Abstract
A gradual shift from socialist planning to a market-driven system is propelling China toward the top echelon of global economic powers. China’s striking industrial growth has been powered by rural industrialization, foreign investment, a partially reformed state sector and, recently, the emergence of substantial private entrepreneurship.
China’s reforms combine the gradual exposure of its socialist institutions to market pressures, and the creation of new, market-oriented forms of economic activity. As the economy has shifted toward greater market orientation, the goals of the country’s leaders have moved from tinkering with the socialist system, to creating what they call a “socialist market