The full text of this article
Linking business and financial systems in the market economy: the case of China
by Maurice Yolles
International Journal of Markets and Business Systems (IJMABS), Vol. 2, No. 3, 2016
Abstract: The market economy is thought by some to have a life of its own, with a self-determining and autonomous dynamic that is sometimes thought of as constituting a living system. A deeper view comes from Whitley's mesoeconomic theory of business systems, where corporate hierarchy and the market establish relationships that when institutionalised generate a potential for generic rule structures. When the generic rules become enacted a market's financial system results. This paper will model the relationship between the business and financial systems. To do this, it will initially introduce a selected conceptual framework (autonomous agency theory) which takes the market to be a living system. The paper then explains Whitley's theory, and following this an examination of the Chinese financial system is made. This will illustrate the connection between the formal and informal financial servicing entities that can lubricate business processes, and indicate issues (seen as system pathologies) capable of delivering a new economic recession. Through agency, the relationship between the business and financial systems is explored, and issues like corruption are considered. Ultimately, we produce a model that clearly distinguishes between the concerns of macroeconomics and mesoeconomics.
Online publication date: Mon, 09-Jan-2017
is only available to individual subscribers or to users at subscribing institutions.
Go to Inderscience Online Journals to access the Full Text of this article.
Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.
Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Markets and Business Systems (IJMABS):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable).
See our Orders page to subscribe.
If you still need assistance, please email firstname.lastname@example.org