Beijing's Anxiety
Summary
Almost half of the Chinese Communist Party's local secretaries have been called back to Beijing for further indoctrination and training. These chiefs are Beijing's front line troops in the country's great contradictory effort: opening the economy while maintaining tight political control. These low-ranking officials occupy the pivotal point at which the party and business intersect, and Beijing is signaling that they may not be up to the job.
Analysis
For the first time in more than 50 years Communist Party chiefs at the county level have been summoned to Beijing for indoctrination and management training. More than 2,000 party secretaries - nearly half the total in China - will undertake advanced studies at the Central Party School. This is the party's top educational institution, formerly reserved for high officials.
The training program highlights Beijing's concern with the interaction between politics and economics at the local level. Though they make thousands of decisions about which companies will thrive and which will not, these local officials are a long way from the center of power and often prone to bribery. Beijing clearly sees its authority slipping at the most significant level - this interface between the party and the masses - and appears to be taking emergency measures to bolster its authority.
County authorities form a critical link between the Communist Party and the people. Many are elected by popular vote. Counties are the lowest levels of the party with the power to form standing committees - which is where much of the real work of governance is done. Though the lowest officials with real power - and the most distant from Beijing - these people are critical to the government's control of the regions. ________________________________________________________________ Would you like to see full text? stratfor.com ___________________________________________________________________
On Aug. 7, Hong Kong iMail reported that Chinese authorities are hiring additional lecturers and building additional classrooms and dormitories at the Central Party School campus in western Beijing. The paper reported that it would take at least three years to complete the training courses for the 2,000 party heads. The courses will last six months, longer than the four months allotted for ministerial officials.
The entire process is unorthodox, considering that local Communist officials have their own schools, usually at the provincial or municipal level. This high-level attention underscores the importance Beijing attaches to this training. The secretaries are to "advance their ideology, [at the] professional and managerial level," according to sources cited by iMail.
This massive educational effort appears to be an attempt to buttress the party at what is simultaneously its weakest and most critical point. The Chinese government is constantly attempting to manage the pains of economic growth, for example weighing the economic benefits of shutting down inefficient state-owned enterprises against the social costs -- and political risks - of increasing the number of unemployed workers.
While Beijing is attempting to handle questions about the roles of multinational corporations and large Chinese companies in a state- controlled economy, local authorities deal with much lower profile, but myriad companies. The tens of thousands of small- and medium- sized businesses are the real engines of economic growth. County authorities need to make thousands of delicate, difficult decisions - which cumulatively add up to a large portion of the national economy. _______________________________________________________________
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These officials have to resolve the tension between economic reform and social stability, and operationalize central policy on a daily basis. This is especially true if China becomes a member of the World Trade Organization (WTO). If accepted, the country will likely have to liberalize its agricultural sector, which will involve thousands of low-level decisions involving millions of farmers.
But distance makes it difficult to double-check their judgement, and erodes the central government's authority. Central officials often lack sufficient power and are prone to corruption. Beijing clearly sees its authority slipping at the most significant level and appears to be taking emergency steps to bolster its authority.
This training program is an attempt to prepare the local authorities to make the decisions that will set the course for the economy. _______________________________________________________________
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