Community Capitalism in China: the State, the Market, and Collectivism Xiaoshuo Hou Index More Information

Cambridge University Press 978-1-107-03046-6 - Community Capitalism in China: The State, the Market, and Collectivism Xiaoshuo Hou Index More information

Index

Adam Smith in Beijing (Arrighi), 5–6 bureaucracy-market interaction, 8 administration in Chinese government, 8 business practices, Nanjie, 57 agribusinesses, 132 agricultural commerce, 4 cadre elite, 7 agricultural cooperatives, 27 cadres, 8, 10, 100–101 agricultural reform, 4–5 in Huaxi, 82 agricultural tax, 15 land disputes, 17 “All Roads Lead to Washington?: Controversies promotion system, 17 over the China Model”, 6 in Shangyuan, 113–114 anti-rural bias in developmental policies, capable persons, 34 15–16 capitalistic values among Chinese, 2 apartments Central Plain Flour Mill, 35, 36–39 in Nanjie, 39–40 Chambers of Commerce, Wenzhou, 117 in Shangyuan, 109 Chen, Shuxin, 68 appointments of leaders, Nanjie, 67–68 Child, John, 11 Arrighi, Giovanni, 5–6 China model (zhongguo moshi), 5–6, 9 associations, Wenzhou, 117 China Statistical Yearbook 2009 (zhongguo average annual income of Huaxi, 19 tongji nianjian 2009), 16 Chinese Communist Party (CCP), 2, 3–4, banking, 4 26, 121 in Huaxi, 87–89 Chint, 117, 119 loans for private enterprises, 11–12 Christianity, 112–113 in Wenzhou, 106, 119–120 “circle on the outside, square on the inside” Barth, Fredrick, 93–94 slogan, 19, 57–63 Beijing Consensus (Ramo), 5–6 Civil Code, 102 Beijing Jingsong Pastry Factory, 38 clientelist ties between local state officials and Bian, Yanjie, 11 private entrepreneurs, 8, 10 Boisot, Max, 11 cluster economy, Wenzhou, 106, 127 boldness in Wenzhou culture, 104–105 codes of conduct bonuses for workers, Huaxi, 87–88, 92 Nanjie, 58–59, 125 boundaries between groups, 93–94, 129 overview, 58 brand image, Wenzhou, 105–106 collective economy, villagers opinions of, 118 Brandt, Loren, 11–12 collective enterprises, Nanjie, 68–69 brickworks, Nanjie, 36–37 collective living allowance, Shangyuan, 109 Buddhism, 112–113 collective ownership of land, 122–124

147

© in this web service Cambridge University Press www.cambridge.org Cambridge University Press 978-1-107-03046-6 - Community Capitalism in China: The State, the Market, and Collectivism Xiaoshuo Hou Index More information

148 Index

collective selfishness, 94 Delixi Group, 114, 115, 117, 119 collectivism democracy Nanjie, 66–70 in China, 3–4 rationality of, 129–134 in Nanjie village, 59 Shangyuan, 117–118 demonstration factory/enterprise, 110 collectivization, 23–31 Deng, Xiaoping, 1, 34 color printing factory, Nanjie, 38–39 development policies, 15–16 common property resource (CPR), 66–67 dialect, Wenzhou, 103 communal dining halls, 27 DiMaggio, Paul J., 97 communes, 27–28 direct elections, 3–4 communism, compatibility with market discrimination in banking, 11–12 economy, 14 distribution system communist theory programs, Nanjie, 63 Huaxi, 87–94 community capitalism, 13–14, 121–134 pattern of economic flow in villages, 123 culture and social networks, 127–129 divided elite, 7 institutional structures, 124–127 dividend yields, Huaxi, 87–88 ownership structures, 122–124 dollar-yuan exchange rate, 36 rationality of collectivism and, 129–134 Donaldson, John A., 21 community, defined, 13 Dore, Ronald, 10 community identity, Nanjie, 65–66 dowries in Shangyuan, 113 competition drinking customs in Henan’s culture, 61 effect on Nanjie profits, 62–63 dual track system, 99 in Shangyuan, 119–120 dualistic economic ethic, Wenzhou, 128 comprehensive approach, 127 Durkheim, Emile, 65 Confucianism, 95 Confucius, 97 East Asian model, 10 Congress, laws favoring private enterprises Eastern Europe, 3, 5 passed by, 101–102 economic flow, patterns of, 123–124 consumption in villages, 123–124 economic integration, modes of, 6 contracting of enterprises, Nanjie, 36–37 economic power of China, 1–2, 121 cooperatives education agricultural, 27 in Nanjie, 41, 53 villages as, 13–14 in Wenzhou, 120 corporatism, 31–34 elderly, care of corruption in Huaxi, 95 affecting private enterprises, 100–101 in Nanjie, 40–41 in local governments, 17 elections in China, 3–4 in Nanjie, 60–62 electrical equipment companies, Shangyuan, “crossing the river by touching the stones”, 97 110, 111–112 Cui, Zhiyuan, 21, 125–126 Enclosure Movement, England, 16 Cultural Revolution, 28 enterprises. See also financing of enterprises; culture private enterprises Huaxi, 94–96 contracting of, Nanjie, 36–37 role in community capitalism, 127–129 demonstration, 110 Culture Corridor, Nanjie, 42 individual, 99–100 privatized collective, discrimination by Daqiuzhuang Village, 33–34, 77 banks against, 11–12 daughters-in-law, Nanjie, 49 role of guanxi in, 11 Dazibao, 37 SOEs, 4, 100–101 de-collectivization TVEs, 11, 14, 100–101 of communes, 23 entrepreneurs Nanjie, 23–31 relationship between state officials and,8 , 10

