China’s Economic Future and the Future Role of Hybrids
The conclusion addresses the questions of whither China and what role hybrids will play in China’s future. There are three scenarios for China’s next decade: thorough economic reform in line with the Third Plenum’s vision; muddling through; or a severe economic crisis brought on by lack of reform. Each scenario in turn has implications for what role hybrids will play in the economy generally and in industrial policy. Reforming the economy would lessen the need for hybrids dramatically and the firms would become largely indistinguishable from domestic firms. In the other two scenarios, hybrids would still be needed, but politics would determine whether they would still have the institutional space to participate in China’s economy.
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