Dialogues Between China and Taiwan Foreshadow Hope for the Region

He's a panda. She's a panda. On the inside, we're all just pandas. But some of us associate with different factions, and thus has arisen the Taiwan Strait conflict. One group of pandas just doesn't like the other group, and there's not much to be done about it. Or is there? In this article by the Xinhua News Network, Chinese and Taiwanese officials have agreed to come together in Southern China next week to discuss Strait relations. One impressive move that has already been made is the strong consideration of allowing the exchange of Taiwanese and Chinese college students. Hopefully these talks will result in real solutions and more permanent dialogue between the two factions.

This is significant, as, as we all learned in Iran and China in 1989, the college students are always those that affect the most change the most rapidly. Also, the China-Taiwan conflict has been raging on (mostly nonviolently) for many decade, and a solution to the issue would be a huge step indeed. With its western backing, I believe that Taiwan will remain a separate state, and hopefully China will realize this and cease incessantly waiting for Taiwan to come to its senses and join the Panda empire.

China posts 1st trade deficit since 2004

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Summary:

China has posted its first quarterly trade deficit in 7 years. A $1.02 billion deficit was run through the months of January and March. March saw a small surplus of $140 million, but Febuary had a deficit of $7.3 billion. The increased deficit is blamed on high prices of iron and oil, both of which China must import huge amounts of to maintain their growing economy. Lastyear, China averaged a $16 billion surplus each month. Foreign analyst have expressed hope that their increasing deficit will allow other countries to cut down on their own deficits with China. If high commodity price maintain themselves, China could have trouble posting a surplus.

Significance:

China has long been a huge exporter of manufactured goods, but the they have outstripped their own resources. It will be interesting to see if other countries start to leverage their need for raw materials, particularly considering China has practically no world military presence. China economy could suffer if prices stay high, and if their economy goes down, who knows what could happen.

China refutes US human rights report

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Summary: China's foreign ministry spokesman has recently spoken out against the United States using human rights as a pretext for interfering in China's internal affairs. The outcry came after the release of this year's annual report on human rights around the world. Obviously, China's status was depicted as very poor. But according to Hong, the economy is booming, democracy is on the rise, the law system is improving, cultural development is ever increasing, and most importantly, ethnic groups "enjoy extensive freedoms and rights." He went on to say that the United States should take a look in the mirror and focus on itself instead of preaching human rights to the rest of the world.

Significance: The world has long been fed up with the United States policing the world and it seems that now China is also fed up with us hiding our true intentions. The most recent example of this being Libya where the guise of a humanitarian mission was used to try to obtain a desired result. But we would be wise to heed Hong's advice of looking at ourselves as opposed to interfering in countries that simply do not want our help. I personally think that it's about time someone put us in our place because we have long lost our place as the splendor of the world and it seems that China realizes that. This also poses a dangerous situation where China might get hotheaded themselves and try to more actively challenge our authority. That's a rather unlikely scenario but it's a possibility nontheless.

China Moves to Reform Public Institutions to Improve Social Services

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Summary:

On April 10th, the Chinese government got together and collectively decided to make many of its public institutions and services more efficient and serviceable in order to aid the people of China more. The government has supposedly set up a blueprint for the restructuring of many government institutions, depending on their function. According to government releases last week, the reforms require that institutions, "stop performing government and business functions, that supervision be separated from day-to-day functions, and for non-profit institutions to be separated from profit-oriented ones." These reforms are aimed at taking care of the out-dated institutions that are taking up too many of the resources of the Chinese people. Experts have noted that public institutions with inadequate or ambiguous functions will either be put away with or merged with other institutions. Meanwhile, those public institutions dealing with social benefits are being encouraged to stay afloat, and likely, more government money and oversight will be afforded to them. These institutions will likely become the major forces behind the social welfare in China.

Significance: This article is very interesting in that seems to deviate from the normal structure of welfare in China. Instead of having everything come directly from the state, government institutions that may not seem as connected to the Chinese government are taking credit for peoples' welfare. However, this still shows the tremendous amount of social welfare that the Chinese people receive annually. Being a Communist state, there is a heavy reliance on social welfare, and many people see this as their inalienable right. This can be strictly contrasted to the American welfare situation, where the people have historically seen themselves as the main source of income and prosperity. The inadequacy of government institutions should not come as a surprise, however, due to a marked lack of competition and thus, a lack of initiative to get better. Communist states promote a lagging behind in terms of efficiency and technology because of this lack of competition among institutions and companies.

Chinese Censorship Knows No Bounds

In this article by the New York Times, China's first astronaut's landing was not quite as glamorous as the Xinhua News Network made it out to be. Yang Liwei was the first Chinese astronaut to orbit the Earth which he did 14 times in the capsule Shenzhou in the year 2003.He famously landed and emerged from the capsule smiling and unblemished, cheerily greeting the cameras and reporters. However, it turns out that the truth is a much different story. Upon reentry, a design flaw had exposed Mr. Yang to excessive G-force pressure, splitting his lip and drenching his face in blood. When he landed, workers cleaned up his face, then put him back in the capsule, sealed it, and then finally reopened it for the cameras. Xinhua finally gave a speech that offered an explanation: “Understanding Journalistic Protocols for Covering Breaking News,” was intended to help budding journalists understand Xinhua’s dual mission: to give Chinese leaders a fast and accurate picture of current events and to deftly manipulate that picture for the public to ensure social harmony, and by extension, the Communist Party’s hold on power.

This shows that China is most concerned with political stability, to help support its current level of growth. After Tienanmen square, Chinese leaders kept on repeating the mantra of keeping the public climate stable, and thus helping cement the Communist Party's power. Obviously, China does not have freedom of the press, as it is government owned as is made clearer than ever by this article, but what this means is that Chinese citizens lack opposing viewpoints to that of the Party. However, Chinese citizens are aware of this, and thus have learned to not fully trust Xinhua.What this means overall though is that any sort of revolution or uprising in China will be incredibly difficult, meaning that change will have to come through the process, or else some incredibly dramatic change. But to end on a happy note, at least we got a panda in space.

Chinese government warns officials to stop evicting farmers

Click here for main article Summary: The Chinese State Council issued warning to local officials to stop evicting farmer from there land and demolishing their homes. The evicting is being done as part of a rural reform program intended to move farmers into new residential buildings, while their old homes were demolished so the farmland can be expanded. However, the program also allows a portion of the farmer's land to be taken for urban construction. Local officials have taken advantage of this, evicting farmers and converting much of their land for construction. Farmer in 20 provinces have been forcibly removed from their land and some have even beaten up after they refused to leave their land. Local officials then take much of the land and sell to land developers inorder to increase revenue and raise local GDP. Although selling any land is supposed to require government approval, this has not happened in practice. Authorities are moving to convict corrupt officials and correct any misgivings against farmers. Significance: These incidents demonstrates both the struggle China has been going through to keep rural provinces happy while still expanding business and prosperity and the struggle to control the country's vast bureaucracy. China's work to end corruption is important to this increasingly prosperous country. Rural farmers, who are undoubtly the countries main underclass being victimized by corrupt officials is the worst case scenario for a country with deep division between rural and urban. It remains to be seen whether or not China will be able to tame its bureaucracy and please rural populace.

