Editing People's Republic of China

| image_map = Orthographic map of China.svg

|official_languages=[[Mandarin]]| capital = [[Beijing]]

| largest_city = [[Chongqing]]

| government_type = [[Unitary state|Unitary]] [[Marxist–Leninist]] people's republic

| established_date2 = 1271 November 5

|labour_force=784 million<ref name="statista">Statista. ''[https://www.statista.com/statistics/251380/number-of-employed-persons-in-china/#:~:text=The%20labor%20force%20of%20China,were%20working%20in%20rural%20areas.]''</ref>|unemployment=5.5%|labour_force_participation=48.07%|labour_occupation=53.3% services<br> 39.4% industry<br>7.3% agriculture<ref name="investopedia">Investopedia. ''[https://www.investopedia.com/articles/investing/103114/chinas-gdp-examined-servicesector-surge.asp#:~:text=The%20industry%20sector%2C%20which%20includes,reflecting%20the%20growth%20of%20services.]''</ref>| leader_title1 = President and [[General Secretary of the People's Republic of China|General Secretary]]

|established_date3=1949 October 1|established_event3=Establishment of the People's Republic of China|mode_of_production=[[Socialism]]}}

The Chinese constitution states that the PRC "is a [[socialist state]] under the [[people's democratic dictatorship]] led by the [[Proletariat|working class]] and based on the alliance of workers and [[Peasantry|peasants]]" and that the state organs "apply the principle of [[democratic centralism]]."<ref name=":0">Constitution of the People's Republic of China ([https://www.constituteproject.org/constitution/China_2018.pdf?lang=en PDF in English])</ref> Over 95% of the Chinese population supports its government.<ref name=":8">{{Web citation|author=Nia Frome|newspaper=[[Red Sails]]|title=China Has Billionaires|date=2021-04-05|url=https://redsails.org/china-has-billionaires/|archive-url=https://web.archive.org/web/20221129030202/https://redsails.org/china-has-billionaires/|archive-date=2022-11-29|retrieved=2022-12-06}}</ref>

In accordance with [[historical materialism]], Chinese history can be divided into [[Primitive communism|primitive]], [[Slavery|slave]], and [[Feudalism|feudal]] eras. Modern Chinese historians do not, however, use the terms "capitalist era" or "socialist era." This is because the capitalist period of Chinese history fits into the broader [[New Democratic Revolution period|New-Democratic Revolution period]] (1919–1949). The socialist era, which began in 1956, is likewise not considered an era of Chinese history but instead is considered part of the People's Republic period (starting in 1949).<ref name=":1">Bai Shouyi (2008). ''An outline history of China.'' Beijing: Foreign Languages Press. ISBN 9787119052960</ref>

Even though China achieved many positive changes in society, the first generation has experienced problems in their governance, most notably during the [[Great Leap Forward]], which was a colossal failure, contributing to the Great Chinese Famine, which had major long-term effects on health and economic development in China, leading to reduced population height, and having a negative impact on labor supply and earnings of famine survivors.<ref>{{Citation|title=The long-term health and economic consequences of the 1959-1961 famine in China|year=2007|author=Yuyu Chen, Li-An Zhou|publisher=Journal of Health Economics|doi=10.1016/j.jhealeco.2006.12.006}}</ref>

In 2012, the number of unions in SOEs were 88.1% and in non-SOEs to be around 85.5%. It also states that within Chinese companies 32.7% of employee representatives at the company and plant level are nominated and elected directly from employees, while 61% of them are nominated by the Party committees and elected by employees. The same study finds that workers' congresses are positively associated with better health and safety, and more likely to report issues or flaws within company structure, as well as a useful consultation method that better leveraged worker voices towards the higher ups.<ref>[https://fbr.springeropen.com/articles/10.1186/s11782-018-0033-y#Sec8 The perceived effectiveness of democratic management, job performance, and citizenship behavior: evidence from a large Chinese state-owned petrochemical company]- Fuxi Wang</ref> In a study done by the OECD in 2013, survey of employment protection legislation found that China’s legislation ranked as the most protective of the forty-three countries surveyed.<ref>Curtis Milhaupt and Wentong Zheng, “Beyond Ownership: State Capitalism and the Chinese Firm,” Georgetown Law Journal 103 (2015): 665-717.</ref> The CPC has therefore made tremendous efforts to meet the demands of local protests and strikes as well as hold local governments accountable for causing or mishandling protests that spin out of control. Chinese workers have successfully organized collective action to get local governments, and the courts as mentioned above, to help accommodate their claims, most notably getting payment for wage arrears.<ref>Su and He, “Street as Courtroom: State Accommodation of Labor Protests in South China.”</ref> Similarly, a study in 2009 found that more often than not, the arbitration tribunals in mainland China are biased in favor of employees suing their employers. Because arbitration tribunals are sympathetic towards employees-who are traditionally seen as the weaker party-they will sometimes overlook acontract violation by the employee. In addition, sometimes tribunals assume that companies can bear the financial losses more readily than employees. Therefore, more often than not, employees win in arbitration or in court based on prejudice in their favor.<ref>Joanna Law, Employers, Prepare for Tribunal Trouble, CHINA LAW & PRACTICE, Feb. 2009</ref>

