The Socialist Market Economy in China, Vietnam and Laos: A development model to embrace?

By Jo Inge Bekkevold, Arve Hansen and Kristen Nordhaug

China, Vietnam and Laos have for three decades been among the fastest growing economies in the world. In other words, three of the best growth performers in global capitalism are authoritarian states led by communist parties with socialism as the official development goal. This fact has received surprisingly little attention, especially when considering their strong performance on a wide range of development indicators. Many claim China and Vietnam indeed represent some of the most impressive “development success stories” the world has seen in recent decades. The three countries claim to have found their own model of development combining a market economy with socialism – ‘the socialist market economy’. According to official definitions, this is not capitalism, but a more sustainable and socially just way of making a market economy work for national development and the improvement of living standards. In The Socialist Market Economy in Asia: Development in China, Vietnam and Laos, an edited volume newly published by Palgrave Macmillan, we engage with the coherence, achievements and failures of this particular development model.

Read More »