Post-reform china and the international economy - Economic change and liberalisation under sovereign control

The unique conditions encountered by China for its economic and political o pening to the wider world are crucial to understand the rapid integration o f its essentially centrally planned economy with the international economy. China was able to cushion and regulate its interaction with the world econ omy through an initial relationship with Chinese overseas investors, especi ally Hong Kong. This method of buffered entry into the international econom y enabled China to deepen its ties with the wider world economy further, wi thout becoming vulnerable to predatory market forces and associated politic al pressures.