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German Businesses Bet Big on China, and They're Starting to Worry - The New York Times - 0 views

  • Long a linchpin of Chinese trade in Europe, Germany is increasingly caught in the diplomatic tussle between the world’s two largest economies — wooed by China but urged by Washington to move further away from Beijing
  • These companies provide the majority of Germany’s economic output, according to some studies. They employ 60 percent of its workers, and make up 99 percent of its private sector — a higher percentage than in any industrialized nation in the world.
  • These companies, known in German as the “Mittelstand,” are struggling to create a model for the future, as the country’s socioeconomic order begins to falter under the weight of stalled modernization and ruptures in global politics.
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  • Some executives like Mr. Haeusgen are embracing transformation, testing new strategies and markets. Other businesses, however, are wary of abandoning a model that for decades enabled Germany to thrive but defied change.
  • Hawe’s handling of international affairs is not just a concern for its 2,700 employees. The economies of some German towns depend on it.
  • In Kaufbeuren, a brightly painted Bavarian town nestled below the Alps, Hawe is a top employer. In the tiny village of Sachsenkam, 60 miles to the west, Hawe provides 250 jobs — the next largest employer is the local brewery, with a staff of 17.
  • “It’s like we were successful for too long,” said Stefan Bosse, the mayor of Kaufbeuren, who is keen to attract other businesses to diversify the employers his town relies on. “Now, gradually, we see: ‘Uh oh — this is not a given. This can also be endangered.’
  • The archetypal Mittelstand company is based in a rural German town, making a piece of equipment few have heard of, but that is crucial for goods worldwide — like a screw needed for every airplane or passenger car.
  • The government, too, has a poor record in shedding outdated practices — like its labyrinth, paperwork-based bureaucracy. In 2017, it vowed by 2022 to digitalize its 575 most used services, like company registrations. A year past that deadline, said Mr. Bianchi, only 22 percent of those services are online.
  • “The German business model, particularly Mittelstand, is being extremely good at doing one thing: Slowly but steadily perfecting one product,” said Mathias Bianchi, spokesman for the German Mittelstand Association. “Because that worked so well for years, they had no need to adapt to changes. But now, they need to adjust to the new economic reality.”
  • Even as the tech revolution and climate change added strain in recent decades, Germany’s model plodded profitably along.
  • But the pillars it relied on to do that — cheap Russian natural gas and the Chinese market — are collapsing.
  • Staking out a socioeconomic transformation for the country, pledged by Chancellor Olaf Scholz’s coalition government, has become a source of national anxiety.
  • Like its population, Germany’s business owners and entrepreneurs are aging — the average Mittelstand association member is 55.
  • Some are resistant to adapting to new technologies and cling to a loyalty-based system that created lifetime employees — and customers
  • How Hawe and other midsize German companies navigate these new global forces will be critical to the country’s future prosperity. Though Germany’s 20th century success as the economic powerhouse of Europe is often seen through its biggest brands — like Volkswagen, Mercedes and Siemens — it is small and medium enterprises that are the backbone of its economy.
  • Such failures makes businesses wary of transformation plans the government says will be costly now, but will make Germany a diversified, digitized and climate neutral economy.
  • Over half the companies polled did not want to expand in Germany, and a quarter were considering relocating.
  • Marita Riesner, inspecting parts, said her heating costs spiked to 740 euros ($803) a month from 120 euros ($130). She and her neighbors are growing vegetable gardens to ease the pain of inflation as the country dips into recession.
  • “I was a very positive thinker before,” she said. “But these days, I’m sweating it. It seems a lot is going wrong.”
  • Should geopolitical events disrupt business with China, Mr. Haeusgen said, the consequences could eliminate more than half of Hawe’s jobs in Kaufbeuren. Currently, he said, 20 percent of Hawe’s business comes from China.
  • Some business groups raised alarm in recent years over Germany’s vast exposure to China — before the risks were taken seriously by former chancellor Angela Merkel’s government, which had heavily encouraged German-Chinese trade.
  • Today, some policymakers privately worry that an event like a Chinese attack on Taiwan would be an inescapable disaster for Germany’s economy. The government is now pushing “de-risking” by finding alternatives to trade with China.
  • The new socioeconomic model for Germany may be less about erecting pillars than managing an ever more intricate, international juggling act.
  • German officials say their strategy will maintain ties to China, but will counterbalance that by strengthening relationships with other nations, like India or Vietnam
  • The Mittelstand is doing the same: Hawe is investing heavily in India, where it plans to build a new plant, and other companies are looking to North America.
  • “It used to be that we made a majority of sales with three customers from China,” he said. “Now we have many, many smaller customers scattered all over the globe.
  • Instead of making a few parts at a huge scale, as cheaply as possible, Hawe must make a wide variety of parts for an array of customers, as quickly as possible.
  • But major brands like Volkswagen and BASF insist that China, as the world’s second-largest economy, is too important a market to give up. Such German-based multinationals are responsible for a 20 percent rise in foreign direct investment in China this year.
  • “Being able to live with and manage uncertainty and to handle complexity becomes, in my opinion, a core strength,” Mr. Haeusgen said. “The way my grandpa did it won’t work today.”
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OpenAI CEO Calls for Collaboration With China to Counter AI Risks - WSJ - 0 views

  • As the U.S. seeks to contain China’s progress in artificial intelligence through sanctions, OpenAI CEO Sam Altman is choosing engagement.
  • Altman emphasized the importance of collaboration between American and Chinese researchers to mitigate the risks of AI systems, against a backdrop of escalating competition between Washington and Beijing to lead in the technology. 
  • China has some of the best AI talent in the world,” Altman said. “So I really hope Chinese AI researchers will make great contributions here.”
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  • Altman and Geoff Hinton, a so-called godfather of AI who quit Google to warn of the potential dangers of AI, were among more than a dozen American and British AI executives and senior researchers from companies including chip maker Nvidia and generative AI leaders Midjourney and Anthropic who spoke at the conference. 
  • “This event is extremely rare in U.S.-China AI conversations,” said Jenny Xiao, a partner at venture-capital firm Leonis Capital and who researches AI and China. “It’s important to bring together leading voices in the U.S. and China to avoid issues such as AI arms racing, competition between labs and to help establish international standards,” she added.
  • By some metrics, China now produces more high-quality research papers in the field than the U.S. but still lags behind in “paradigm-shifting breakthroughs,” according to an analysis from The Brookings Institution. In generative AI, the latest wave of top-tier AI systems, China remains one to two years behind U.S. development and reliant on U.S. innovations, China tech watchers and industry leaders have said. 
  • The competition between Washington and Beijing belies deep cross-border connections among researchers: The U.S. and China remain each other’s number one collaborators in AI research,
  • During a congressional testimony in May, Altman warned that a peril of AI regulation is that “you slow down American industry in such a way that China or somebody else makes faster progress.”
  • At the same time, he added that it was important to continue engaging in global conversations. “This technology will impact Americans and all of us wherever it’s developed,”
  • Altman delivered the opening keynote for a session dedicated to AI safety and alignment, a hotly contested area of research that aims to mitigate the harmful impacts of AI on society. Hinton delivered the closing talk for the same session later Saturday, also dialing in. He presented his research that had made him more concerned about the risks of AI and appealed to young Chinese researchers in the audience to help work on solving these problems.
  • “Over time you should expect us to open-source more models in the future,” Altman said but added that it would be important to strike a balance to avoid abuses of the technology.
  • He has emphasized cautious regulation as European regulators consider the AI Act, viewed as one of the most ambitious plans globally to create guardrails that would address the technology’s impact on human rights, health and safety, and on tech giants’ monopolistic behavior.
  • Chinese regulators have also pressed forward on enacting strict rules for AI development that share significant overlap with the EU act but impose additional censorship measures that ban generating false or politically sensitive speech.
  • Tegmark, who attended in person, strode onto the stage smiling and waved at the crowd before opening with a few lines of Mandarin.
  • “For the first time now we have a situation where both East and West have the same incentive to continue building AI to get to all the benefits but not go so fast that we lose control,” Tegmark said, after warning the audience about catastrophic risks that could arise from careless AI development. “This is something we can all work together on.”
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The New AI Panic - The Atlantic - 0 views

