Conclusions

Abstract

The process of Chinese industrialization under reform is a complex one. It is not collapsible to any all-embracing concepts, such as the market. What we have witnessed is the interaction of various forces which have shaped the past outcomes and will continue to shape the future prospects. Specifically, our analysis points out that the growth pattern over the past 16 years was based on structural changes where the rise of the ‘new’ consumer durables industries and the massive imports of Western technology played a central role. This pattern has produced contradictions, being favourable to growth on the one hand while giving rise to structural problems on the other hand. The problems have not only undermined the sustainability of the growth but also tended to produce unfavourable effects on long-term development, especially in terms of the international specialization of the economy