Re-Interpreting the ‘Chinese Miracle’: A Multi-Dimensional Framework

China’s economic transformation cannot be fully explained by focusing on a single variable; rather, it is a result of multiple institutional factors. Since the introduction of market-oriented reforms in 1978, a combination of formal and informal institutional changes as well as top-down and bottom-up initiatives led to the creation of pro-growth conditions in China. In order for the Chinese Miracle to continue, China must strengthen the economic freedom of individuals and enterprises, which is currently eroding.