China’s “can do” approach to global dominance induces piquant responses. Even the US barely conceals its respect, if not fear. China called America’s bluff in the sorry saga last year of reciprocal tariffs—and America backed off. From where does China derive its iron will?
In an insightful article for The Economist, written in his personal standing as an eminent economist, India’s Chief Economic Advisor V Anantha Nageswaran, along with his collaborator PS Srinivas, posit three pillars of the Chinese model of economic invincibility.
First, undisputed political dominance of the Communist Party of China (CPC), which is only partly derived from the institutionalised exclusion of alternative political forces and the subservience of citizen needs to State demands.
Second, the CPC works for the people but only within the overarching goal of advancing national interest.
Third, a combative stance where overwhelming force is the only certain path to success. Obsessive self-reliance on outcome.
But it is expensive in the short run. So, from where did China get this patient capital?