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This article examines the situation of non-governmental children's welfare institutions based on field investigation in China. The research finds that China's market-oriented reforms have created both the demand for and the resources required to meet the welfare needs of vulnerable children. The new private non-profit sector responds to the social demand of providing services to vulnerable children by mobilizing non-government resources whilst actively looking for new ways of co-operating with the state and fighting for legal status. However the Chinese state hesitates to establish formal relations with the new non-government sector owing to political or economic considerations, or the lack of necessary capacity and experience in the field. A major policy break-through is urgently needed to address the welfare needs of vulnerable children in China. The aim of this policy change must be to establish formal relations between the state and civil society and to define the regulatory role of the state in social welfare.
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Shang et al. (2005) studied this question.
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