Deng Reforms China: The Role of SEZs

Abstract

Several decades of isolation and socialisation of economy in China rendered millions of people living in extreme poverty. The state planning failed to achieve desired results and the economy struggled with sluggish growth. Deng Xiaoping, on consolidating his position as the supreme leader, sought to reform the Chinese economy by opening it up for foreign trade and investment. Special Economic Zones came to be used as a tool by Deng for achieving the both. This paper seeks to analyse the extent of success SEZs could achieve for the Chinese economy.