Posts tagged ‘Xi JinPing’

24/08/2013

China’s Rotational Ruler Model

International Policy Digest: “The only system that can be described as similar to the Chinese “once-in-a-decade transition of power” practice in the 21st century is Plato’s rotational ruler model proposed in The Republic— “those who have come through all our practical and intellectual tests with distinction must be brought to their final trial…and when their turn comes they will, in rotation…do their duty as Rulers…when they have brought up successors like themselves to take their place as Guardians, they will depart…” A comparison shows that three common features and two pragmatic variations can be found between the Chinese system and Plato’s ideal. And this system, if well institutionalized, can achieve an advantage that democracy can produce—regular and peaceful handover of authority.

Before coming to power, Hu Jintao, Xi Jinping and many other Politburo members had gone through certain types of party school training programs and been posted in rotation among several local administrative and/or functional ministerial positions as a sort of on-the-job training. Although the Chinese curriculum is not exactly the same as Plato’s mathematics (10 years), dialectic (5 years) and the post-dialectic “military or other office” apprenticeship (15 years), the fundamental principle is the same, namely, that only purposively trained for statecraft people can become rulers of the state.

The second common feature is that the rulers lead the state “in rotation” which in modern terms means “tenure”. In China, as imposed by Deng Xiaoping and subsequently stipulated in the constitution and certain administrative directives, there is a maximum limit of ten years (two terms of five years each) for an officer to hold a particular position. It has been a national anticipation that when the tenure comes to the end, the rulers in Beijing have to step down and retire. Hu Jintao’s complete retirement from both the state presidency and chairmanship of the party’s Central Military Commission in 2012 indicates that the practice has been institutionalized.

One of the main duties of the rulers is to bring up, assess and select their successors. Here is the third common feature between the Chinese system and Plato’s ideal. The selection of rulers is in no doubt arbitrary but there have been some signs of institutionalization in place. Firstly, it is supposed to be on merit. It has been generally expected that the selected rulers should have good track record in heading at least two provincial governments. Secondly, age is a strict requirement for consideration. Thirdly, like Plato’s “final trial,” the two leading candidates have to serve five years in the Politburo for final assessment before formal assumption of the top posts of state president and premier respectively. So far, authority has been handed over to the persons without kinship to their predecessors. It seems meritocracy is working.

The arrangement that potential rulers are openly recruited in China can be deemed as the first pragmatic variation from Plato’s ideal. While Plato proposes a caste system for his “Guardian herd,” Chinese Communist Party membership is open to all citizens. It provides socio-political upward mobility opportunity to the general public, which is in line with the functional purpose of the two thousand years long Chinese tradition of civil service examination system. The satisfaction of the national aspiration for socio-political mobility through open and fair competition is a key factor for social stability, and even legitimacy.

Nevertheless, the second pragmatic variation from the Platonic model that the Chinese rulers are allowed to hold private property and have family has become the source of rampant corruption. Plato, who understood the weakness of human greed, explicitly prohibited his ideal rulers from having private property and family. Unfortunately, it is impractical and unrealistic. Therefore, it will be a great challenge for Xi Jinping to strike a balance between private property ownership and the declaration of his assets so as to put corruption under control.

The present political succession system in China can be viewed as a pragmatic and experimental implementation of Plato’s ideal in a large scale that it has been institutionalized as a huge human resources management system for public administration, political training as well as selection of helmsmen as rulers.”

via China’s Rotational Ruler Model — International Policy Digest.

21/08/2013

China’s Xi “Lurches” to the Left, Promotes Maoist Revival

Meadia: “In a move sure to dismay the people inside and outside China who hoped Xi Jinping would begin a new era of democratic reform, China’s president has “lurched” to the left, as the WSJ reports, promoting a revitalized version of nationalist Maoism across the country. ”Our red nation will never change color,” Xi said during a ceremony at Mao’s old lakeside mansion in Wuhan, declaring that the villa should become a center to educate young people about patriotism and revolution.

“It isn’t just Mr. Xi’s rhetoric that has taken on a Maoist tinge in recent months,” the Journal reports. “He has borrowed from Mao’s tactical playbook, launching a ‘rectification’ campaign to purify the Communist Party, while tightening limits on discussion of ideas such as democracy, rule of law and enforcement of the constitution.”

Xi appears to have capitalized on some uncertainty at the top levels of the Party after the fall of Bo Xilai, a charismatic and popular leader who also led a Maoist revival campaign and became a threat to the stability of the Party leadership. “Many of Mr. Bo’s former supporters and several powerful princelings have thrown their weight behind Mr. Xi’s efforts to establish himself as much a stronger leader than his predecessor,” party insiders told the WSJ.