Chinese leaders join in tree planting campaign

Chinese President Hu Jintao and a girl water a tree during a tree planting event in Beijing April 2, 2011.

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Summary: Saturday was the 30th anniversary of China's volunteer tree planting campaign. Many top leaders took part in the event, including President Hu Jintao and Premier Wen Jiabao. This is part of a long running campaign to increase afforestation efforts. Hu also took this opportunity to encourage a conservative culture in China where sustainable economic and social development is achieved through public aid, technological breakthroughs, and government reform. 1.9 million people in Beijing alone took part in the tree planting campaign, a staggering number. Since 1981 the government has encouraged citizens from ages 11-55 to plant three to five trees a year. Since its inception, 58.9 billion (yes that's a b) trees have been planted throughout the country.

Significance: China may be one of the biggest producers of greenhouse gasses but as a result they also launch some of the biggest environmental projects in the world. Not only that, but as you can see from the picture, they're actually happy to do it. Such a campaign would most likely come to a shock in American's minds because we see only the worst in China but here they are again one upping us. If this trend of setting an exmaple for the world continues, China could easily knock America off its throne without having to fire a single shot. But that may not be a bad thing because if the rest of the world undertakes in projects like the one mentioned in this article, then global warming could be a thing of the past.

Strict Purchasing Limits Curb Home Sales in Beijing

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Summary: On February 16, the Chinese government enacted a series of purchase limit policies driven at capping the formerly soaring home prices. However, it seems that this policy has turned out to be more harmful than beneficial for the Chinese real estate sector, as home sales in almost all areas are being drastically reduced. In the first quarter of this year, more than 20,700 homes have changed hands, which represents a decrease of nearly 40% from this time last year. According to Beijing Home-Like House, only 5,500 new homes, or 25% of the new home purchases in the first quarter, were traded from mid-February to the end of March. Lin Lei, who is in charge of marketing with 21 Century Real Estate, said that home prices in China have not really changed since the government enacted purchase limit policies. However, he says, if the government were to really crack down on the housing market, prices could plummet. These new purchase limits prohibit new home purchases by Beijing families who own two or more apartments and non-Beijing families who own at least one apartment. The previously soaring home prices had the people of major cities in uprage. This is considered to be the most ambitious housing price control in any of the 40 major cities in China. Industry leaders say that Beijing is the first city that has actually caused a strict price decline.

Significance:

The way the government manipulates the housing market in China is very reminiscent of the manner in which the government takes on all facets of politics, economics, and business. The idea of a very "strong government" is very pronounced here because of China's ability to do whatever it wants with the housing prices. No real outside force or economic mogul can have much say in what the government does. The article also mentions the idea of how people have been speaking out against the soaring home prices. I thought this was an interesting display of political culture because it is odd that in a country of such totalitarianism like China, most forms of protest are outlawed. However, as we mentioned in class, protest that does not directly hurt the government is pretty much dealt with. Also, the mediums through which protests take place are important because the government will only allow protests through safe and secure methods.

Overpopulation in China curbed! Or is it?

We all love baby pandas. They're just so cute. But at a rate of 5.8 children per woman (total fertility rate) in the 70's, overpopulation seemed to be one of China's most imminent threats. But in this article by the Xinhua news network, China's population control policies are said to have curbed the growth rate significantly. The TFR is down to a stable 1.8 children per woman, the replacement levels have been (marginally) established. Had the growth rate in the 70's continued, said a Chinese minister, the Chinese population would have been an overwhelming 1.7 billion, as opposed to the not quite miniscule 1.3 billion. this is, however, a difference of 400 million people, nothing to sneeze at. (Sneeze at this instead.)

China would be a very different place with 400 million more mouths to feed and people to house. As if China's current growth weren't unsustainable enough, with nearly an extra 33% more Chinese growth itself may have been unsustainable. For these reasons, the Chinese government instituted stringent family planning laws that have since (as the article states) more than halved the birthrate. However, some of these rules are now being repealed or relaxed (most famously the one child policy), so it will be interesting to see how thing pan out in this sense. In my opinion, if China wishes to sustain its economic growth, it will have to continue watching its population growth very cautiously. Compared to Britain and Russia, it has a massive population, and due to Russia's high mortality rate, may have a higher population than both combined. One can even throw Iran in the numbers for good measure. That said, it also has far more massive raw and secondary goods sector, but like Britain, it is expanding into tertiary and quaternary economic activities. The former two favor a high population, while the latter two do not. Depending on the direction the incoming Chinese generational leaders decide to go, China's economic and population related futures may hang in the balance. Until then, I will leave you pandas with the cuter side of overpopulation:

China becoming Pakistan's primary arms supplier

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Summary:

Pakistan is increasingly turning to China to supply it with arms. Historically supplied by the United States, Pakistan's increasing instability has cooled relations and the US has been backing down from supplying arms. China, who is percieved as having less strings attached, has been perfectingly willing to supply the Pakistan's armed forces. Pakistan's unease with India's increasing power has led to a renewed program of modernization and expansion. A recently signed deal will supply Pakistan with 250 JF-17 Thunder fighter jets (pictured) and 6 submarines, and construction just began on 2 fast attack missile ships for the Pakistani Navy. Pakistan and China have experienced smooth relations with the Chinese forgiving loans and giving low interest rates. Despite this, China still remains cold do to a cultural emphasis on building trust with business partners and Pakistan is at risk of becoming overly dependent on the Chinese for their weapons. Regardless, the shift signals the increasing preminance of China as an arms supplier.

Significance:

Pakistan's turning to China to supply it's military needs shows China's new position as a much less stringent weapon supplier. It sets up the possibility of dependent nations being far more supportive of China and could give them more confidence to go against US wishes and could potenially lead to proxy wars with US and China supplying opposing sides. The shift of Pakistan to China might be the beginning of a new, low-level arms race, with both countries competing for the hearts and, more importantly, the check books of the worlds smaller nations.

