The nature of property rights transformation of township village enterprises in China

During the economic reform guided by the government, the behavior orientation of the local governments has great influence on the progress of the local reform and the achievements of the economic development. Through the study of the property rights transformation modes of the township-village enterprises(TVEs) in South Jiangsu, this paper holds that the property rights transformation of the TVEs in China is the result of interests adjustment and re-allocation between interested parties related to the TVEs under institutional transformation period when the market environment is unsymmetrical and incomplete, the game and interests allocation between the core interested parties-the local governments and the enterprises' managers have decisive influence on the selection of the way for property rights transformation.