Xi’s nationalist streak comes as the country prepares for Bo Xilai’s trial and amid an economic downturn that has caused worry among investors and analysts. At the same time, China and other Asian powers are engaged in a dangerous and accelerating game of military one-upmanship. New ships and maritime units are being unveiled from India to the Philippines to Japan and territorial disputes are growing more intense. Across the region, this trend is driven in part by a rising nationalism among citizens—in Japan, South Korea, the Philippines, India, elsewhere—who push their governments into increasingly aggressive and antagonistic positions against the neighbors. China is no exception.”

[Xi Jinping photo courtesy of Shutterstock]

via China’s Xi “Lurches” to the Left, Promotes Maoist Revival | Via Meadia.

19/08/2013

Will China’s economy crash?

CNN.com: “After many years of euphoria over China’s rapid growth and the country’s apparently inevitable rise to global economic dominance, the China story has taken a serious turn for the worse. China, it now seems, is about to collapse, and along the way it may well bring the world economy down with it.

China Demolition

Fortunately, the new story may be as muddled as the old one.

China’s economic model has relied heavily on investment and debt. It shouldn’t be a surprise that after many years of tremendous growth driven at first by badly needed investments, Chinese spending on infrastructure and manufacturing capacity is slowing down.

During the same period, debt levels surged as borrowed money poured into more highways, airports, steel mills, shipyards, high-speed railways, and apartment and office buildings than the country could productively use.

Michael Pettis

A few economists predicted as far back as 2006 that China would face a serious debt problem. By 2010, it became obvious even to the most excited of China bulls that this was indeed happening.

To protect itself from the risk of a debt crisis, China must bring spending to a halt. Beijing now wants to rebalance the economy away from its excessive reliance on investment and debt, and to increase the role of consumption as a driver of growth.

But this cannot happen except at lower growth rates.

China debt Fareed’s Take: China’s slowing growth

So what happens next — will China collapse? Probably not. A financial collapse is effectively a kind of bank run, and as long as government credibility remains high, banks are guaranteed and capital controls are maintained, it is unlikely that China will experience anything like a bank run.

What is far more likely is that in the coming years, China’s gross domestic product growth rate will continue to decline as the country focuses on stimulating consumption.

Growth rates during the administration of President Xi Jinping are unlikely to exceed 3% to 4% on average if the economic rebalancing is managed well.

Will the slower growth rate be a disaster for China? Certainly, it would be huge departure from the growth rate of roughly 10% a year for nearly three decades. Would much lower growth rates create high unemployment and huge dislocations for the economy? Some are worried about such scenarios. But the Chinese economy has so far shown a lot of resilience despite passing storms such as the global financial crisis.

Beijing has huge challenges ahead. China’s growth has been a boon to large businesses, the state, the powerful and the wealthy elite. What the Chinese government needs to do is recalibrate growth so that average household incomes can rise and consumers have more money to spend.

This will not be easy to pull off, but there are positive signs. Xi’s government seems determined to make the necessary changes, even at the expense of much slower growth.

Even if GDP growth declines but average Chinese household income grows at 5% to 6% a year, it would put China in the right direction.

As for the rest of the world, there’s no reason to panic over China’s economic slowdown. Contrary to popular beliefs, China is not the global engine of growth; it is merely the largest arithmetic.”

via Opinion: Will China’s economy crash? – CNN.com.

01/08/2013

China treads cautiously to rebalance economy

Xinhua: “Despite all the heightened attention and occasional panic over China’s economic health, authorities in the world’s second-largest economy have so far remained confident of its ongoing rebalancing act.

On Tuesday, the Political Bureau of the Communist Party of China (CPC) Central Committee pledged at a meeting to keep the economy growing steadily in the second half of this year, while promising to fine-tune policies when necessary.

“The macro policy should be stable, the micro policy should be flexible and the social policy should support the bottom line. All of them should be coordinated,” read the statement released after the meeting.

The comments were seen as a reaffirmation that a stable environment is necessary for pushing ahead with reforms for long-term sustainable growth.

“A stable policy environment would not only allow time for the market to adjust itself, but also help create a favorable condition for reforms and avoid drastic fluctuations in market expectations,” said Kuang Xianming, director of economic research with the China Institute for Reform and Development.

Drastic policy changes are unlikely unless there are unforeseeable external or internal shocks, he added.

China’s economy expanded 7.6 percent in the first half of the year, slightly above the annual 7.5-percent target set for 2013, and prospects for the second half remain complicated given the sluggish external market, weak domestic strength, persisting overcapacity and growing financial risks.

