Countriesinvited me to visit China. My wife,my daughter by now a lawyer inNew York, and I arrived in Beijing     

Traveling in China With China Today Tours

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Transforming China

In 1987, with the support of a scientific research group led by Professor Werner Zorn of Karlsruhe University in Germany,a work-     

China Revisited

It was in November 1975 that Iwas posted to the People's Re-public of China as Tanzanian Am-bassador Extraordinary and Pleni-potentiary. I served in China fornine years. During that period Ivisited many places in all the prov-inces except Tibet and Taiwan.China was coming to the end of     

Real China

Home-stays across Beijing will provide a glimpse of life behind the doors of a Chinese home for hundreds of tourists during the Olympics Atraditional Chinese style compound, close to Shichahai, a popular bar spot in central Beijing,     

Destination China

The country remains a very attractive place for international investorsdespite the global financial downturn The world's deep-pocketed investmentgurus, pummeled by the ongoing U.S.subprime credit debacle, now have areason to think twice before pouringtheir money into any project. But when itcomes to investing in China, they do notseem to be dragging their feet.     

Getting to Know China with China Today-Results of the China Today Reading Contest

WEreceived553lettersofresponsestothecontestbytheendoflastDecemberalongwithreaders'congratulationsforthemagazine.Manymorelettershavebeenarrivingevenafterourdeadlineforthecompetition.Theletterscamefromover50countriesandregions,andmostoftheanswersheetsalsoattachedlettersexpressingreaders'bestwishesforourmagazine.EditorsatChinaTodayaredeeplymovedbyourreaders'responsesandwishtoexpressoursinceregratitudefortheirparticipation.Manyofourreadershadclearlydonesomepreparationinordertoparticipateinourcon…     

China Today''''s Hussein Ismail Wins China Friendship Award

ONSeptember29,1999,thewinnersof1999ChinaFriendshipAwardwereannouncedAmongthe105winnersselectedfromacrossthecountry,HusseinIsmail,anexpertworkingwithChinaTOday'sAiabicdepartment,istheonlyArabiantohavewonthishonorTheChinaFriendshipAwardtraditionbeganinthe1950s.Theawardcommendsforeignexperts,overseasChinese,andinternationalfriendswhohavemadeoutstandingcontributionstoChina'ssocialistconstruction.Overthepast50years,Chinahasmademanygreatachievements,manyofwhichmaybeattributedtothehardworkoff…     

Sino‐Japanese Relations

China's relations with Japan over the past several decades have been cyclical, with periods of relative cordiality interspersed with episodes of contention. Since 1995, however, the Beijing leadership has perceived a hardening of attitudes on the Japanese side in ways that are inimical to long-term amicable relations with the People's Republic of China. This has been mirrored in Tokyo, which sees Chinese behavior as increasingly provocative. The policy directions of the two states appear more divergent as well. Periodic slight thaws in relations and numerous joint projects notwithstanding, the problems between the two defy easy solution, and may be intractable. Weak leadership in both countries may encourage extremists in each to become more assertive.     

China Marches On

Wherever you go, you find people headlongengaged in developmental activities andproduction-intensive pursuits, in an endeavor toraise the country to its new heights of achieve-ments inter alia improving their own standard ofliving. This is what the Punjab India-China Friend-ship Association delegation saw during their ten-day visit in China.     

Jack in China

WHEN I first came to China last year to study Chinese, I prepared myself for a radical change in lifestyle. In fact, nothing could have prepared me for the differences in culture between China and my home country, New Zealand.     

Breaking China？

Tag Teams boss Matt Kagler rather exports Chinese bands to the US IF,as visits by Brian Eno and Sonic Youth to the citywould suggest,Beijing has a real scene now,why isn'tTag Team Records signing more bands?"Because     

China and Doha

China, as the biggest developing country and a trade giant in the world, plays an important role in the global trade system. Because of this dual identity, the country is under the global spotlight Both WTO Director General Pascal Lamy and U.S. Trade Representative Susan Schwab visited Beijing recently to exhort its leaders to strengthen their efforts toward a successful conclusion of the current Doha Round of trade negotiations and play a bigger role in reviving the world's multilateral trade system. Many believe China can help to restart the talks, which were suspended in July. Several experts give their views of the relationship between China and the Doha Round.     

Flash Hits China

A new mass culture has come into vogue in China -Flash. As a cartoon producing software developedby the American company Macromedia, Flash was originally expected to be confined to professional computer circles, but now enjoys popularity among a far greater scope of users than was ever expected.This phenomenon can be attributed to the popularization of the computer and net in China, where the numbers of computers and netizens have increased to over 10 million and 20 million respectively.Net …