Jonathon highlights what I thought was the most interesting point out of the recent communique.
I tend to look at things from a company/sector perspective, and for me this represented the CCP’s effort to adapt the vast administrative bureaucracy to align with the operational and realities of shifting sectoral priorities.
Allow me to explain below in this 🧵
Property and infrastructure development were two of the key economic development priorities from the mid-2000s to the early 2020s.
Both property and infrastructure (especially "traditional" infrastructure like highways and bridges) were highly localized in nature. Land is central to both efforts, and land use falls…
Jonathon highlights what I thought was the most interesting point out of the recent communique.
I tend to look at things from a company/sector perspective, and for me this represented the CCP’s effort to adapt the vast administrative bureaucracy to align with the operational and realities of shifting sectoral priorities.
Allow me to explain below in this 🧵
Property and infrastructure development were two of the key economic development priorities from the mid-2000s to the early 2020s.
Both property and infrastructure (especially "traditional" infrastructure like highways and bridges) were highly localized in nature. Land is central to both efforts, and land use falls under the jurisdiction of local governments.
Thus, it made sense for executive power to be decentralized to the local governments: Beijing simply cannot effectively manage land development in Guizhou.
This leads to a whole other set of issues, as there is a wide variation in local government competence. The manifestation of these issues has been widely discussed (e.g. LGFVs) but that is not the scope of this thread.
The question here is now that economic development priorities have shifted, how should the bureaucracy adapt from a centralization vs. de-centralization perspective?
And to do that again we need to understand how the differentiated nature of the new priority sectors map against this question of centralized vs. de-centralized administration.