Some China reading

A few weeks ago, I noted that there seemed to be some pretty compelling reasons to be pessimistic about China's economy. If there was something fundamentally flawed in what Friedman says, I would like to hear the explanation.

On the issue of potential political instability, there have been a few articles around this week of interest. First, this one (reprinted from the WSJ by the looks) paints a glum picture of the potential for reform:

Many in the West think that Chinese growth has created an independent middle class that will push for greater political freedom. But what exists in China, Mr. Mao argues, is not a traditional middle class but a class of parvenus, newcomers who work in the military, public administration, state enterprises or for firms ostensibly private but in fact Party-owned.

The Party picks up most of the tab for their mobile phones, restaurant bills, "study" trips abroad, imported luxury cars and lavish spending at Las Vegas casinos. And it can withdraw these advantages at any time. In March, China announced that it would introduce individual property rights for the parvenus (though not for the peasants). They will now be able to pass on to their children what they have acquired—another reason that they aren't likely to push for the democratization of the regime that secures their status.

Earlier in the article, it notes that the size of the middle class as follows:

...200 million of China's subjects, fortunate to work for an expanding global market, are increasingly enjoying a middle-class standard of living. The remaining one billion, however, are among the poorest and most exploited people in the world, lacking even minimal rights and public services.

The New Yorker, meanwhile, runs a lengthy article on a political prisoner. It's a pretty interesting read that covers a lot of Chinese modern history.

Finally, China continues in the tradition of nations founded as worker's paradises which have appalling workers' safety standards. Today's news is of a particularly gruesome accident:

At least 32 workers were killed and two injured today when they were buried in white-hot molten steel at a metal factory in North East China, officials said.

The mishap was triggered when a 30-tonne-capacity steel ladle sheared off from the blast furnace, spilling liquid metal onto the factory floor three metres below.

The molten steel engulfed an adjacent room where workers had gathered for a routine shift change, the State Work Safety Administration said.