¹Department of Economics, MS 021, Brandeis University, Waltham, MA 02454-9110, USA. E-mail: jefferson@brandeis.edu

Abstract

China's economic transformation demonstrates that the paths of transition and development are broader and more varied than generally predicted by economic research relating to other countries. Research focused on China's experience contributes to the scope and richness of the economics literature in notable ways. The China literature illustrates and makes more vivid established insights and paradigms, including those of Nobel laureates whose work relates to development and institutions. Furthermore, China is inspiring new insights and understanding regarding the central role of institutions. This paper, in particular, focuses its review on the literature that expands our understanding of the process of induced institutional change.