Chinese leaders have so far demonstrated greater tolerance for slower growth in their efforts to switch the country’s growth model from its dependence on credit expansion and manufacturing toward one driven by consumption, innovation and services.

Instead of initiating a massive stimulus program again to lift the economy, the authorities are moving cautiously to steady growth while driving through reforms in which President Xi Jinping has called for “greater political courage and wisdom.”

Since taking office in March, the new government has been proceeding with reforms in a wide range of areas, including delegating administrative power to lower levels and easing controls in the financial sector.”

via China treads cautiously to rebalance economy – Xinhua | English.news.cn.

See also: https://chindia-alert.org/economic-factors/china-needs-to-rebalance-her-economy/

29/07/2013

Japan’s top diplomat heads for China seeking better ties | Reuters

Reuters: “Japanese Vice Foreign Minister Akitaka Saiki will visit China on Monday and Tuesday for talks with senior officials, the latest in a series of efforts by Prime Minister Shinzo Abe to improve relations soured by a bitter territorial row.

Japan's chief envoy to the six-party talks Akitaka Saiki arrives at Beijing airport November 30, 2010. REUTERS/Jason Lee

The hawkish Abe, who cemented his grip on power in an upper house election last week, called on Friday for an unconditional meeting between Japanese and Chinese leaders.

On Sunday, Isao Iijima, an adviser to the premier, told reporters that Abe could soon hold a summit with Chinese President Xi Jinping.

Often fragile Sino-Japanese ties have been seriously strained since September, when a territorial row over tiny islands in the East China Sea flared following Japan’s nationalization of the uninhabited isles.

Concern that the conservative Japanese leader wants to recast Japan’s wartime history with a less apologetic tone has added to the tension.

“Vice Minister Saiki will visit China on July 29-30 and exchange views with Chinese officials,” a Japanese foreign ministry spokesman said. He did not give further details.

China’s Foreign Ministry responded to Abe’s overture on Friday by saying its door was always open for talks but that the problem lay in Japan’s attitude.”

via Japan’s top diplomat heads for China seeking better ties | Reuters.

12/07/2013

Austerity threatens to take gloss off China’s national games

I wonder if the government’s austerity drive and the anti-corruption drive is contributing to the slow down in spending and exacerbating the slowdown in the economy?

FT: “Fireworks are out and frugality is in at China’s national games after the organising committee rushed to comply with edicts requiring officials across the country to tighten their belts as the economy slows.

A football match is held inside the Shenyang Olympic Sports Centre Stadium, one of the five football venues of the 2008 Beijing Olympic Games, in Shenyang...A football match is held inside the Shenyang Olympic Sports Centre Stadium, one of the five football venues of the 2008 Beijing Olympic Games, in Shenyang, capital of northeast China's Liaoning province August 1, 2007. Picture taken August 1, 2007. REUTERS/Stringer (CHINA) - RTR1SG8T

The austere sporting championships, which start at the end of August in the northeastern province of Liaoning, will contrast with China’s lavish spending on major events from the Beijing Olympics in 2008 to the world expo in Shanghai in 2010 when the economy was growing at a double-digit pace.

Now, with growth dipping towards 7.5 per cent and Xi Jinping, the new president, railing against ostentatious displays of wealth, the organisers of the Liaoning games – China’s national equivalent of the Olympics – have gone out of their way to highlight their cost-saving measures.

The funding for the games, held every four years and the largest national sporting event in the country, has been cut by 78 per cent from the original budget to Rmb800m ($130m), with fewer new competition venues and less spending on entertainment than initially planned, they announced.

The opening ceremonies will be held during the day to reduce the need for lighting, the first time since 1987 that they have not been at night. The organisers also vowed not to use fireworks, departing with the tradition of bombastic pyrotechnic displays at the start of Chinese sporting events.

“For the opening and closing ceremonies, stadium construction, the torch relay and all other segments of the national games, we strive to create, hopefully, a fresh fashion of organising big events in a thrifty manner,” said He Min, deputy director of the organising committee.

Along with cancelling a series of conferences and exhibitions on the sidelines of the games, the number of invited foreign guests has also been reduced by half. Those foreigners who do make the guest list will have to endure relative privation. There will be “neither welcome banquets nor souvenirs for them”, the official Xinhua news agency reported.

The shift to austerity falls in line with a tone set by Mr Xi since his first days in office late last year as head of the Communist party. He banned flower displays at official events and ordered that banquets should be pared back, demanding that government spending should be less wasteful.