  • export controls are now inflaming tensions between the United States and China. They have become the primary way for the U.S. to throttle China’s development of artificial intelligence: The department last year limited China’s access to the computer chips needed to power AI and is in discussions now to expand the controls. A semiconductor analyst told The New York Times that the strategy amounts to a kind of economic warfare.
  • If enacted, the limits could generate more friction with China while weakening the foundations of AI innovation in the U.S.
  • The same prediction capabilities that allow ChatGPT to write sentences might, in their next generation, be advanced enough to produce individualized disinformation, create recipes for novel biochemical weapons, or enable other unforeseen abuses that could threaten public safety.
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  • Of particular concern to Commerce are so-called frontier models. The phrase, popularized in the Washington lexicon by some of the very companies that seek to build these models—Microsoft, Google, OpenAI, Anthropic—describes a kind of “advanced” artificial intelligence with flexible and wide-ranging uses that could also develop unexpected and dangerous capabilities. By their determination, frontier models do not exist yet. But an influential white paper published in July and co-authored by a consortium of researchers, including representatives from most of those tech firms, suggests that these models could result from the further development of large language models—the technology underpinning ChatGPT
  • The threats of frontier models are nebulous, tied to speculation about how new skill sets could suddenly “emerge” in AI programs.
  • Among the proposals the authors offer, in their 51-page document, to get ahead of this problem: creating some kind of licensing process that requires companies to gain approval before they can release, or perhaps even develop, frontier AI. “We think that it is important to begin taking practical steps to regulate frontier AI today,” the authors write.
  • Microsoft, Google, OpenAI, and Anthropic subsequently launched the Frontier Model Forum, an industry group for producing research and recommendations on “safe and responsible” frontier-model development.
  • Shortly after the paper’s publication, the White House used some of the language and framing in its voluntary AI commitments, a set of guidelines for leading AI firms that are intended to ensure the safe deployment of the technology without sacrificing its supposed benefit
  • AI models advance rapidly, he reasoned, which necessitates forward thinking. “I don’t know what the next generation of models will be capable of, but I’m really worried about a situation where decisions about what models are put out there in the world are just up to these private companies,” he said.
  • For the four private companies at the center of discussions about frontier models, though, this kind of regulation could prove advantageous.
  • Convincing regulators to control frontier models could restrict the ability of Meta and any other firms to continue publishing and developing their best AI models through open-source communities on the internet; if the technology must be regulated, better for it to happen on terms that favor the bottom line.
  • The obsession with frontier models has now collided with mounting panic about China, fully intertwining ideas for the models’ regulation with national-security concerns. Over the past few months, members of Commerce have met with experts to hash out what controlling frontier models could look like and whether it would be feasible to keep them out of reach of Beijing
  • That the white paper took hold in this way speaks to a precarious dynamic playing out in Washington. The tech industry has been readily asserting its power, and the AI panic has made policy makers uniquely receptive to their messaging,
  • “Parts of the administration are grasping onto whatever they can because they want to do something,” Weinstein told me.
  • The department’s previous chip-export controls “really set the stage for focusing on AI at the cutting edge”; now export controls on frontier models could be seen as a natural continuation. Weinstein, however, called it “a weak strategy”; other AI and tech-policy experts I spoke with sounded their own warnings as well.
  • The decision would represent an escalation against China, further destabilizing a fractured relationship
  • Many Chinese AI researchers I’ve spoken with in the past year have expressed deep frustration and sadness over having their work—on things such as drug discovery and image generation—turned into collateral in the U.S.-China tech competition. Most told me that they see themselves as global citizens contributing to global technology advancement, not as assets of the state. Many still harbor dreams of working at American companies.
  • “If the export controls are broadly defined to include open-source, that would touch on a third-rail issue,” says Matt Sheehan, a Carnegie Endowment for International Peace fellow who studies global technology issues with a focus on China.
  • What’s frequently left out of considerations as well is how much this collaboration happens across borders in ways that strengthen, rather than detract from, American AI leadership. As the two countries that produce the most AI researchers and research in the world, the U.S. and China are each other’s No. 1 collaborator in the technology’s development.
  • Assuming they’re even enforceable, export controls on frontier models could thus “be a pretty direct hit” to the large community of Chinese developers who build on U.S. models and in turn contribute their own research and advancements to U.S. AI development,
  • Within a month of the Commerce Department announcing its blockade on powerful chips last year, the California-based chipmaker Nvidia announced a less powerful chip that fell right below the export controls’ technical specifications, and was able to continue selling to China. Bytedance, Baidu, Tencent, and Alibaba have each since placed orders for about 100,000 of Nvidia’s China chips to be delivered this year, and more for future delivery—deals that are worth roughly $5 billion, according to the Financial Times.
  • In some cases, fixating on AI models would serve as a distraction from addressing the root challenge: The bottleneck for producing novel biochemical weapons, for example, is not finding a recipe, says Weinstein, but rather obtaining the materials and equipment to actually synthesize the armaments. Restricting access to AI models would do little to solve that problem.
  • there could be another benefit to the four companies pushing for frontier-model regulation. Evoking the specter of future threats shifts the regulatory attention away from present-day harms of their existing models, such as privacy violations, copyright infringements, and job automation
  • “People overestimate how much this is in the interest of these companies,”
  • AI safety as a domain even a few years ago was much more heterogeneous,” West told me. Now? “We’re not talking about the effects on workers and the labor impacts of these systems. We’re not talking about the environmental concerns.” It’s no wonder: When resources, expertise, and power have concentrated so heavily in a few companies, and policy makers are seeped in their own cocktail of fears, the landscape of policy ideas collapses under pressure, eroding the base of a healthy democracy.
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China Rules Solar Energy, but Its Industry at Home Is in Trouble - The New York Times - 0 views

  • Over the past 15 years, China has come to dominate the global market for solar energy. Nearly every solar panel on the planet is made by a Chinese company. Even the equipment to manufacture solar panels is made almost entirely in China. The country’s solar panel exports, measured by how much power they can produce, jumped another 10 percent in May over last year.
  • But China’s solar panel domestic industry is in upheaval.
  • Wholesale prices plummeted by almost half last year and have fallen another 25 percent this year. Chinese manufacturers are competing for customers by cutting prices far below their costs, and still keep building more factories.
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  • Stock prices of its five biggest makers of panels and other equipment have halved in the past 12 months. Since late June, at least seven large Chinese manufacturers have warned that they will announce heavy losses for the first half of this year.
  • The turmoil in the solar energy sector amid enormous factory capacity and booming exports highlights how China’s industrial policymaking works. The government decided 15 years ago to put extensive support behind solar power, and then let the companies claw it out. Beijing has shown a high tolerance for letting firms stumble and even fail in large numbers.
  • Something similar is happening in the automotive sector. Annual car sales in China are around 25 million a year, more than any other country but barely half the country’s ability to make vehicles. So automakers in China are now following the solar industry’s lead in cutting prices sharply and ramping up exports.
  • China’s approach can lead to big financial losses for local governments, state investment funds and state-supported banks, all of which bankroll companies in favored industries.
  • Sunzone’s rivals, including Tongwei and Longi Green Energy Technology, gained formidable economies from large-scale production. They have plowed part of their extra revenue into developing solar panels that are increasingly efficient at converting sunlight into electricity.
  • The rise and fall of Hunan Sunzone Optoelectronics in Changsha, the capital of Hunan Province in south-central China, is a case study of how China’s policies work.
  • “It’s a very expensive development model, but it produces national champions quite reliably,” said David R. Hoffman, a senior adviser on China for the Conference Board, a global business group.
  • Despite the financial help, Sunzone’s factory now sits empty. A large “Sunzone” sign on the second floor rusts in the swampy heat of Changsha. The only person still working at the site on a recent afternoon, a security guard, said that manufacturing equipment was removed in January and the factory was set to be demolished and turned into office buildings.
  • Sunzone epitomizes how lavish lending from state-owned banks and generous local subsidies have produced manufacturing overcapacity. Solar companies cut costs and prices sharply to maintain market share. That led to a few low-cost survivors while many other competitors were driven out of business in China and around the world.
  • China’s banks, acting at Beijing’s direction, have lent so much money to the sector for factory construction that the country’s solar factory capacity is roughly double the entire world’s demand.
  • Started in 2008, the solar panel manufacturer benefited early on from practically every possible subsidy. It got 22 acres of prime downtown land in the heart of the city almost for free. One of China’s biggest state-owned banks arranged a loan at a low interest rate. The Hunan provincial government then agreed to pay most of the interest.
  • Many other factories, like Sunzone’s, quickly become obsolete.
  • “Enterprises continue to put advanced production capacity into operation to maintain competitiveness” said Zhang Jianhua, director of China’s National Energy Administration, at a news conference last month. “At the same time, the outdated production capacity is still extensive and needs to be gradually phased out.”
  • Compounding the problems facing China’s solar energy companies is the rapid disappearance of local subsidies. Local governments are running out of money as a housing crisis makes it hard for them to sell long-term leases on state land to real estate developers — previously their biggest source of cash.
  • Partly because of worries about Chinese subsidies, President Biden last month allowed steep tariffs that had expired to go back into force on solar products imported from Southeast Asia that use lots of Chinese components. And the Department of Commerce has begun trade cases against imported solar panels that could lead to further tariffs.
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Imperialism Will Be Dangerous for China - WSJ - 0 views

