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Does China follow “the East Asian development model”?

Abstract The Chinese way of development shares many characteristics with the East Asian developmental state model. Key elements of this shared development model include state control over finance, direct support for state owned enterprises by the government, import substitution industrialisation in heavy industry, a high dependence on export markets and a high rate of domestic savings. Even the reform of corporate governance is not likely to change the basic features of the East Asian model in China. Among East Asian countries, China shares more similar characteristics with Taiwan rather than with Japan or Korea since China, like Taiwan, also has an economy of dual structure that divides the public and non-public sectors.