Crankyfeet said:
What part of today's China is communist? The fact that it is run by the Communist Party. China has privatised most of its state-owned industries, has thriving stock markets in Shanghai and Hong Kong, and has some of the world's richest businesspeople within it. As you said, China has a history of global trade before the communist takeover, and over the last 20 years has been slowly edging back towards a full market economy.
The Communist Party runs every part of Chinese life, Crank.
Big business has flourished in China - but for anything to get done in China, you need to get documentation signed by the Party official.
Even simple things like getting a letter of credit from a bank in China requires the documentation to be stamped by the Party official.
The Party authorises who can trade within China, the regional Party officials have the power to allow/disallow commerical transactions.
Tim Clissolds book "Mr.China" is a good read - it tells the story of how commerce works under party rule in China.
Crankyfeet said:
Lim, do you think that you were meeting a normal Russian when you conversed with your Russian international business connections? In any case, the USSR may have done really well in educating their children in math and engineering.
The russians that I have met are either engineers/accountants or business managers?
Are they ordinary russians? I would suggest that they are, just like you and me.
Crankyfeet said:
Entrepreneurial spirit and a system where everyone gets the same piece of the pie irrespective of risk or effort are mutually exclusive. You can't have your cake and eat it. Where was this entrepreneurial spirit in the 50's, 60's and 70's? ........Downtrodden.
Um ....Centrally planned economy is the central thesis of communism....Move political policy away from that and you are not a communist country aymore.
There was no allowance for the entrepreneurism under communism in USSR.
But I never argued that the commercial system under communism worked.
What I did advocate was the scandinavian economic model.
For example, Norway discovered oil off her coast 25 years ago.
Norway, rightly, decided that this antinal resource should be benefit of it's people and not be allowed to be utilised by the private sector.
To this end, she created the state oil company, Statoil, and has developed the oil resources found of her coast.
All profits from those oil revenues go to Norway.
In addition because of the huge revenues, Norway has also created one of the largest pension funds in the world for all her citizens.
Those funds have been invested and have reaped further wealth which is distributed to all it's citizens also.
This for me illustrates how goverment should operate : looking after all citizens is the primary duty of goverment and the economic model of scandinavia ensures that this is so.
To a lesser extent, most western european countries hold that all citizens should have free health care, free education, good social welfare policy that pays benefits to those less fortunate.
To me, that represents an enlightened society and as a tax payer (41%), plus
social welfare tax (6.75%), I am more than happy to pay my taxes to this type of support this system.