  • Lenin defined imperialism as a capitalist country’s attempt to find markets and investment opportunities abroad when its domestic economy is awash with excess capital and production capacity. Unless capitalist powers can keep finding new markets abroad to soak up the surplus, Lenin theorized, they would face an economic implosion, throwing millions out of work, bankrupting thousands of companies and wrecking their financial systems. This would unleash revolutionary forces threatening their regimes.
  • Under these circumstances, there was only one choice: expansion. In the “Age of Imperialism” of the 19th and early-20th centuries, European powers sought to acquire colonies or dependencies where they could market surplus goods and invest surplus capital in massive infrastructure projects.
  • Ironically, this is exactly where “communist” China stands today. Its home market is glutted by excess manufacturing and construction capacity created through decades of subsidies and runaway lending. Increasingly, neither North America, Europe nor Japan is willing or able to purchase the steel, aluminum and concrete China creates. Nor can China’s massively oversized infrastructure industry find enough projects to keep it busy. Its rulers have responded by attempting to create a “soft” empire in Asia and Africa through the Belt and Road Initiative.
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  • Too many powerful interest groups have too much of a stake in the status quo for Beijing’s policy makers to force wrenching changes on the Chinese economy. But absent major reforms, the danger of a serious economic shock is growing.
  • China’s problems today are following this pattern. Pakistan, the largest recipient of BRI financing, thinks the terms are unfair and wants to renegotiate. Malaysia, the second largest BRI target, wants to scale back its participation since pro-China politicians were swept out of office. Myanmar and Nepal have canceled BRI projects. After Sri Lanka was forced to grant China a 99-year lease on the Hambantota Port to repay Chinese loans, countries across Asia and Africa started rereading the fine print of their contracts, muttering about unequal treaties.
  • But as Lenin observed a century ago, the attempt to export overcapacity to avoid chaos at home can lead to conflict abroad. He predicted rival empires would clash over markets, but other dynamics also make this strategy hazardous. Nationalist politicians resist “development” projects that saddle their countries with huge debts to the imperialist power. As a result, imperialism is a road to ruin.
  • The Belt and Road Initiative was designed to sustain continued expansion in the absence of serious economic reform. Chinese merchants, bankers and diplomats combed the developing world for markets and infrastructure projects to keep China Inc. solvent. In a 2014 article in the South China Morning Post, a Chinese official said one objective of the BRI is the “transfer of overcapacity overseas.”
  • China’s chief problem isn’t U.S. resistance to its rise. It is that the internal dynamics of its economic system force its rulers to choose between putting China through a wrenching and destabilizing economic adjustment, or else pursuing an expansionist development policy that will lead to conflict and isolation abroad
  • that with the right economic policies, a mix of rising purchasing power and international economic integration can transcend the imperialist dynamics of the 19th and early 20th centuries. But unless China can learn from those examples, it will remain caught in the “Lenin trap”
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Think Covid's Messed Up Your Travel Plans? Try Getting Into China. - The New York Times - 0 views

  • For the past year, people trying to go to China have run into some of the world’s most formidable barriers to entry. To stop the coronavirus, China bans tourists and short-term business travelers outright, and it sets tough standards for all other foreigners, even those who have lived there for years.
  • Other countries have their own travel restrictions, though few are as tight. The United States, for example, bans foreigners traveling directly from China unless they are green card holders or certain immediate family members of American citizens. It also bans foreigners leaving from Europe, as well as Brazil and other countries.
  • China was the only major economy to grow last year. It knows businesses will find a way to keep their Chinese operations running, with or without expatriates, and it is betting that they will come back when the pandemic eases. At the same time, China’s restrictions highlight the inadequacies of its vaccine rollout, which has been slow compared to those of the United States, Britain and other countries.
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  • At the end of last year, it essentially stopped allowing anyone to bring a spouse or child into the country. Since January, travelers arriving in Beijing from countries with severe outbreaks have had to endure weekly anal swab tests while in quarantine, with fecal material tested for traces of the virus. The measure prompted indignant complaints from the United States and Japan.
  • Nearly 13,000 international students being kept out of China signed an online petition urging Beijing to allow them to return, while others launched a Twitter campaign called #TakeUsBackToChina
  • In late September, the government announced that people with expired residence permits could return to China after applying for a visa. Ms. Astbury Allen rushed to apply for one in October. But by the time she reached a visa center, the rules had already changed.China announced on Nov. 4 that it would temporarily suspend the entry of foreigners from Britain, even if they had visas or valid residence permits. It described the move as a “temporary response” as cases of Covid-19 surged in Britain.
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Top U.S., China Officials to Meet Next Week in Alaska on Range of Issues - WSJ - 0 views

  • WASHINGTON—Top U.S. and Chinese officials are set to hold talks next week in the first high-level in-person meeting between the two powers since President Biden took office, after months of deteriorating ties.
  • Topics will include the Covid-19 pandemic, climate change, and issues of disagreement including China’s stance on Hong Kong and pressure on Taiwan, and the “undeclared economic embargoes” China has placed on Australia, a senior administration official said. The U.S. will also discuss Chinese practices seen as damaging to American workers and farmers, as well as intellectual property theft, forced technology transfer and human rights, the official said.
  • The sit-down comes as the contours of the Biden administration’s China policy take shape. Part of that centers on bolstering the U.S.’s economic competitiveness and its lead in cutting-edge technologies like semiconductors. Senate Majority Leader Chuck Schumer (D., N.Y.) recently instructed committee chairs to craft legislation to promote investments in American research and manufacturing, including semiconductor production, augmenting administration efforts.
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  • Asian nations are also wary of getting caught in the middle of a battle between China, a major investor and market for their goods, and the U.S., for whom they rely on for security. The U.S., for instance, has offered rhetorical support for Australia, which has seen China cut off imports of Australian coal, wine and other goods over Canberra’s call for an independent investigation of how China handled the emergence of the coronavirus.
  • The cabinet secretaries’ visits next week will be their first trips overseas since taking office and, the State Department said, are meant to underscore the U.S. commitment to these alliances and the region’s security.
  • On Friday, Mr. Biden will host a virtual summit with other leaders of the so-called Quad, a strategic group seen as a bulwark against Chinese expansionism that includes Australia, Japan and India.
  • Relations, strained for years, pitched down last year as the Trump administration ramped up its drive to roll back China’s global influence, bolster support for partners such as Taiwan and confront Beijing over alleged espionage, its crackdowns on Hong Kong and in the Muslim-region of Xinjiang, and other policies seen as inimical to U.S. interests.
  • The U.S. hasn’t named its representative but for the Chinese it will be Ma Jun, a World Bank veteran and former chief economist at the People’s Bank of China who is an expert on environmentally sustainable finance.
  • “I told him I will work with China when it benefits the American people,” Mr. Biden tweeted afterward. Mr. Xi also pledged cooperation and told his counterpart a confrontation between the two powers would be a disaster, according to Chinese media.
  • The survey, which was conducted by Beacon Research and Shaw and Company Research, also found that 28% of Americans believe the U.S. should prioritize its military resources toward Asia, compared with the Middle East, which was second at 21%.
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Joe Biden can't stop thinking about China and the future of American democracy - CNN Po... - 0 views

  • Sitting in the Oval Office, one of Biden’s economic advisers had just pointed out that China was dominating the battery market, launching the President into a riff about the need to make the necessary investments to counter China’s dominance in that industry.
  • “My job is to show people that government has a role and that this loss of public trust in government can be rebuilt,” Biden said, according to an aide in the room who was taking notes. “And this is a concrete way we do it.”
  • Senior White House aides said the concept is constantly on Biden’s mind – a “central organizing principle,” in the words of one senior official. It informs his approach to most major topics and the President regularly raises it in meetings, whether he is discussing foreign policy or electric bus batteries. And aides say Biden believes it is a key test by which historians will judge his presidency.
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  • He is concerned about the rise of autocrats around the world but pays special attention to China these days.
  • “He’s deadly earnest on becoming the most significant, consequential nation in the world,” Biden said of Chinese President Xi Jinping during his address to Congress on Wednesday, departing from his prepared remarks. “He and others – autocrats – think that democracy can’t compete in the 21st century with autocracies.”
  • “A big part of it is looking out at Xi Jinping’s China, Vladimir Putin’s Russia and the pitch that they are making more overtly now than ever before … that the autocratic model, the non-democratic model is a better model for actually solving problems,” Biden’s national security adviser Jake Sullivan told CNN. “And Joe Biden in his bones believes they are wrong.”
  • “Things are changing so rapidly in the world in science and technology and a whole range of other issues that – the question is: In a democracy that’s such a genius as ours, can you get the consensus in the timeframe that can compete with autocracy?” Biden told TV anchors on Wednesday ahead of his congressional address. “Xi does not believe we can. That’s what he’s betting on.” It’s one of the reasons why aides say Biden prioritized passing the safety net expansion included in the $1.9 trillion American Rescue Plan and tackling a sweeping infrastructure bill, rather than thornier progressive policies like immigration reform and gun control. And in turn, Biden has used this clarion call as a central part of his pitch for the sweeping set of government investments and programs topping his agenda, namely his $4 trillion, two-pronged package that contains proposed investments in infrastructure, manufacturing, education and child care.
  • A senior White House official, who requested anonymity to speak more candidly, said Biden’s perspective on the rise of autocracies and the threat to democracy was “magnified by seeing some of those same characteristics reflected in the American president (Trump) and the American government for the last four years.”
  • Sitting in the Oval Office in early February, surrounded by his foreign policy team, Biden was mulling what kind of message he wanted to deliver at his first Group of 7 summit, when he craned his neck and pointed up at the hulking portrait of President Franklin D. Roosevelt adorning the wall behind him.
  • Just as Roosevelt led the US through a pivotal decade in which democracy was threatened, Biden told his aides he believed the US was at a similar inflection point. With autocracies like China on the rise, the US – and by extension his presidency – would be judged, at least in part, on the ability to answer a fundamental question: Can the US demonstrate that democracy works?
  • On the domestic front, Biden’s views on that inflection point also informed decisions as he and his team of senior advisers began crafting his legislative priorities early in his presidency.
  • Still, even with language aimed at appealing to Republicans who have harped on the threat that China represents, Biden does not appear any closer to getting the 10 Republicans he would need to pass the infrastructure package he proposed without using the partisan budget reconciliation proces
  • For now, Biden’s main argument is his $1.9 trillion coronavirus relief bill and his handling of the pandemic, marked by a steady increase in vaccines and a return to a science-based approach. Officials said they hope those demonstrations of competence will reflect well on the US’s image abroad.
  • “The power of America’s example is a power to influence the choices of other countries, whether they’re going to be transparent, respect human rights and deliver good governance to their citizens or go the route of a China or Russia. That comes down in part to America showing the world that its model can effectively deliver for its citizens,” Sullivan said. “He believes a world in which there are more like-minded capable democracies is a world that is more hospitable to American interests and values.”
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China's Birthrate Hits Historic Low, in Looming Crisis for Beijing - The New York Times - 0 views

