CHINA

66 Factories Go Under: Sixty-six factories--15 state-owned--declared bankruptcy the first half of this year, a reflection of the government’s refusal to keep bailing out failing companies. In addition to the bankruptcies, 1,729 enterprises suspended production, shifted to making other goods or were merged with other companies. Although the government dropped a ban on bankruptcies in 1986, it propped up failing businesses or merged them with healthier ones to avoid layoffs and social unrest. This year it pledged to get tough as part of economic reforms.