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The Chinese Communist Party Is Not the Answer for a Good Chinese Economy

March 24, 2009 |   By Long Yan

(Clearwisdom.net) Ever since the Chinese Communist Party (CCP) began its economic reforms, the Chinese people have seen all kinds of social conflicts and turmoil emerge and escalate. On the morning of March 10, 2009, during the People's Congress annual meeting, a Political Consultative Committee member from Sichuan Province said angrily, "The mainstream economists' judgment and prediction for the economy is simply wrong--we should fire some of them!" I want to point out that the root cause of those economists' failure is the CCP's corruption. Of course, it's entirely possible that the CCP may use some of the economists as scapegoats for its failure.

It is well known that living standards for people in communist countries are generally much lower. Just compare former East Germany with West Germany, North Korea with South Korea, and Mainland China with Taiwan.

Communist countries are quite adept at launching one political movement after another to suppress their citizens. How can they have time to focus on the economy? The communists in the former Soviet Union and some Eastern European countries have collapsed, and people in North Korea and Cuba are still struggling in poverty.

Many people still remember how the CCP had to admit that its economy was on the verge of collapse after the Cultural Revolution, and therefore it started an economic reform. However, the reform was driven by special-interest groups composed of people with political power and/or money that used reform as a pretext to loot average Chinese people, resulting in a polarized Chinese economy and extreme social inequity. According to a 2006 World Bank report, 0.4 percent of the Chinese population owned 70 percent of the total wealth, whereas in the US it was 5 percent of its population possessing 60 percent of the societal wealth. In China, rich people are growing richer and poor people are becoming poorer. A very small group has accumulated vast amounts of wealth in a short period of time. There are, in fact, two Chinas, one represented by the rich and powerful and the other by the rest of the population.

The CCP claims that the socialism it is implementing is at a preliminary stage with Chinese characteristics. The purpose of such a claim is to deceive people. History has shown that the CCP is only good at persecuting people and implementing harmful policies. In Mao Zedong's era, the socialist movement condemned people to struggle in misery. Later, the economic reform was, in fact, capitalism with a Chinese flavor, though it is far from the true capitalism implemented in the West.

With greed and corruption in its blood, the CCP cannot improve and boost the Chinese economy. The high GDP growth is only benefiting that small group. The polarized economy in China means a hot economy for a small segment of the population and a cold economy for the rest of the country.

It's impossible for the CCP to share its monopoly of political and economic resources with its citizens. The difficulty that many private companies have in borrowing money from state-owned banks is one such example. The CCP is most concerned about the potential overturn of its rule, so it's afraid to see its citizens accumulate a good amount of wealth. The CCP fears that it may lose power when there are too many middle-class citizens. Therefore, the CCP has always considered the Party's interests over those of the country and people, and it is resolute in not sharing resources with its people. So the majority of the Chinese population is going to remain where it is. Given that, it is nearly impossible for a middle class to emerge in China under Communist rule.

According to a July 5, 2006, report by China Youth Daily, China has spent the least amount of money (as a percentage of GDP) on infrastructure and welfare, ranking dead last. This suggests that the CCP does not care about its people at all. The CCP is the biggest obstacle to China's improvement and prosperity.

It is now time for the Chinese people to wake up from the CCP's lies and not be misled by illusions of it being the answer to economic prosperity.