This book analyzes why local officials in China comply with investment-reduction
and inflation-control policies of the central government against their own
economic interests. The book shows the importance of political institutions, and
provides a political story as to why China has been able to control inflation
and to deepen reforms, in contrast to the former Soviet Union. While most other
studies focus on the economic or political aspects, Inflation and Investment
Controls in China integrates political and economic analysis.