In their transistions from socialist economies Russia and China adopted contrasting methods. Russia's "shock therapy" aimed for an overnight jump to a market economy and China's experimentalist approach aimed for gradual marketization. The shock therapy approach sought to destroy existing socialist economies, redistributing wealth from the bottom up, leading to greater societal inequality and social unrest. Despite its underlying premise of achieving an effective transition to a market economy, it rather resulted in prolonged economic stagnation, hyperinflation, and a decline in human wellbeing.

On the other hand, China's gradualist reform strategy upheld the structures of the old system while cautiously introducing market principles. Its most illustrative aspect was the dual-track price system, where state-planned and market-driven prices co-existed, facilitating the transformation from socialist production units into profit-oriented enterprises. This strategy rekindled China's growth and reindustrialization without abruptly disrupting the existing economic system.

The debate on how to reform the economy underpinned both transformations. In Russia, the shock therapy approach anchored on neoclassical economics, whereas China's gradual marketization largely emerged from an internal economic debate that sought to avoid the pitfalls of shock therapy. This detailed analysis illuminates the complexities of transitioning from a command economy to a market-based system and the profound implications of the chosen path.