Abstract
This chapter provides a background discussion of the intellectual movement of governance. Quan argues that contextual factors have played a significant role in the rise and spread of governance ideas in transitional China. Specifically, the institutional context focuses on policy shifts of the party-state along the neoliberal line, and the intellectual context emphasizes the political discourses (social harmony and modernization of state governance) in which the idea of governance prevails. He seeks to explain: What characterizes transitional China as a neoliberal regime? What are the dynamics of its ideological manifestations? Why were governance ideas promoted as an integral part of the political project of neoliberalism? What was the central problem of governance for its proponents? Moreover, what was the political-intellectual atmosphere of the increasing interest in governance issues? Finally and most importantly, why is the idea of governance so essential to the neoliberal imperative in China? These answers are crucial to understanding the rationale of governance ideas in context.
When calamity comes, the wicked are brought down,
But even in death the righteous seek refuge in God.
Rich and poor have this in common:
The Lord is the Maker of them all.
Proverbs 14:32; 22:2
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Notes
- 1.
For more teaching on righteousness, see Solomon’s Proverbs in the Old Testament. The First Book of Kings also documents the reign of King Solomon and the major events related to his teachings. For an excellent political analysis of the concept of righteousness in the Old Testament see O’Donovan (1999).
- 2.
For example, Brenner and Theodore (2002) urge the need to distinguish the ideological and practical aspects of neoliberalism. They advocate for a focus on the second aspect as “actually existing neoliberalism.” Harvey’s analytical agenda of neoliberalism shares this general direction and is more suitable for understanding the complicated relationship between the two aspects. Larner (2000) also provides a useful conceptualization of neoliberalism in terms of policy, ideology, and governmentality. She reminds us that characterizing neoliberalism as either a policy framework or a class-based ideology runs the risk of underestimating the significance of contemporary transformation in governance. In this respect, neoliberalism can be adequately defined only as a political discourse about the nature of rule and a set of strategies that facilitate the governing of individuals from a distance. This orientation is very close to that of Hall (1988), Osborne, Rose and Barry (1996), and Ong (2007).
- 3.
Steger and Roy call the concrete set of policy package of neoliberalism the “D-L-P Formula”: (1) deregulation (of economy); (2) liberalization (of trade and industry); (3) privatization (of state-owned enterprises). Relevant policy measures include massive tax cuts, reduction of social services and welfare programs, replacing welfare with “workfare,” use of interest rates by an independent central bank to keep inflation in check, tax havens for domestic and foreign corporations willing to invest in designated economic zones, anti-union drives, removal of controls on global trade and financial flows, the creation of new political institutions and think tanks designed to reproduce the neoliberal paradigm, and so forth. See Steger and Roy (2010, p. 15) for the detailed list. Also compare to the measures of accumulation by dispossession summarized by Harvey (2007, pp. 34–35): (1) the commodification and privatization of land and the forceful expulsion of peasant populations; (2) conversion of various forms of property rights (common, collective, state, etc.) into exclusively private property rights; (3) suppression of the rights to the commons; (4) commodification of labor power and the suppression of alternative forms of production and consumption; (5) colonial, neo-colonial, and imperial processes of appropriation of assets; (6) monetization of exchange and taxation, particularly of land; (7) the slave trade (which continues, particularly in the sex industry); (8) usury, the national debt, and, most devastating of all, the use of the credit system as radical means of primitive accumulation.
- 4.
- 5.
Refer to the second section of Chapter 1, especially the market-centered approach.
- 6.
See in particular the charts in Chapters 1 and 6 in Harvey (2005). Also see Duménil and Lévy (2004). See also a recent critical review of the neoliberal policy agenda by three IMF economists (Ostry et al. 2016).
- 7.
See Harvey (2005), especially Chapter 6.
- 8.
See also Peck and Tickell (1994).
- 9.
For a critical comment on this two-stage typology, see Wu (2010).
- 10.
It is important to note that this tension of the two orientations should not be exaggerated. As we have shown, Harvey’s characterization of neoliberalism indicates, although implicitly, a dynamic of the neoliberal order. Also, the two-stage conceptualization of neoliberalism by Peck and Tickell relies on their identification of the structural elements of each stage.
- 11.
- 12.
- 13.
- 14.
See Harvey (1989) for more details of the post-war accumulation strategy and its eventual exhaustion along with the 1970s crisis and following recession.
- 15.
The investigation team to Japan was led by Deng Liqun; it concluded that the Japanese model had certain values but should not be followed. The primary reason for the CCP’s caution was that Japan was a capitalist country supported and disciplined by the United States. See Ding (2014) for details.
- 16.
The communiqué of the conference is available at http://CCP.people.com.cn/GB/64162/64168/64563/65371/4441902.html, accessed on June 7, 2016. The English versions of some key texts can be found in Debary and Lufrano (2010, pp. 488–490).
- 17.
See interviews of Deng’s companions during the visit in the documentary China’s Capitalist Revolution (2009).
- 18.
Refer to the minutes of their talk in Freedman (1991, pp. 125–136).
- 19.
- 20.
- 21.
In addition to education, other main types of administrative decentralization in the 1980s included: (1) partial managerial power of the central government such as planning and temporary investment in real estate; (2) decentralized management of public enterprises, especially less profitable ones. See Yang (2008: 4–16).
- 22.
The full content of Deng’s speech on “Upholding the Four Basic Principles” is available at http://www.people.com.cn/GB/channel1/10/20000529/80791.html, accessed on April 16, 2016. The English translation can be found in De Bary and Richard (2010, p. 492).
- 23.
See also Andreas (2008).
- 24.
