Lessons from China for Africa

China has been the most successful developing country in this modern era of globalization. Since initiating economic reform after 1978, its economy has expanded at a steady rate over 8 percent per capita, fueling historically unprecedented poverty...

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Bibliographic Details
Main Author: Dollar, David
Format: Policy Research Working Paper
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
AIR
BUS
CAR
TAX
Online Access:http://documents.worldbank.org/curated/en/2008/02/9032996/lessons-china-africa
http://hdl.handle.net/10986/6581
id okr-10986-6581
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ADULT POPULATION
AGRICULTURAL DEVELOPMENT
AGRICULTURAL OUTPUT
AGRICULTURAL PRODUCTION
AIR
AIR POLLUTION
AIR QUALITY
AUTO INDUSTRY
BASIC NEEDS
BUS
CAPACITY BUILDING
CAPITAL GRANTS
CAR
CAR USE
CARS
CASH CROPS
CENTRAL GOVERNMENTS
CITIZENS
CLOSED ECONOMIES
COAL
COMMODITIES
COMPARATIVE ADVANTAGE
CULTURAL CHANGE
DEBT
DEBTS
DECISION MAKING
DEVELOPING COUNTRIES
DEVELOPING COUNTRY
DEVELOPMENT STRATEGIES
DIESEL
DIRECT FOREIGN INVESTMENT
DIRECT INVESTMENT
DOLLAR PRICE
DOMESTIC INVESTORS
DRIVING
ECONOMIC DEVELOPMENT
ECONOMIC PERFORMANCE
ECONOMIC REFORM
ENERGY EFFICIENCY
ENVIRONMENTAL
ENVIRONMENTAL DAMAGE
ENVIRONMENTAL ISSUES
ENVIRONMENTAL PROTECTION
ENVIRONMENTAL PROTECTION AGENCY
ENVIRONMENTAL REGULATIONS
EQUITY INVESTMENT
EXCESS MORTALITY
EXPRESSWAYS
EXTERNALITIES
FAMILY MEMBERS
FARMS
FLEETS
FOREIGN INVESTMENT
FOREIGN INVESTORS
FOREIGN TRADE
FOREST COVER
FUEL
GASOLINE
GASOLINE PRICES
GLOBAL ECONOMY
GLOBAL MARKET
GLOBALIZATION
GOOD TRANSPORT
GRAIN PRODUCTION
GROWTH RATE
GROWTH RATES
HIGHWAY
HIGHWAY TOLLS
HOUSEHOLD WORK
HUMAN CAPITAL
IMPORTS
INCOME
INCOMES
INDUSTRIAL PRODUCTION
INFRASTRUCTURE FINANCE
INFRASTRUCTURE INVESTMENT
INTEREST RATES
INTERNATIONAL BANK
INTERNATIONAL MARKET
INTERNATIONAL TRADE
INVESTMENT CLIMATE
JOINT VENTURES
JURISDICTION
LABOR COSTS
LABOR FORCE
LABOR PRODUCTIVITY
LABOR SUPPLY
LAND TENURE
LEGAL MIGRANTS
LIFE EXPECTANCY
LIVING STANDARDS
LOCAL AUTHORITIES
LOCAL ECONOMY
LOCAL GOVERNMENT
LOCAL GOVERNMENTS
MARKET PRICE
MARKET PRICES
MEAT
MIDDLE-INCOME COUNTRIES
MIGRANT
MIGRANTS
MOBILITY
MORTGAGE
MOTOR VEHICLE
MOTOR VEHICLE USE
NATIONAL POLICIES
NATURAL ENVIRONMENT
NATURAL GAS
NATURAL RESOURCE
NATURAL RESOURCES
NEGATIVE EXTERNALITIES
NUMBER OF MIGRANTS
NUMBER OF WORKERS
OPEN DOOR
OPEN DOOR POLICY
OPEN MARKETS
PACIFIC REGION
POLICY RESEARCH
POLICY RESEARCH WORKING PAPER
POLLUTION
POLLUTION LEVELS
POPULATION DECLINE
POPULATION GROWTH
POPULATION GROWTH RATE
POPULATION GROWTH RATES
POPULATION PRESSURE
PORTFOLIO
PORTFOLIO FLOWS
PORTFOLIO INVESTMENT
POVERTY LINE
POVERTY REDUCTION
