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          Resilience of Chinese economy

          By Han Dongping | chinadaily.com.cn | Updated: 2013-07-26 16:03

          Chinese farmers are the most important reasons accounting for China's economic resilience. Unlike many spoiled urban kids who do not want to do hard work, Chinese farmers are willing to do hard work to improve their families' living conditions. During the busy time, they work in rural areas to make sure their lands are planted, and during the idle season, they leave home to work anywhere there are jobs to be taken in urban areas. Chinese farmers generally do not need to pay income taxes to the state, but they are making the greatest contributions to the Chinese economy by feeding the Chinese population, by working in the construction fields in the urban areas, and by taking care of their children and elders, which in turn reduce the burden of state spending on welfare.

          I hope that Chinese leaders and Chinese urban population appreciate more the Chinese farmers' contribution to China's success and give Chinese farmers the respect they deserve.

          Another important foundation of China's economic resilience comes from the state control of major industrial sectors like the railway, energy, aviation, national defense, banking and other core industries. These industries, which are the lifelines of Chinese people and state, are too crucial and too important to leave in the hands of the private companies. All the most important progresses and scientific breakthroughs in China are achieved through state sectors. Under the state control and guidance, the Chinese railway system expanded in a scope and speed other countries in the world can only dream about. Riding on these fast, comfortable and safe and environmentally friendly bullet trains with my American students this summer, I am filled with admiration. If only the US had the same train system, but I know that it is wishful thinking on my part.

          I hope that the Chinese government and Chinese people appreciate more the importance of state-controlled industrial sectors, and support the state-owned and -controlled industrial sectors to make more contributions to the Chinese state and society.

          Unlike many states in the world, China is a centralized state. The state designs policies for the whole country. The state can mobilize national resources to accomplish things beyond the ability of one province or one region. The centralized system is the core of Chinese civilization, which has evolved in a long process of over 2,000 years. Like any system, it has its share of strengths and weaknesses. But this centralized state system demonstrated tremendous advantages in fighting natural disasters, and in national defense development. I would argue that the centralized state system played a crucial role in the survival of Chinese civilization continually for several thousand years without interruption, the only one in the world. It is one of the most important reasons that the Chinese economy is doing better than most other economies in the world now.

          For a long time, China's centralized system has been criticized by many both inside and outside China. As a nation, we want to listen to others' constructive criticism in order to improve our system. But as far as our core value is concerned, we should be firm and steadfast in upholding what made our success possible.

          As the Chinese economy continues to flourish, the Chinese people and Chinese leaders will gain more confidence in their wisdom and ability. They will face others' criticism with more firmness and calm.

          The author is a guest professor at Hebei University

           

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