  • he number of babies born in China last year fell to a nearly six-decade low, exacerbating a looming demographic crisis that is set to reshape the world’s most populous nation and threaten its economic vitality.
  • About 14.6 million babies were born in China in 2019, according to the National Bureau of Statistics. That was a nearly 4 percent fall from the previous year, and the lowest official number of births in China since 1961
  • Births in China have now fallen for three years in a row. They had risen slightly in 2016, a year after the government ended its one-child policy and allowed couples to have two children, a shift that officials hoped would drive a sustained increase in the number of newborns. But that has not materialized.
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  • Experts say the slowdown is rooted in several trends, including the rise of women in the work force who are educated and don’t see marriage as necessary to achieving financial security, at least for themselves. For Chinese couples, many cannot afford to have children as living costs increase and their jobs demand more time and energy. And attitudes have shifted.
  • While many countries are struggling with low fertility rates and aging populations, these issues are even more pressing in China, because the country’s underdeveloped social safety net means that most older adults rely heavily on their families to pay for health care, retirement and other expenses.
  • the slowing birthrate has meant that China’s main state pension fund, which relies on tax revenues from its work force, risks running out of money by 2035 because of a decline in the number of workers
  • Despite the looming demographic crisis, the government still maintains tight control over reproduction.
  • The government’s effort to raise the birthrate is also running into broader economic and social changes. Education, housing and health care costs are rising. More women are getting university degrees and are reluctant to interrupt their careers. Some among the current generation of women of childbearing age, themselves the product of the “one child” policy, don’t see what the fuss about offspring is all about.
  • China’s total fertility rate — an estimate of the number of babies a woman would have over her lifetime — has fallen to 1.6 children per woman, and for years has generally remained below the “replacement” level of 2.1. That means China could soon see a shrinking population and a work force too small to support its pensioners.
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Why China Turned Against Alibaba's Jack Ma - The New York Times - 0 views

  • A look beneath the surface shows a deeper and more troubling trend for both the Chinese government and the entrepreneurs who powered the country out of its economic dark ages over the past four decades.
  • While China has more billionaires than the United States and India combined, about 600 million of its people earn $150 a month or less. While consumption in the first 11 months of this year fell about 5 percent nationally, China’s luxury consumption is expected to grow nearly 50 percent this year compared with 2019.
  • Young college graduates, even those with degrees from the United States, face limited white-collar job prospects and low wages.
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  • Housing in the best cities has become too expensive for first-time buyers
  • Young people who have borrowed from a new generation of online lenders, like Mr. Ma’s Ant Group, have debts they increasingly resent.
  • For all of China’s economic success, a long-running resentment of the rich, sometimes called the wealthy-hating complex, has long bubbled below the surface. With Mr. Ma, it has emerged with a vengeance.
  • “An outstanding people’s billionaire like Jack Ma will definitely be hanged on top of the lamppost,”
  • The Communist Party seems more than willing to tap into that resentment. This could mean trouble ahead for entrepreneurs and private businesses
  • Some businesspeople say that the hostility toward Ant and Mr. Ma makes them wonder about the fundamental direction of the country.
  • “You can either have absolute control or you can have a dynamic, innovative economy,”
  • Mr. Ma has his own high-profile philanthropic projects, like several initiatives in rural education and a prize to help develop entrepreneurial talent in Africa.
  • He has long enjoyed a better reputation than his peers in manufacturing, real estate and other industries whose edge may derive from cultivating close government ties, ignoring the environmental rules or exploiting employees.
  • He is as famous for making bold statements and challenging the authorities. In 2003, he created Alipay, which later became part of Ant Group, putting his business empire square in the center of the state-controlled world of finance.
  • He sometimes subtly dared the government to punish his defiance. Regarding Ant’s business, he said on multiple occasions, “If the government needs it, I can give it to the government.” His top lieutenants repeated the line, too
  • . “Given what has happened, eventually Ant will have to be controlled or even majority owned by the state,” said Zhiwu Chen, an economist at the University of Hong Kong’s business school.
  • Today, Alibaba and its archrival, Tencent, control more personal data and are more intimately involved in everyday life in China than Google, Facebook and other American tech titans are in the United States.
  • Instead of disrupting the state system, the companies have cozied up to it. Sometimes they even help the authorities track people. Still, the government has increasingly seen their size and influence as a threat.
  • some pro-market people in China worry that the country is drifting toward the hard line of the 1950s, when the party eliminated the capital class, using language that compared capitalist leanings to impurities, flaws and weaknesses.
  • To these people, some of the language recently used by Eric Jing, Ant’s chairman, evoked the era. At a conference on Dec. 15, he said the company was “looking into the mirror, finding out our shortcomings and conducting a bodily checkup.”
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Nine Days in Wuhan, the Ground Zero of the Coronavirus Pandemic | The New Yorker - 0 views

