North Korea's creeping economic reforms show signs of paying off

Farmers and managers are being encouraged to 'do business creatively' in the totalitarian state's biggest domestic policy experiment since Kim Jong-un took power

North Korea is trying to invigorate its hidebound economy by offering more control and possibly more personal rewards to key sectors of its workforce in the country's biggest domestic policy experiment since leader Kim Jong-un assumed power.

The measures give managers the power to set salaries and hire and fire employees, and give farmers more of a stake in out-producing quotas. Some outside observers say they're a far cry from the kind of change the North really needs, but they agree with North Korean economists who say it is starting to pay off in higher wages and increased yields.

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What is happening in the enterprise area is a development of major economic significance

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