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Columbia Law School

Comparative and Foreign Law

2016

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Soes And State Governance: How State-Owned Enterprises Influence China's Legal System, Zheng Lei, Benjamin L. Liebman, Curtis J. Milhaupt Jan 2016

Soes And State Governance: How State-Owned Enterprises Influence China's Legal System, Zheng Lei, Benjamin L. Liebman, Curtis J. Milhaupt

Faculty Scholarship

Most of the existing literature on Chinese SOEs asks how state ownership affects their governance. This chapter turns the question on its head: How do SOEs affect state governance in China? The chapter begins by distinguishing different modes of interaction between the Party-state and SOEs. Focusing on these modes of interaction, the chapter analyzes how SOEs have influenced China’s legal system. This chapter discusses the ideological and positional advantages enjoyed by SOEs in their legal treatment, and provide an analysis of SOEs’ impact on legislation, administrative rulemaking and in particular, the courts. It concludes by exploring a key implication of …