  • By now, with worldwide infections at thirty-five million and counting, and with near-total silence on the part of the Chinese government, the market has become a kind of petri dish for the imagination.
  • One common Chinese conspiracy theory claims that the U.S. Army deliberately seeded the virus during the 2019 Military World Games, which were held in Wuhan that October. On the other side of the world, a number of Americans believe that the virus was released, whether accidentally or otherwise, from the Wuhan Institute of Virology, whose research includes work on coronaviruses.
  • There’s no evidence to support these theories, and even the prevalent animal-market connection is unclear. There weren’t many wildlife dealers in the market—about a dozen stalls, according to most published reports—and Wuhan natives have little appetite for exotic animals.
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  • I never met a cabdriver who had been swab-tested less than twice, and a couple had been tested five times. Most of the cabbies had no relatives or friends who had been infected; swabbing was simply required by the city and by their cab companies.
  • When Wuhan was sealed, the strategy of isolation was replicated throughout the city. Housing compounds were closed and monitored by neighborhood committees, with residents going out only for necessities.
  • Toward the end of the first month, the guidelines were tightened further, until virtually all goods were delivered. On February 17th, Fang Fang wrote, “Everyone is now required to remain inside their homes at all times.”
  • Meanwhile, approximately ten thousand contact tracers were working in the city, in order to cut off chains of infection, and hospitals were developing large-scale testing systems. But isolation remained crucial: patients were isolated; suspected exposures were isolated; medical workers were isolated.
  • Zhang said the experience of working through the pandemic had left him calmer and more patient. He drove more carefully now; he wasn’t in such a rush.
  • I often asked Wuhan residents how they had been personally changed by the spring, and there was no standard response. Some expressed less trust in government information; others said they had increased faith in the national leadership.
  • Wuhan had most recently reported a locally transmitted symptomatic case on May 18th. It’s the most thoroughly tested city in China: at the end of May, in part to boost confidence, the government tried to test every resident, a total of eleven million.
  • There are three hundred and twenty-one testing locations in the city, and the system is so extensive that in June, when Beijing suffered an outbreak, Wuhan hospitals sent seventy-two staffers to the capital to help with tests.
  • “I tend to take a charitable view of countries that are at the beginning stage of epidemics,” Jennifer Nuzzo, an epidemiologist at the Johns Hopkins Center for Health Security, told me, in a phone conversation. According to her, it’s unrealistic to expect that any country could have stopped this particular virus at its source. “I’ve always believed that this thing was going to spread,” she said
  • The physician who handled testing told me that, on average, his hospital still recorded one positive for every forty thousand exams. Most of these positives were repeat patients: after having been infected during the initial run of the virus, they recovered fully, and then for some reason, months later, showed evidence of the virus again. So far, most of the positives had been asymptomatic, and the physician saw no indication that the virus was spreading in the city.
  • In town, there were few propaganda signs about the epidemic, and Wuhan newspapers ran upbeat headlines every morning (Yangtze Daily, August 29th, front page: “STUDENTS DO NOT HAVE TO WEAR MASKS IN SCHOOLS”). Movie theatres were open; restaurants and bars had no seating restrictions. At the Hanyang Renxinghui Mall, I saw barefaced kids playing in what may have been one of the last fully functioning ball pits on earth, a sight that seemed worthy of other headlines (“CHILDREN DO NOT HAVE TO WEAR MASKS IN WUHAN BALL PITS”).
  • Across town, colleges and universities were in the process of bringing back more than a million students. Wuhan has the second-highest number of students of any city in China, after Guangzhou.
  • Wuhan memories remained fresh, and the materials of documentation were also close at hand. People sometimes handed over manuscripts, and they took out their phones and pulled up photographs and messages from January and February. But I wondered how much of this material would dissipate over time.
  • In town, I met two Chinese journalists in their twenties who were visiting from out of town. They had been posted during the period of the sealed city: back then, anybody sent to cover events in Wuhan had to stay for the long haul.
  • One was a director of streaming media whom I’ll call Han, and he had found that government-run outlets generally wanted footage that emphasized the victory over the disease, not the suffering of Wuhan residents. Han hoped that eventually he’d find other ways to use the material. “It will be in the hard drive,” he said, tapping his camera.
  • After that, Yin reported on a number of issues that couldn’t be published or completed, and she often talked with scientists and officials who didn’t want to say too much. “One person said, ‘Ten years later, if the climate has changed, I’ll tell you my story,’ ” Yin told me. “He knew that he would be judged by history.” She continued, “These people are inside the system, but they also know that they are inside history.”
  • In time, we will learn more, but the delay is important to the Communist Party. It handles history the same way that it handles the pandemic—a period of isolation is crucial. Throughout the Communist era, there have been many moments of quarantined history: the Great Leap Forward, the Cultural Revolution, the massacre around Tiananmen Square. In every case, an initial silencing has been followed by sporadic outbreaks of leaked information. Wuhan will eventually follow the same pattern, but for the time being many memories will remain in the sealed city.
  • When I spoke with scientists outside China, they weren’t focussed on the government’s early missteps
  • Such fare is much more popular in Guangdong, in the far south. It’s possible that the disease arrived from somewhere else and then spread in the wet, cool conditions of the fish stalls. A few Wuhan residents told me that a considerable amount of their seafood comes from Guangdong, and they suggested that perhaps a southerner had unwittingly imported the disease,
  • Wafaa El-Sadr, the director of ICAP, a global-health center at Columbia University, pointed out that Chinese scientists had quickly sequenced the virus’s genome, which was made available to researchers worldwide on January 11th. “I honestly think that they had a horrific situation in Wuhan and they were able to contain it,” she said. “There were mistakes early on, but they did act, and they shared fast.”
  • For much of El-Sadr’s career, she has worked on issues related to AIDS in the United States, Africa, and elsewhere. After years of research, scientists eventually came to the consensus that H.I.V. most likely started through the bushmeat trade—the first human was probably infected after coming into contact with a primate or primate meat.
  • El-Sadr views the coronavirus as another inevitable outcome of people’s encroachment on the natural world. “We are now living through two concomitant massive pandemics that are the result of spillover from animal to human hosts, the H.I.V. and the COVID pandemics,” she wrote to me, in an e-mail. “Never in history has humanity experienced something along this scale and scope.”
  • There’s a tendency to believe that we would know the source of the coronavirus if the Chinese had been more forthcoming, or if they hadn’t cleaned out the Huanan market before stalls and animals could be studied properly.
  • But Peter Daszak, a British disease ecologist who has collaborated with the Wuhan Institute of Virology for sixteen years on research on bat coronaviruses, told me that it’s typical to fail to gather good data from the site of an initial outbreak. Once people get sick, local authorities inevitably focus on the public-health emergency. “You send in the human doctors, not the veterinarians,” he said, in a phone conversation. “And the doctors’ response is to clean out the market. They want to stop the infections.”
  • Daszak believes the virus probably circulated for weeks before the Wuhan outbreak, and he doubts that the city was the source. “There are bats in Wuhan, but it was the wrong time of year,” he told me. “It was winter, and bats are not out as much.”
  • His research has indicated that, across Southeast Asia, more than a million people each year are infected by bat coronaviruses. Some individuals trap, deal, or raise animals that might serve as intermediary hosts. “But generally it’s people who live near bat caves,”
  • Daszak said that he had always thought that such an outbreak was most likely to occur in Kunming or Guangzhou, southern cities that are close to many bat caves and that also have an intensive wildlife trade.
  • He thinks that Chinese scientists are probably now searching hospital freezers for lab samples of people who died of pneumonia shortly before the outbreak. “You would take those samples and look for the virus,” he said. “They’ll find something eventually. These things just don’t happen overnight; it requires a lot of work. We’ve seen this repeatedly with every disease. It turns out that it was already trickling through the population.”
  • Daszak is the president of EcoHealth Alliance, a nonprofit research organization based in New York. EcoHealth has become the target of conspiracy theorists, including some who claim that the virus was man-made. Daszak and many prominent virologists say that anything created in a lab would show clear signs of manipulation.
  • There’s also speculation that the outbreak started when researchers accidentally released a coronavirus they were studying at the Wuhan Institute of Virology. But there’s no evidence of a leak, or even that the institute has ever studied a virus that could cause a COVID-19 outbreak.
  • “Scientists in China are under incredible pressure to publish,” Daszak said. “It really drives openness and transparency.”
  • He has spent a good deal of time in Wuhan, and co-authored more than a dozen papers with Chinese colleagues. “If we had found a virus that infected human cells and spread within a cell culture, we would have put the information out there,” he said. “In sixteen years, I’ve never come across the slightest hint of subterfuge. They’ve never hidden data. I’ve never had a situation where one lab person tells me one thing and the other says something else. If you were doing things that you didn’t want people to know about, why would you invite foreigners into the lab?”
  • In April, President Trump told reporters that the U.S. should stop funding research connected to the Wuhan Institute of Virology. Shortly after Trump’s comments, the National Institutes of Health cancelled a $3.7-million grant to EcoHealth, which had been studying how bat coronaviruses are transmitted to people.
  • I asked Daszak why, if he has such faith in the openness of his Wuhan colleagues, the Chinese government has been so closed about other aspects of the outbreak. He said that science is one thing, and politics something else; he thinks that officials were embarrassed about the early mistakes, and in response they simply shut down all information.
  • At the beginning of July, China National Biotec Group, a subsidiary of a state-owned pharmaceutical company called Sinopharm, completed construction of a vaccine-manufacturing plant in Wuhan. The project began while the city was still sealed. “That’s the politically correct thing to do,” a Shanghai-based biotech entrepreneur told me. “To show the world that the heroic people of Wuhan have come back.”
  • Yiwu He, the chief innovation officer at the University of Hong Kong, told me that the C.N.B.G. vaccine has already been given to a number of Chinese government officials, under an emergency-use approval granted by the authorities. “I know a few government officials personally, and they told me that they took the vaccine,” he said, in a phone conversation. He thought that the total number was probably around a hundred. “It’s middle-level officials,” he said. “Vice-ministers, mayors, vice-mayors.”
  • Pharmaceutical executives have also been expected to lead the way, like the construction manager who donned P.P.E. in order to escort his workers into the patient ward. “Every senior executive at Sinopharm and C.N.B.G. has been vaccinated,” He said. “Including the C.E.O. of Sinopharm, the chairman of the board, every vice-president—everyone.” The Chinese press has reported that vaccinations have also been administered to hundreds of thousands of citizens in high-risk areas around the world.
  • In the West, China’s image has been badly damaged by the pandemic and by other recent events. The country has tightened political crackdowns in Hong Kong and Xinjiang, and, in May, after Australia called for an investigation into the origins of the virus, China responded furiously, placing new tariffs and restrictions on Australian goods ranging from barley to beef.
  • But He believes that the situation is fluid. “All of these feelings can turn around quickly,” he told me. “I think that once China has a vaccine, and if they can help other countries, it can make a huge difference.”
  • There’s also a competitive element. “China wants to beat America,” He said. He believes that the C.N.B.G. vaccine will receive some level of approval for public use by the end of October. “Chinese officials are thinking that Donald Trump might approve a U.S. vaccine before the election,” he said. “So their goal is to have a vaccine approved before that.”
  • No matter how quickly the Chinese develop a vaccine, or how effectively they have handled the pandemic since January, it’s unlikely to make Westerners forget the mistakes and misinformation during the pandemic’s earliest phase.
  • Some of this is due to a cultural difference—the Chinese response to errors is often to look forward, not back. On January 31st, Fang Fang commented in her diary, “The Chinese people have never been fond of admitting their own mistakes, nor do they have a very strong sense of repentance.” It’s often hard for them to understand why this quality is so frustrating for Westerners. In this regard, the pandemic is truly a mirror—it doesn’t allow the Chinese to look out and see themselves through the eyes of others.
  • The pandemic illuminates both the weaknesses and the strengths of the Chinese system, as well as the relationship between the government and the people. They know each other well: officials never felt the need to tell citizens exactly what happened in Wuhan, but they understood that American-level casualties would have been shocking—given China’s population, the tally would have been more than a million and counting.
  • In order to avoid death on that scale, the government also knew that people would be willing to accept strict lockdowns and contribute their own efforts toward fighting the virus.
  • In turn, citizens were skilled at reading their government. People often held two apparently contradictory ideas: that the Party lied about some things but gave good guidance about others. More often than not, citizens could discern the difference. During the pandemic, it was striking that, when the Chinese indulged in conspiracy theories, these ideas rarely resulted in personally risky behavior, as they often did in the U.S.
  • Perhaps the Chinese have been inoculated by decades of censorship and misinformation: in such an environment, people develop strong instincts for self-preservation, and they don’t seem as disoriented by social media as many Americans are.
  • Early in the year, I corresponded by WeChat with a Wuhan pharmacist who worked in a hospital where many were infected. On February 26th, he expressed anger about the early coverup. “My personal opinion is that the government has always been careless and suppressed dissent,” he wrote. “Because of this, they lost a golden opportunity to control the virus.”
  • In Wuhan, we met a few times, and during one of our conversations I showed him what he had written in February. I asked what he would do now if he found himself in Li Wenliang’s position, aware of an outbreak of some unknown disease. Would he post a warning online? Contact a health official? Alert a journalist?The pharmacist thought for a moment. “I would tell my close friends in person,” he said. “But I wouldn’t put anything online. Nothing in writing.”
  • I asked if such an event would turn out differently now.“It would be the same,” he said. “It’s a problem with the system.”
  • He explained that, with an authoritarian government, local officials are afraid of alarming superiors, which makes them inclined to cover things up. But, once higher-level leaders finally grasp the truth, they can act quickly and effectively.
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Rivalry between America and China will shape the post-covid world | The Economist - 0 views

