China’s Controlled Liberalization Domestic Economic Reforms & Their Strategic Global Consequences

Abstract

This is an investigation of China's experience of ‘controlled liberalization', which is unique form of economic reform that occurs within an authoritarian political system. The western liberal notion that Pareconomy entails Parepolitics is not, however, shared by China, where Pareconomy is put together with Party control. China has also, since the late 20th century, introduced more marketizations and a more powerful presence of the state in strategic industries, private businesses, technology and particularly political activities and life in general, particularly under Xi Jinping. These aspects of this model, such as state capitalism, technological governance, corporate regulation, the Belt and Road Initiative, and digital surveillance are examined. It contends that the Chinese hybrid form of governance has helped them quickly industrialize, technologically advance, and influence the world, while also maintaining stability in a highly authoritarian state. Finally, the research indicates that emulation of the China model provides a way to engage in modernization for developing states that do not wish for liberal democracy. The response of the Chinese State to liberalization, a process the Chinese government has carefully promoted, has resulted in the reconfiguration of the global economic governance system and helped to make international affairs more multipolar.