US rightwingers keep saying that China is a capitalist country or it is the most capitalist country on Earth.
China is one of the most Communist or socialist states on Earth today. Fully 45% of the Chinese economy is publicly owned, and it does extremely well. Much of the very high economic growth has come from the public sector. How on Earth can China be capitalist when 45% of the economy is state-owned?
But realize that all public firms in China operate on the profit model. They all compete with each other, so you have a steel mill run by one city competing with a steel mill run by another city. Many of the fastest growing industries are run at the municipality level. Also, China’s fully state-owned firms do very well. In fact, Republicans say that China’s public firms are “not fair” because American capitalist corporations can’t compete against them. The reason is that China’s firms get subsidies from the state. Poor capitalist corporations! They’re too inefficient to compete against Communist state owned firms. Poor babies.
You realize that the state owns every single inch of land in China? How is that possible in a capitalist country? Capitalism is primarily based on the private ownership of land. No private ownership of land, no capitalism. Real simple.
I would also point out that the Chinese state spends a tremendous amount of money on its people. Since 45% of the whole economy goes directly to the state, they have a lot of money to spend. And they spend it very wisely too. They mostly spend it on their own people in one way or another.
As I understand it, US capitalists believe in a minimal state, and there is nothing they hate more than state spending. Huge state spending is seen as wasteful tax and spend policies by all capitalists everywhere. Wherever you have massive state spending, you do not have a capitalist system.
But I would like to thank US rightwingers for praising China, the finest example of modern Communism.