Temper govt ties with economy

Policies that induce private investment and don't favor producers are key to sustained growth in the future

The essence of the so-called China model - if the Chinese experience can be labeled a model in the first place - rests on four requirements: social equality, a strong and effective bureaucracy, pragmatism and a disinterested government. These maxims have a lot to offer other developing countries and challenge the wisdom on state governance and methods of reaching economic growth.

Social equality is a result of revolutions in the twentieth century. It helps China avoid the politics of strong interest groups and elitism that plague many other developing countries. A strong and effective bureaucracy is both an historical heritage and a result of the current government led by the Communist Party, which has strong organizational capabilities. Pragmatism allows China to adopt imperfect but working solutions that answer the most urgent issues at the time.