Index 149

in Shangyuan, 118 government. See also local governments success of overseas, 10 administration in Chinese, 8 equality, Nanjie, 45–46 CCP, 2, 3–4, 26, 121 European Union, 117 Congress, laws favoring private enterprises evaluations of behavior, Nanjie, 58–59 passed by, 101–102 Evans, Peter B., 3 Great Leap Forward, 73 exchange rate, dollar-yuan, 36 property rights law, 102 gradualist approach, 3–5 factories grain trading regulation, 4 in Huaxi, 78, 91–92 Great Leap Forward, 73 in Nanjie, 30–31 Greater Huaxi, 78–80, 89 factory shares for workers, Huaxi, 87–88 grounded theory method, 135 family connections group boundaries, 93–94, 129 in Huaxi leadership, 83–86 Gu, Yi, 55–56 importance in development of private Guangdong province, 19 economy, 9 guanxi. See social networks in Shangyuan, 112 in Wenzhou businesses, 106, 119–120 happiness of villagers, Nanjie, 50–51, 53–54, family-planning policy, Shangyuan, 116 56–57 farming Hardin, Garrett, 66 community capitalism in communities Henan culture, 61 based on, 132 high-level cooperatives (gaoji hezuoshe), 27 in Nanjie, 29–31 high-rise buildings, Nanjie, 39–40 Fei, Xiaotong, 119 History of Linying County (Li), 28 Fifteen-Year Prospective Plan on How the Huaxi history of villages Brigade Should Learn from Dazhai, The, Huaxi, 72–80 75–76 Nanjie, 23–31 financing of enterprises Shangyuan, 108–113 in Huaxi, 87–89 Hong, Zhenning, 105 in Wenzhou, 106, 119–120 Hongqingting (Red Dragonfly), 119 firms. See enterprises honorary villagers, 43–44, 48–49, 50, 52–57 Five Goals, Huaxi, 76 hotel, Huaxi, 90 flexibility in Wenzhou model, 106–107 household registration (hukou) system, flour exchanged for land, Nanjie,30 18, 26 flour mill, Huaxi, 74–75 Huaxi village, 89 foreign investment Shangyuan, 116 in Nanjie, 57 household responsibility system, 4–5, 16, promotion of private enterprises, 28–29, 99, 131 101–102 housing free-riding, 28, 66, 125–126 in Huaxi, 73, 90–91 Fukuyama, Francis, 6 in Nanjie, 39–40 funding of enterprises in Shangyuan, 109, 111 in Huaxi, 87–89 in Wenzhou, 106–107 in Wenzhou, 106, 119–120 Hu, Chengyun, 114, 116, 117 fundraising, illegal, Huaxi, 92 Hu, Zhifa, 111 Hu, Zhixin, 118 General Office, Huaxi,73 Huang, Philip C. C., 21 Geng, Fujie, 68 Huaxi Agro-Industrial-Commercial gift-giving, 10 Combines, 78 gifts, treatment of, Nanjie, 60 Huaxi Aluminum Products Factory, 78 Gold, Thomas B., 135 Huaxi Copper and Aluminum Material Gordon, H.S., 66 Factory, 78

