The market for wine in China is still in its beginning stages. Total consumption is less than 1/3 liter per capita (although it is higher for urban residents, more than 1 liter per capita). Domestic wine satisfies most of the demand and, despite it poor reputation, is gradually improving in quality. As income levels increase, there are good opportunities for imported wines. Although the wine market in China is emerging from almost zero consumption a decade ago, there is already a small but loyal following in major urban areas. It is this demand which is driving the emergence of the industry. The income elasticity of wine (according to our study) is more than 2 (as income doubles, consumption increases fourfold. The urban consumer class, which is estimated to exceed the total population of the United States, will almost certainly develop into a large market for both imported and domestic wine in the future.

This article examines the logic of China's corporate restructuring. It argues that there is a political logic that mediates the pattern of corporate restructuring that has occurred in China since the 1990s. Even though China's officials need not worry about being voted out of office, they must worry about the political fallout from restructuring. Privatization cannot be allowed to proceed unless provisions are made to placate workers who will be affected by the enterprise restructuring. The mixing of political and economic agendas has implications for the sequencing of restructuring and privatization. It affects not only the speed and the nature of the reforms, but also which enterprises can be declared bankrupt or sold. Such constraints explain why some forms of corporate restructuring are preferred over others, why ailing and already dead firms that have stopped production remain open, and why some firms for which there are takers are not privatized. Political constraints in China have resulted in significant restructuring but relatively little genuine privatization. Restructuring and privatization are distinct and separate processes that do not necessarily lead from one to the other. This paper is based on extensive interviewing and supplemented by a survey of over 400 enterprises, with time series information from 1994 to 2000.

Payment incentives have significant consequences for the equity and efficiency of a health care system, and have recently come to the fore in health policy reforms. This paper first discusses the economic rationale for apparent international convergence toward payment systems with mixed demand and supply-side cost sharing. We then summarize the recent payment reforms undertaken in Taiwan, Korea and China. Available evidence clearly indicates that incentives matter, and that supply-side cost sharing in particular can improve efficiency without undermining equity. Further study and monitoring of quality and selection is warranted.

The usefulness and political implications of Area Studies programs are currently debated within the Academy and the Administration, where they are often treated as one homogenous and stagnant domain of scholarship. The essays in this volume document the various fields' distinctive character and internal heterogeneity as well as the dynamism resulting from their evolving engagements with funders, US and international politics, and domestic constituencies. The authors were chosen for their long-standing interest in the intellectual evolution of their fields. They describe the origins and histories of US-based Area Studies programs, highlighting their complex, generative, and sometimes contentious relationships with the social science and humanities disciplines and their diverse contributions to the regions of the world with which they are concerned.

Tan Lifu was a Red Guard leader whose August 1966 speech in defence of the Party's class line and his university's work team has long been considered key evidence for social interpretations of Red Guard factionalism. New documentation including the complete transcript of the original speech shows that Tan's case deviates sharply from the reputed profile of conservative students. Tan in fact espoused a version of the Party's class line that did not differ from the one advocated by those who denounced him; his rebel opponents at Beijing Industrial University were also organized and led by students from revolutionary cadre backgrounds; and Tan supported the (second) work team sent to his school because (unlike the first) it conducted a ferocious purge of a Party leadership against whom Tan harboured strong grievances. The case illustrates the ways that the politics of the work team period split students from similar backgrounds into opposing camps rather than sorting them into factions based on differences in family background.