Mark Sidel, Enterprise Banking and the Development of Bankruptcy Law in Campbell, Child and Lockett (eds.), Advances in Chinese Industrial Studies: Reform Policy and the Chinese Enterprise (Manchester University Press, 1990)
Abstract
The importance of the idea of enterprise bankruptcy to economic reforms in
China cannot be over-emphasized. This paper traces the issue of enterprise
bankruptcy and the development of bankruptcy law since 1979. The emerging
debate over bankruptcy is outlined, followed by the impact of Shenyang's
experimental bankruptcy regulations. Subsequent national controversy is
analyzed, including the significant opposition to the proposed bankruptcy law.
It is concluded that progress in bankruptcy law is dependent on a more developed
framework of enterprise law. Further, the issue of bankruptcy is part of a broader
discussion of appropriate methods for motivating Chinese workers and managers
and invigorating the enterprises in which they work.
