ABSTRACT

Three general approaches offer different predictions about the expected impact of China's open policy. The dependency school would argue that socialist states can better protect their national interests as they undergo incorporation into the international capitalist system, 1 but this model would also predict that China's opening to international market forces would increase social unrest, in that, under pressure from the international financial institutions, the state would

Second, the demands of foreign partners have increased the leverage of local party officials over the industrial workforce. The result is a new, stricter management regime within rural enterprises and increased power for the local party/state over the local population. The foreign trade bureaucracy, part of the local state structure, has also expanded quickly in response to increased local demand for linkages to the outside world, increasing the number of agents for the local state government.