POWER OUTAGES
POWER PLANTS
PRICE OF GASOLINE
PRIVATE INVESTMENT
PRIVATIZATION
PRODUCERS
PRODUCTIVITY
PROGRESS
PROPERTY RIGHTS
PUBLIC SERVICES
PUBLIC TRANSPORT
RAIL
RAIL NETWORK
RAILROADS
RAILWAY
RAILWAYS
RAPID DEVELOPMENT
RAPID EXPANSION
RAPID GROWTH
RATE OF GROWTH
RATE OF RETURN
RATE OF RETURN ON CAPITAL
REFORM PROGRAM
REGISTRATION SYSTEM
REGULATORY FRAMEWORKS
REMITTANCES
RENEWABLE ENERGY
REPAYMENT
RESOURCE USE
ROADS
RURAL DEVELOPMENT
RURAL POPULATION
SAVINGS
SAVINGS RATES
SOCIAL ISSUES
SPILLOVER
STATE ENTERPRISE
STATE ENTERPRISES
STOCK MARKET
SUB-SAHARAN AFRICA
TAX
TAX RATE
TELEPHONE LINE
TOLL
TOLL ROAD
TOLL ROADS
TOLLS
TRADE REGIME
TRADING
TRANSPORT INFRASTRUCTURE
TRANSPORT MANAGEMENT
TRIP
TRUE
URBAN MIGRATION
URBAN TRANSPORT
URBANIZATION
VEHICLES
WATER POLLUTION
WILLINGNESS TO PAY
WORLD ECONOMY
spellingShingle ADULT POPULATION
AGRICULTURAL DEVELOPMENT
AGRICULTURAL OUTPUT
AGRICULTURAL PRODUCTION
AIR
AIR POLLUTION
AIR QUALITY
AUTO INDUSTRY
BASIC NEEDS
BUS
CAPACITY BUILDING
CAPITAL GRANTS
CAR
CAR USE
CARS
CASH CROPS
CENTRAL GOVERNMENTS
CITIZENS
CLOSED ECONOMIES
COAL
COMMODITIES
COMPARATIVE ADVANTAGE
CULTURAL CHANGE
DEBT
DEBTS
DECISION MAKING
DEVELOPING COUNTRIES
DEVELOPING COUNTRY
DEVELOPMENT STRATEGIES
DIESEL
DIRECT FOREIGN INVESTMENT
DIRECT INVESTMENT
DOLLAR PRICE
DOMESTIC INVESTORS
DRIVING
ECONOMIC DEVELOPMENT
ECONOMIC PERFORMANCE
ECONOMIC REFORM
ENERGY EFFICIENCY
ENVIRONMENTAL
ENVIRONMENTAL DAMAGE
ENVIRONMENTAL ISSUES
ENVIRONMENTAL PROTECTION
ENVIRONMENTAL PROTECTION AGENCY
ENVIRONMENTAL REGULATIONS
EQUITY INVESTMENT
EXCESS MORTALITY
EXPRESSWAYS
EXTERNALITIES
FAMILY MEMBERS
FARMS
FLEETS
FOREIGN INVESTMENT
FOREIGN INVESTORS
FOREIGN TRADE
FOREST COVER
FUEL
GASOLINE
GASOLINE PRICES
GLOBAL ECONOMY
GLOBAL MARKET
GLOBALIZATION
GOOD TRANSPORT
GRAIN PRODUCTION
GROWTH RATE
GROWTH RATES
HIGHWAY
HIGHWAY TOLLS
HOUSEHOLD WORK
HUMAN CAPITAL
IMPORTS
INCOME
INCOMES
INDUSTRIAL PRODUCTION
INFRASTRUCTURE FINANCE
INFRASTRUCTURE INVESTMENT
INTEREST RATES
INTERNATIONAL BANK
INTERNATIONAL MARKET
INTERNATIONAL TRADE
INVESTMENT CLIMATE
JOINT VENTURES
JURISDICTION
LABOR COSTS
LABOR FORCE
LABOR PRODUCTIVITY
LABOR SUPPLY
LAND TENURE
LEGAL MIGRANTS
LIFE EXPECTANCY
LIVING STANDARDS
LOCAL AUTHORITIES
LOCAL ECONOMY
LOCAL GOVERNMENT
LOCAL GOVERNMENTS
MARKET PRICE
MARKET PRICES
MEAT
MIDDLE-INCOME COUNTRIES
MIGRANT
MIGRANTS
MOBILITY
MORTGAGE
MOTOR VEHICLE
MOTOR VEHICLE USE
NATIONAL POLICIES
NATURAL ENVIRONMENT
NATURAL GAS
NATURAL RESOURCE
NATURAL RESOURCES
NEGATIVE EXTERNALITIES
NUMBER OF MIGRANTS
NUMBER OF WORKERS
OPEN DOOR
OPEN DOOR POLICY
OPEN MARKETS
PACIFIC REGION
POLICY RESEARCH
POLICY RESEARCH WORKING PAPER
POLLUTION
POLLUTION LEVELS
POPULATION DECLINE
POPULATION GROWTH
