China is a large developing economy and it has been deeply involved in globalization since its economic reform and opening-up. Simultaneously, China has seen a significant change in the spatial distribution of economic resources, especially capital and labor. In the recent 10 years, economists have made significant progress in both theoretical and empirical studies on related topics.

The book provides an overview on the existing literature and current policy debates on what we have known and what we have misunderstood. This book includes an analytical framework of the New Economic...