Aditya Bharadwaj

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foreign invested enterprises (FIEs), but not to locals. This was not unique to Blessed County. As Huang relates in Selling China, the national government advanced a political hierarchy of companies that stretched from large state-owned firms at the top, followed by FIEs, and then to private domestic enterprises.34 Nationwide, for example, FIEs enjoyed a lower corporate tax bracket of as low as 15 percent, while Chinese companies were taxed at the full 33 percent. Such discriminatory treatment was partly politically driven.
How China Escaped the Poverty Trap
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