Tibet's Achievements Celebrated

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Summary: In 1959 over 1 million serfs in Tibet were emancipated and March 28 marks the 60th anniversary of the peaceful liberation of Tibet. It is also the third official Serfs Emancipation Day. Since its liberation, Tibet has seen life expectancy nearly double from 35.5 to 67 years. Tibet's GDP has also increased to $7.8 billion, which has been increasing by 12.4% each year since 2005. Because Tibet was one of the first places in China to provide free compulsory education, it has almost eliminated illeteracy. Although Tibet has been allowed to remain largely autonomous, its chairman, Padma Choling, says that "all the achievements should be attributed to the socialist system and the leadership of the Communist Party". He goes on to say that the democratic reform that took place 52 years ago is what allows Tibetans today to enjoy legal rights and interests.

Significance: Not mentioned in this article is that the Dalai Lama recently gave up his political role, which allows Tibet to have truly free elections. This experiment in democracy that China has been allowing for some time now is a great step in breaking the chains of Communism. People like to forget that America experimented with democracy on a smaller scale for a long time before it finally broke off from any ties of monarchy and Tibet will allow China to do much the same. China is also showing more leniency in village elections, which is how our democracy started out. And now these figures showing that a democratic portion of China is doing so well for itself is a beacon of hope for democracy. As long as the experiment that began 50 years ago can continue (and hopefully spread), then China is well on its way to becoming the biggest democracy in the world. And the fact that they're not trying to accomplish this overnight as so many other countries have done is a great sign that they may succeed. Of course, if Tibet loses the increasing prosperity that it's been experiencing since gaining autonomous rule, then Communism may clamp down even harder in China.

Unexpected Trade Gap in China

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Summary:

Two weeks ago, China reported a $7.3 billion trade deficit in February as imports rose sharply and exports declined slowly. Chinese officials, looking for a way to surmise what happened, said that much of the impact came from the Chinese New Year, which significantly reduces the export market for China annually. This was the first monthly trade deficit in China since March of 2010. Last month, imports totaled $104 billion, which was a whopping 19% higher than average. Chinese officials have reported that they are trying to improve this issue by promoting more domestic consumption, which is currently growing at a 20% year-over-year rate. Unfortunately for China, the New Year there accounted for a widespread work shortage. The fact that China traditionally exports far more than it imports has been a sore point in Washington, D.C. as the U.S. does just the opposite. As the U.S. tries to double its exports by 2015, experts strongly agree that China should allow its currency to appreciate. Americans also claim that China continues to undervalue its currency, allowing for more overseas trade.

Significance:

This article strongly pertains to what we talked about in terms of the international economy and how China purposely manipulates it. As the article states, China has allegedly tried to undervalue its currency so that it can be more attractive to foreign markets. This also ties into the fact that China is far less concerned about human rights issues and the like, which is why the U.S. is not pleased with the way they do business around the globe. They often overlook genocides and other harmful government acts and only look at prices. This article is also pertinent to our classroom discussions because of China's connection between the economy and the state. I was surprised that, since China's government is so concerned about the economic well-being of the country, it would still allow for export levels to drop. The government is extremely focused on maintaining a slow but steady growth rate, but it was able to overlook its economic goals for such a special occasion as the Chinese New Year.

China to send trade delegations US and EU

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Summary:

Over the course of the next year, China will be sending out four trade delegations, two to the United States and two various members of the EU. The focus of the delegations is increasing imports from these countries inorder to help bring down their trade surpluses with these nations. It is part of a larger effort by the Chinese government to increase imports and stabilize exports to obtain a more balanced economy. A particular focus of the efforts is to obtain high-tech, energy-saving, and environmentally friendly products. China is already planning to order a slew of these products from Japan at the upcoming China-Japan Green Economy Forum. Also, as part of the efforts, China is planning to reduce import tariffs to increase trade. Smaller delegations are also planned to be sent to other nations. Although economist wonder what real the world impact will be, the efforts do represent a new direction for the Chinese.

Significance:

The efforts show a concerted effort by China to prevent it's economy from overheating. Their awareness that an economy based so heavily on exports isn't such a could thing show progress from China. It will interesting to see if their efforts bear fruit. Also, their efforts to obtain green technology shows a novel concern about the environment, or at very least, a new effort to look good to the international community. Regardless of the intentions, the work China is putting towards a more balanced economy is going to be an interesting development for the future.

China to make life better for migrant workers

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Summary:

China has recently been realizing more and more that they have to consider the welfare of migrant workers. In response to welfare problems and illegal seizure of rural land, Chinese premier Wen had this to say: "We need to fully respect the right of farmers to independently choose whether to seek jobs in cities or stay in their home villages, and genuinely protect their legitimate rights and interests concerning land they contract to work and the land on which their homes sit." The Chinese realize that in order for rapid urbanization to continue, they must make urbanization and argiculture "mutually reinforcing". There are around 170 million migrant workers in China. To combat such a large number of people who require better housing, China plans to create more small to medium cities so that overcrowding in cities like Beijing lessens. Another problem discussed was the previously mentioned loss of rural land. By law, agricultural land is not allowed to be used for commercial purposes but despite this industrial hubs are still popping up all over the place. The land was specifically set aside for agriculture to ensure that the country always has enough food but that law is being increasingly undermined.

Significance:

This is yet another example of how China is diverging from the traditional Communist model. The Soviet Union was too concerned with catching up with the rest of the world as fast as possible in terms of industrialization and so they completely disregarded welfare. China however, has learned from the Soviet mistake and is looking to not only catch up industrially but in the standard of living as well. The reason for this being that they realize the two are intertwined. If China can keep the migrant workers happy, they can keep not only the permanent residents happy but also the rural families that depend on the migrants. The creation of small cities would most likely be great for the overcrowding in China but it would also require more agricultural land to be converted into construction land which could lead to a famine. If the Chinese can handle this welfare issue correctly, their economy may continue to boom at an even faster rate than predicted.

Military Budget Rise "Not a Threat"

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Summary:

On Friday of last week, government officials in China came together and proposed a plan to increase military spending to about the equivalent of $91.3 billion in 2011. Chinese government officials insist, however, that the additional expenditures are solely for national defense and are not meant to pose a threat on any major world power or other country. Li Zhaoxing, the spokesman for the annual parliamentary session, assured that the country wants to "forge peaceful, stable, equal and mutually-trusting relations with its neighbors." Much of the extra defense money will be used for improving armaments, military training, and human resource development. As China has always proclaimed to have done, government officials plan to keep economic development their primary priority while leaving the military on the back burners. According to government officials, "China attaches great importance to friendly relations with neighbors. Seeking peace, cooperation, and development is a shared view of all Asian people." Even with a population of around 1.3 billion, China's military spending averages are well below international averages. China continues to maintain a ratio of military spending to GDP of around 2%. In comparison to the United States, Chinese military spending is dwarfed. The U.S. spends around $725 billion annually, while China spends less than $90 billion on its military.

