Only 13 comments? Perhaps readers, especially in China, are loathe to criticize their glorious leaders, lest they end up in front of a court, accused of anti-social behavior.
Some reforms proposed for china are almost pure nonsense. Decreasing exports and increasing consumption is poison to a nation's economy. Prosperity comes from savings and investment in manufacturing, NOT consumption. The true path to the nation's prosperity are exports and no nation should give up its eliance on exports. An economy running on imports and consumption is mothing but a bubble.
4
I hope this report of the Chinese think tank criticism is properly understood by readers. The criticism is meant to support and reinforce the reform efforts by President Xi, long experience suggests such reform efforts will be successful. That is the reason Chinese has experienced such dramatic growth for so long.
That China can repeatedly reform itself these last 40 years is critical for us to understand in understanding the Chinese success. American analysts are always underestimating Chinese adaptability to changing economic conditions and needs.
As for opening, for instance, China is opening as never before as Xi has been emphasizing. What else is One Belt One Road along with the Asian Infrastructure Investment Bank. China is renewing itself by plan.
That China can repeatedly reform itself these last 40 years is critical for us to understand in understanding the Chinese success. American analysts are always underestimating Chinese adaptability to changing economic conditions and needs.
As for opening, for instance, China is opening as never before as Xi has been emphasizing. What else is One Belt One Road along with the Asian Infrastructure Investment Bank. China is renewing itself by plan.
6
An excellent news report. Thanks.
It is curious, though. What was said in the report was not wrong; indeed, the issues identified by its authors are crucial challenges. But the timing is... interesting. Releasing this report now, just weeks after Premier Li presented his economic work report to the National People's Congress, may have been intended to create (or further an existing) narrative about failures to advance reform (and hints or suspicions that it's Premier Li's fault).
Premier Li, however, cannot really take the blame, can he? After all, Xi Jinping has been in charge of a "leading group" on economic reform that was created on his watch and is under the direct control of the Communist Party (which he leads). So in a sense, the NDRC's report puts him in the line of fire, as well.
Even so, maybe (just maybe), a cigar is just a cigar--even in China's Communist Party system.
It is curious, though. What was said in the report was not wrong; indeed, the issues identified by its authors are crucial challenges. But the timing is... interesting. Releasing this report now, just weeks after Premier Li presented his economic work report to the National People's Congress, may have been intended to create (or further an existing) narrative about failures to advance reform (and hints or suspicions that it's Premier Li's fault).
Premier Li, however, cannot really take the blame, can he? After all, Xi Jinping has been in charge of a "leading group" on economic reform that was created on his watch and is under the direct control of the Communist Party (which he leads). So in a sense, the NDRC's report puts him in the line of fire, as well.
Even so, maybe (just maybe), a cigar is just a cigar--even in China's Communist Party system.
It's a little hilarious that the government of Red China (okay, I'm being nostalgic) has been sending down political mandates to rely less on political mandates!
2
Demographics make this an uphill battle. They are very close to the point where the number of working-age Chinese will start to decline, as the number of retirees increases. It will only get worse, and eventually they'll end up like Japan.
2
Xi Jinping has urged increased social reflection and criticism since becoming president and this report reflects such urging. This has been a periodic characteristic of the Chinese government these last 40 years which has allowed for the dynamism of the Chinese economy through these years.
I find the report very encouraging, since there will surely be a follow-through reflecting the criticisms. Growth of 9.6% yearly in real GDP and 8.6% in real per capita GDP for 40 years is only achieved with self-reflection in a leadership.
I find the report very encouraging, since there will surely be a follow-through reflecting the criticisms. Growth of 9.6% yearly in real GDP and 8.6% in real per capita GDP for 40 years is only achieved with self-reflection in a leadership.
4
Mr. Buckley states: "Efforts to redefine how different levels of government spend and tax have become mired in bureaucratic feuding. Local governments fear losing revenue from selling off land while they must pay for growing demands for services."
An article from the digital Atlantic Magazine entitled: "How Municipal Governments Are Dragging Down China's Fiscal Health," (O6/14/2013) by Yueran Zhang supplies the following brief citation: "The factor that adds a final layer of pessimism to the local debt problem is the declining ability of local governments to generate revenue through 'land financing,' which is the local governments' largest income source that is free [of] monitoring or intervention by higher-level authorities. The term 'land financing' refers to local governments' practice of appropriating land-use rights from farmers with low compensation and selling those rights at high prices to real estate developers. In 2010, land financing interests made up bout 35 percent of total public revenue for local governments."
This practice of eminent domain may have resulted in the most highly valued parcels of rural land already being sold off, with the quantity supplied now to be sold, representing cheaper lots. Since land is a limited, finite resource, in this instance, sales viewed as ROIs from this revenue source are nonrenewable.
Robert Rubin and Hank Paulson have also, a bit presciently, warned of this phenomenon.
