OECD books on the Chinese economy

China has become one of the world's leading destinations for foreign direct investment (FDI). However, while cross-border mergers and acquisitions (M&A) have become the dominant form of global FDI flows, they remain a relatively small part of FDI flows into China. In reviewing developments since 2003, this review evaluates the progress made in developing an effective institutional framework for cross-border M&A in China, takes stock of remaining obstacles, and offers policy options to address them.

The study draws extensively on Chinese government and other sources to provide a detailed and up-to-date picture of the current state of China's public expenditure policies, the main reforms that are being undertaken, and the problems that remain to be resolved. Topics covered: key characteristics of China's budget and recent trends; the allocation of spending; the uneven pattern of fiscal decentralisation; gaps between expenditure needs and fiscal resources for local governments and their consequences.