POPULATION GROWTH RATE
POPULATION GROWTH RATES
POPULATION PRESSURE
PORTFOLIO
PORTFOLIO FLOWS
PORTFOLIO INVESTMENT
POVERTY LINE
POVERTY REDUCTION
POWER OUTAGES
POWER PLANTS
PRICE OF GASOLINE
PRIVATE INVESTMENT
PRIVATIZATION
PRODUCERS
PRODUCTIVITY
PROGRESS
PROPERTY RIGHTS
PUBLIC SERVICES
PUBLIC TRANSPORT
RAIL
RAIL NETWORK
RAILROADS
RAILWAY
RAILWAYS
RAPID DEVELOPMENT
RAPID EXPANSION
RAPID GROWTH
RATE OF GROWTH
RATE OF RETURN
RATE OF RETURN ON CAPITAL
REFORM PROGRAM
REGISTRATION SYSTEM
REGULATORY FRAMEWORKS
REMITTANCES
RENEWABLE ENERGY
REPAYMENT
RESOURCE USE
ROADS
RURAL DEVELOPMENT
RURAL POPULATION
SAVINGS
SAVINGS RATES
SOCIAL ISSUES
SPILLOVER
STATE ENTERPRISE
STATE ENTERPRISES
STOCK MARKET
SUB-SAHARAN AFRICA
TAX
TAX RATE
TELEPHONE LINE
TOLL
TOLL ROAD
TOLL ROADS
TOLLS
TRADE REGIME
TRADING
TRANSPORT INFRASTRUCTURE
TRANSPORT MANAGEMENT
TRIP
TRUE
URBAN MIGRATION
URBAN TRANSPORT
URBANIZATION
VEHICLES
WATER POLLUTION
WILLINGNESS TO PAY
WORLD ECONOMY
Dollar, David
Lessons from China for Africa
geographic_facet Africa
East Asia and Pacific
relation Policy Research Working Paper; No. 4531
description China has been the most successful developing country in this modern era of globalization. Since initiating economic reform after 1978, its economy has expanded at a steady rate over 8 percent per capita, fueling historically unprecedented poverty reduction (the poverty rate declined from over 60 percent to 7 percent in 2007). Other developing countries struggling to grow and reduce poverty are naturally interested in what has been the source of this impressive growth and what, if any, lessons they can take from China. This paper focuses on four features of modern China that have changed significantly between the pre-reform period and today. The Chinese themselves call their reform program Gai Ge Kai Feng, "change the system, open the door." "Change the system" means altering incentives and ownership, that is, shifting the economy from near total state ownership to one in which private enterprise is dominant. "Open the door" means exactly what it says, liberalizing trade and direct investment. A third lesson is the development of high-quality infrastructure: China's good roads, reliable power, world-class ports, and excellent cell phone coverage throughout the country are apparent to any visitor. What is less well known is that most of this infrastructure has been developed through a policy of "cost recovery" that prices infrastructure services at levels sufficient to finance the capital cost as well as operations and maintenance. A fourth important lesson is China's careful attention to agriculture and rural development, complemented by rural-urban migration.