  • in the past five years the relationship between the world’s superpower and its Asian challenger has deteriorated in a manner that suggests few are paying heed to history.
  • Under Xi Jinping, China has become more aggressively assertive abroad and more authoritarian at home.
  • Under Donald Trump and now Joe Biden, American policy towards China has shifted from hubristic faith that it could be integrated into the existing American-led world order to something closer to paranoid containment, marked by suspicion of China’s intentions and a fearful bipartisan consensus that America’s global pre-eminence is at risk.
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  • The world that emerges from the pandemic will be shaped by an adversarial rivalry that is not just about each side’s relative power, but has become an existential competition as each side strives to demonstrate the superiority of its system of government.
  • Starting with the Winter Olympics in February and culminating with the 20th Communist Party congress later in the year, China will stage a series of tightly choreographed events designed to project the competence, clout and all-round superiority of party rule, and formalise Mr Xi’s position at its helm beyond the ten-year tenure that has hitherto been the norm.
  • As the year goes on, the near certainty that, health permitting, Mr Trump will be the Republican presidential candidate in 2024 means America’s political debate will be overshadowed by fears of the biggest constitutional crisis since the civil war.
  • If the theatre of politics makes Western democracy look dysfunctional relative to Chinese autocracy, 2022 may offer a different verdict on which system delivers the most competent economic management. From tech companies to post-pandemic reopening, China and America are taking starkly divergent approaches to similar challenges
  • America and the rest of the West will move into a living-with-covid mindset. The disease will not disappear, but become endemic. Booster jabs will become the norm, remaining travel restrictions will be relaxed and lockdowns will become a thing of the past
  • China, by contrast, will stick with a zero-covid policy throughout 2022. Having terrified its citizens about the disease and touted its toughness as a mark of superiority, China’s government cannot easily change course. The country will remain walled off from the rest of the world with long quarantines and sharply restricted travel.
  • In both of these cases, China’s draconian approach will eventually cause economic damage.
  • All this will complicate China’s already challenging macroeconomic environment. China-watchers have worried for years about the consequences of unwinding the country’s enormous property boom and the jaw-dropping levels of debt that accompanied it. The crisis at Evergrande, a huge developer, suggests that this tricky transition is at last under way. It will dominate 2022 as other property-related firms fail. Add to that structural challenges, from a shrinking workforce to a rapidly growing number of old-age dependents, and the economic pressures are considerable. Annual GDP growth could fall to 5%
  • With covid-19 behind it, its fiscal tightening mostly complete and (assuming some version of Mr Biden’s bill is passed) with a long-overdue effort to improve infrastructure under way, America’s economy could grow smartly, even as its politics frays. GDP growth of 4%, not far off China’s, is plausible.
  • in theory the two sides could make progress in plenty of areas, such as devising a sensible deal on trade and technology to replace the tariffs of the Trump era; agreeing on a common approach to cyber-security, nuclear non-proliferation or the militarisation of space; or finding ways to accelerate the clean-energy transition in the wake of the COP26 climate meeting in Glasgow.
  • The good news is that a military confrontation seems unlikely in 2022. The overriding need to preserve stability in the run-up to the party congress will discourage China from adventurism or excessive sabre-rattling, whether around Taiwan or in the South China Sea. The bad news is that the Thucydides Trap will not have gone away.
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Foreign Firms Pull Billions in Earnings Out of China - WSJ - 0 views

  • Foreign firms yanked more than $160 billion in total earnings from China during six successive quarters through the end of September, according to an analysis of Chinese data, an unusually sustained run of profit outflows that shows how much the country’s appeal is waning for foreign capital.
  • The outflows add to pressure on China’s currency, the yuan, when the country’s central bank is already battling to slow its decline as investors sour on Chinese stocks and bonds and new investment in China is scarce. The yuan has depreciated 5.7% against the U.S. dollar this year and touched its lowest level in more than a decade in September. 
  • A range of factors have contributed to the profit exodus, economists and corporate executives say. Those include a widening gap between China’s interest rates and those in the U.S. and Europe that has made it more attractive to park earnings in the West.
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  • many foreign firms are looking for better uses for their money, as China’s economy slows and geopolitical tensions rise. Chilly relations between Beijing and the U.S.-led West have pushed global companies to rethink their supply chains and exposure to China.
  • The data show that for all but two quarters between 2014 and the middle of last year, foreign firms were reinvesting more in China than they were transferring abroad. In 2021, for instance, firms reinvested a net $170 billion. 
  • That shifted in the middle of 2022, when China was under sporadic lockdowns and the U.S. Federal Reserve began raising interest rates to combat rocketing inflation. Outflows have continued in each quarter since. 
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China's reaction to Russian incursion into Ukraine muted, denies backing it - The Washi... - 0 views

  • The Russian attacks are the greatest test yet for an emerging Moscow-Beijing axis, which has recently shown signs of evolving from what many considered a “marriage of convenience” to something resembling a formal alliance
  • In recent weeks, China has voiced support for Russia’s “legitimate security concerns” but has balanced that with calls for restraint and negotiations, echoing the approach China took during the 2014 invasion of Crimea. Beijing appeared to be repeating that tightrope walk on Thursday, as it called for calm while news of the attacks sent regional markets plunging.
  • Despite the outward show of mutual support between the two countries, there have been indications that China was caught flat footed by Russian President Vladimir Putin’s announcement of military action.
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  • That same day, when China warned its nationals in Ukraine about a worsening situation, it did not tell them to leave the country. On Thursday, with explosions going off nearby, many of the 8,000-odd Chinese passport holders in the country took to microblog Weibo to call for help.
  • Yun Sun, Director of the China Program at the Stimson Center, noted Tuesday that the Chinese policy community appeared to be in “shock” at the sudden escalation of fighting after having “subscribed to the theory that Putin was only posturing and that U.S. intelligence was inaccurate as in the case of invading Iraq.”
  • Minutes after the declaration, Chinese representative to the United Nations Zhang Jun was telling a Security Council meeting: “we believe that the door to a peaceful solution to the Ukraine situation is not fully shut, nor should it be.”
  • In recent weeks, Chinese experts have argued that de-escalation was possible even as they adopted Russia’s view of the conflict. Wang Yiwei, director of the Center for European Studies at Renmin University, wrote in late January that only the actions of Ukraine or the United States could bring about a war, but because the former lacked “gall” and the latter lacked strength for a direct conflict with Russia, tensions could be dispelled.
  • “When can China evacuate?” asked a user with the handle LumpyCut. “We are in Kyiv near the airport. I just heard three enormous bombings and can estimate the size of the mushroom clouds by sight.”
  • In an interview on Thursday, Wang defended his prediction as being primarily about the possibility of a direct conflict between the United States and Russia, not fighting in eastern Ukraine.
  • Hua also rejected suggestions that China might adhere to U.S.-led sanctions against Russia, pointing to China’s long-held stance against the use of sanctions adopted outside of United Nations deliberations.
  • China’s support for Russia has also stopped short of direct approval for Russian military action. Over the weekend, Chinese Foreign Minister Wang Yi reiterated that all countries sovereignty must be respected, adding that “Ukraine is not an exception.”
  • Such hesitation comes, however, during a time of growing strategic alignment between Moscow and Beijing, built primarily on shared disdain for the United States and the Western-led world order.
  • Hawkish commentators in China were quick to explain Putin’s attack on Thursday as the result of provocation from the United States. “That the situation came to today’s step is due to spiraling escalation,” Fu Qianshao, a military commentator, told nationalist publication the Shanghai Observer
  • “Russia had already said many times that it would withdraw troops, but America always promoted an atmosphere of conflict.”
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Opinion | The Pandemic Probably Started in a Lab. These 5 Key Points Explain Why. - The... - 0 views