150 Index

Huaxi Cultural and Ethical Development intra-party democracy initiatives, 4 Company, 94–95 Israeli kibbutzim, 14, 126 Huaxi Forging Factory, 78 Huaxi Grain and Fodder Processing Factory, Japan The, 75 social networks in market, 10 Huaxi Group Corporation, 78 Yamagishi villages, 14 Huaxi Model, 94–95, 96 Jiang, Zemin, 101–102 Huaxi Village, 71–96 Jingbang Village, 79 culture and ideology, 94–96 Juling Agricultural Cooperative, 27 history of, 72–80 institutional structures, 125, 126–127 kibbutzim, 14, 126 overview, 19 kinship patriarchal system of management, 80–86 in Huaxi leadership, 83–86 pattern of economic flow, 123–124 importance in development of private social networks, 128 economy, 9 system of distribution, 87–94 in Shangyuan, 112 Hui Muslims, 28 in Wenzhou businesses, 106, 119–120 hukou system, 18, 26 Huaxi, 89 labor unions, 18 Shangyuan, 116 land systems human capital, 130–131 agricultural production in Nanjie, 29–31 Hungary, 5 in China, 122–124 disputes over, 17 ideology household responsibility system, 4 in Huaxi, 94–96 in Huaxi, 76 Mao Zedong Thought, 51, 59, 64–66 in Nanjie, 58, 59 illegal fundraising, Huaxi, 92 privatization, 20–21 incentive structure in Shangyuan, 108–109, 110–111 for government agencies and officials,133 in Wenzhou, 107–108 in Huaxi, 126 laws favoring private enterprises, 101–102 in Nanjie, 67, 125–126 leaving villages, cost of for villages, 127 in Huaxi, 88–89 income in Nanjie, 58 average annual, Huaxi, 19 Li, Hongbin, 11–12 of cadres, Shangyuan, 113–114 liberal democracy, 3–4 in Huaxi, 77, 91–94 Lin, Nan, 7 in Nanjie, 45–47, 49–50, 56–57 Linying County Utility Bureau, 39 individual enterprises, 99–100 liquor customs in Henan’s culture, 61 industrial output littoral pattern, 33 of Huaxi, 19 Liushi Electrical Equipment General Factory, of Shangyuan, 110 110–111 Industrial Trading Company, 111 loans for private enterprises, 11–12 industrialization, Nanjie, 31–39 local competition, Shangyuan, 119–120 instant noodles production, Nanjie, 37–39, local governments 57–58 corruption in, 17 institutional change in post-socialist societies, Huaxi, 125, 126–127 6–7 incentive structure, 133 institutional isomorphism, 97 Nanjie, 125–126 institutional structures, 124–127 patterns describing role in economic Internet access, Nanjie, 51 activities, 31–33 internship labor market, Huaxi, 93 peasant burdens, 15 interpretive case method, 135 political-institutional structure, 16–17

Index 151

quotas for, 17 “circle on the outside and square on the relationship between private entrepreneurs inside”, 57–63 and, 8, 10 collectivism and, 66–70, 130 role of in villages, 127 historical dialectic, 23–31 Shangyuan, 113–120, 127 honorary villagers, 52–57 support of industries in Wenzhou, 107, 117 ideology, 50–52 local state corporatism, 8 industrialization, 31–39 “loushang louxia, diandeng dianhua”, 31 institutional structures, 125–126 Lü, Xiaohu, 25, 43–44 Mao Zedong Thought and, 64–66 Lu, Xun, 43 overview, 15, 19 Luo, Yadong, 11 pattern of economic flow, 123 luxury goods, 2 political conspiracy, 63–64 research conducted in, 136 Maien Food Company, 38 search for equality, 45–46 managerial elite, 130–131 slogans and Chairman Mao, 41–45 managerial networks, 11 social networks, 128 Mao Zedong, 31, 41–45, 51 social welfare, 39–41 Mao Zedong Thought, 51, 59, 64–66 two-tiered system, 46–50 map of site locations, 138 “Nanjie Village Code of Conduct market (Nanjiecun Cungui Minyue)”, compatibility of communism and, 14–22 58–59 discussion of, 7–8 Nee, Victor, 6–7, 124 social relations in, 12 neoliberalism, 2–3, 5–6 market fundamentalism, 3 network capitalism, 11 market transition theory, 6–9, 12 new socialist countryside, 71 market-bureaucracy interaction, 8 non-conformists, Nanjie, 59 marriages North, Douglass, 3 in China, 49 nursing homes, Nanjie, 40–41 in Shangyuan, 113 Marx, Karl, 121 offset printing factory, 38–39 meetings Oi, Jean C., 8, 31–33 in Huaxi, 95 ownership structures, 122–124 in Nanjie, 59 merging of villages, Huaxi, 78–80 partial reform, 2–6 methodology, 135–137 Party Branch Committee migrant enclaves, 132–133 formation of, 110 migrant workers, 18 Shangyuan, 114, 116 in Huaxi, 91–94 Party leadership, 130–131 in Nanjie, 33, 46–48, 55 Party secretary, Huaxi, 81 in Shangyuan, 113 path dependency, 127–128 mill construction, Huaxi, 73–76 “Path of Dazhai Village, The”, 75–76 model brigade, Huaxi as, 77 patriarchal system, 129 modernization theory, 2, 15–16, 18–19 in Huaxi, 80–86, 125, 126–127 modes of economic integration, 6 in Nanjie, 67–68, 125–126 Money-assisted Village, 79 patrimonialism, 10 morality regulations, Nanjie, 58 patterns of economic flow, 123–124 mutual aid team, 26–27 peasants, 18 burdens on, 15 Nande Food Company, 38 institutional restraints on, 16–19 Nanjie Corporate Group, 34 Peng, Mike W., 11 Nanjie Instant Noodles Factory, 37–39 pensions, Huaxi, 88 Nanjie Village, 23–70 permits for visitors, Huaxi, 93

