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Institutional Inheritances and Policy Effectiveness

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China’s Automotive Modernization

Part of the book series: International Political Economy Series ((IPES))

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Abstract

This chapter examines how Leninist arrangements in the Chinese Party-state affected the formulation and implementation of the 1994 Automotive Industrial Policy (hereafter the ’94 AIP) — especially the foreign investment utilization measures. As Zysman has written:

The capacity of any state to implement particular policies and to have an impact on domestic economic outcomes is systematically affected by the patterned set of institutional relationships in the economy, the structured institutional setting in which it attempts to act. The specific capacities — distinctive competencies, difficulties, and weaknesses — of each network are thus the focus. The structure and operation of the state have a profound effect on its economic strategy both at home, abroad, and its strategy of linking the domestic to the external.1

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Notes

  1. John Zysman, Political Strategies for Industrial Order: Market State and Industry in France (Berkeley: University of California Press, 1977).

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  2. Susan Shirk, The Political Logic of Economic Reform in China (Berkeley: University of California Press, 1993), pp. 334, 347.

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  3. See Lixin Wang and Joseph Fewsmith, “Bulwark of the Planned Economy: the Structure and Role of the State Planning Commission”, in Carol Lee Hamrin and Suisheng Zhao (eds), Decision-Making in Deng’s China: Perspectives from Insiders (Armonk: M.E. Sharpe, 1995), p. 53.

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  4. Rao Bin, “Fakan ci” [Forward], in China National Automotive Industry Corporation, Zhongguo qiche gongye nianjian 1983 [China Automobile Industry Yearbook, 1983] (Beijing: Jixie gongye chubanshe, 1984), pp. xi–xiii.

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  5. Yukyung Yeo and Margaret M. Pearson, “Regulating Decentralized State Industries: China’s Auto Industry”, The China Review, 8(2), Fall 2008, pp. 231–59.

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  6. John Ravenhill, “From National Champions to Global Partners: Crisis, Globalization, and the Korean Auto Industry”, in William W. Keller and Richard J. Samuels (eds), Crisis and Innovation in Asian Technology (Cambridge, UK: Cambridge University Press, 2003), p. 121.

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  7. For example see Yang Lincun, “Dui fazhan woguo jiaoche gongye de ji dian kanfa” [A few opinions on developing our passenger car industry], Zhongguo keji jitan [China Technical Compendium], 5, 1987, pp. 25–8.

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  8. E. Thun, “Industrial Policy, Chinese-Style: FDI, Regulation, and Dreams of National Champions”, Journal of East Asian Studies, 4 (3), 2004, p. 467.

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  9. Jack Perkowski, Managing the Dragon (New York: Crown Business, 2008), pp. 123, 124–5.

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  10. Susan Strange, “Rethinking Structural Change in the International Political Economy: States, Firms and Diplomacy”, in R. Stubbs and G.R.D. Underhill (eds), Political Economy and the Changing Global Order (Toronto: Macmillan, 1994), p. 111.

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  11. Jim Mann, Beijing Jeep (New York: Simon and Schuster, 1989).

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© 2010 Gregory T. Chin

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Chin, G.T. (2010). Institutional Inheritances and Policy Effectiveness. In: China’s Automotive Modernization. International Political Economy Series. Palgrave Macmillan, London. https://doi.org/10.1057/9780230248540_6

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