For a more comprehensive comparison of the internal dynamics between the protestors and party leadership during the movement, see Zou (2012, pp. 159–236).
- 25.
For the full text of Deng’s speech see http://finance.ifeng.com/opinion/zjgc/20111231/5390024.shtml, accessed on April 20, 2016. The significance of Deng’s South tour for the subsequent reforms has been extensively discussed in the last two decades. For a recent critical work on this topic, see Vogel (2011).
- 26.
The speech is available at http://dangjian.people.com.cn/n/2013/0402/c117092-21005106.html, accessed on May 4, 2016.
- 27.
For a critical review of their book, see Hung (2011).
- 28.
- 29.
- 30.
See Chen (2016) for details.
- 31.
- 32.
- 33.
See the official record at the People’s Forum: http://people.com.cn/GB/paper85/5062/538037.html, accessed on May 10, 2016. The calculation is based on the exchange rate in 1998.
- 34.
A recent list of the Fortune Global 500 is available at http://fortune.com/2015/07/22/china-global-500-government-owned/, accessed on June 30, 2016.
- 35.
- 36.
A common mistake made by analysts in their policy evaluation is that they see the policy plan as equal to the policy implementation. According to official data, the state planned to spend 400 billion to stimulate the economy. But only slightly more than one-fourth of this amount was spent in the subsequent two years. The official report is available at http://www.gov.cn/2013zfbgjjd/content_2365252.htm, accessed on July 6, 2016. The calculation is based on the exchange rate in 2008.
- 37.
See the “Decision on Major Issues Concerning Comprehensive and Far-Reaching Reforms” on the Third Plenary Session of the Eighteenth CCP Central Committee in November 2013. The full text is available at http://news.xinhuanet.com/politics/2013-11/15/c_118164235.htm, accessed on June 7, 2016.
- 38.
For instance, see the Korean KBS documentary Super China (2015).
- 39.
- 40.
- 41.
According to the official statistical indicators set by the Chinese government, it also includes public spending on culture, sports, science, and technology.
- 42.
- 43.
- 44.
According to a World Bank Report, despite lower health quality in China’s poorer rural communities, per capita government allocations increasingly favor wealthier areas, and better-quality health services are increasingly centralized in urban areas. The risk of financial catastrophe due to ill health remains much higher for rural residents, though it is also increasing for urban residents. This risk is not being reduced by the new health insurance programs, which provide only a low level of benefit for members. See Brixi, Mu et.al (2011).
- 45.
See, for example, a recent critical newspaper article, Von Sebastian Heilmann, “Schubumkehr in China: Schließung nach innen, Expansion nach außen,” Süddeutsche Zeitung, 3 March 2015.
- 46.
The key values of a harmonious society include democracy, the rule of law, equity, justice, sincerity, brotherliness, stability, order, and harmonious relations between nature and human kind. For the full text, see Hu Jintao, “Speech on the Workshop of Enhancing Socialist Harmonious Society for Provincial/Ministerial Leaders (19 February 2005).” See Central Party Literature Research Center (2006, pp. 706–707).
- 47.
Hu’s 2005 speech devoted one whole section to articulate the historical development of social harmony in socialist classical literature and political practices. This selective version of the socialist tradition, including the works of early French imaginary socialists, Marx and Engels, Lenin, and the first three generations of the CCP’s leaders, has been interpreted as a constant endeavor towards a harmonious society.
- 48.
See “Party Resolution on some significant issues of Building Harmonious Society (October 2006),” in Central Party Literature Research Center (2008, pp. 648–650).
- 49.
The overall project covers a broad range of topics: how to mobilize grassroots autonomous groups, occupational associations, and other kinds of civil organizations to engage in social service; how to improve the regulations of social governance; how to maintain social equity and social justice in practice; and how to enforce moral education and create harmonious interpersonal relationships. See Central Party Literature Research Center (2006, pp. 718–719) for details.
- 50.
The project was initiated in 2004 by the central committee of the CCP. It included five essential tasks: (1) enforcing the theoretical and significant practical study of the contextualization of Marxism; (2) promoting the translation, editing, and relevant study of the Marxist classics; (3) establishing Marxist fundamental theories and the system of Marxist philosophy and social sciences; (4) composing textbooks representing the newest achievements of contemporary Chinese Marxist study in the major disciplines such as philosophy, political economy, scientific socialism, politics, sociology, law, history, news & media, and literature; (5) building a mixed research team (elderly, middle-aged, and young scholars) for the study of Marxist theory and education. On the national level, 24 major research groups and research bases were founded and assigned specific research themes. A detailed description of this project and a report on its progress are available at http://yyf.wenming.cn/mkszy/2009-08/06/content_38390.htm, accessed on October 10, 2015.
- 51.
The full content of the decision is available at http://www.china.org.cn/chinese/2014-01/17/content_31226494.htm, slightly changed. Yu Keping offers an interpretation of the decision widely cited by the government and academics. His article is available at http://theory.people.com.cn/n/2014/0608/c40531-25118749.html, accessed on December 15, 2015.
- 52.
The Four Modernizations were national goals first formally articulated by Zhou Enlai in 1963, to strengthen the fields of agriculture, industry, national defense, and science and technology in China.
- 53.
See also his interview with New York Times: http://www.nytimes.com/2016/05/31/world/asia/china-future-david-shambaugh.html?_r=0, accessed on June 8, 2016.
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Li, Q. (2017). The Engine of Chinese Neoliberalism. In: The Idea of Governance and the Spirit of Chinese Neoliberalism. Palgrave, Singapore. https://doi.org/10.1007/978-981-10-4139-6_2
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