format Publications & Research :: Policy Research Working Paper
author Dollar, David
author_facet Dollar, David
author_sort Dollar, David
title Lessons from China for Africa
title_short Lessons from China for Africa
title_full Lessons from China for Africa
title_fullStr Lessons from China for Africa
title_full_unstemmed Lessons from China for Africa
title_sort lessons from china for africa
publisher World Bank, Washington, DC
publishDate 2012
url http://documents.worldbank.org/curated/en/2008/02/9032996/lessons-china-africa
http://hdl.handle.net/10986/6581
_version_ 1764400556365840384
spelling okr-10986-65812021-04-23T14:02:31Z Lessons from China for Africa Dollar, David ADULT POPULATION AGRICULTURAL DEVELOPMENT AGRICULTURAL OUTPUT AGRICULTURAL PRODUCTION AIR AIR POLLUTION AIR QUALITY AUTO INDUSTRY BASIC NEEDS BUS CAPACITY BUILDING CAPITAL GRANTS CAR CAR USE CARS CASH CROPS CENTRAL GOVERNMENTS CITIZENS CLOSED ECONOMIES COAL COMMODITIES COMPARATIVE ADVANTAGE CULTURAL CHANGE DEBT DEBTS DECISION MAKING DEVELOPING COUNTRIES DEVELOPING COUNTRY DEVELOPMENT STRATEGIES DIESEL DIRECT FOREIGN INVESTMENT DIRECT INVESTMENT DOLLAR PRICE DOMESTIC INVESTORS DRIVING ECONOMIC DEVELOPMENT ECONOMIC PERFORMANCE ECONOMIC REFORM ENERGY EFFICIENCY ENVIRONMENTAL ENVIRONMENTAL DAMAGE ENVIRONMENTAL ISSUES ENVIRONMENTAL PROTECTION ENVIRONMENTAL PROTECTION AGENCY ENVIRONMENTAL REGULATIONS EQUITY INVESTMENT EXCESS MORTALITY EXPRESSWAYS EXTERNALITIES FAMILY MEMBERS FARMS FLEETS FOREIGN INVESTMENT FOREIGN INVESTORS FOREIGN TRADE FOREST COVER FUEL GASOLINE GASOLINE PRICES GLOBAL ECONOMY GLOBAL MARKET GLOBALIZATION GOOD TRANSPORT GRAIN PRODUCTION GROWTH RATE GROWTH RATES HIGHWAY HIGHWAY TOLLS HOUSEHOLD WORK HUMAN CAPITAL IMPORTS INCOME INCOMES INDUSTRIAL PRODUCTION INFRASTRUCTURE FINANCE INFRASTRUCTURE INVESTMENT INTEREST RATES INTERNATIONAL BANK INTERNATIONAL MARKET INTERNATIONAL TRADE INVESTMENT CLIMATE JOINT VENTURES JURISDICTION LABOR COSTS LABOR FORCE LABOR PRODUCTIVITY LABOR SUPPLY LAND TENURE LEGAL MIGRANTS LIFE EXPECTANCY LIVING STANDARDS LOCAL AUTHORITIES LOCAL ECONOMY LOCAL GOVERNMENT LOCAL GOVERNMENTS MARKET PRICE MARKET PRICES MEAT MIDDLE-INCOME COUNTRIES MIGRANT MIGRANTS MOBILITY MORTGAGE MOTOR VEHICLE MOTOR VEHICLE USE NATIONAL POLICIES NATURAL ENVIRONMENT NATURAL GAS NATURAL RESOURCE NATURAL RESOURCES NEGATIVE EXTERNALITIES NUMBER OF MIGRANTS NUMBER OF WORKERS OPEN DOOR OPEN DOOR POLICY OPEN MARKETS PACIFIC REGION POLICY RESEARCH POLICY RESEARCH WORKING PAPER POLLUTION POLLUTION LEVELS POPULATION DECLINE POPULATION GROWTH POPULATION GROWTH RATE POPULATION GROWTH RATES POPULATION PRESSURE PORTFOLIO PORTFOLIO FLOWS PORTFOLIO INVESTMENT POVERTY LINE POVERTY REDUCTION