Significance:

China's continuing desire to produce and create a world-class economy is present here. While the U.S. and many other nations spend large amounts of money on their respective armed forces in comparison to their economies, China focuses more on its economy. With over a billion people to feed, China cannot afford to spend huge amounts of money on its military. The idea of a "Rule by the Technocrats," is also manifest here. These government leaders, often engineers, have a tendency to "make things work." By looking past the need for a powerful military, these leaders think the country will prosper. Every figure and every proposal is carefully and meticulously looked through in order to maximize government power and benefits. The idea of a strong central government is also present here because the government itself is the driving force behind economic growth and stimulation. With very little private property and many government-owned industries, the government can effectively control what happens in the economic sector.

Poor Children in China face malnutrition

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Summary:

Poor children in China's western provinces are frequently facing malnutrition. Their meals are provided free of charge by the government, but they mainly consist of soybeans and rice. A recent survey of children in three autonomous regions and one province, revealed that 12% of children 10 to 13 are stunted and 9% are underweight. A particular survey of a western boarding school found that 72% reported feeling hunger during lectures and a further 33% said they felt hungry nearly everyday. The nutrition is so bad that several of the children pass out during morning exercises. Of particular concern is the fact that the children are not getting nearly enough microelements. Iron, which is vital for memory development, was found to be extremely low in the children. The Chinese government has been significantly increasing funds to try and provide for the students, but the money is managed by the school leadership, rather than being directly handle by the government. So far little progress has been made.

Significance:

The child malnutrition present in the western provinces highlights the clear rift existing between the wealthly coast and economically backward interior. China's failure so far to handle the problem shows that the government either is uneffective or more probably aloof about the problem. The governments unwillingness to actively intervene seems to suggest that the rich coast is more important to Beijing. Even if this is not the case, people in the interior might see it that and that could lead to malcontent with the government. Regardless, the problem represents a significant issue among China's interior populace.

Wen Throws Support Behind Efforts to Help Child Beggars

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Summary:

Premier Wen of China said on Sunday morning that he would personally take a stand on the omnipresent issue of child beggars in Chinese cities. These children, often vulnerable to abuse and exploitation, are forced onto the streets for a variety of reasons, namely family issues and poverty. Wen said, however, that "none of these children should be without care." The sudden impetus for a call to action came, surprisingly, from the recently ongoing micro blog campaign that calls on concerned Chinese to post pictures of children begging on the streets in hope that the police will respond accordingly. According to Yu Jianrong, the initiator of the online campaign against child beggars, "It is a good thing that the country's top leader has pointed out that helping child beggars cannot be achieved without public participation." The All-China Women's Federation, a group of government officials that promotes the rights of women and children, issued a statement of disapproval toward the child beggars, saying that anybody that exploits these children should be dealt with accordingly. Since its inception in January, the micro blog campaign has gained considerable footholds with charities, celebrities, and other social institutions. It continues to grow and expand its influence.

Significance:

This article pertains to Systems Theory in terms of feedback and inputs. Inputs are defined as the ways that people participate in government. Many Chinese people are voicing their opinions on the volatile topic of child begging by way of the Internet. This can also be seen as feedback in the sense that the Chinese people are demonstrating what they feel is right. Output is not relevant here quite yet because no real public policy changes have yet been made. Although the premier issued his beliefs and opinions on the subject, no real pieces of legislation have been instituted. This issue also brings up the idea of the gap between the rich and the poor in China. Many entrepreneurs and government insiders possess considerable wealth, while many people are so poor that they are forced to send their children to the streets to beg for pocket change. This disparity is manifest in Communist dogma, although this style of government is meant to "provide for all."

Pandas Fighting International Pressure to Change Currency Value

In this article by the Wall Street Journal, analysts predict that despite China's holding out and persistence of maintaining their currency at its current value, international pressures may force Beijing to force its hand. The yuan has been kept intentionally undervalued by Chinese economic policy makers as a method of causing Chinese goods to cost less in foreign markets, thereby undercutting any competition. But what change could a potential currency change have on China domestically? It would most likely interfere with China's internal efforts to modernize its economy. Proposals to revamp the country's financial system and boost domestic consumption, while necessary, create some level of uncertainty. Any rise in unemployment or the drop in the country's overall economy, if combined with actions letting the yuan appreciate, could put Chinese officials in a difficult position.

This issue certainly has international implications, but as the final statements in the article summary establish, it has serious internal ramifications as well. China's burgeoning growth is already considered dangerous and even borderline unsustainable, and any drop in production or employment could prove disastrous for not only the Chinese economy but Chinese politics. As a generational hand-off is about to occur (approximately in 2012), should the change occur in a time of domestic economic catastrophe, the results of a new government are utterly unpredictable. However, what I believe will happen is that the China Model will disintegrate and Systems Theory will take its place, in that a younger generation opposed to the old system of party rule will emerge and establish responses to the inevitable cries for help of the Chinese poor and middle classes.

If an economic crisis emerges, we may see Panda hobos such as these:

13 crimes removed from death penalty list

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Summary:

The Criminal Law that took effect in 1979 has just received its eigth amendment. 13 economy-related crimes have been removed from the law, in an effor to better protect human rights and to appear in a better light to the rest of the world. Crimes that formerly warranted the death penalty included tax fraud and "fraudulent activities involving financial bills" along with the smuggling of cultural relics and/or rare animals. This ammendment is meant to "temper justice with mercy", according to Lang Sheng, the vice-chairman of the Legislative Affairs Commission. This ammendment was three years in the making because a 2007 Supreme Court decision in China gave the court the ability to approve all not approve all capital punishment cases. Since that decision, 10% of death sentences have been revoked. During the same seesion that yielded the criminal law ammendment, also came laws aimed at energy conservation and the environment. These laws include the Vehicles and Vessels Taxation Law and a Law on Intangible Cultural Heritage Protection. The first will tax 199 million vehicles in China based on their engine output.

Significance:

This is a major step in the right direction, for more reasons than one. The most obvious being that the death penalty is in many cases a remnant of a less developed and even feudal past. There's no place in the modern world for killing someone as punishment for things like tax fraud and it's good that China has realized that. There are still 55 crimes punishable by death that number will most likely continue to dwindle. This ammendment is a great example of international factors influencing policymaking. China knows the eyes of the world are on it and so they're striving to make themselves more appealing, despite being a Communist country. They know they have the potential to be the envy of the world, like the United States now considers itself to be, and they're clearly trying to capitalize on that as soon as possible. The reason for them making the new vehicle tax law may not be for the previously stated reason but the US would be wise to consider something along the same lines.

Panda Impersonators Spotted...Remain Vigilant, Pandas!

