World Bank to China: Reform Your Economy or Face Collapse - Feb. 26, 2012
The World Bank and a Chinese think tank will have a stern warning in store for China’s government on Monday: Transition to a freer commercial system, or else face an impending economic crisis.
As first reported by the Wall Street Journal, the “China 2030” report recommends China enact reforms promoting a freer econom. Those reforms include a major overhaul turning China’s powerful state-owned companies into commercial enterprises.
The World Bank confirmed it will release the report Monday in Beijing.
The report is compiled by the World Bank and the Development Research Center, a research group that reports directly to China’s State Council. According to the Wall Street Journal, it encourages China to also promote innovation, competition and entrepreneurship as a means of economic growth, rather than allowing growth to be primarily government engineered.