China Headed for a Fall
An excellent article from Foreign Policy detailing why China is not what it appears to be, The Dark Side of China’s Rise. Read the whole thing, but here are a couple of points:To most Western observers, China's economic success obscures the predatory characteristics of its neo-Leninist state. But Beijing's brand of authoritarian politics is spawning a dangerous mix of crony capitalism, rampant corruption, and widening inequality. Dreams that the country's economic liberalization will someday lead to political reform remain distant. Indeed, if current trends continue, China's political system is more likely to experience decay than democracy. It's true that China's recent economic achievements have given the party a new vibrancy. Yet the very policies that the party adopted to generate high economic growth are compounding the political and social ills that threaten its long-term survival. ...HT to non-blogging Advised by Wolves.State enterprises are also miserably unprofitable. In 2003, a boom year, their median rate of return on assets was a measly 1.5 percent. More than 35 percent of state enterprises lose money and 1 in 6 has more debts than assets. China is the only country in history to have simultaneously achieved record economic growth and a record number of nonperforming bank loans.
Technorati Tags: China, Chinese Economy.
Blog post #5830 in category
China
posted 1 March 06
Truly superior bloggers that reference China Headed for a Fall:
» Around The Blogosphere #35 (Open Trackback)
from Diggers Realm:
The "Lent" edition in the continuing saga of interesting and thought provoking news from around the web. There's sure to be something you've missed around the Blogosphere. (All links open in a new window for faster cruising) First off I'd... [Read More]
Tracked on March 1, 2006 4:33 AM