Wednesday, April 18, 2012

China’s Economic Reform Requires Political Reform

By Jian Tianlun

China’s economic reforms have reached a critical point, and the economy designed to support the Communist Party’s rule now calls that rule into question.

When Deng Xiaoping proposed economic reforms in 1978, the Chinese Communist Party (CCP) found maintaining its rule difficult. The Chinese economy was about to collapse, and people’s daily living had become a problem.

Wednesday, April 11, 2012

Can China Break the Banking Monopoly?

By Tianlun Jian

Currently, the Chinese mainland banking sector is still dominated by four state-owned banks (Bank of China, Industrial and Commercial Bank of China, Agricultural Bank of China and Construction Bank). China is such a big country, the second largest economy in the world with a population of 1.3 billion, yet it has only a few dozen banks, which coupled with foreign bank branches total one hundred banks at most. In contrast, the U.S. has 300 million people, yet more than 7,000 banks. Among the one hundred banks in China, four state-owned banks control more than 80% of the business.