Explanation: The term liberalization has the same connotation in economics as its root word liberalism.

• Pro-market or pro-capitalistic inclination in the economic policies of an economy is the process of liberalization.
• We see it taking place in the whole of Euro-America in the 1970s and particularly in the 1980s.
• The most suitable example of this process could be China of the mid-1980s when it announced its ‘open door policy’.
• Though China lacks (even today) some trademark traits of liberalism, as for example, individualism, liberty, democratic system, etc., still China was called a liberalizing economy.

Source: Ramesh Singh