Although GDP growth was at its peak in the 1960s, China experiences consistent GDP growth, and China outpaces the US in terms of GDP growth.<ref>{{Web citation|newspaper=macrotrends|title=China GDP Growth Rate 1961-2022|date=2022|url=https://www.macrotrends.net/countries/CHN/china/gdp-growth-rate|retrieved=2022-12-06}}</ref>

In the Mao period, China built one of the developing world's most robust public healthcare systems, based on rural primary care, [[barefoot doctors]], and regular mass campaigns, known as "patriotic health campaigns." Since the beginning of the reform period, China's healthcare system has gone through a number of phases. After an unfortunate period of regression and privatization, China has spent the last decade making rapid progress towards a new universal healthcare system. A 2020 study in the ''British Medical Journal (BMJ)'' summarizes many of the goals and programs of China's recent health reforms:<blockquote>Priority was given to expanding the scope and health service package of the basic insurance coverage, improving provider payment mechanisms, as well as increasing the financing level, fiscal subsidies and reimbursement rates. [...] The government has increased investment in primary care, with initiatives that include strengthening the infrastructure of primary healthcare (PHC) facilities, expanding human resources for primary care through incentives and supporting projects, establishing a general practitioner system and improving the capacity of PHC personnel through training and education, such as general practice training and continuous medical education programmes. [...] The ‘equalization of basic public health services’ policy implemented the national BPHS programme and the crucial public health service (CPHS) programme. [...] This policy seeks to achieve universal availability and promote a more equitable provision of basic health services to all urban and rural citizens.<ref>Wenjuan Tao, Zhi Zeng, et al. ''Towards universal health coverage: lessons from 10 years of healthcare reform in China.'' BMJ Global Health. {{Doi|10.1136/bmjgh-2019-002086}}</ref></blockquote>The New Cooperative Medical Scheme (NCMS) was rolled out in China from 2003-2008 which provided insurance to 800 million rural Chinese. A study found that there was a significant decline in aggregate mortality, with the program saving more than one million lives per year at its peak, and explaining 78% of the entire increase in life expectancy in China over this period.<ref>[https://www.nber.org/papers/w31423 The Largest Insurance Expansion in History: Saving One Million Lives Per Year in China - Jonathan Gruber, Mengyun Lin & Junjian Yi]</ref>

The 2020 study goes on to note that China has made significant progress towards meeting its reform goals, and building a developed and equitable universal healthcare system:<blockquote>During the past 10 years since the latest round of healthcare reform, China made steady progress in achieving the reform goals and UHC [i.e. universal health coverage].</blockquote>Another paper, also from the ''BMJ,'' summarizes the recent improvements in China's health outcomes, as well as access to, and cost of, healthcare:<blockquote>The results include the following: out-of-pocket expenditures as a percentage of current health expenditures in China have dropped dramatically from 60.13% in 2000 to 35.91% in 2016; the health insurance coverage of the total population jumped from 22.1% in 2003 to 95.1% in 2013; the average life expectancy increased from 72.0 to 76.4, maternal mortality dropped from 59 to 29 per 100 000 live births, the under-5 mortality rate dropped from 36.8 to 9.3 per 1000 live births, and neonatal mortality dropped from 21.4 to 4.7 per 1000 live births between 2000 and 2017; and so on.<ref>Wenjuan Tao, Zhi Zeng, et al. ''Towards universal health coverage: achievements and challenges of 10 years of healthcare reform in China.'' BMJ Global Health. {{Doi|10.1136/bmjgh-2019-002087}}</ref></blockquote>In short, while China's healthcare system is not perfect, it is certainly moving in the right direction. As with many other aspects of China's socialist construction, this provides a model for other developing nations; according to the aforementioned ''BMJ'' study:<blockquote>The lessons learnt from China could help other nations improve UHC in sustainable and adaptive ways, including continued political support, increased health financing and a strong PHC system as basis. The experience of the rapid development of UHC in China can provide a valuable mode for countries (mainly LMICs) planning their own path further on in the UHC journey.</blockquote>This is another benefit of China's rise to prominence on the world stage. China demonstrates to the world that it is possible for a desperately poor country to rise from poverty, develop its economy, and meet the needs of its people.

