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The Chinese governance system: Its strengths and weaknesses in a comparative
development perspective
#MMPMID38620168
Bardhan P
China Econ Rev
2020[Jun]; 61
(?): 101430
PMID38620168
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This is an overview paper focusing on the organizational aspects of the Chinese
governance system and their relation to development. Compared to other developing
countries like India, it has special positive features of career incentives
promoting growth at the local level, the ability to take long-term decisions
relatively quickly, and a unique blend of political centralization and
decentralization of economic power and responsibility, that is conducive to
central guidance and local business development. On the other hand, with a lack
of sufficient downward (as opposed to upward) accountability and absence of
institutionalized systems of scrutiny and challenge from below, mistakes or abuse
of power are more difficult to check and correct quickly, political loyalty may
often get a premium over performance at the upper levels, and there are
insufficient checks on collusion between business and officials. The over-all
organizational system is prone to over-reaction in times of crisis and thus only
weakly resilient compared to systems where information flows from below are less
controlled or choked.
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