How serious is China about protecting endangered species within there borders? It turns out that they will stop at nothing to protect pandas. Pandas are finally being reintroduced into the wild, and as you can see, the Chinese aren't messing around. In order to decrease their dependence on humans, a result of life in captivity, if assistance is needed, the keepers will don panda costumes rather than risk letting the animals get used to contact with human beings. The brave panda at the heart of this reintroduction? Cao Gen is 10 months old, and for pandas, the best time to learn to live in the wild is between the ages of six months and 18 months, according to 82-year-old panda scholar Hu Jinchu. But are they REALLY dedicated to helping these pandas survive? I would have to say so just for this reason: because the chief predators of pandas in Wolong are leopards, Hu advised keepers there to dress and roar like leopards. Doing so, he said, will help Cao Gen prepare for life in the wild.

 How does this affect China as a country? Well for one, it shows a basis for ecological responsibility, and shows that China is indeed taking steps to save its environment, which is one that has been constantly and continuously degraded by massive economic output. Additionally, it serves as a form of economic investment: the Chinese Vice Premier has been pushing for an expansion of tourism as a major industry in China, and Cao Gen may be the catalyst for waves of tourists considering China as their holiday destination. This shows China's political development in other sectors other than production, and with any luck, preservation of Chinese heritage and ecological responsibility will take the forefront of any future policy in China. Seeing as how Chinese officials have (albeit discreetly) hoped to slow the growth of the juggernaut that is the Chinese economy, turning their focus inwards and boosting national pride and identity will help lead to a stronger internal state able to sustain growth. But remember. Be very careful if you see a funny looking panda. It just might be a human in disguise, waiting to snatch you away from your comfortable zoo life and put you in the wild so you can be snarled at by man-leopards. You have been warned!

Fishy trick: Magic with goldfish stokes anger

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Summary:

Hundreds of millions of Chinese watched this trick being performed on the eve of the new year festival and for many it immediately rang warning bells. Animal activists recall a similar trick that the Japanese did where the fish were fed magnets so that they could be controlled and now activists are worried the same thing is going on here. Those activists go on to say that "it is very dangerous for a country if it advocates abusing animals to entertain its people." They go so far to request that the trick not be performed again but the trick will indeed have an encore on Thursday, where the magician will reveal his secrets due to pressure. The magician of course claims that the goldfish are living happily but people still want experts to exaime the fish.

Significance:

Considering all the animal trafficking that goes on in China, you would think that something regarding goldfish would barely be an issue, if at all. I find it odd that they're willing to hunt animals to extinction but training goldfish to do tricks is apparently crossing the line. Releasing this news story is a great way to make it seem like they're putting their foot down when in reality they're doing nothing. The sheer fact that the magician is willing to reveal his secret should be enough evidence that there's no foul play. There's so many bigger environmental issues to deal with in China and this being the one that makes headlines shows one of two things, either they're ignorant (which I don't believe to be the case), or they've simply become numb to the declining situation concerning animals. But at the end of the day if everyone feels good about themselves then I guess that's all that matters. In the grand scheme of things I see this as something to get people's minds off of the plethora of issues plaguing China. However, I can't completely dismiss this story since it's not without precedent but if the trick does turn out to be legit then a lot of people will feel silly for having ruined the magic. Also, this is clearly a blow to democracy because I think it won't be long before we start seeing goldfish warfare, at which point we'll have to bow down to our new Chinese overlords. But in all seriousness, this shows that the Chinese people can in fact and do care for the environment.

Chinese Police crackdown on "protests"

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Summary:

After calls on the internet for a Chinese 'jasmine revolution', police occupied the various intended protest sites and arrested a small number people and dispersed a small crowd, which actually appeared to curious onlookers, watching the large gathering of police and journalist, rather than political protesters. The men who were arrested shouted they were just bystanders while being dragged away by the police. None were seen shouting political slogans or doing anything to suggest they were anything other than average citizens. In response to the protest calls, the government blocked the word 'jasmine' from search engines. Hu Jintao took the opportunity to call for increased internet controls in order to "solve prominent problems which might harm the harmony and stability of the society".

Significance:

The incident, though small, makes an interesting point; even if the people aren't likely to do anything, the government is preparing for the worst. It reveals a great uneasiness among the Chinese government that the people might attempt to replicate the Middle Eastern protests. The Chinese government has since Tianmen square been fervently trying to avoid the rise of an organized opposition and are continually increasing controls and censorship. It remains to be seen if this ever more oppressive controls will actually give steam to opposition movements. For now at least the, Chinese government remains weary of any attempts to organize resistance.

Hospital Bed Crisis for Chinese

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Summary:



Chinese hospital shortages have reached critical heights in recent years, and citizens there are beginning to feel the adverse affects of this phenomenon. The reputed Beijing Children's Hospital, which is designed to treat 4,000 patients at one time, is starting to see such staggering numbers as 7,000 new patients daily. Similarly, the Capital Institute for Pediatrics is seeing more than a 10% increase in the number of patients it sees annually, creating a total of about 1.7 million patients in 2010, as compared to 800,000 in the previous year. The overcrowded hospitals are becoming great challenges for hospital staff members. Forty guards must work night and day to make sure that the swarms of people do not start acting violently, and nurses administer more than 2.5 times the amount of IV's than is called for on average. Doctors are beginning to feel the adverse affects, as they must see at least 100 patients per day, which is taking its toll on the most integral part of the medical system. Furthermore, pediatric hospitals and care are beginning to wane because they provide a very small percentage of a hospital's revenue, and get caught up in more moral and ethical issues than other hospital branches. The Chinese continue to battle the poor health care system, and hope they don't need to feel its effects.



Significance:



This article ties in strongly with the idea of a Communist, and very "strong," type of government. Hospitals quite simply cannot take care of all the people that need medical attention, and focus only on profit margins rather than the care of the needy. Since most hospitals in China are state-run, they feel no urge to be competitive due to a severe lack of alternative facilities or treatment. This also speaks to how large the disparity between the urban population and the rural population in terms of wealth, technology, and medical care, is. This is a major cleavage, and it is obviously evident in the access to medical treatment in China because the article mentions how rural families must travel all the way to the cities in order to get decent medical care. One more idea that is tied into this article is urbanization. In China, obviously, most services and economic facets are located centrally, and are not accessible to the rural population.

Stay Thirsty, my Pandas

In a recent article by the China News Agency, reports of a massive drought across China are being dealt with by the proactively by the government. As of 3 p.m. Thursday, the drought had affected 101.28 million mu (6.75 million hectares) of crops, of which, about 15.06 million mu were severely affected. The drought also left 2.81 million people and 2.57 million livestock short of drinking water.The government has responded by sending out response teams and additionally by raising grain prices to aid farmers who find themselves with a fallow harvest.


