A successful Chinese businessman was jailed earlier this year for his anti-communist statements as well as for “illegal” competition with state banks. This case is typical of the resistance state-run industries in China put up to better and more efficient private companies. The spread of private enterprises in China is creating a new class of entrepreneurs who challenge the state monopolies both economically and ideologically. The military-run state industries often respond by having the businessman sufficiently harassed or quietly disappear. While the situation is depressing in the short run, this mix of freedom and force is unstable – sooner or later, China will have an intellectual revolt and will be forced to choose capitalism or tyranny. If it chooses tyranny, it will surely look for an outside scapegoat to blame for the economic collapse that follows. This turn of events is probably the greatest threat from China to America’s security in the long run.
(Thanks, Keenan )