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China Calling

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  • 20 years after Tiananmen: Understanding Chinese Youth

    Melinda Liu | Jun 2, 2009 04:09 PM
    As the anniversary of the June 4 bloodshed looms, Newsweek's Duncan Hewitt explains why China's younger generation doesn't fit the usual stereotypes. Hewitt, who is author of "Getting Rich First: Life in a Changing China", argues that understanding Chinese... More
  • Deep Roots of China's New Economic Nationalism

    Melinda Liu | Mar 30, 2009 07:44 PM
    The mood in china appears to be reaching a tipping point, as its normally bland leaders abandon cautious diplo-speak under the pressures of the global financial crisis. First, they blamed American capitalism for the crisis and Premier Wen Jiabao publicly... More
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  • Some Parliamentarians Dare to Cast Dissenting Votes

    Newsweek | Mar 13, 2009 12:02 PM
    Earlier in the week, the Chairman of China’s legislature, Wu Bangguo made it clear in a speech that the ruling communist party has no intention of moving towards a western-style multi-party, democratic system. Still, some parliament members managed to... More
  • In an Economic Slump, Laws Take a Backseat in China's Courts

    Melinda Liu | Mar 10, 2009 11:44 PM
    The global economic crisis has triggered a rash of lawsuits in Chinese courts. Lauren Hilgers reports on how the judicial system is being used as a tool to try to prevent social unrest: Early in the onset of the global financial crisis, sometime back... More
  • China's Shopping Sprees Head South: Forget "Howdy," Now It's Ni Hao

    Manuela Zoninsein | Mar 4, 2009 12:16 PM
    Let’s hope China’s top diplomats have frequent flier accounts. Given the amount of time and money they’re spending on travels, President Hu Jintao and Vice President Xi Jinping’s loose wallets could benefit from some free upgrades. It’s all part of the... More
  • The Coming China Meltdown

    Newsweek | Mar 1, 2009 03:20 PM
    If China continues to force excess capacity onto a struggling world, it could result in a trade war. by Michael Pettis. This appears in the magazine issue dated Mar 9, 2009. Economic crises have a way of concentrating minds. In the midst of recession,... More
  • China's Year of Dangerous Anniversaries

    Melinda Liu | Feb 18, 2009 02:23 PM
    Jennifer Conrad reports on why the important anniversaries of 2009 could make it a year of living dangerously for the leadership in Beijing: October 1 marks the 60th anniversary of the founding of the People's Republic, a date that will be celebrated... More
  • Jobless Grads: The Fading Chinese Dream

    Newsweek | Feb 13, 2009 03:29 PM
    by Mary Hennock. Everyone's familiar with the American dream: work and study hard and you'll get ahead. But China has its own version, which hopeful parents and their children have adhered to ever since the emperor started meritocratic civil-service exams... More
  • Fatal Fire and Grassroots Fatalism

    Melinda Liu | Feb 10, 2009 01:05 PM
    Now we learn CCTV contracted a provincial company to lay on a lavish fireworks display for the Lantern Festival. Organizers ignited Olympics-grade pyrotechnics off the roof of an unoccupied building -- which went up in flames -- beside the iconic Rem... More
  • Gunpowder ignites tale of corruption and deceit

    Mary Hennock | Feb 2, 2009 12:54 PM
    My house-cleaner has just spent 12 days in jail in an escapade that reveals much about why China is not likely to enjoy the rule of law anytime soon. Let me say right away, she was not innocent. Liu Ayi (Auntie Liu) broke the law and was punished. Nonetheless... More
  • Taiwan: Tempest (or Worse) in a Punchbowl

    Jonathan Adams | Jan 31, 2009 09:11 PM
    Talk about words coming back to haunt you. President Obama's pick for the nation's top intelligence post is probably wishing he'd picked a less vivid term to vent his anger at the Taiwan government back in 2000. Retired Admiral Dennis Blair, denied that... More
  • Best of Times, Worst of Times

    Newsweek | Jan 15, 2009 06:29 PM

    By Mary Hennock

    It was the sort of good news that makes everything look worse. We now know that China's economy surged 13 percent in 2007, elbowing aside Germany to become the world's third biggest economy. China's National Bureau of Statistics had previously put 2007 GDP growth at 11.9 percent, but on Wednesday the bureau revised that figure upward.

    Nobody celebrated. Far from popping champagne corks, China-watching economists -- to say nothing of nervous Chinese officials -- are  keeping an ear cocked for the sound of mobs and breaking glass.The economic crisis has stirred fears of greater instability as laid-off workers protest. Indeed, some 1,000 construction workers rioted over unpaid wages on Tuesday, Reuters reported citing the Hong Kong-based Information Center for Human Rights & Democracy. About 500 riot police battled the protesters for control of a bridge over the Yangtzse River in Anhui Province, and 10 workers were injured, according to the report.

    Already, officials highly-placed enough to know have warned that China may not make its official target of 8 percent growth in 2009. That's serious because 8 percent is the magic number the government says it needs to keep unemployment manageable. Making the 8 percent target will be "exceptionally arduous", Liu Mingkang, chairman of the Central Banking Regulatory Commission (CBRC) was reported by Bloomberg as saying on Monday. That's blunt language for a bank regulator. These guys normally try to sound as boring as possible to avoid panicking the markets. But he's not alone. "There are downside risks to the goal", China's central bank governor Zhou Xiaochuan said. And Premier Wen Jiabao has promised yet more money to top up the government's already-$600 billion stimulus pot before Chinese New Year starts next weekend. The country's stimulus package is the biggest in the world set against the overall size of its economy and only the US has outstripped it in monetary terms.

    Government and private sector economists expect the economy to have expanded in 2008 by just over 9 percent when the data is released later this month. There's less harmony on 2009 forecasts, though, which some economists are pitching as low as 5 percent. With other major economies shrinking that might sound good, but China is still poor despite nudging into third place on the podium behind the US and Japan. China's per capita income averages only $2,360 a year, according to the World Bank. So what then if NBS' number crunchers have found an extra $113.8 billion-worth of goods and services in 2007, raising the overall output to $3.76 trillion compared to Germany's $3.32 trillion, based on that year's average exchange rate. It just emphasises the scale and speed of the slowdown.

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  • Amb. Wu Jianmin: China's Economy and Environment in 2009

    Melinda Liu | Jan 12, 2009 10:30 AM
    Chinese leaders are predicting 2009 will be full of tests, as job losses stoke fears about stability. It's a year peppered with sensitive anniversaries—20 years since troops crushed student protesters in Tiananmen Square, and 50 years since the Dalai... More
  • Why China Works

    Rana Foroohar | Jan 10, 2009 07:03 PM
    A look at bright spots in the recession begins with Beijing, where state control is looking smart. by Rana Foroohar. This first appeared in the magazine issue dated Jan 19, 2009. China is the only major economy that is likely to show significant growth... More
  • Tibet and Succession

    Newsweek | Jan 5, 2009 06:47 PM
    People used to say that Pope John Paul II's power increased as he aged; at 73, the Dalai Lama is the same way. The more he speaks, the more he travels, the more word of his ill health leaks out (he recently had a gallbladder operation), the more he matters.... More