This shows government response to crises as this issue is truly a desperate situation for millions of Pandas. Without adequate drinking water, some may die of thirst, and though bamboo is still thriving (thank the Chairman!) wheat crops are suffering heavy losses. In response to this, the government has taken action in accordance with inputs (people needing aid), and have produced outputs (response teams and economic measures). Whether these actions will be enough to stabilize this crisis remains unknown as of now, but it poses an interesting question: how does the response of a country who has complete control over many sectors of production differ from that of a country with a larger private sector? After the distaster with FEMA during America's struggle with hurricane Katrina, surely the Chinese have taken into account the power of a more reliable government based solution. We pandas can only hope that this response will be enough to help save the year's crops.

China's development benefits Southeast Asia

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Summary:

Experts want Southeast Asian countries to consider the benefits that peaceful Chinese development brings to the region. Concerns exist from ASEAN countries (Association of Southeast Asian Nations) that China can put many local businesses at a disadvantage. But experts argue that competition will do more to complement the existing business as opposed to putting them out of business. The China-ASEAN Free Trade Area Investment Agreement came into effect on Jan 1, 2010 and as a result many Chinese businesses have built plants in ASEAN countries. That's right, China is outsourcing! But that will create many jobs and in turn more tax revenue for the governments, with which they can use to improve infrastructure. The real concern comes from the fear that "a stronger China could push the United States out of regional affairs." As a sign of good faith, and to quell fears, experts suggest that China could help with things like disaster relief and epidemics that occur in Southeast Asia. A more unlikely suggestion is that China also increases military exchanges with Southeast Asian countries.

Significance:

This new development is a great step in opening up all of East Asia, not just China, with the rest of the world. If all goes according to plan, China and the ASEAN countries will see a new trend of globalization that will make them a lot more powerful economically on the global scale, not to mention the local level. But this will also mean that international factors will have more influence in the region which has equal potential for harm as it does good. In its current state though, China only stands to gain from this free trade agreement and the only way that it could be hurt by it is if the countries China invests in collapse due to China investing in them. The potential for irony is killing me. But again, the intended purpose of the free trade agreement has the ability to decrease regionalism in Southeast Asia, or maybe do away with it altogether in the more distant future.

As China's economy grows, concerns are raised about whether it can be sustained

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Summary:
As China prepares to rocket past Japan to become the world's second largest economy, concerns abound in growing economic powerhouse that the growth might not sustainable in the long term and that some people are more equal than the vast majority. Real estate prices are climbing at an incredible rate, with average apartment cost in the industrial city of Wuhan being 29 times the average salary. Wuhan, which is considered to be a fairly average city in China, has a booming economy, with local officials setting a goal for 12% annual growth during the next Five-Year Plan. The massive growth hasn't been without problems though. A grey haze caused by pollution hangs over the city and it is so thick one can't see the other the side when standing at the edge of the Yangtse River, which cuts through the city. Economists voice concerns that the growth maybe unsustainable and could potenially lead to economic collapse. They point out that local officials are more concerned with earning promotion and high growth rates look good. This prompts officials to pursue short term wins by buying up land and building infrastructure, but building up substantial debt in the process. And the officials don't have to worry about long-term consequences because they will likely not be around when the system comes crumbling down. Moreover, the lower rungs of society seem to be left behind as they struggle to support themselves among the rising costs of living. If the bottom falls out of the market, there is going to be a lot of very unhappy people in city of Wuhan and all over China.

Significance:
Wuhan's growth and the concerns voiced by economist represent a common concern throughout China. Despite the rapid fire growth, many in China and around the world wonder aloud whether the exponetial growth can be maintained into the long term. A stagnation of the economy in China would be disastrous and could potenially lead to regionalism and foreign interference, a situation all to familiar to anyone well versed in Chinese history. Time will only tell if China can maintain its unprecedent growth or face the consequences of a economic slowdown.

Chinese Premier Stresses Social Progress

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Summary:

In a recent meeting in Xinhua, the Chinese Premier Wen Jiabao underscored the relative importance of math, science, education, culture, health, and sports fields in China. According to Premier Wen, "a country's prosperity not only lies in its economic development, but also its social progress." This meeting of the State Council, or Cabinet, was held on January 25, and was meant to report the country's economic and social development blueprint for the next Five Year Plan. According the the Premier, sports and culture have a great bearing on the welfare of the country and its future. Representatives from fields in math, science, and entertainment were invited to give suggestions at the meeting. Participants at the plenary meeting agreed that social development "had taken up an increasing proportion of the government work report in the past few years." In terms of education, much discussion was made about rural education and technological reform in such areas. Public cultural services and medical care options were introduced in regards to the rural areas of China as well.

Significance:

This article represents an interesting idea and notion that China is perhaps starting to become more modern, at least in terms of entertainment and social outlets such as sports. Although the Premier stressed math and science, he also talked about rural reform and innovation. This seems to be a major cleavage in Chinese society, as there are many differences between the urban Chinese and the rural farmers and villagers. Another such cleavage is represented in the cultural makeup of the people in rural areas; many are not of the traditional Han Chinese descent. What I found interesting, however, is that the government seems to be trying to bring the rural areas in closer to the big cities by means of providing them with reform and change. This seems like the opposite of devolution, and it certainly shows the strong unitary state which is China.

Pandas, please get your Nile Fever immunizations!

In a recent article on the World Socialist Web Site fears have been growing that the situation in Egypt is eerily similar to that of China in a certain Tienanmen Square in 1989. Though there is very little chance of open revolution in China, the author puts forth many parallels between the two situations, including media control, oppressive regimes, and a large economic gap (and neither country having an all panda government). The fear is that this event in Egypt will eventually spark a larger scale revolt in the PRC.


This affects domestic issues as a whole, as corruption in government, public discontent, media controls, and even the income gap are all addressed. It also works with Systems Theory, though with an international perspective: included in the input category is now foreign affairs. The stakes however, are different. If the government does not produce an appealing output, then we pandas may get the so called "Nile Fever", and revolt. And trust me. You don't want a panda revolt. They're...revolting. However, it would seem that the threat of a Chinese anti-governmental revolution may be in the minds of many, but very few will dare to stand against the government without any direct form of provocation.
 