[JJL 03/27/2017 M 12:27 p Greenville NC]
An article from the digital Atlantic Magazine entitled: "How Municipal Governments Are Dragging Down China's Fiscal Health," (O6/14/2013) by Yueran Zhang supplies the following brief citation: "The factor that adds a final layer of pessimism to the local debt problem is the declining ability of local governments to generate revenue through 'land financing,' which is the local governments' largest income source that is free [of] monitoring or intervention by higher-level authorities. The term 'land financing' refers to local governments' practice of appropriating land-use rights from farmers with low compensation and selling those rights at high prices to real estate developers. In 2010, land financing interests made up bout 35 percent of total public revenue for local governments."
This practice of eminent domain may have resulted in the most highly valued parcels of rural land already being sold off, with the quantity supplied now to be sold, representing cheaper lots. Since land is a limited, finite resource, in this instance, sales viewed as ROIs from this revenue source are nonrenewable.
Robert Rubin and Hank Paulson have also, a bit presciently, warned of this phenomenon.
[JJL 03/27/2017 M 12:27 p Greenville NC]
8
Sorta hard to get fresh ideas/solutions in a society if dissidents and journalists are often rounded up and given an unpaid vacation in seclusion, isn't it?
11
Isn't it astounding that this remarkable expose of a major world power has elicited just one response?
Are we so engrossed in our own tzuris that we have turned so completely inward?
Are we so engrossed in our own tzuris that we have turned so completely inward?
6
I have begin discussion about reform since 2010 and a lot of my peers and colleague agree that China needs further more opening up in healthcare,pharmaceutical,logistic,some part of finance sector such as insurance and other service area BUT at China's time table not from external expectation.
Based on central government policy, it looks like governments will prioritize supply side and "hukou" reform over further market liberalization.
Perhaps this april POTUS could persuade pres. Xi about more open market access, finger crossed.
Based on central government policy, it looks like governments will prioritize supply side and "hukou" reform over further market liberalization.
Perhaps this april POTUS could persuade pres. Xi about more open market access, finger crossed.
10
I feel like the scarecrow, If I only had a brain. Given the chaos we now have in the US presidency, and the disturbing anti-science bend of the Republican Party which controls both houses of congress, the Communist Party of China doesn't look as bad as it did just a few years ago.
It is China, not the US, which is planning to spend $500 Billion in the next five year or so on sustainable energy development. If Trump and his climate-change denying stooges undue all of Barack Obama's climate change legacy, especially the restrictions to dirty coal, and improved standards, or CAFE, for automobiles, we will be ceding the new industries of the world to China and our European allies, or former allies.
It is strange, and pathetic, that Trump and the GOP are so anti-science and anti consumer protection, that we look to Vietnam now to show leadership in the South China Sea, and to China, for world leadership on the fight to slow climate change, through the reduction of green house gases.
China's one child policy had its problems, but also its successes. It is China, more than the West, that has shown leadership on tackling the world-wide problem of over population. It will add insult to injury, if China also beats the US in coming to a single payer health care system, a proven European solution to health care that both countries would benefit enormously from, but which are fought in both countries tooth an nail by wealthy special interests that benefit from the status quo.
It is China, not the US, which is planning to spend $500 Billion in the next five year or so on sustainable energy development. If Trump and his climate-change denying stooges undue all of Barack Obama's climate change legacy, especially the restrictions to dirty coal, and improved standards, or CAFE, for automobiles, we will be ceding the new industries of the world to China and our European allies, or former allies.
It is strange, and pathetic, that Trump and the GOP are so anti-science and anti consumer protection, that we look to Vietnam now to show leadership in the South China Sea, and to China, for world leadership on the fight to slow climate change, through the reduction of green house gases.
China's one child policy had its problems, but also its successes. It is China, more than the West, that has shown leadership on tackling the world-wide problem of over population. It will add insult to injury, if China also beats the US in coming to a single payer health care system, a proven European solution to health care that both countries would benefit enormously from, but which are fought in both countries tooth an nail by wealthy special interests that benefit from the status quo.
13
Chinese "leaders" have raided their people's government-savings to shore up the stock market. BIG developers made BIG money with the zero population"Ghost" cities, with huge high-rises and empty store-fronts, that dot China.
Predatory capitalism is not the way for China to go and I hope they figure it out before they destroy the country and world.
Wonder if these reports were written by the Koch brothers Heritage Foundation or CATO institute? My bet is yes.
Predatory capitalism is not the way for China to go and I hope they figure it out before they destroy the country and world.
Wonder if these reports were written by the Koch brothers Heritage Foundation or CATO institute? My bet is yes.
6
Looking at China while referring to the reflection of your own country in the mirror is likely not a good way to understand what's going on.
There are plenty of leads in this news report that explain what might have been behind this.
There are plenty of leads in this news report that explain what might have been behind this.
5