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It is generally considered that the keystone of successful economic development of the state is its effective legal system with its priority dwelling upon protection of human rights. However, is this formula operational in the case of China with its authoritarian political regime for which the fundamental law is the will of the party leader? The article investigates how the transformation of the legal system of China has been progressing over the past seventy years and how these processes correlate with the reforms in the economy. Profound cause and effect relations between mental reference points of the Chinese people and the «fragility» of the institution of law in this country have been revealed. The paper presents the results of the analysis conducted in relation to the indicators of socio-economic progress and the rule of law within the country in comparison with similar indicators of nine most successful countries in the world. It is proven that the formal law in China serves as a mere instrument for a farsighted, authoritarian and rigidly hierarchical political system which uses economic levers with the purpose of achieving ambitious goals of conquering the entire world.

ekonomìčnij časopis-xxi

Interaction between economy and law through the example of China: from the retrospective to the development prospect. A critical analysis and comparison with developed democracies