Did Deng’s Reforms work? Yes, but negative & positive effects. What are some facts to support the success of China’s new capitalist economy? What has been the affect on China over the last three decades? What are some negative effects of China’s modernization and new capitalist system? Strong Middle Class in China today! In last 3 decades, China has moved 300 million people out of poverty & quadrupled the average person’s income. Decline in the poverty rate from 85% in 1981 to 13.1% in 2008. New Middle Class can buy products that are now made in China’s Factories! Consumer class of people in China! Results of China’s shift to economic power 30 years of successful growth which is predicted to continue for the next 20 years! An average of 79% growth rate annually! Compare to U.S. GDP Growth Rates Second Largest economy in the World! Workshop of the World! Exports to the U.S. increased by 1600% in past 15 years. China is considered to be the “Workshop of the World”! Many products sold in American stores; Cosco, Wal-Mart and many others are made in Chinese factories. Major industrialization creates jobs but also… Industrial waste of the world! China is making everything for the world and has the most pollution problems in the world from factories and waste. We outsourced many of our jobs and outsourced all the pollution too! They get the blame but they are suffering from pollution on their own population! Did the SEZ accomplish their goals? Shenzhen, China 1979 Shenzhen, China Today Negative Effects of Modernization and Economic Growth Communist Party has used Brain/Intellectual Power Intellectual Power Education Chinese are sending more students to the west for training. In 1978 the education was at the level of Cambodia Chinese government has quadrupled education (for higher education); many new universities cities have been developed in just 1 decade. The government has doubled the % of the GDP in research and development Infrastructure Intellectual Power! Infrastructure Chinese government is using its money to invest in intelligent waysinfrastructure over military. Major investments in railroad systems, luxurious train system. Investment in roads, and all other forms of transportation. GDP- China’s debt is very low about 15% of GDP, the U.S. is much higher, 89-90% of debt. Major investments in Green Technology!! China’s High Speed Train One Child Policy; Negative & Positive Effects CCP faced a overpopulation problem 1978- Married, urban families are restricted to 1 child. This policy has led to many social issues and problems… Deng’s Negative PoliciesTiananmen Square 1989 Tiananmen Square Protestcall for democratic change. Although Deng allowed for economic reform, when calls for democratic reform began, the communist party responded with their military. Top leaders in China are all engineers! Chinese Leaders (Premiers) follow Deng’s ideas and continue with reforms. Hu Jintao 2002-2010 Harmonious Society The State will do more for society, more social programs In return, people should trust & support the govern. Revitalization of philosophies & religions Continues economic policies of Deng Xiaoping. Xi Jinping November 2012 China Today! Politically Communist/one party rule Economically Capitalist 1997 Internet starts in China, by 2008 most internet users in the world! Internet has created active citizenship participation-blogs, chat rooms- social mobilization Internet is filtered, censored by the CCP. Internet in China = political expression All of these reforms and more lead to China as superpower! Hong Kong & Taiwan? 1997- Hong Kong (controlled by British after Opium War) was returned to China. The Communist Party (CCP) allows Hong Kong to continue with same economic polices as they did under rule of British. Today Taiwanese have called for independence, but China still claims as part of China! There is still tension between China & Taiwan. Former British Colony- Freedom of Expression? Sometimes? Liu Xiaobo-Charter O8- calls for political reform. Religion is still officially illegal, but is tolerated today as long as not a threat to CCP! Falun Gong (religion)- 1999 CCP banned religion & began national crackdown.