  • a growing volume of evidence — gleaned from public records released under the Freedom of Information Act, digital sleuthing through online databases, scientific papers analyzing the virus and its spread, and leaks from within the U.S. government — suggests that the pandemic most likely occurred because a virus escaped from a research lab in Wuhan, China.
  • If so, it would be the most costly accident in the history of science.
  • The SARS-like virus that caused the pandemic emerged in Wuhan, the city where the world’s foremost research lab for SARS-like viruses is located.
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  • Dr. Shi’s group was fascinated by how coronaviruses jump from species to species. To find viruses, they took samples from bats and other animals, as well as from sick people living near animals carrying these viruses or associated with the wildlife trade. Much of this work was conducted in partnership with the EcoHealth Alliance, a U.S.-based scientific organization that, since 2002, has been awarded over $80 million in federal funding to research the risks of emerging infectious diseases.
  • Their research showed that the viruses most similar to SARS‑CoV‑2, the virus that caused the pandemic, circulate in bats that live roughly 1,000 miles away from Wuhan. Scientists from Dr. Shi’s team traveled repeatedly to Yunnan province to collect these viruses and had expanded their search to Southeast Asia. Bats in other parts of China have not been found to carry viruses that are as closely related to SARS-CoV-2.
  • When the Covid-19 outbreak was detected, Dr. Shi initially wondered if the novel coronavirus had come from her laboratory, saying she had never expected such an outbreak to occur in Wuhan.
  • The SARS‑CoV‑2 virus is exceptionally contagious and can jump from species to species like wildfire. Yet it left no known trace of infection at its source or anywhere along what would have been a thousand-mile journey before emerging in Wuhan.
  • The year before the outbreak, the Wuhan institute, working with U.S. partners, had proposed creating viruses with SARS‑CoV‑2’s defining feature
  • The laboratory pursued risky research that resulted in viruses becoming more infectious: Coronaviruses were grown from samples from infected animals and genetically reconstructed and recombined to create new viruses unknown in nature. These new viruses were passed through cells from bats, pigs, primates and humans and were used to infect civets and humanized mice (mice modified with human genes). In essence, this process forced these viruses to adapt to new host species, and the viruses with mutations that allowed them to thrive emerged as victors.
  • Worse still, as the pandemic raged, their American collaborators failed to publicly reveal the existence of the Defuse proposal. The president of EcoHealth, Peter Daszak, recently admitted to Congress that he doesn’t know about virus samples collected by the Wuhan institute after 2015 and never asked the lab’s scientists if they had started the work described in Defuse.
  • By 2019, Dr. Shi’s group had published a database describing more than 22,000 collected wildlife samples. But external access was shut off in the fall of 2019, and the database was not shared with American collaborators even after the pandemic started, when such a rich virus collection would have been most useful in tracking the origin of SARS‑CoV‑2. It remains unclear whether the Wuhan institute possessed a precursor of the pandemic virus.
  • In 2021, The Intercept published a leaked 2018 grant proposal for a research project named Defuse, which had been written as a collaboration between EcoHealth, the Wuhan institute and Ralph Baric at the University of North Carolina, who had been on the cutting edge of coronavirus research for years. The proposal described plans to create viruses strikingly similar to SARS‑CoV‑2.
  • Coronaviruses bear their name because their surface is studded with protein spikes, like a spiky crown, which they use to enter animal cells. The Defuse project proposed to search for and create SARS-like viruses carrying spikes with a unique feature: a furin cleavage site — the same feature that enhances SARS‑CoV‑2’s infectiousness in humans, making it capable of causing a pandemic. Defuse was never funded by the United States.
  • owever, in his testimony on Monday, Dr. Fauci explained that the Wuhan institute would not need to rely on U.S. funding to pursue research independently.
  • While it’s possible that the furin cleavage site could have evolved naturally (as seen in some distantly related coronaviruses), out of the hundreds of SARS-like viruses cataloged by scientists, SARS‑CoV‑2 is the only one known to possess a furin cleavage site in its spike. And the genetic data suggest that the virus had only recently gained the furin cleavage site before it started the pandemic.
  • Ultimately, a never-before-seen SARS-like virus with a newly introduced furin cleavage site, matching the description in the Wuhan institute’s Defuse proposal, caused an outbreak in Wuhan less than two years after the proposal was drafted.
  • When the Wuhan scientists published their seminal paper about Covid-19 as the pandemic roared to life in 2020, they did not mention the virus’s furin cleavage site — a feature they should have been on the lookout for, according to their own grant proposal, and a feature quickly recognized by other scientists.
  • At the Wuhan Institute of Virology, a team of scientists had been hunting for SARS-like viruses for over a decade, led by Shi Zhengl
  • In May, citing failures in EcoHealth’s monitoring of risky experiments conducted at the Wuhan lab, the Biden administration suspended all federal funding for the organization and Dr. Daszak, and initiated proceedings to bar them from receiving future grants. In his testimony on Monday, Dr. Fauci said that he supported the decision to suspend and bar EcoHealth.
  • Separately, Dr. Baric described the competitive dynamic between his research group and the institute when he told Congress that the Wuhan scientists would probably not have shared their most interesting newly discovered viruses with him. Documents and email correspondence between the institute and Dr. Baric are still being withheld from the public while their release is fiercely contested in litigation.
  • In the end, American partners very likely knew of only a fraction of the research done in Wuhan. According to U.S. intelligence sources, some of the institute’s virus research was classified or conducted with or on behalf of the Chinese military.
  • In the congressional hearing on Monday, Dr. Fauci repeatedly acknowledged the lack of visibility into experiments conducted at the Wuhan institute, saying, “None of us can know everything that’s going on in China, or in Wuhan, or what have you. And that’s the reason why — I say today, and I’ve said at the T.I.,” referring to his transcribed interview with the subcommittee, “I keep an open mind as to what the origin is.”
  • The Wuhan lab pursued this type of work under low biosafety conditions that could not have contained an airborne virus as infectious as SARS‑CoV‑2.
  • Labs working with live viruses generally operate at one of four biosafety levels (known in ascending order of stringency as BSL-1, 2, 3 and 4) that describe the work practices that are considered sufficiently safe depending on the characteristics of each pathogen. The Wuhan institute’s scientists worked with SARS-like viruses under inappropriately low biosafety conditions.
  • ​​Biosafety levels are not internationally standardized, and some countries use more permissive protocols than others.
  • In one experiment, Dr. Shi’s group genetically engineered an unexpectedly deadly SARS-like virus (not closely related to SARS‑CoV‑2) that exhibited a 10,000-fold increase in the quantity of virus in the lungs and brains of humanized mice. Wuhan institute scientists handled these live viruses at low biosafety levels, including BSL-2.
  • Even the much more stringent containment at BSL-3 cannot fully prevent SARS‑CoV‑2 from escaping. Two years into the pandemic, the virus infected a scientist in a BSL-3 laboratory in Taiwan, which was, at the time, a zero-Covid country. The scientist had been vaccinated and was tested only after losing the sense of smell. By then, more than 100 close contacts had been exposed. Human error is a source of exposure even at the highest biosafety levels, and the risks are much greater for scientists working with infectious pathogens at low biosafety.
  • An early draft of the Defuse proposal stated that the Wuhan lab would do their virus work at BSL-2 to make it “highly cost-effective.” Dr. Baric added a note to the draft highlighting the importance of using BSL-3 to contain SARS-like viruses that could infect human cells, writing that “U.S. researchers will likely freak out.”
  • Years later, after SARS‑CoV‑2 had killed millions, Dr. Baric wrote to Dr. Daszak: “I have no doubt that they followed state determined rules and did the work under BSL-2. Yes China has the right to set their own policy. You believe this was appropriate containment if you want but don’t expect me to believe it. Moreover, don’t insult my intelligence by trying to feed me this load of BS.”
  • SARS‑CoV‑2 is a stealthy virus that transmits effectively through the air, causes a range of symptoms similar to those of other common respiratory diseases and can be spread by infected people before symptoms even appear. If the virus had escaped from a BSL-2 laboratory in 2019, the leak most likely would have gone undetected until too late.
  • One alarming detail — leaked to The Wall Street Journal and confirmed by current and former U.S. government officials — is that scientists on Dr. Shi’s team fell ill with Covid-like symptoms in the fall of 2019. One of the scientists had been named in the Defuse proposal as the person in charge of virus discovery work. The scientists denied having been sick.
  • The hypothesis that Covid-19 came from an animal at the Huanan Seafood Market in Wuhan is not supported by strong evidence.
  • In December 2019, Chinese investigators assumed the outbreak had started at a centrally located market frequented by thousands of visitors daily. This bias in their search for early cases meant that cases unlinked to or located far away from the market would very likely have been missed
  • To make things worse, the Chinese authorities blocked the reporting of early cases not linked to the market and, claiming biosafety precautions, ordered the destruction of patient samples on January 3, 2020, making it nearly impossible to see the complete picture of the earliest Covid-19 cases. Information about dozens of early cases from November and December 2019 remains inaccessible.
  • A pair of papers published in Science in 2022 made the best case for SARS‑CoV‑2 having emerged naturally from human-animal contact at the Wuhan market by focusing on a map of the early cases and asserting that the virus had jumped from animals into humans twice at the market in 2019
  • More recently, the two papers have been countered by other virologists and scientists who convincingly demonstrate that the available market evidence does not distinguish between a human superspreader event and a natural spillover at the market.
  • Furthermore, the existing genetic and early case data show that all known Covid-19 cases probably stem from a single introduction of SARS‑CoV‑2 into people, and the outbreak at the Wuhan market probably happened after the virus had already been circulating in humans.
  • Not a single infected animal has ever been confirmed at the market or in its supply chain. Without good evidence that the pandemic started at the Huanan Seafood Market, the fact that the virus emerged in Wuhan points squarely at its unique SARS-like virus laboratory.
  • With today’s technology, scientists can detect how respiratory viruses — including SARS, MERS and the flu — circulate in animals while making repeated attempts to jump across species. Thankfully, these variants usually fail to transmit well after crossing over to a new species and tend to die off after a small number of infections
  • investigators have not reported finding any animals infected with SARS‑CoV‑2 that had not been infected by humans. Yet, infected animal sources and other connective pieces of evidence were found for the earlier SARS and MERS outbreaks as quickly as within a few days, despite the less advanced viral forensic technologies of two decades ago.
  • Even though Wuhan is the home base of virus hunters with world-leading expertise in tracking novel SARS-like viruses, investigators have either failed to collect or report key evidence that would be expected if Covid-19 emerged from the wildlife trade. For example, investigators have not determined that the earliest known cases had exposure to intermediate host animals before falling ill.
  • No antibody evidence shows that animal traders in Wuhan are regularly exposed to SARS-like viruses, as would be expected in such situations.
  • In previous outbreaks of coronaviruses, scientists were able to demonstrate natural origin by collecting multiple pieces of evidence linking infected humans to infected animals
  • In contrast, virologists and other scientists agree that SARS‑CoV‑2 required little to no adaptation to spread rapidly in humans and other animals. The virus appears to have succeeded in causing a pandemic upon its only detected jump into humans.
  • it was a SARS-like coronavirus with a unique furin cleavage site that emerged in Wuhan, less than two years after scientists, sometimes working under inadequate biosafety conditions, proposed collecting and creating viruses of that same design.
  • a laboratory accident is the most parsimonious explanation of how the pandemic began.
  • Given what we now know, investigators should follow their strongest leads and subpoena all exchanges between the Wuhan scientists and their international partners, including unpublished research proposals, manuscripts, data and commercial orders. In particular, exchanges from 2018 and 2019 — the critical two years before the emergence of Covid-19 — are very likely to be illuminating (and require no cooperation from the Chinese government to acquire), yet they remain beyond the public’s view more than four years after the pandemic began.
  • it is undeniable that U.S. federal funding helped to build an unprecedented collection of SARS-like viruses at the Wuhan institute, as well as contributing to research that enhanced them.
  • Advocates and funders of the institute’s research, including Dr. Fauci, should cooperate with the investigation to help identify and close the loopholes that allowed such dangerous work to occur. The world must not continue to bear the intolerable risks of research with the potential to cause pandemics.
  • A successful investigation of the pandemic’s root cause would have the power to break a decades-long scientific impasse on pathogen research safety, determining how governments will spend billions of dollars to prevent future pandemics. A credible investigation would also deter future acts of negligence and deceit by demonstrating that it is indeed possible to be held accountable for causing a viral pandemic
  • Last but not least, people of all nations need to see their leaders — and especially, their scientists — heading the charge to find out what caused this world-shaking event. Restoring public trust in science and government leadership requires it.
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Trump Tells Xi Jinping U.S. Will Honor 'One China' Policy - The New York Times - 0 views

