CHINAPublic Policy

“Fang-shou”

How Fang-shou works

Four modernizationsDemocracy Wall movement

De-legalization of protest2nd Revolution

Student democracy protest Anti-bourgeois Liberalization

Tiananmen Democracy Demonstration Tiananmen “massacre”

Falon Gong demonstrations Outlaw of Falon Gong

Types of policy issues

• DEMOCRACY & HUMAN RIGHTS

• ECONOMY

• FOREIGN POLICY & INTERNATIONAL TRADE

DEMOCRACY & HUMAN RIGHTS

Democracy and Human Rights

• Following in Deng’s footsteps– Jiang Zemin, president 1993-2003– Hu Jintao, pres. since 2003

• Recent reforms– Some input from NPC– More emphasis on law and legal procedures– Semi-competitive village elections

Tiananmen Crisis

• Demonstration in honor of death of Hu Yaobang, liberal

• Turned into general protest all over China– Anti-corruption, pro-reform

• Deng sent PLA, who shot into crowd• Fatalities– 700 to several thousand?RESULTING PRESSURE WORLWIDE –

HUMAN RIGHTS

Rule of Law

• Law traditionally seen as bourgeoisie tool for suppression – NOT LEGITIMATE

• Instead, RULE of PARTY CCP• Development of criminal law since 1978– Very harsh punishments

• 1982 Constitution– Authority of law

Civil Rights & Liberties

• Much debated• Hu Yaobang reversed SARS coverup – more

transparency• Still arrests of dissidents, strong internet

regulations

ECONOMIC POLICY

From Mao to Deng

• Under Mao– Command economy based on DEMOCRATIC

CENTRALISM– The “iron rice bowl”– failed

• Since Deng– Socialist market economy– Infusion of capitalism with state control

Agricultural Policy

• People’s communes– Early policy– Collective farms people’s communes

(thousands of families)– Little improvement

• Household responsibility system– Replacement– Individual families responsible– After taxes and fees, can consume or sell

Private Business• As of 1988• Includes urban co-ops, service orgs, rural

industries– Still regulated– More profitable than state enterprises

• TVEs– Township & village enterprises– Rural factories, businesses, run by local gov’ts or

individuals– Backbone of rural development

Economic issues today

• Unemployment, inequality– Floating population of rural workers to cities

• Inefficiency of state enterprises, corruption• Pollution– Acid rain, largest producer of “greenhouse gasses”

• Product safety– Toxic materials in toys, bogus pet food, faulty

tires, unhealthy shellfish

FOREIGN POLICY & TRADE

Under Mao

• Providing support for third-world communist revolutions– Development aid (Korea, Vietnam)

• Change in relations with USSR– From assistance to rivalry– Great Leap Forward and Cultural Revolution

focused on the “Chinese way”

U.S./Chinese relations

• Under Mao, very weak and suspicious• 1972 Nixon’s visit• Deng’s Open Door Policy• Today, U.S. imports more products than it

exports ….. TRADE IMBALANCE– U.S. wants China to devalue its currency and stop

illegal trade

International Trade & Business

• SEZs – Special Economic Zones– Foreign investors given special tax rates in

certain regions of China (urban)

• Member of WTO, favored U.S. trade partner, in control of Hong Kong since 1997

• Reform under Deng– Still cautious (fang-shou)– Patron-client system (guanxi) with entrepreneurs

Hong Kong

• “one country, two systems”– Since 1997, handed over from British– Capitalist, existing laws & civil liberties and way

of life

• 2003 incident– Tung Chee-hwa sells gov’t-owned public housing

without permission– Results in demonstrations for more

representation, elected governor

Taiwan

• Chang Kai-shek’s refuge in communist revolution 1949– Until 1970s, recognized as representative for

China– 1979, PRC officially recognized

• Taiwan as part of China– Insists historical and political sovereignty over

Taiwan– Largest trade partner is still China

Current Policy Issues• One China Policy– Taiwan/independence, US arms sales

• One Child Policy– Until 2015, females neglected, aborted

• Energy conservation– 5 Yr. Plan, more investment, rejection by local gov’ts?

Nuclear energy? Alternative energy

• Lowering economic growth goals– Raise incomes, private businesses, decrease inflation

• Internet policy – 220 mil. bloggers