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petermcd | 12 years ago
It's probably much more accurate to say the Chinese government is authoritarian state-capitalist. Authoritarian: They don't care what you think, but you better do what they way. State-capitalist: there are large state-owned enterprises supported by preferential loans from the banks.
There is also a thriving private sector. The government's involvement in private sector businesses varies between "just please pay some taxes" for some types and sizes of businesses and heavy-handed regulation and interference in some sectors that makes success in those sectors without government friends nearly impossible.
To put this in perspective, do consider that the US government bailed out the banks and GM, and owns Fannie Mae and Freddie Mac. So it's not as though the US is hands off. GM seems to be better run than large Chinese state-owned enterprises, which is saying a lot.
The farms and all businesses were communized back in the 60's, but no longer are, so far as I'm aware. The state does own land, which you lease for decades at a time (this is the same as Hong Kong, which is quite capitalist, btw).
Relaxing the one-child policy is a big deal. Given that countries have fewer children as they industrialize, I expect it won't lead to a population explosion.
I very much wish they would work on reducing the abortion rate by better educating children about having protected sex. I know a Biology teacher here who said her kids know lots about sex from the Internet, so maybe there's some hope that even the attenuated Chinese Internet can help here.
Facebook, Twitter, and YouTube are all blocked over here doesn't frustrate the hell out of me.
philwelch|12 years ago
In capitalist America, you can "own" land, unless you don't pay property tax or the government needs to build a bypass. A distinction without a difference.
rayiner|12 years ago