"The state’s role as owner of firms has narrowed to include a set of large, national champion firms at the central level, but the deployment of state capital has morphed form rather than abated. As we have shown, the state invests broadly in the private sector in a number of forms, a fact that complicates the “state versus private” dichotomy that has dominated the study of China’s political economy during the reform era. Further, the deployment of state capital into the wider economy has accompanied a change in the structure of the state; hundreds of shareholding firms, large and small and owned by local and central levels of the state, now interface extensively with private firms, can intervene with ease in stock markets, and appear to constitute new agents in the execution of the CCP’s overall economic policy."</blockquote>''The Ascendency of State-owned Enterprises in China: development, controversy and problems'' by Hong Yu also states:<ref>[http://dx.doi.org/10.1080/10670564.2013.809990 Hong Yu (2014) The Ascendency of State-owned Enterprises in China: development, controversy and problems, Journal of Contemporary China], 23:85, 161-182, DOI: 10.1080/10670564.2013.809990</ref><blockquote>"In terms of total sales revenue of China’s top 100 enterprises in 2011, the SOEs accounted for around 90%. The state sector remains the driving force behind economic development in China. All the big commercial banks in China are SOEs. More importantly, given the fact that township and village enterprises (TVEs) owned by local governments belong to the state sector but are not regarded as SOEs,  and a large number of entities operating inside and outside of China are actually owned or controlled indirectly via SOEs’ subsidiaries, the true size of the SOEs is unknown. Their influence is far greater than official statistics suggest. Woetzel’s study also demonstrates that many firms, which were partially privatized but with the state remaining as a majority shareholder, have not been counted in the SOE category in official statistics."</blockquote>In 2014, China's top 500, 300 are SOEs, accounting for 60 percent. The operating revenues of these SOEs account for 79.9 percent of the total 56.68 trillion yuan, while total assets account for 91.2 percent, out of the total 176.4 trillion yuan. The total profit of these SOEs account for 83.9 percent out of the total 2.4 trillion yuan<ref>[http://www.china.org.cn/business/2014-09/03/content_33419397.htm China reveals new top 500 enterprises list] - Wang Zhiyong, China.org.cn</ref> In 2006, The report revealed that 349 enterprises in the list were state owned, accounting for nearly 70 percent of the total. Their combined assets reached 39 trillion yuan (4.87 trillion US dollars) at the end of 2005, accounting for 95 percent of the total. It showed that state-owned economy remained dominant and controls the leading industries in the national economy.<ref>[https://www.chinadaily.com.cn/bizchina/2006-09/03/content_680098_2.htm Top 500 account for 78% of China's GDP] - Biz.China, Xinhua.net</ref>

Even in the 1990s after Reform and Opening Up, the ''OECD Agricultural Outlook/June - July 1999'' discuss how the state maintains control of the agricultural sector<blockquote>“Before 1980, government central planning dominated domestic grain marketing. The government’s Grain Bureau purchased, transported, stored, milled, and retailed all grain leaving the farm. Then in the 1980’s and early 1990’s, open markets became increasingly important as the government was no longer the sole purchaser and many provinces began phasing out a ration system that allowed urban consumers to purchase grain at low fixed prices (AO March 1997). But current grain policy, initiated in 1998, '''led to a reversal of the use of open markets for domestic distribution and an increase in government intervention in grain production and marketing'''''.'' This relatively recent return to intervention in the domestic market has led to higher grain output and reduced demand for imports.”</blockquote>And then proceeds to state in ''OECD Agricultural Policy Reform in China 2005'' <ref>[https://www.oecd.org/china/oecdreviewofagriculturalpolicies-china.htm OECD Review of Agricultural Policies - China] ISBN: 9789264012608 </ref>p6 states <blockquote>“Total support to China’s agricultural sector reached USD 41 billion per year in 2000-2003 which is equivalent to 3.3% of China’s GDP in this period. This percentage is much higher than the OECD average and suggests a relatively high burden of agricultural support on the Chinese economy.”</blockquote>Agriculture in China whilst dominated by private family production units at the micro level is dominated by state purchase and distribution at the macro level. This ensures that China is able to feed itself and that supplies of essential grains reach the entire national consumer market. Imports and exports of grain are determined by the state and implemented by its organizations, thus contrary to appearances, Chinese agriculture is dominated by the state.

