China’s dramatic socioeconomic transformation over the past 40 years can largely be attributed to broad and sustained economic reforms. In its transition lie many lessons for other emerging Asian economies.
China’s results are there for all to see. It has transformed from a low-income to an upper-middle income country in a short span of 40 years, a period in which its economy grew at a remarkable average rate of 9.4 percent per annum and the share of Chinese living in poverty fell from 98 percent to just 3 percent.
China is poised to become a high-income economy in the coming years and it has the potential to be one of the world’s leaders in high-technology and innovation, as it has already shown in the areas of digitization, artificial intelligence, solar energy and electric vehicles.
How has China come this far?
China’s reforms have consistently un...