Measures of society's stock of fixed assets are necessary for describing production technology, evaluating capital-output ratios and analysing multifactor productivity. While recognizing the inherent difficulty of compiling capital stock estimates for an economy in which prices have long...

According to the author, in the late 1970s, Chinese industry was on the verge of collapse. Its high but erratic level of growth since 1949 had been achieved by using ever-increasing amounts of labour and capital. By 1978, the Chinese Communist Party leadership understood the economic problems...