Lawrence J. Lau, Yingyi Qian, and Gerard Roland -- Pareto-Improving Economic Reforms through Dual-Track Liberalization

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Forthcoming Economics Letters, 1997

Abstract

Pareto-improving economic reforms that also simultaneously achieve efficiency can be implemented through a strategy of "dual-track" liberalization. Its success requires the feasibility of the original plan and its continued enforcement by the state. The Chinese experience demonstrates that such a strategy works.

Keywords: economic reform, transition, political economy, dual track, China.

JEL classification: P21