  • “stressed that he fully understood the great importance for the U.S. government to respect the One China policy,”
  • “necessity and urgency of strengthening cooperation between China and the United States”
  • Beijing wants to work with Washington on a range of issues,
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  • Mr. Trump is about to welcome Japan’s prime minister, Shinzo Abe, for an extravagant three-day visit
  • visit that will be closely monitored in China.
  • president’s commitment to a mutual defense treaty with Japan, which surfaced during the campaign
  • Mr. Trump said he was prepared to pull back from the pact unless Tokyo did more to reimburse the United States for defending Japanese territory.
  • Mr. Tillerson specifically rejected the idea, advanced by Mr. Trump, that Taiwan be used as a bargaining chip in a broader negotiation with China on trade, security and other issues.
  • Relations between Washington and Beijing had been frozen since December, when Mr. Trump took a congratulatory phone call from Taiwan’s president, Tsai Ing-wen
  • has not had diplomatic relations with Taiwan since 1979
  • He also said he “looks forward to working with President Xi to develop a constructive relationship that benefits both the United States and China.”
  • “This letter means they’re looking for creative ways to stabilize this relationship when Trump and Xi can’t talk due to differences over Taiwan policy,”
  • Mr. Tillerson, officials said, suggested that Mr. Trump publicly reaffirm his commitment to the One China policy as a way of breaking the deadlock and getting the two presidents back on the phone.
  • conversation last week with Prime Minister Malcolm Turnbull of Australia turned contentious when Mr. Turnbull urged Mr. Trump to honor an agreement made under Mr. Obama to accept 1,250 refugees from an offshore detention center.
  • the fact that Mr. Trump and Mr. Xi had not talked since Mr. Trump took office in January has drawn increasing scrutiny.
  • During the campaign, Mr. Trump advocated a 45 percent tariff on Chinese exports to the United States, complaining that China manipulated the value of its currency.
  • Jared Kushner, who is a senior adviser to Mr. Trump, met with Mr. Cui before the embassy event, part of a blossoming dialogue between the two men.
  • relationships between some of Mr. Trump’s advisers and leading Chinese companies with close links to the Communist Party may also be strengthening ties.
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Philippines and China in Dispute Over Reef - NYTimes.com - 0 views

  • China accused the Philippines on Monday of illegally occupying Chinese territory after a Philippine vessel outmaneuvered the Chinese Coast Guard and resupplied a ship that has been stranded for 15 years on the Second Thomas Shoal, a tiny reef in the South China Sea.
  • Chinese ships prevented the Philippines from resupplying the boat and its eight-man military crew in early March, but on Saturday a Philippine vessel manned by troops managed to keep the Chinese at bay by going into shallow waters and lifting food onto the stranded ship.“This is a political provocation,” the Chinese Ministry of Foreign Affairs spokesman, Hong Lei, said at a regular briefing on Monday, adding that the Philippines was “hyping” its “illegal occupation” by filing a case on Sunday with the Permanent Court of Arbitration in The Hague.
  • The cat-and-mouse maneuvers between the Philippines, an American ally with little naval capacity, and China, which has a fast-expanding navy, have captured attention for what they might foretell about future rivalries in the South China Sea.China claims about 80 percent of the South China Sea, a vital waterway for world trade.
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  • Philippines invited reporters on board the government vessel that was sent to resupply the Sierra Madre, a rusted warship that has been grounded on the reef since 1999.
  • The Global Times, a Chinese state-run newspaper with nationalist views, said in an editorial on Monday that the “small and weak” Philippines had become the vanguard force of “provoking China.” It warned that China had the ability to force Filipino soldiers off the reef at any time, “like taking thieves away.”
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China to Announce Cap-and-Trade Program to Limit Emissions - The New York Times - 0 views

  • WASHINGTON — President Xi Jinping of China will make a landmark commitment on Friday to start a national program in 2017 that will limit and put a price on greenhouse gas emissions, Obama administration officials said Thursday
  • The move to create a so-called cap-and-trade system would be a substantial step by the world’s largest polluter to reduce emissions from major industries, including steel, cement, paper and electric power.
  • it is not clear whether China will be able to enact and enforce a program that substantially limits emissions.
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  • China’s economy depends heavily on cheap coal-fired electricity, and the country has a history of balking at outside reviews of its industries. China has also been plagued by major corruption cases, particularly among coal companies.
  • Domestic and external pressures have driven the Chinese government to take firmer action to curb emissions from fossil fuels, especially coal. Growing public anger about the noxious air that often envelops Beijing and many other Chinese cities has prompted the government to introduce restrictions on coal and other sources of smog, with the side benefit of reducing carbon dioxide pollution.
  • The climate deal will be a substantial, if rare, bright spot in a wide-ranging summit meeting that is expected to be dominated by potential sources of friction between Mr. Obama and Mr. Xi.
  • The president plans to raise a number of contentious topics on Friday, White House aides said, including cyberattacks on American companies and government agencies, China’s increasingly aggressive reclamation of islands and atolls in disputed areas of the South China Sea, and Mr. Xi’s clampdown on dissidents and lawyers in China.
  • Under a cap-and-trade system, a concept created by American economists, governments place a cap on the amount of carbon pollution that may be emitted annually. Companies can then buy and sell permits to pollute. Western economists have long backed the idea as a market-driven way to push industry to cleaner forms of energy, by making polluting energy more expensive.
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    China's program to reduce emissions
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At China's Grand New Museum, History Toes the Party Line - NYTimes.com - 0 views

  • one tradition has remained firmly in place: China will not confront its own history. The museum is less the product of extensive research, discovery or creativity than the most prominent symbol of the Communist Party’s efforts to control the narrative of history and suppress alternative points of view, even those that exist within the governing elite
  • Officials rejected proposals for a permanent historical exhibition that would have discussed the disasters of early Communist rule — especially the Great Leap Forward, a political campaign and resulting famine that killed more than 20 million. Some organizers also wanted a candid appraisal of the Cultural Revolution, a decade-long attack on traditional culture and learning, but that effort was squashed.
  • Instead, the authorities decided that the exhibition on contemporary China should focus, as did the museum before its extensive makeover, on the party’s triumphs.
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  • Another permanent exhibit, on China’s ancient history, also presents an idealized version of the past. It tells the uplifting story of Chinese ethnic groups pulling together to create “brilliant achievements.”
  • few countries can compete with China in so completely suppressing the shades of gray about their past.
  • “Ancient China,” a mammoth survey of thousands of years of history scheduled to open April 15. The exhibition walks a delicate line. Organized by Chinese dynasties, it tries to show how all of the 56 ethnic groups in today’s China have always worked together harmoniously. Even the Mongolian empire, which conquered China in the 12th century, is made part of the story. It is referred to as a precursor of today’s multicultural China. “It ignores the conflicts, which real history shouldn’t do,” said an archaeology professor at Peking University who asked to remain anonymous because of the issue’s delicacy. “This is why I would not call this exhibition real history but propaganda.”
  • “The Road to Rejuvenation,” which recounts the history of China from the First Opium War of 1839 to the present day. This was the exhibit that in past years was fraught with the mos
  • The general story line, ingrained in every Chinese student, is that China was humiliated by Western powers. Then some well-meaning but misguided patriots took up the fight until they were properly led by the Communists, whose inevitable victory in 1949 started China’s recovery. After “building socialism” during the Communists’ first 30 years in power, the country took off during the past 30 years of reform. There is no discussion of why the party dropped central planning policies in the late 1970s, or even that such a momentous shift took place.
  • The Enlightenment show, although tantalizing, will also avoid overt mention of the political ideas — such as universal human rights — that drove that period of European history. “It’s an art exhibit and not a political show,”
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Fighting Al Qaeda To Fight Liberalism - 0 views

  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • ...8 more annotations...
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • I do believe that the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • the reaction to the end of the cold war was a classic moment in conservatism's divide. I was relieved we no longer had to fight a global war, with all the draining of resources and fraught spasms of McCarthyism and far leftism it created. Others - mainly neocons - were desperate to fight another war. They picked China first, but then Jihadism took its place. There is a conservatism of nonviolence and a conservatism of violence.
  • 9/11 fortuitously provided the American right with the external enemy that allowed it to go back into business demonizing the internal enemy, liberalism.
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