152 Index

perpetual motion machine project, Nanjie, Ramo, Joshua Cooper, 5–6 61–62 real estate market, Wenzhou, 106–107 “petty bourgeoisie” (xiaozi) lifestyle, 2 reception expenses, Shangyuan, 114 Polanyi, Karl, 6, 16 recession, global, 129 policy testing, 76–77 reciprocity, 6 political appointments, Nanjie, 67–68 recollectivization, Nanjie, 23–31 political conspiracy and Nanjie, 63–64 Red Bible, 44–45 political-institutional structure in China, red hat collectives, 100–101 16–17 red tourism, Nanjie, 45, 66 politicized capitalism, 124 Redefining State, Plan and Market: China’s population Reforms in Agricultural Commerce”, 4 of Huaxi, 78, 80 redistribution, 6 of Nanjie, 23–24 relational contracting, 10 of Shangyuan, 108 religious beliefs of Wenzhou, 103 in Huaxi, 95 poverty as incentive for change in Wenzhou, in Nanjie, 65 103–104 in Shangyuan, 112–113 Powell, Walter W., 97 repayment of welfare benefits, Nanjie,58 principal-agent model, 8 resident aliens, Nanjie, 52–57 printing factories, Nanjie, 38 residential housing private economy in Huaxi, 73, 90–91 in China, 99–102 in Nanjie, 39–40 importance of social networks in in Shangyuan, 109, 111 development of, 9 respect for elderly, Huaxi, 95 private enterprises retail space, Shangyuan, 110 corruption affecting, 100–101 retirement pensions, Huaxi, 88 development of in China, 99–102 Rome, migrants from Wenzhou in, 103–104 laws favoring, 101–102 Rueschemeyer, Dietrich, 3 loans for, 11–12 rural areas Nanjie village, 37 development policies, 15–16 private entrepreneurs, relationship between institutional restraints on peasants, 16–19 local state officials and,8 , 10 peasant burdens, 15 privatization of Nanjie, 70 population in, 16 privatized collective enterprises, Russia, 3 discrimination by banks against, 11–12 product quality, Wenzhou, 105–106 salaries production brigades, 27–28 in Huaxi, 88, 91–94 production factors in villages, 123 in Nanjie, 45–47, 49–50, 56–57 profits of industries, Nanjie,62–63 savings accounts, Huaxi, 88–89 promotion system for cadres, 17 school system, Nanjie, 41, 53 property rights law, 102 Second Opium War, 112 in China, 122, 123–124 self-interest of villagers, Shangyuan, 118 in Wenzhou, 107–108 self-reliance in Wenzhou culture, 104 Protestant work ethic, 116 senior party secretary, Huaxi, 83–86 protests by peasants, 15 Shangyuan Mansion of Electrical Equipment, 109 Qi, Jianmin, 4 Shangyuan Village, 97–120 Qiaotou button market, 105, 106 government, 113–120 Qü, Yuhong, 53–54 institutional structures, 127 quality of products, Wenzhou, 105–106 overview, 19–20, 108–113 quotas for local governments, 17 pattern of economic flow, 123–124

