{"id":8378,"date":"2015-05-23T08:05:59","date_gmt":"2015-05-23T13:05:59","guid":{"rendered":"http:\/\/olduvai.ca\/?p=8378"},"modified":"2015-05-23T08:05:59","modified_gmt":"2015-05-23T13:05:59","slug":"time-to-get-real-about-china","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=8378","title":{"rendered":"Time To Get Real About China"},"content":{"rendered":"

Time To Get Real About China<\/a><\/h3>\n

The present Chinese leadership appears to be trying to gain (regain?) more -if not full- control over the country\u2019s economic system, while at the same time (re-)boosting the growth it has lost in recent years.<\/p>\n

President Xi Jinping, prime minister Li Keqiang and all of their subservient leaders \u2013 there are 1000\u2032s of those in a 1.4 billion citizens country- apparently think this can be done. Yours truly doubts it.<\/p>\n

As I\u2019ve repeatedly said over the past years, I don\u2019t think that they ever understood what would happen if they opened up the country to a more free-market, capitalist structure. That doing so would automatically reduce their political power, since a free market, in whatever shape and form, does not rhyme with the kind of control which the Communist Party has been used to for decades, and which the current leaders have grown up taking for granted.<\/p>\n

I don\u2019t think they\u2019re fools or anything, just that their -preconceived- ideas of power don\u2019t rhyme with the kind of economy Beijing, starting with Deng Xiao Ping, has created. In particular, they have allowed other segments of society to accumulate great wealth, and with wealth comes power.<\/p>\n

And in fine Pandora\u2019s Box fashion, it\u2019s very hard, if not impossible, to reverse the process. This failure to grasp to what extent these \u2018market liberation\u2019 policies have had a Sorcerer\u2019s Apprentice effect, may, if not must, lead to utter chaos and worse\u2026<\/p>\n

A closely related failure is that the rulers have allowed the shadow banking system to grow to ginormous proportions. Likely, in their eyes this \u2018merely\u2019 helped the economy grow at double digit speed for years, and they could stop it at will.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n","protected":false},"excerpt":{"rendered":"

Time To Get Real About China The present Chinese leadership appears to be trying to gain (regain?) more -if not full- control over the country\u2019s economic system, while at the same time (re-)boosting the growth it has lost in recent years. President Xi Jinping, prime minister Li Keqiang and all of their subservient leaders \u2013 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[4940,130,5584,195,5585,1583,5586,5587,753],"class_list":["post-8378","post","type-post","status-publish","format-standard","hentry","category-economics","tag-capital-outflow","tag-china","tag-craze","tag-debt","tag-factory-activity","tag-housing","tag-monopoly-money","tag-shenzhen","tag-stocks"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/8378","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=8378"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/8378\/revisions"}],"predecessor-version":[{"id":8379,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/8378\/revisions\/8379"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=8378"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=8378"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=8378"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}