Weekend Read- Global Economics: When China Is Not Just China
(By Derek Scissors, Ph.D. ) The Heritage Foundation Posted by- Neelam Mathews Jan 20, 2012 The People’s Republic of China’s (PRC’s) relationship with Iran receives a good deal of attention. As the U.S. considers how to stop Iran’s nuclear weapons program short of military action, the PRC is considered vital in ensuring economic sanctions are effective. But it has been difficult to win Chinese cooperation in applying sanctions. One mistake the U.S. may have made is treating China as a unified entity. It is true, of course, that the PRC has a tightly controlled political system. There is one ruling party, a powerless legislature, and muzzled debate. Even so, distinct interests have emerged. State-owned enterprises rarely operated internationally a decade ago and, if they did, unfailingly followed the central government line, as when China Unicom was nationalized in 1999. One outcome of state-led development since 2003 is powerful growth by state firms. By some measures, Stat...