Guizhou Governor pledges to increase development in the backward province

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Summary:

New governor of the Guizhou province, Zhao Kezhi, promises to improve the economy of the landlocked province. Zhao was transferred to Guizhou from the wealthy coastal Jiangsu province last year as part the development of the 12th Five-Year Plan. Despite the provinces 12 percent GDP growth over the last five years, the province remains one of the least developed in China, it ranks last in per capita GDP, and lags behind the rest of the country in terms of industrialization. Zhao says he plans to significantly expand the provinces infrastructure by adding 3,200 miles of railroad and 3,000 miles of highways, bringing the two transportation networks up to 5,000 and 4,500 miles, respectively. The governor also plans to take advantage of the provinces ample resources to speed up development. Zhao self stated goal, "The words 'poor' and 'slow-paced' should not be associated with Guizhou when we mention the province. We want to fix our image."

Significance:

Zhao's mandate to improve the poor province illustrates the inequality present in China between the industrialized coast and the agricultural interior, a rising point of contention in a nation still supposedly tied to the ideas wealth equality and redistribution. His success or failure in improving the lagging province could set a precedence among the Western provinces and their approach to economic development. It will also provide an example of the results a more proactive bureaucracy can have on the nation's economic development. Lastly, his efforts could alter the relationship between the coast and interior and how they interact with each other. All-in-all, the results of Zhao's transfere to Guizhou could be an interesting development in the rising economic powerhouse.

Guangdong business owners worried about succession

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Summary:

The owners of many private businesses are getting close to retirement and there is no one to fill their shoes. Their children don't necessarily want to be part of the business world and so they stray from it. In fact, 40.2% of private company owners in Guangdong sent their children abroad for school. By comparison, only 12.6% of private companies in Guangdong have been taken over by the owner's children. Additional statistics say that 51% of private business owners are afraid their children don't want to carry on the family business and 62% fear their children wouldn't be able to carry it on even if they tried. More than 800,000 private businesses exist but these were largely started in the 1970s and early 1980s so many of these people are now nearing retirement. The new generation doesn't want to have to handle the stress of business circles and this may stem from the fact that many in the new generation have attended college abroad. This schooling began even early for some, as far back as elementary school. There is a sliver of hope though as 13.4% the new generation born under the first generation of private business owners have started their own companies.

Significance:

This is a blow to privatization but it may also be good because the newer generation is bringing western ideas over. The west largely embraces capitalism so children that received their education in foreign lands will likely bring these ideals over to China. This also contributes to globalization a great deal as the new generation will have knowledge of the world far beyond what communist China allows in its schools. In the future this can only lead to becoming more connected with the rest of the world. So although some older businesses may go out of business, this does not mean that the idea of capitalism will end in China. What's more is that we can't expect China to become fully capitalist overnight, and if they did their economy would likely collapse because people would start demanding higher wages. These things need to happen gradually and the opening up policy that was started in the 1970s, combined with this new development, is clear cut evidence of that. Just the fact that there's any private businesses in a communist country is cause for celebration. Britain has one of the freest political systems in the world as a result of gradualism and now China must strive to the become the strongest economy in the world by means of the same process.

Chinese Manufacturing Slows In January 2011

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Summary:

In an effort to lower prices in the manufacturing sector over the last year, Chinese government officials inadvertently decreased the expansion of the manufacturing sector and began to slow down its forward progress. This article cites the Purchasing Managers Index, or PMI, to show how the manufacturing sector is slowing. In December, the PMI had dropped a dramatic 1.3% to remain shortly at 53.9. Now, it is barely hovering above the 52.9 mark, which is fairly low for a country such as China. Production, exports, and unemployment all dropped by 2%, but the prices of raw materials continued to be on the rise. According to a research analyst in China, these statistics are a good indication that the economy is slowing remarkably. In addition, China's Consumer Price Index, which measures inflation, rose by 3.3% in the year of 2010. The federal government's intended target was around 3%. Mounting inflation pressure forced the People's Bank of China to adopt more tightening measures. The central government showed its strong arm in this issue by imposing tougher measures in cities where home prices are skyrocketing by increasing the minimum down payment requirement for the purchase of a second home. The Chinese see the positives in this situation, as they note that the current 10.3% economic growth is too high, and they want to avoid a boom and bust cycle at all costs.

Significance:

This article was very interesting in that the Chinese government is trying to eschew a rapid economic growth in favor of a slower, and more gradualistic increase in production, exports, and profits. The idea of a "strong state" is very much a part of this article and situation. The Chinese government is not afraid of stepping into the housing market or manufacturing sector to fix what it sees as problems. This also ties into the idea of a unitary state because the national government, not local or provincial governments, ultimately has the last say. Gradualism, this time in terms of economic growth rather than the formation of a democracy, is also very present in this article. The Chinese government does not want a boom and bust style of economy; instead, it wants a slowly growing, yet always prosperous and profitable economy. The government plays a big role in the development of this economy.

Happy New Year Pandas!

As we all know, Chinese New Year, aka THE New Year is fast approaching, and pandas everywhere must be ready. CNY is a very important event to Chinese nationals worldwide, and involves much celebration. As an economist noted in this article, such a worldwide week-long party is bound to have interesting economic effects. Sean Lee predicts that this celebration will actually have a negligibly negative effect on foreign trade, but have a huge rally on China's domestic markets.

This is a unique reversal for the exporting giant China has become: many have worried about the domestic markets within China and whether or not they have suffered from China's outwardly focused economic stance. However, around this time every year, China proves to the world that its economic markets are strong both internally and externally. China is an economic superpower (no doubt thanks to the panda, somehow) and will continue to rise as a power as long as it has power on the FX markets. Lee predicts, however, that for this week, the giant panda that is China will take a break from, well, being a giant economic panda. It will instead, party, like this panda below.

City finds life tough without migrant workers

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Summary

The annual Spring Festival in China also marks the annual exodus of migrant workers back to their homes. With an increasing number of migrant workers each year, this causes increasing strain on urban residents during the festival. Many of the migrants are paid minimum wage and so they have no reason to work overtime. There are however some that get paid a little more and they choose to stay during the holiday. Because their jobs are not only undesirable but also low paid, the migrants continue to live a double life and this causes a false sense of urbanization. Since the workers can't enjoy normal family life in the big cities, they are forced to lead a split life. Sadly, it is only during this time that permanent city residents realize how much migrant workers contribute to society.

Significance:

Leave it to a festival to cause a multitude of problems. A big one among these being that coal for heating homes has largely become unavailable. In the United States the governemnt has stepped in before to prevent that so that no one group could put a stranglehold on the country and I'm curious to see if China will feel the same need. So far the companies that are still working have responded with drastically raising prices in order to make up for being undermanned. It is only during these times that full time residents realize how much these "menial" workers contribute to civil society. The optimist would look at people flocking to the cities as great for urbanization. The problem there being that that's simply not true. Because of low wages, these workers can't afford to bring their families to the city and so urban society is not truly growing. And in the pockets where it is growing, it's not urbanization that is spreading but poverty. After all, if a migrant can barely pay his own housing, how is he expected to pay for his whole family if they are to come to the city?

