CIAO DATE: 10/2009
Volume: 38, Issue: 2
September 2009
Beijing Bubble, Beijing Bust: Inequality, Trade, and Capital Inflow into China (PDF)
James K. Galbraith, Sara Hsu, Wenjie Zhang
This paper explores the relationships between inequality, trade, and capital flows into China since the early 1990s and particularly in the first years of the present decade. We show that the rise in economic inequality in China has more to do directly with the activities associated with China's financial and building boom, notably in Beijing, than with the massive growth in manufacturing employment and in Chinese exports since China joined the WTO in 2001. Nevertheless, it is likely that a flow of profits from the export boom did feed the speculative fires in the capital and elsewhere, and therefore it should be no surprise that the fall of one should be linked to the fall of the other, in a particularly painful reduction of economic inequality.
Maria Raquel Freire, Carmen Amado Mendes
Russia and China are two big players in the international system, both of which share interests and concerns and compete for preponderance and affirmation at the regional level. As a framework for political-military cooperation, the Shanghai Cooperation Organisation (SCO) frames this relationship in an institutional setting that might be understood as a tool for rapprochement between Moscow and Beijing or as a strategic manoeuvre for balancing an unbalanced international order. Thus the following question arises: is Russian-Chinese cooperation discourse mere political rhetoric or does it imply the intentional forging of a goal-orientated partnership? The relationship between Russia and China in political and security terms reveals identifiable common concerns, such as counter-terrorism or the fight against organised crime, while simultaneously masking the underpinning drivers, based on realpolitik dynamics and image construction on both sides (power projection, regional affirmation). This means that the strategic partnership dialogue between Moscow and Beijing is still far from being real. Realpolitik considerations rise above institutional goals, showing the lines of (dis)continuity in discourse and practice in this bilateral relationship.
The Regulation of Religious Affairs in Taiwan: From State Control to Laisser-faire? (PDF)
André Laliberté
This article looks at Taiwan's policy towards religion to show that non-Western societies can also achieve what Alfred Stepan called a "twin toleration" wherein the state does not intervene in religious affairs, and religion does not seek to control the state. The paper shows the sets of constraints in which policy-makers struggling for an adequate way to deal with religion operate. They have to choose among a variety of models in democratic societies, to take into account the legacy of the authoritarian era, and to consider the specificities of Taiwan's situation, influenced by a Chinese cultural heritage, Japanese colonialism and observations from other parts of the world. The paper then describes how these constraints have influenced the major stages in the evolution of relations between state and religions in Taiwanese society and then argue that the state had yet to reach a consensus up until 2008 on the legislation of religion because of disagreements between different religious actors.
Nora Frisch
Nationalism in the sense of symbols or actions glorifying the fatherland can be detected in many Chinese commercials today. In the form of a mythical narration, various aspects of an idealized China image are communicated, an image designed to bring about a sense of identity for all Chinese people. While first and foremost serving consumer preferences, these emotionally charged constructions of a "super nation" can also be interpreted in an ideological sense. Seen against the background of the public discourse on patriotism underway since 1989, this "Sinization" of advertising suggests the more or less subtle influence of party-state propaganda. In analysing TV commercials and interpreting their content, the ambivalent position and general background of advertisers must, however, be kept in mind. Even as they attempt to address and leverage popular trends, these advertisers are part of the community that has shaped the worldviews and values (some of them ideological) that are also reflected in the ads.
China's Employment Crisis – A Stimulus for Policy Change? (PDF)
Günter Schucher
In the face of severe job problems, China's government has adopted a huge stimulus package in a bid to achieve eight per cent economic growth, which is said to guarantee at least enough jobs for the new entrants to the labour market. The real situation, however, will be much grimmer than statistics indicate. Unregistered groups like unemployed rural migrants, job-searching college graduates, laid-off workers and others together with the officially registered unemployed and the new market entrants could add up to 42 million altogether, while even the most optimistic estimates say only around 15 million new jobs could be created in 2009. Nevertheless, the stimulus package demonstrates an at least temporary shift in economic policy from capital-intensive to labour-intensive growth. Additionally, the new initiatives to boost social-security spending could help to address the grievances of the most vulnerable groups in the labour market. The Chinese government's reaction to the emerging employment crisis once again demonstrates the often underestimated adaptability of China's leadership.
Joseph Yu-shek Cheng
This article examines the Chinese perception of Russian foreign policy during the Putin administration by analysing Beijing's assessment of Russia's foreign policy objectives and its policy towards the U.S., as reflected in the official media and the authoritative publications of China's major security and foreign policy think tanks. Promoting multipolarity and checks and balances against U.S. unilateralism has been a very significant consideration on the part of the Chinese leadership. Using the concept of the "strategic triangle", the article demonstrates how changes in U.S.-Russian relations have probably become the most important variable in this push for multipolarity. In the past decade and a half, Sino-Russian relations have improved when Russia has become disappointed with the support it received from the U.S. There have also been periods of time when Russia has anticipated closer relations with the U.S. and thus neglected China's vital interests. The Chinese leadership, however, has exercised restraint at such times. There has been greater optimism in Beijing concerning Sino-Russian relations in recent years because of the expanding economic ties, Russia's increasing oil wealth and Putin's authoritarian orientation.