These demands have intensified in recent months as the Chinese economy has slowed and after Mr Xi launched a new campaign against “hedonism and extravagance” among other ills.

The finance ministry this week ordered all units of the central government to reduce general expenditures such as car purchases and overseas travel.”

via Austerity threatens to take gloss off China’s national games – FT.com.

10/07/2013

China Absent From Transparency International’s Global Corruption Report

WSJ: “How bad is corruption in China? Don’t ask.

That’s the answer Transparency International says it got from Chinese market research firms as it conducted a survey on the topic.

“We approached a number of different local survey companies, but they did not feel that it would be possible to implement a survey of this nature in China without omitting many of the questions,” a spokeswoman for the Berlin-based group said in an email response to questions.

On Tuesday, Transparency International published a report it had been touting in recent weeks as the “biggest-ever public opinion survey on corruption.”

Yet despite the breadth of its research – 114,000 people surveyed in 107 countries – Transparency International doesn’t mention China once in its 48-page Global Corruption Barometer 2013. A pull-down tab of country reports on the organization’s website skips from Chile to Colombia.

“It’s true that China is clearly the main omission in terms of the survey’s country coverage, but we still firmly believe the Global Corruption Barometer’s overall messages and results are globally relevant,” the spokeswoman said. “Every time we do this research we seek to find ways to include China, but it remains a huge challenge.”

Corruption is a common topic of discussion in China.

Communist Party leaders have regularly said official corruption is the biggest threat to the leadership’s legitimacy. In March, just hours into his presidency, Xi Jinping urged his new team to “reject formalism, bureaucratism, hedonism and extravagance, and resolutely fight against corruption and other misconduct.”

Market researchers say corruption is too sensitive to probe in significant depth, given China’s controls on all forms of domestic media.

Last October, the Pew Research Center said half the Chinese people answering one of its surveys said corrupt officials are a major problem.

Pew said it hired a Beijing firm, Horizon Consultancy Group, to ask dozens of attitude questions related to society and politics including, “Tell me if you think it is a very big problem, a moderately big problem, a small problem or not a problem at all: Corrupt business people.”

Transparency International’s approach is more blunt: it says it starts with the assumption that corruption exists everywhere.

For its Global Corruption Barometer report, Transparency International used a multi-question survey focused only on bribery, malfeasance and influence peddling. Its surveyors around the world began with the pointed query, “Over the past two years, how has the level of corruption in this country changed?”

One measure of China’s corruption is the outsider’s view. Based on that measure, China ranked 80th out of 174 countries in an index of corruption perception published by Transparency International last year.”

via China Absent From Transparency International’s Global Corruption Report – China Real Time Report – WSJ.

29/06/2013

Chinese Official Sentenced to 13 Years in Sex Scandal That Was Exposed on Internet

NY Times: “Lei Zhengfu, a Chinese official who became a symbol of corruption, was convicted of taking bribes and sentenced to 13 years in prison on Friday in a scandal that exposed the sordid deal-making in Communist Party politics.

The conviction of Mr. Lei was the culmination of a fall that began when video images spread on the Internet in November showing him with an 18-year-old woman. The images, and ensuing accusations of graft and extortion, made him a much-mocked exhibit in the newly appointed Communist Party leadership’s efforts to persuade citizens that it was stamping out official graft and depravity, which have stoked deepening public ire.

Mr. Lei was sentenced days after President Xi Jinping made a new call to halt bureaucratic corruption and bribe-taking. A court in Chongqing, the municipality in southwest China where Mr. Lei once worked, dismissed his argument that a payoff of $488,000, or 3 million renminbi, he had arranged through an associate was a legitimate loan, not hush money to keep secret the video showing him with the young woman.

The court said the money amounted to a bribe.

“The sums involved were massive, and the effects were malign,” said the verdict read to Mr. Lei in the courtroom, according to Xinhua, China’s state-run news agency. “This should be sternly punished according to the law.”

China’s leaders have vowed to get rid of corrupt officials, however low or high. Before his dismissal in November, Mr. Lei was the party secretary of Beibei, a district of Chongqing. Critics said the spectacle of his trial did not make up for Mr. Xi’s failure thus far to take down senior officials, despite widespread speculation about corruption investigations in the government and the military involving powerful figures and large amounts of money.”

via Chinese Official Sentenced to 13 Years in Sex Scandal That Was Exposed on Internet – NYTimes.com.

26/06/2013

Chinese Leader Xi Jinping’s Rare Scolding of Top Communist Party Leaders

WSJ: “After telling the lower ranks of the Communist Party to shape up and make a clean break from past practice, Chinese leader Xi Jinping has taken aim at a new target:  the Party leadership itself.

