Red Bull Rising?
The transformation of China’s once socialist planned economy into the modern, capitalist one seen today has been a great ongoing experiment. Like many of the other economic developments in China�s growth, it is a story of incremental liberalization and relaxation of centralized power. The stock market is one of those highly symbolic institutions that is the ultimate shrine of capitalism, and its existence in China would be shocking to any communist ideologue. Yet, Chinese leadership will continue to reform the entire economy as firms increasingly turn to markets, and not government bureaus for their capital requirements.
This paper outlines the development of China’s stock markets and three main structural obstacles to its further effective evolution. To date, it’s been kind of a mess, and most respectible companies choose to list on foreign exchanges, but there is hope for China’s domestic capital markets!
Boring? Perhaps, but meh, here it is –> Red Bull Rising.pdf