In short, people are not coming to the cities for city life, they are coming to the cities so their families can continue to farm.

China Steps Up Water Conservancy Efforts (Common Policy Issues)

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Summary:

Chinese officials announced on January 25 that the government will begin to promote water conservancy, promote the sustainability of water, and reduce the average amount of water used annually on the national level. Floods, officials have pointed out, have recently shown the weaknesses of the water conservancy policies and related infrastructure in China. By 2020, new flood control and drought relief measures will be put in place to allow for better use of water. A strong drive to maintain amounts of water consumption and irrigation measures will be put in place, which should be advantageous for farmers and consumers alike. China proposes that it will double average annual spending on water conservancy over the next ten years, as spending in 2010 totaled around $15 billion. Following the typical Communistic theme, these new policies and "reforms" will be noted in the next Five Year Plan. Government loans will be issued for corporations interested in investing in the water sector.

Significance:

The notion that China, arguably the second most powerful nation in the world, does not have passable water conservancy or irrigation systems in place is quite interesting, if not odd. The idea of Communism manifests itself in this issue because there has been no reason for the government to intervene in this lack of water conservancy thus far. Without a strong private sector of the economy, there has been no need, driven by competition, for the government to implement any of these policies until the country was directly affected by environmental issues. Another idea that shows up in this article is infrastructure. It is apparent that China has not taken the opportunity or initiative to boost its infrastructure in this regard. There has been heavy government oversight in this entire project, which ties in with the ideas of Communism and unitary states.

Chinese Government struggles to eradicate dangerous growth drug from meat industry

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Summary:

Clenbuterol, commonly used in the West as a performance enhancing drug, has been cropping in the Chinese meat supply and particularly in pork, the meat of choice for most Chinese. The drug burns fat and promotes muscle growth and in pork it makes the meat pinker, allowing it to look fresher longer. The drug can cause stomach pains, diarrhea, and dangerous heart palpations, which on rare occasions have led to death. Lean meat powder, as it is known in China, is illegal and the laws impose harsh penalties on those caught using it, but the huge numbers of small, unlicensed pig farms throughout the country, as well rampant bribery, has made enforcement difficult. Chinese officials are working to impose more stringent laws and step up enforcement and the drug has been eliminated from the major cities, like Beijing and Shanghai, it is still quite prolific in smaller cities and rural areas.

Significance:

Clenbuterol is commonly consider the biggest food health problem in nation that has been plagued by contaminated baby formula, milk laced with industrial chemicals, and cancer-causing eggs. The drugs wide distribution says alot about the changes going on in China. An increasily health conscience people are demanding leaner pork, which has led to clenbuterol's heavy usage. The drug also illustrates the ongoing the conflict between the rural farmers and the urban-based government. The US once dealt with its own food health problems in the early 20th century and we are now seeing the same thing in China over one hundred years later. It just goes to show the challenges posed by the modern economy, and in particular agribusiness, developing in China. The outcome of this ongoing issue will set a precedence as to how China handles all quality control issues in the future.

Strides Forward for Panda Diplomacy

More on Panda Diplomacy

Panda Diplomacy may sound silly, but we all are aware of its enormous effects on global politics. Panda Diplomacy is a well known Chinese government program involving the sending of Pandas as good-will gifts to other countries. At one point, world leaders might once have felt slighted if they returned from China without at least one panda. Nowadays, the US has two Panda Ambassadors of its own, and this week, President Obama has been informed that these Ambassadors may stay in the Smithsonian National Zoo for five more years. They have even recently offered Pandas to Taiwan: a gestures suggesting possible cooperation between the two.



Though one may see this as an international issue, Panda diplomacy has in fact been a force for change within China as well. It has provided diplomatic ties that have been used by Chinese merchants to have more established markets, essentially guaranteed markets, for Chinese goods. This has aided the expansion of already burgeoning Chinese Economy, indirectly leading to a further expansion of the new Chinese middle class. Additionally, Panda Diplomacy is part of China's current effort to "reimage" itself. As the world globalizes, the need to not be seen as "the bad guy" to the West has become paramount, and has led China to attempt to become (or at least appear) more westernized. In this way, Panda Diplomacy epitomizes China's goals both economically and diplomatically.

Beijing farmers to become shareholders of firms

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Summary:
There are currently 2.73 million rural residents in Beijing and they are all set to become shareholders of the city's rural collective farming enterprises by 2013. This is done in an effort to end confusion from villagers and to stop the corruption of village chiefs. Currently, 1.81 million residents have already recieved shares in Beijing, making up about 62% of the city's collective rural economy. This is stated as being worth $45.5 billion. This plan is meant to increase the average farmer's income by 8% in the next 5 years, marking the start of the 12th five year plan. The annual income almost doubled in the last five years so this goal is more than doable.

Significance:

Here we see an economic change that most Americans would regard as contrary to democracy because it's greaty reducing privatization. But the goal of such an edeavor is to make millions of people more wealthy and so far it's working. We've discussed how the exact same form of democracy can't exist everywhere and I think wealthier citizens will naturally start to demand more liberties as more money yields better living conditions. So although many would see this new course of action as a bane to democratization, we must remember that there are many ways to define a democracy. This may not lead to the democracy portion of a liberal democracy right away, but it will most likely lead to the stepping stone that is more liberties. When that happens, the people will gain more power in the government as a reflex.

Stabilizing Food Prices and the Housing Market in China

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Summary:

In a time of economic advances and stimulants for the Chinese economy, Chinese Premier Wen Jiabao is stressing the necessity to stabilize food prices and the housing market in his native country. Wen met with his State Council and fellow Chinese politicians to discuss the possibility of helping farmers prepare for winter, spring ploughing, and aiding the farmers most affected by the long and harsh winter months. Wen also stressed the importance of maintaining a strong and balanced real estate sector of the economy. He urged authorities to "increase supply of residential buildings available at medium to low prices, curb property speculation, and enhance government supervision." Wen also focused on the need to balance out the supply and demand issues facing the transportation sector at present. Most of these changes are predicted to be implemented and placed in the next Five-Year plan.

Significance:

The Communistic style of government that we have continually mentioned in class plays a major role in the decisions that Premier Wen is making. With heavy governmental supervision over Chinese aspects of life such as agriculture, transportation, and the housing market, little competition can evolve in the private sectors. Also, this article displays the attributes of a unitary government. These governments are located centrally and hold power over all of the land, including separate provinces, states, and parishes. The government, in this case, even monitors and supervises when farmers begin to plough in each season. The article also mentions that the State Council will hear from several local representatives, but the ultimate decisions and policy changes will be made at the federal level.