Page 383 - Essencials of Sociology

356 Chapter 11 politics and the economy

Cultural Diversity around the World

The New Competitor: The Chinese
Capitalists
Beijing
Beijingeijingijingeijing
Socialism has the virtue of making people more equal.
U.S.A.
Socialism’s equality, however, translates into distributing China U.S.A.
Shanghai
poverty throughout a society. Under socialism, almost Shanghai
everyone becomes equally poor. Hong Kong
Hong Kong
Capitalism has the virtue of producing wealth. A lot of
people remain poor, however, leaving deep gaps between
wealth and poverty, which produces envy and sometimes
creates social unrest.
Chinese leaders realized the wealth-producing capacity since this group holds the power. Yuchen has those con-
of capitalism and wanted this for their people (Karon 2011). nections. As a member of the Party, it was his job to direct
In the Chinese version they produced—capitalism directed by Beijing’s construction projects. With his deep connections,
communists—wealth has increased at an astonishing rate. In Yuchen was able to get the wheat fields that were farmed
all the world’s history, this new capitalism has lifted the largest by the peasants rezoned from farmland to a “conservation
number of people—a half billion—out of poverty in the short- area.” He was even able to divert a river so he could build
est time. The poor farmers who are left the moat around the chateau, one of
behind, however, aren’t happy when the finishing touches on his architectural
their land is taken from them to help wonder.
make others wealthy. The anger and Beneath such ostentatious examples
resentment have kept the Party busy of capitalistic excess lies this irony:
sending out the army to squelch riots. China is doing capitalism better than the
In Beijing, the capital of China, capitalist countries are. Using the state
stands a mansion built by Zhang machinery, their leaders have proven
Yuchen. This is no ordinary mansion, themselves more nimble in reacting to
like those built by China’s other newly competition, in seizing opportunities for
rich. This imposing building is a twin of As China has embraced its version of capitalism, profit, and in accumulating vast amounts
the Chateau de Maisons-Laffitte, an ar- wealth has grown, as has consumption. Luxury of capital. The capitalist nations have
chitectural landmark on the Seine River goods from the United States are considered become envious, especially as the
outside Paris. At a cost of $50 million, prestigious and are highly desired. Chinese model of capitalism—at least
the Beijing replica matches the original edifice detail for de- at this historical point—is proving competitively superior
tail. The architects even used the original blueprints of the (Bremmer 2011; Karon 2011).
French chateau. The building also features the same Chantilly
stone (Kahn 2004, 2007).
Eight hundred farmers were made landless to build the For Your Consideration
chateau and its nearby luxury homes. But if they get angry, ↑ When China has completed its transition to capitalism,
the spiked fence, the moat, and the armed guards—looking what do you think the final version will look like (that is, what
sharp in their French-style uniforms complete with capes and characteristics do you think it will have)? Where will the top
kepis—will keep the peasants out of the chateau. Party leaders fit in the class system that is emerging? Why?
In most places, you need connections to become wealthy. (To answer this, consider the connections and resources of the
In China, this means connections with the Communist Party, Chinese elite.)

the Globalization of Capitalism
11.8 Discuss the globalization
of capitalism, including its effects Capitalism has made the world’s countries part of the same broad economic unit. When the
on workers, the divisions of wealth, economic crisis hit the United States, it spread quickly around the world. To decide what
and the global superclass.
they should do, the leaders of the top 20 producers of consumer goods met in Washington.
The Chinese leaders said that no one should worry about them not being a team player; they
knew that their actions would affect other nations. (Yardley and Bradsher 2008)
The globalization of capitalism is so significant that its ultimate impact on our lives
may rival that of the Industrial Revolution. As Louis Galambos, a historian of business,