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Xi Jinping, Chinese Common Prosperity Thinker

Xi Jinping, Chinese Common Prosperity Thinker

 


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Chinese President Xi Jinping is the inspiration behind his country’s economic policy. With an iron fist, he imposed a zero Covid strategy which seriously weakens consumption, trade and growth. But for the Chinese president, it is a political battle that must be won at all costs. He is our Portrait of the week.

steel wall

Forever black hair, triumphant air, Xi Jinping never forgets to exalt the national spirit, as during an impressive ceremony in 2021. It was for the hundred years of the Chinese Communist Party: The Chinese people will never allow any foreign force to intimidate, oppress or enslave us. Anyone who wants to do so will surely face bloodshed in front of a great wall of steel built by more than one billion four hundred million Chinese..

enemy of the people

It was Beijing that Xi Jinping was born 68 years ago. The second in a family of four children, he grew up in a wealthy environment. Her father is a high communist official. A victim of purges, he was arrested, convicted and publicly humiliated. The red guards force the son to report him. Also harassed, her sister commits suicide, while Xi Jinping adheres to communist ideas.

In 1966, the cultural revolution hit China. Mao Zedong consolidates his power. Three years later, branded an enemy of the people, Xi Jinping was sent to the countryside for forced labor like millions of Chinese city dwellers at the time. It was during those years that his character was forged, says Alex Payette, co-founder and president of the Cersius group, a Montreal-based company specializing in strategic and geopolitical intelligence: The cultural revolution, which will affect him greatly, will also teach him how politics within the party work, how things must be conducted to win the case. It was the generation of the Cultural Revolution that learned politics the hard way. These people have had first-hand experience of what happened, and who act in a manner described by some historians in China as the most reckless. In a logic of mass mobilization, as we have already seen in the sixties. But it is also the party school Xi JInping went to. The school of the revolution where you only learn the revolution by making the revolution. This will have a direct influence on how he sees the party’s role in the economy. But also the role of the economy for the development of the Chinese state.

The quest for power

It was in 1974 that Xi Jinping joined the Communist Party. A graduate in chemistry, he began his political career at the bottom of the ladder, as the party’s first secretary in a remote province. Then he embarked on a quest for power, crowned in 2012.

Appointed general secretary of the party, Xi Jinping succeeds Hu Jintao as president of China. Chosen in the name of the fight against corruption, says Mary-Franoise Renard, professor of economics deserved at the University of Clermont-Auvergne. She is the author of the book titled China in the global economy. Between dependence and dominationpublished by Clermont-Ferrand, Blaise Pascal University Press: We can clearly see the evolution of Xi Jinping’s economic policy which, little by little, is moving away from what had been done in the previous era by Deng Xiaoping and his successors. This is reflected in the increase in control. We have seen it with tech companies, we have seen it with high incomes considered excessive, or even with video games for minors.

The return of the state to the economy

Because, according to Xi Jinping, the liberally inspired economic reforms initiated by Deng Xiaoping from 1979 only led China away from its communist ideal. Consequently, they led the corruption of the party and the corruption of Chinese societysays Alex Payette. This idea of ​​openness revolts Xi Jinping. He is comforted in this by the fall of the USSR, on the one hand, and on the other, the rise in strength of the oligarchs in Russia in the 1990s.

Xi Jinping puts the state back at the center of the economy. His policy is a new form of dirigisme. It is from this that two principles of his economic thought emerged in 2020: the double circulationwhich aims to make China economically less dependent on foreign countries, and common prosperitywhose objective is to support equitable development. And in this to guarantee the population that the Communist Party and the government care about their well-being.

The Chinese Communist Party watches

Is this a new revolution? No, replies Mary-Franoise Renard. It is not a new economic system, there is not an economic revolution in China. We continue in a way that is comparable. But what is quite remarkable with Xi Jinping is that his policies are accompanied by a rise in control on the part of the Communist Party. This can be seen in companies where party cells were less and less active. The role of these cells is now becoming much more importantsays the economist.

A mix of market economy and state intervention, addressing businesses more than households, a supervised banking system. This is Xi Jinping’s doctrine. The Chinese president who promises that China will remain open to the worldbut insists that it departs from the Western capitalist value system.

In the meantime, his recovery plan could be derailed. It is not sure that the Chinese play the game and that they continue to spend their money on consumer goods, while they are battered by the draconian restrictions which in turn scare away foreign investors.

Sources

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2/ https://www.rfi.fr/fr/podcasts/aujourd-hui-l-%25C3%25A9conomie-le-portrait/20220520-xi-jinping-penseur-de-la-prosp%25C3%25A9rit%25C3%25A9-commune-chinoise

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