I am interested in visiting China, again. I was looking at the Wikipedia pages for various cities in China to see where I'd like to visit, in particular. (Chongqing looks the most interesting so far. After Hong Kong, of course.)
I happened to click on the link to a country that boarders China, Vietnam. Vietnam's proper name is "Socialist Republic of Vietnam."
I stumbled across this quote:
"In 1986, Vietnam launched a political and economic renewal campaign (Đổi Mới) that introduced reforms to facilitate the transition from a centralized economy to a "socialist-oriented market economy." Đổi Mới combined government planning with free-market incentives and encouraged the establishment of private businesses and foreign investment, including foreign-owned enterprises. By the late 1990s, the success of the business and agricultural reforms ushered in under Đổi Mới was evident. More than 30,000 private businesses had been created, economy was growing at an annual rate of more than 7%, and poverty was nearly halved." -http://en.wikipedia.org/wiki/Economy_of_Vietnam
Notice how after only some free market ideas were added to the economy: "More than 30,000 private businesses had been created, economy was growing at an annual rate of more than 7%, and poverty was nearly halved."
Before free market ideas were introduced in Vietnam: "The economy remained dominated by small-scale production, low labor productivity, unemployment, material and technological shortfalls, and insufficient food and consumer goods.
And after some free market ideas were introduced: "Growth then rose to 6% to 7% between 2000 and 2002 even in the midst of the global recession, making it the world's second-fastest growing economy. At the same time, investment grew threefold and domestic savings quintupled."
It is amazing how much better things work when government limits its involvement.