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Huanqiu Article Comments on the Real Intention of the U.S. over the Diaoyu Islands Conflict

Huanqiu (The Global Times), which is under the auspices of People’s Daily) published an opinion article that stated that the U.S. is using the conflict between China and Japan over the Diaoyu Islands in an attempt to control both countries. The article said, “The Japanese right-wing, the government of Japan, and the United States are playing a three-way game in the Diaoyu Islands crisis; each of them plays a different role. The purpose is to provoke China and disrupt China’s peaceful development. Currently, the Japanese right-wing and the Japanese government have both appeared on the stage. How is the United States going to play it? So far, the U.S.’s stated position is unexpected, but it reflects the real purpose of the United States. The U.S. will not act as the mediator of the Sino-Japanese dispute and will maintain a neutral stance. In fact, the United States hopes to see China and Japan maintain a certain level of confrontation, consume each other’s energy, and contain each other. If China and Japan were friendly to each other, the United States would be very unhappy. If China and Japan are in conflict, it will, apparently, be more favorable to the United States.” 

Source: Huanqiu, November 5, 2011 
http://mil.huanqiu.com/observation/2012-11/3245593.html

People’s Daily: China Must Increase Its Political Power

On October 20, 2012, People’s Daily published an article titled, “The Political Attraction of China’s Rise.” According to the article, “China’s ultimate goal is to rise as a world power, leading human civilization into a new realm. To reach this goal, however, the accumulation of economic power and military force is not enough. China must increase its political power.” The political power here refers to “democracy with Chinese characteristics,” which “has absorbed both Marxism and liberal democratic values.”

Source: People’s Daily, October 20, 2012
http://paper.people.com.cn/rmlt/html/2012-10/20/content_1131718.htm?div=-1

Mao Omitted from Hu Jintao’s Instructions on the Political Development of the Army’s Ideology

On November 1, 2012, Qiushi, a journal of the Central Committee of the Chinese Communist Party, published an article titled, “Scientific Guide to the Political Development of the Army’s Ideology in the New Situation.” The subtitle of the article is the statement, “Study Chairman Hu Jintao’s Important Instructions on the Political Development of the Army’s Ideology.” The majority of the content of the article is nearly the same as similar articles published in the past few years, such as “unswervingly adhere to the party’s absolute leadership over the armed forces.” The big difference, however, is the omission of Mao’s name, ideas, and teaching.

Source: Qiushi, November 1, 2012
http://www.qstheory.cn/zxdk/2012/201221/201210/t20121030_190237.htm

Beijing Mobilizes 1.4 Million Volunteers to Maintain Stability for the 18th Party Congress

On November 1, 2012, Oriental Daily published an article titled, “(Beijing) Mobilizes 1.4 Million Volunteers to Maintain Stability for the 18th Party Congress.” According to the article, 1.4 million volunteers have been placed in charge of checking IDs, Internet control, and other stability maintenance work. Police officers patrol Tiananmen Square and thoroughly examining people’s ID cards. Last Monday, the Beijing Armed Police Corps that is responsible for the 18th Party Congress had a swearing-in ceremony. It had armored vehicles and other heavy equipment on display.

Kitchen knives are being sold only to those who are willing to register with their real names. Some supermarkets even refuse to sell kitchen knives. The window handles of Beijing taxi vehicles have been removed to prevent passengers from opening the windows to distribute protest flyers. All travelers who take high-speed rail trains, regular trains, or long-distance buses must open their luggage for examination. The name on the ticket must be same as the name on the ticket holders’ ID.

Source: Oriental Daily, November 1, 2012
http://orientaldaily.on.cc/cnt/china_world/20121101/00178_001.html

China Youth Daily: Research Shows 54 Percent of Doctors Take Rebates

China Youth Daily recently reported that, based on research numbers cited by senior officials from the Chinese Medical Association, 54 percent of doctors have received “rebates” and 39 percent have accepted “conference sponsorship” from drug companies. The Medical Association called for higher moral standards in the medical profession. Statistics showed that, over the past five years, tension between doctors and patients has intensified. In the last five years, the percentage of cases that involve doctors being attacked has increased from 3.7 percent to 4.5 percent. The media has reported a large number of scandals involving doctors. Many doctors blame the government for dictating that the prices they charge for their medical services must remain at a very low level; the pricing does not offer them an opportunity to recover the cost of entering and sustaining their specialty in the medical profession. 
Source: China Youth Daily, November 3, 2012
http://zqb.cyol.com/html/2012-11/03/nw.D110000zgqnb_20121103_5-01.htm

HSBC Chinese October PMI Number Released

NetEase recently reported that, on November 1, 2012, HSBC released the PMI (Purchasing Managers Index) number for the Chinese manufacturing industry. The October number is 49.5, which is higher than last month’s figure of 47.9. This also indicates that the Chinese manufacturing sector is on the decline for the year. In October, manufacturing production output was still slipping. However total new orders had a slight increase due to more new customers. Meanwhile new export orders declined for the sixth consecutive month. Inventory was also shrinking, while ten percent of the manufacturers surveyed were reducing the size of their workforce. For the first time this year, the average price of manufacturing sector products saw a 9 percent increase. This was widely believed to be caused by the increased cost of material. Qu Hongbin, HSBC Chief Economist for the China Region, commented that the HSBC PMI number demonstrated that the Chinese manufacturing sector is showing signs of stabilization, which is largely the result of the earlier government “easing” measures. PMI is an indicator of financial activity reflecting purchasing managers’ acquisition of goods and services. A PMI number below 50 typically reflects a decline.
Source: NetEase, November 1, 2012
http://money.163.com/12/1101/09/8F7ES76J00252G50.html

CRN: Government Consumes a Large Percentage of China’s Financial Resources

China Review News (CRN) recently reported that, based on the numbers released by the National Bureau of Statistics, consumer spending contributed 55 percent to the economic growth in the third quarter of this year. However, government operational consumption is also considered part of the final consumer spending. Between 2000 and 2010, the Chinese government’s consumption grew from RMB 1.57 trillion to 5.36 trillion. Government operational spending takes about twenty percent of the annual government income. The same ratio number for the United Sates is 9.9%; it is five percent for the European Union and 2.8 percent for Japan. This indicates that it takes substantially more money to sustain the Chinese government. The statistical data also reflects a lowered quality of consumer spending because the government’s operational consumptions eats a large slice of the “consumer spending” pie.
Source: China Review News, November 3, 2012
http://www.zhgpl.com/doc/1022/8/2/7/102282777.html?coluid=53&kindid=0&docid=102282777&mdate=1027073850

China’s Economic and Social Conflicts Nearing a Crisis

[Editor’s Note: Caijing Magazine recently interviewed Professor Wu Jinglian, a senior research fellow at the Development Research Centre of the State Council of the People’s Republic of China. During the interview, he stated that China’s economic and social conflicts have reached a critical point and that China must press forward with further reform to establish and improve a market economy that is based on competition. He also criticized China because it has, in recent years, strengthened the government’s and the state-owned enterprises’ (SOEs) "control power." The following are excerpts from the interview.] [1]

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