And in 2009, Derrick Scissors of the Heritage Foundation lays the issue to rest in an article called “Liberalization in Reverse.” He writes:<blockquote>"Examining what companies are truly private is important because privatization is often confused with the spreading out of shareholding and the sale of minority stakes. In China, 100 percent state ownership is often diluted by the division of ownership into shares, some of which are made available to nonstate actors, such as foreign companies or other private investors. Nearly two-thirds of the state-owned enterprises and subsidiaries in China have undertaken such changes, leading some foreign observers to relabel these firms as “nonstate” or even “private.” But this reclassification is incorrect. The sale of stock does nothing by itself to alter state control: dozens of enterprises are no less state controlled simply because they are listed on foreign stock exchanges. As a practical matter, three-quarters of the roughly 1,500 companies listed as domestic stocks are still state owned. "<ref name=":10">[https://www.heritage.org/global-politics/commentary/liberalization-reverse Derek Scissors, Ph.D. “Liberalization in Reverse,” May 4, 2009, Published by The Heritage Foundation]</ref> </blockquote>He also goes onto further elaborate sectors of the economy that the CPC have not once relinquished public ownership of key sectors of industry. <blockquote>"No matter their shareholding structure, all national corporations in the sectors that make up the core of the Chinese economy are required by law to be owned or controlled by the state. These sectors include power generation and distribution; oil, coal, petrochemicals, and natural gas; telecommunications; armaments; Aviation and shipping; machinery and automobile production; information technologies; construction; and the production of iron, steel, and nonferrous metals. The railroads, grain distribution, and insurance are also dominated by the state, even if no official edict says so."<ref name=":10" /></blockquote>Another way the CPC retains public ownership is through the banking system. The People’s Bank of China (PBC) highlights one of the most important ways in which the CPC uses the market system to control private capital and subordinate it to socialism. Far from functioning as a capitalist national bank, which prioritizes facilitating the accumulation of capital by the bourgeoisie, “this system frustrates private borrowers.”<ref name=":10" /> <blockquote>"the state exercises control over most of the rest of the economy through the financial system, especially the banks. By the end of 2008, outstanding loans amounted to almost $5 trillion, and annual loan growth was almost 19 percent and accelerating; lending, in other words, is probably China’s principal economic force. The Chinese state owns all the large financial institutions, the People’s Bank of China assigns them loan quotas every year, and lending is directed according to the state’s priorities."</blockquote>The CPC floods the market with public bonds, which has a crowding-out effect on private corporate bonds that firms use to raise independent capital. This also renders state bonds far more valuable than private bonds and the credit deterioration of non-state bonds is worse than state bonds. State Owned Enterprises receive much more preferential treatment from the government due to this model of flooding state bonds and far more valuable bonds into the market, with comparable private bonds declining in terms of value and being unable to compete. In 2018, this is clearly demonstrated after the implementation of more regulations on the shadow banking market, leading to investors flocking towards much more valuable State bonds over private ones. This inevitably creates a feed back look where state bonds have a "premium" and are objectively more valuable than private ones.<ref>[https://en.saif.sjtu.edu.cn/junpan/Credit.pdf The SOE Premium and Government Support in China’s Credit Marke]t - Zhe Geng and Jun Pan - November 29, 2022</ref> By harnessing supply and demand in the bond market, the PBC prevents private firms, domestic or foreign, from accumulating capital independently of socialist management.  

A 2018 study in the ''Review of Development Finance'' also found that Chinese investment in Africa raises incomes in the African nations that receive the investment, in a similar way to foreign investments by other nations. The author state that these results "suggest that the win-win deal China claims when investing in Africa may hold, and Chinese investment contributes to growth in Africa. Put differently, Chinese investment is mutually beneficial for both China and Africa."<ref>{{Citation|title=On the importance of Chinese investment in Africa.|year=2018|author=Ficawoyi Donou-Adonsou, Sokchea Lim|publisher=Review of Development Finance|doi=10.1016/j.rdf.2018.05.003}}</ref>

===Abandoning of Marxism===

[https://news.cgtn.com/news/3d67544e3230575a306c5562684a335a764a4855/share_p.html LGBT in China: Coming Out with Chinese Characteristics] by [[China Global Television Network|CGTN]]

[https://youtu.be/doAh4ZhGhsY Gay Leap Forward: LGBT in China] by [[China Global Television Network|CGTN]]

 

== See Also ==