Chapter 143 The "Peacock Principle" of China's Big Cities

China's great development came after Deng Xiaoping's "Southern Talks" in 1992.Although the goal of his promotion of reform and opening up was the "special economic zone", after 1998 this policy was extended to the whole country.There are more than 200 special economic zones in China. As a result, the whole of China seems to have become special economic zones. This is decentralization.Although it is centralized politically, it is decentralized economically.Companies from all over the world are flocking to cities with bright futures and excellent leadership in China with their capital and technology.

Japan's decentralization policy - "Trinity Reform" cannot be compared with this kind of reform. Although it is politically centralized, it has achieved 100% decentralization economically.As long as you discuss with the local secretary and mayor, as long as it is conducive to the development of the local economy, you can do whatever you want under the condition of abiding by national laws-the local government has obtained this kind of freedom. For example, freedom of land.From the perspective of the socialist system (land is owned by the state), although this is absolutely impossible, China has done it. The 50-year, 75-year, 99-year lease contracts have kept the Chinese government transferring land, and until now, China has agreed to contract land to farmers.

However, even if the land becomes free, there is no capital.The central government does not allocate funds, so it can only rely on foreign capital, so the introduction of foreign capital has become active.For this reason, large tracts of industrial areas have sprung up like mushrooms after rain, and each industrial area has at least one main tenant, and everyone gets along friendly. Under the banner of decentralization, Japan allocated local funds through the "Trinity" reform. Although this is not a big deal, the central government still has a lot of problems in the use of land such as roads, rivers, coasts, cultivated land, and forests. Strict rules and regulations, which are completely inconsistent with "developing the economy independently at the local level", and the local area is exhausted.

However, China has transferred part of the power to the local governments. Therefore, in 1990, there were only 30 cities with a population of one million in China, but 10 years later, in 2000, the number reached 166, and now there are more than 200. Now, some cities in China are beginning to merge, which will form a large city with a population of 15 million.At that time, people, money, and goods from all over the world would flock to such a "city-state", because a city with a population of only 1 million has lost its charm for foreign capital. I am a consultant in Liaoning Province, and I was elected as an honorary citizen of Dalian City, and I am also an economic consultant in Tianjin City. They are now constantly merging, absorbing, and integrating to make the city more and more attractive.

I call this practice the "peacock principle".That is to say, although the peacock is small, it becomes large and beautiful after spreading its wings, which attracts many things.That is to say, people, wealth, and things will pour in like a tide. Therefore, China is not prospering with the country as the unit, but with the city as the unit. This is the theme of my book "China, Renting". I heard that after the Chinese people read this book, many people said in amazement: "So China is so prosperous!" I was also surprised by their reaction.Because if this is the case, it means that they are implementing the "peacock principle" unconsciously.

Zhu Rongji is a genius. He can intuitively understand the principles of the market. He is worthy of being a once-in-a-century politician. Unfortunately, Japan has no such ideas at all.Even with this idea, government bureaucrats will not be willing to decentralize local powers.Therefore, localities can only expect to be designated by the central government as designated cities by decree. The "Trinity" reform made the local government decline, and the local government began to ask the central government for money. Therefore, the Fukuda regime allocated 300 billion yen to the local government from the Tokyo Metropolitan Government, whose financial revenues and expenditures are in black. This money can only come from the taxes paid by the people.Japan had used this kind of Keynesian economic countermeasures several times in 1990, but none of them worked, but the politicians still had no intention of stopping.I can only say that their "low IQ" is hopeless.