Is China Failing or Thriving? – David Hebert

China 's economic system (party-state capitalism) allows the Communist Party to direct the nation’s resources toward politically determined ends.

China has a storied history of politically determining the Chinese economy, specifically for manufacturing, specifically.

This can only be done by taxing citizens and workers in other industries that can be allocated to the government.

The Chinese government has used every trick in the book to get around this, writes Andrew Keen .

Keen: China 's economic system of party-state capitalism is incompatible with long-term, sustained economic progress.

Keen says the Chinese economy will continue to fluctuate between soaring heights and crushing lows for foreseeable future.