Index 153

private economy, 99–102 strata within Huaxi, 89–90 research conducted in, 136–137 structural inertia, 127–128 shareholding land co-operative, 107–108 struggle meetings, Nanjie, 59 social networks, 128–129 Sun, Yi, 118 Wenzhou model, 102–107 Sun, Yunnan, 85 shareholding in Nanjie, 70 Sunan Moshi (Southern Jiangsu Model), 9 shareholding land co-operative, Shangyuan, Swedberg, Richard, 128 107–108, 113 shares, Huaxi, 87–88, 89 telecommunications, 4 Shenzhen Stock Exchange, 78 ten-star model family contest, 58–59, 125 Sicular, Terry, 4 testing of policies, 76–77 Singapore, 95 “The Debate over ‘Universal Values’ in China” Sixty-Year Memorial Hall, Huaxi, 85 (Qi), 4 skyscraper, Huaxi, 90, 91 Three Prohibitions, The, 81 slogans, use of in Nanjie, 41–45 Three Years of Natural Disaster, 73 social change in China, 1–22 time off for workers, Huaxi, 92 community capitalism, 13–14 tong-ties, 10 compatibility of communism and market tourism economy, 14–22 in Huaxi, 95 market transition debate, 6–9 red, in Nanjie, 45, 66 partial reform, 2–6 township and village enterprises (TVEs), 11, social networks and market, 10–12 14, 100–101 social networks, 127–129 tragedy of the commons, 66–67, 131–132 description by Fei, 119 TV in Nanjie, 51 importance in development of private TVE Administrative Office, 111 economy, 9 two-tier land tenure system, Wenzhou, kinship in Huaxi leadership, 83–86 107–108 and market, 10–12 two-tiered system in Shangyuan, 112 in Huaxi, 94 in Wenzhou businesses, 106, 119–120 in Nanjie, 46–50 social welfare benefits in Huaxi, 87 urban areas in Nanjie, 37, 39–41, 46–48, 58–59, 67 community capitalism in, 132–133 in Shangyuan, 116 enclaves, 132–133 socialism in Huaxi, 80–96 population in, 16 culture and ideology, 94–96 reforms, 4 patriarchal system of management, 80–86 rural-urban divide, 18–19 system of distribution, 87–94 socio-cultural roots of transition, 8 vacation time for workers, Huaxi, 92 sons-in-law, Nanjie, 49 Village Agricultural Machinery Team, 30–31 Southern Jiangsu Model (Sunan Moshi), 9 village IDs, Huaxi, 93 Southern Metropolis Daily, 70 villagers’ teams, 137 Special Arts Troupe, Huaxi, 94–95 visitor expenses, Shangyuan, 114 Special Economic Zones, 4–5 visitors, Huaxi, 93 state capitalism, 124 state corporatism, 8 waiyuan neifang slogan, 19 state officials, relationship between Walder, Andrew G., 7, 31–33 entrepreneurs and, 8, 10 Wang, Hongbin, 23, 24, 34–35, 36–38, 60, state-owned enterprises (SOEs), 4, 100–101 61–62, 63, 67–68 state, role in economic development, 3, 5 Wang, Jinzhong, 37–39, 60–61 stock market entry, Huaxi, 78 Washington Consensus, 6

154 Index

wealth Wu, Xie’en, 83–85 in Huaxi, 87 Wu, Xieping, 85–86 villagers opinions of encouragement Wukan, 15 towards, 119 Weber, Max, 10, 130 Xiaogang Village, 4–5, 23 welfare benefits xiaozi (“petty bourgeoisie”) lifestyle, 2 in Huaxi, 87 Xuchang, 63 in Nanjie, 37, 40, 46–48, 58–59, 67 in Shangyuan, 116 Yamagishi villages in Japan, 14 welfare coupons, Nanjie, 39, 69 Yingsong instant noodles, 38 Wenzhou, 9 Yu, Zuomin, 33 Chambers of Commerce, 117 yuan-dollar exchange rate, 36 dialect, 103 dualistic economic ethic, 128 Zhang, Qian Forrest, 21 Wenzhou model, 102–107, 117, 120 Zhang, Tianshun, 43 wheat flour mill, Nanjie,35 , 36–39 zhongguo moshi (China model), 5–6, 9 withdrawing money from savings accounts, Zhou, Jinghua, 38 Huaxi, 88–89 Zhou, Xueguang, 17 Wu, Renbao, 73–76, 77, 80–86 Zhu, Chunjing, 54–55