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Additional resources for China: Progress & Reform Challenges (OECD Investment and Policy Reviews)

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1. 0 The Chinese authorities are of the view that the OECD Benchmark Definition of Foreign Direct Investment (3rd edition) and the IMF Balance of Payments Manual (5th edition) provide a reference framework that permits each country to set up its own statistical system on the basis of its own practical situation, and that when documents such as UNCTAD’s World Investment Report are compiled countries are not compelled to use a single statistical method. The Chinese government has offered to discuss discrepancies between MOFCOM and OECD data with a view to establishing comparability on a case-by-case basis.

The shift of labour from agriculture, where the marginal product of labour was generally zero, to industry also contributed to the overall raising of productivity in the economy. The removal of the stigma formerly attached to private enterprise, at least in the form of small individual or family businesses, allowed the rapid development of small producers and traders who contributed to the provision of basic services. The establishment of Special Economic Zones contributed to a volatile building boom.

Consequently, the differences in the statistics com piled by OECD countries on th eir investment in China and the statistics published by MOFCOM on OECD members’ investment in China exhibit serious inconsistencies between these sources. CHINA: PROGRESS AND POLICY REVIEWS – ISBN 92-64-10195-0 – © OECD 2003 39 2. 1. 0 The Chinese authorities are of the view that the OECD Benchmark Definition of Foreign Direct Investment (3rd edition) and the IMF Balance of Payments Manual (5th edition) provide a reference framework that permits each country to set up its own statistical system on the basis of its own practical situation, and that when documents such as UNCTAD’s World Investment Report are compiled countries are not compelled to use a single statistical method.

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