William Allen

William T. Allen
New York University School of Law
40 Washington Square South
New York, NY 10012-1099
United States
212-998-6327 (Phone)

E-Mail: EmailAddress: hidden: you can email any NBER-related person as first underscore last at nber dot org

NBER Working Papers and Publications

November 2012Assessing China's Top-Down Securities Markets
with Han Shen
in Capitalizing China, Joseph Fan and Randall Morck, editors
This chapter analyzes China's securities markets both in terms of their size and composition, and in terms of their economic function and importance to the Chinese economy. In so doing, it assesses the regulatory regime within which these markets function and the corporate governance mechanisms that operate upon the firms listed on the Chinese stock exchanges. The chapter concludes with observations concerning the fundamental contradiction between the Chinese securities markets' top-down design and control on the one hand and, on the other, their possible effectiveness in efficient capital allocation, risk management, and as a tool of discipline.
January 2011Assessing China's Top-Down Securities Markets
with Han Shen: w16713
China's securities markets are unlike those of Amsterdam, London or New York. Those markets evolved over centuries from myriad interactions among those seeking finance on the one hand and savers seeking rewarding investments on the other. Such spontaneous securities markets did emerge throughout China in the 1980s following the start of economic liberalization, but these spontaneous markets were closed by the government in favor of new and tightly controlled exchanges established in the early 1990s in Shanghai and Shenzhen. These new markets, have been designed to and largely limited to, serving state purposes, that is to assist in the financing of the state sector of the economy. Rather than evolving in a bottom-up pattern, they are controlled, top-down securities markets. This essay revi...

Published: Assessing China's Top-Down Securities Markets, William T. Allen, Han Shen. in Capitalizing China, Fan and Morck. 2013

NBER Videos

National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email:

Contact Us