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The Central Role of Entrepreneurs in Transition Economies

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Pathways Out of Poverty

Abstract

“All sorts of small enterprises boomed in the countryside, as if a strange army appeared suddenly from nowhere,” remarked Deng Xiaoping, reflecting in 1987 on the first eight years of China’s economic reforms (Zhou 1996: 106). These startup firms drove China’s reform momentum; they were arguably the single main source of China’s growth. But their rapid emergence, Deng said, “was not something I had thought about. Nor had the other comrades. This surprised us.” The reformers had not foreseen the key to their own reforms.

We thank David Ahn, Simon board, Simeon Djankov, Brad De Long, John Earle, Alan Krueger, Barry Naughton, timothy Taylor, and Michael Waldman for helpful comments. John McMillan thanks the Stanford GSB for research support.

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Author information

Authors and Affiliations

  1. Graduate School of Business, Stanford University, USA

    John McMillan (New Zealander, is the Jonathan B. Lovelace Professor of Economics)

  2. Graduate School of International Relations and Pacific Studies, University of California at San Diego, USA

    Christopher Woodruff (Associate professor)

Authors
  1. John McMillan
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  2. Christopher Woodruff
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Editor information

Editors and Affiliations

  1. Department of International and Comparative Labor, Cornell University, USA

    Gary S. Fields (Professor in the Department of Labor Econmics and chair) (Professor in the Department of Labor Econmics and chair)

  2. International Finance Corporation, World Bank Group, USA

    Guy Pfeffermann (Chief economist) (Chief economist)

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McMillan, J., Woodruff, C. (2003). The Central Role of Entrepreneurs in Transition Economies. In: Fields, G.S., Pfeffermann, G. (eds) Pathways Out of Poverty. Springer, Dordrecht. https://doi.org/10.1007/978-94-010-0009-3_6

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  • DOI: https://doi.org/10.1007/978-94-010-0009-3_6

  • Publisher Name: Springer, Dordrecht

  • Print ISBN: 978-0-8213-5404-9

  • Online ISBN: 978-94-010-0009-3

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