China’s state-owned banks have historically funded money-losing state enterprises as a way of maintaining employment and social stability, but this practice has led to bank insolvency and bailouts. We survey the Chinese banking industry, focusing on the largest banks, which are being reformed...

China’s economic transformation is proceeding at different rates across different regions and sectors, and China’s most advanced regional sector, coastal industry, still lags well behind the world’s technology frontier. This paper explores the implications of these internal and...

China’s investment rate is one of the highest in the world, a fact that leads one to suspect that the return to capital in China must be quite low. Using data from China’s national accounts, this paper estimates the return to capital in China. We find that the aggregate annual return to...