1. Public Policy in China
By Stella Bartholet
Pd. 3

2. Policymaking
Policymaking in China combines centralized political authority with marketization and privatization of the economy.
Many political scientists are expecting China to democratize

3. Policymaking Process
The blend of capitalism and socialism creates tension
Fang-shou is a cycle that has three types of actions/policies: 
economic reform 
democratic movements (letting go) 
tightening-up by the CCP.

4. Fang-Shou in Modern China
Economic Program
Democracy Movements
CCP Response
Four Modernizations
( )
Democracy Wall Movement
( )
De-legalization of Protest
( )
Second Revolution 
( )
Student Democracy Protest
( )
Anti-Bourgeois Liberalization 
( )
Tiananmen Democracy Demonstrations 
(1989)
Tiananmen "Massacre" arrest, attacks on political dissidents 
(1989-present)
Falon Gong Demonstrations
( )
Outlaw of Falun Gong: arrest/execution of leaders

5. Policy Issues Democracy and Human Rights Economic
Foreign Policy and International Trade

6. Issue #1: Democracy and Human Rights
Some democratic reforms can be seen:
Some input from the National People's Congress is accepted by the Politburo
More emphasis is placed on laws and legal procedures
Village elections are now semi-competitive, with choices of candidates and some freedom from the party's control

7. Tiananmen Crisis (1989)
Began as a grief demonstration for the death of Hu Yaobang
Protest grew, and turned into democratic protests criticizing corruption.
Deng sent the People's Liberation Army to stop the protests, killed hundreds of protesters

10. Rule of Law
Mao Zedong destroyed legal codes of dynastic China during the Cultural Revolution
Since 1978, codes have begun to revive.
Procuratorates, officials who investigate and prosecute official crimes, were recreated.

11. Civil Rights and Liberties
Many people thought Hu Jintao would promote more individual freedoms
has not showed many signs of changing the government's basic political policies toward individual rights.
created new laws regulating discussions on university Internet sites.

12. Issue #2: Economic Policy
: China followed a communist political economic model, a command economy 
Mao Zedong called this model the "iron rice bowl." It ensured health care, work and retirement security.
Deng Xiaoping formed a socialist market economy, which infused capitalism while still retaining state control.

13. Agricultural Policy
The people's communes: peasants were organized into collective farms of hundreds to thousands of families. Groups were considered weak and poorly managed. 
Household responsibility system- Individual families take full charge of the production and marketing of crops

14. New Category of Private Business
created by National People's Congress in 1988
included urban co-ops, service organizations and rural industries that operate as capitalist groups.
Private industry remains heavily regulated by the government, but the importance of China's state sector has diminished.
Township and village enterprises = fastest growing sector

15. Economic Problems
Unemployment and inequality: marketization has brought high unemployment rates, economic growth has created a large inequality gap, and a floating population of rural migrants seeking job opportunities in cities.
Inefficiency of the state sector- Almost three-fourths of industrial production is privately owned.
Pollution- Air and water pollution have become increasingly serious problems
Product safety- Tension between the central government and capitalism has given local officials a great deal of decision-making power, leading to exported poisonous products

16. Issue #3: Foreign Policy and International Trade
China resists pressures from other countries to improve human rights
continues to threaten to invade Taiwan
replacing Japan as the most powerful economy in Asia
Asia's central economy that affects all others
Chinese-Japanese relations are problematic

17. Foreign Policy Under Mao
Based foreign policy on supporting developing countries' revolutionary movements, ex. Korea and Vietnam
During the 1920s and 1950s, the USSR gave China money and economic and political advice.
USSR and China broke into a rivalry during the late 1950s.

18. U.S./Chinese Relations
No contacts until the early 1970s, since China was anti-capitalist and ruled by Mao before then.
Zhou Enlai opened the door to western contact.
Nixon's 1972 visit to China signaled a new era.
There are concerns about the imbalance in imports and exports between the U.S. and China.

19. International Trade and Business Today
The Chinese economy more open to the international market over past quarter century
 Special Economic Zones: in these regions foreign investors were given preferential tax rates and other incentives. 
Since 1978: rapidly growing GDP, entrepreneurship and trade with many nations.
Deng Xiaoping believed that the CCP should be firmly in command of the country, but did emphasis economic reform.

20. Hong Kong
In 1997, the British gave China control over Hong Kong, as long as the capitalist system, legal system and way of life remained.
Today, Hong Kong still has a high degree of autonomy.
In 2003, Tung Chee-hwa decided to sell government-owned public housing and business properties without consulting the legislature. A million protesters marched the streets.

21. Taiwan Since post WWII, Taiwan has claimed to be separate from China.
During the Cold War
Era, the United States tried 
to protect Taiwan's autonomy.
In 1971, Taiwan lost its membership in the United Nations

22. Taiwan Cont.
Chinese leaders believe that Taiwan is historically and legitimately a part of China.
Some political parties in Taiwan believe that they should stand up to China, while others would like to reconcile their differences with China since it is their biggest trade partner. 

24. Tiananmen Crisis Taiwan Nixon's 1972 visit Pollution Fang-Shou
Communist Party of China
Taiwan
Nixon's 1972 visit
Pollution
Fang-Shou

25. Japan Politburo Capitalism Procuratorates Iron Rice Bowl
Household Responsibility System
Procuratorates
Iron Rice Bowl

26. Hu Jintao Hong Kong Socialism Unemployment Special Economic Zones
The People's Communes
Special Economic Zones
Unemployment

27. Inequality Human Rights Mao Zedong Soviet Union
Household Responsibility System
National People's Congress
Soviet Union