ABSTRACT
Professor Qian Yingyi’s observations on China’s current stage of reform are extremely insightful and sound. It is indeed true that China is in the midst of unprecedented prosperity. As he has noted, in terms of market valuation alone, PetroChina is the largest oil company in the world, China Mobile is the largest telecom company, ICBC is the largest bank, and China Life is the largest insurance company. We should not pay too much attention to this, perhaps, since things may change in the blink of an eye. We certainly do not want to be complacent. The thing that is really worth getting excited about, however, is the fact that this year our fiscal revenues may increase by RMB 1.2 trillion, while our foreign exchange reserves have now reached USD 1.5 trillion. What’s more, it looks as though both of these will continue to grow at a fast pace for some time to come.