POWER OUTAGES POWER PLANTS PRICE OF GASOLINE PRIVATE INVESTMENT PRIVATIZATION PRODUCERS PRODUCTIVITY PROGRESS PROPERTY RIGHTS PUBLIC SERVICES PUBLIC TRANSPORT RAIL RAIL NETWORK RAILROADS RAILWAY RAILWAYS RAPID DEVELOPMENT RAPID EXPANSION RAPID GROWTH RATE OF GROWTH RATE OF RETURN RATE OF RETURN ON CAPITAL REFORM PROGRAM REGISTRATION SYSTEM REGULATORY FRAMEWORKS REMITTANCES RENEWABLE ENERGY REPAYMENT RESOURCE USE ROADS RURAL DEVELOPMENT RURAL POPULATION SAVINGS SAVINGS RATES SOCIAL ISSUES SPILLOVER STATE ENTERPRISE STATE ENTERPRISES STOCK MARKET SUB-SAHARAN AFRICA TAX TAX RATE TELEPHONE LINE TOLL TOLL ROAD TOLL ROADS TOLLS TRADE REGIME TRADING TRANSPORT INFRASTRUCTURE TRANSPORT MANAGEMENT TRIP TRUE URBAN MIGRATION URBAN TRANSPORT URBANIZATION VEHICLES WATER POLLUTION WILLINGNESS TO PAY WORLD ECONOMY China has been the most successful developing country in this modern era of globalization. Since initiating economic reform after 1978, its economy has expanded at a steady rate over 8 percent per capita, fueling historically unprecedented poverty reduction (the poverty rate declined from over 60 percent to 7 percent in 2007). Other developing countries struggling to grow and reduce poverty are naturally interested in what has been the source of this impressive growth and what, if any, lessons they can take from China. This paper focuses on four features of modern China that have changed significantly between the pre-reform period and today. The Chinese themselves call their reform program Gai Ge Kai Feng, "change the system, open the door." "Change the system" means altering incentives and ownership, that is, shifting the economy from near total state ownership to one in which private enterprise is dominant. "Open the door" means exactly what it says, liberalizing trade and direct investment. A third lesson is the development of high-quality infrastructure: China's good roads, reliable power, world-class ports, and excellent cell phone coverage throughout the country are apparent to any visitor. What is less well known is that most of this infrastructure has been developed through a policy of "cost recovery" that prices infrastructure services at levels sufficient to finance the capital cost as well as operations and maintenance. A fourth important lesson is China's careful attention to agriculture and rural development, complemented by rural-urban migration. 2012-05-29T18:31:04Z 2012-05-29T18:31:04Z 2008-02 http://documents.worldbank.org/curated/en/2008/02/9032996/lessons-china-africa http://hdl.handle.net/10986/6581 English Policy Research Working Paper; No. 4531 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Africa East Asia and Pacific