And he’s done so with authority and openness from the highest pulpit of politics in China–the Politburo, the very place where the senior leaders sit and make policy.

In a speech at the conclusion of a three-day special meeting that was covered across Party media and took up nearly half of the evening newscast on Tuesday evening, Xi proclaimed that senior members of the Party needed “to play an exemplary role,” and that they had to be “broad-minded enough to reject any selfishness…to adhere to self-respect, self-examination and self-admonition” in their work (in Chinese).

It’s extremely rare for Politburo proceedings to be spoken of in such detail and openness.  And it’s unprecedented in modern times for the Party boss to start taking swings at his colleagues at the top by so directly reminding them of their responsibilities—a move that suggests he might be planning something even stronger soon.

Having just admonished lower-level cadres in a salvo last week, some observers might think that Xi is simply putting on a show here. After all, it’s difficult to demand improvement in the work-styles of the rank and file without at least paying lip-service to the idea that those at the top could stand to do a little better themselves.

But the tone of Xi’s comments and the play they’ve received in the state media suggest this is far more than just rhetorical window dressing.  It wasn’t enough for high officials to “strictly abide by party discipline and act in strict accordance with policies and procedures,” Xi said. Those at the top must also “strictly manage their relatives and their staff and refrain from abuse of power.”

“The sole pursuit” of senior members of the Party, Xi insisted, should be tied to “the Party’s cause and interests” – in other words, “to seek benefits for the Chinese people as a whole.”

Whether it’s misuse of official license plates or the high-end looting of state assets (in Chinese), Xi knows that corruption is not always confined to lower-level cadres.

Xi was careful to concede that there have been some positive developments in the ways by which the Politburo and other Party bodies operate, such as “improvements in research and reporting.”  Meetings have been shortened and presentations streamlined, “enhancing the majority of party members’ and cadres’ sense of purpose, as well as the view of the masses” towards the Party leadership, he noted.

But it’s clearly morality at the top — not the way that decisions are made — that concerns Xi and his allies the most.   As Xi’s speech noted, “as long as Politburo comrades always and everywhere set an example, they can continue to call the shots, for that will have a strong demonstration effect, and the Party will be very powerful.”

via Chinese Leader Xi Jinping’s Rare Scolding of Top Communist Party Leaders – China Real Time Report – WSJ.

21/06/2013

4.7-trillion-yuan plan to double mainland road network by 2030

SCMP: “Central government earmarks 4.7 trillion yuan for upgrading and extending roads, giving the country 400,000km of highway by 2030

shenzhen_international_toll_roads_4634887.jpg Newspapers suggest 4.7-trillion-yuan plan to double mainland road network by 2030

The mainland will spend 4.7 trillion yuan (HK$5.9 trillion) in the next 17 years to more than double its network of major roads, top transport officials said yesterday.

Dai Dongchang , chief planner with the Ministry of Transport‘s general planning department, told a press conference that a recently approved blueprint for road expansion included 50,000 kilometres of toll highways and 160,000 kilometres of toll-free “national trunk ways”, which are narrower and have slower top speeds.

The mainland has 173,000 kilometres of the two kinds of road at present and the plan approved by the State Council last month says that should rise to 400,000 kilometres by 2030.

By then, toll-free trunk ways should connect all counties, Dai said, while highways should connect all cities with populations of more than 200,000, as well as important transport junctions and border ports.

Huang Min , head of the National Development and Reform Commission‘s basic industry department, said 18 cities of more than 200,000 lacked highway links at present, while more than 900 counties were not connected to national trunk ways.

The new highways would include two north-south routes in the nation’s west, Huang said, with many of the 900 counties expecting new trunk ways also located in the west.

The mainland now had about 110 million private vehicles, 60 times the number in 1981, when the plan for the existing road system was drafted, he said.

Dai said the volume of goods carried on mainland roads was 3.7 times the volume carried on United States’ roads and was expected to at least double by 2030, along with the number of passenger vehicles.

He said China had previously paid more attention to the construction of highways and small roads in the countryside, leading to sluggish development and poor maintenance of trunk ways.

The blueprint forecasts a total of 5.8 million kilometres of roads on the mainland by 2030 – 84 per cent countryside roads, 9 per cent provincial roads and 7 per cent highways and trunk ways.”

via 4.7-trillion-yuan plan to double mainland road network by 2030 | South China Morning Post.

See also: https://chindia-alert.org/economic-factors/chinas-infrastructure/

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