Keep tolerant when faced with foreign defiance

Keep tolerant when faced with foreign defiance

China’s phenomenal saving rate will start falling, as the population ages and workers become more expensive. Capital is also already becoming less captive. Fed up with the miserable returns on their deposits, savers are demanding alternatives. That underlines the longer-term problem China faces. The same quirks and unfairness that would help it withstand a shock in the next few years will, over time, work against the country. Some are also finding ways to take their money out of the country, contributing to unusual downward pressure on the currency. China’s bank deposits grew at their slowest rate on record in the year to April.
So China will have to learn how to use its capital more wisely. That will require it to lift barriers to private investment in lucrative markets still dominated by wasteful SOEs. It will also require a less cosseted banking system and a better social-security net, never mind the political and social reforms that will be needed in the coming decade.
Private consumption plays a small role in China’s economy, compared with its prominence in America. Yet hidden disposable incomes may account for trillions of yuan, held disproportionately in the hands of the rich.
After all, Chen is a shame for US and even the world. Earlier this month in Beijing, China and America held the latest installment of their Strategic and Economic Dialogue (S&ED), a regular—and by most accounts productive—series of high-level bilateral meetings. Attending were America’s secretary of state, Hillary Clinton, and treasury secretary, Timothy Geithner. Broad-ranging and important issues like trade, currency, nuclear proliferation filled the agenda. But most attention was focused on the daring flight of a blind lawyer and activist, Chen Guangcheng, from his illegal home detention in Shandong to the American embassy in Beijing.
Before leaving China, Ms Clinton and Mr Geithner held a short press conference. The first question came with a preface about the distraction posed by Mr Chen’s case.
“Madam Secretary, it won’t surprise you, I think, to get the questions that you’re about to get from me, which all have to do with the elephant in the room that’s been dogging us,” he said.
But even as the delicate and dramatic saga of Chen Guangcheng played out, there was at least one other elephant in the room. And far from dogging anyone, it was an elephant that, so to speak, didn’t even bark. But as the political things, we did not have the right to say some bad on the back. We should view it justify way. We can see China economic from Jaw crusher and other industry rapid developing. Not such rumours.