Professor Kenneth Ng
Econ 160
8 April 2014
Term Paper Part One Section I: The Communist Party of China are authoritarians that are above the law. This is a recipe for dictatorship which in turn outputs a minimal free society. Although China is not your typical Stalinist Communist society, China is still ruled by a ruthless group of members who are above the law. China has adapted some aspects that acquiesces Friedman’s free market capitalist system, but it is still under control by the Communist Party which makes it unique compared to other countries. Modern day China has been bombarded with corruption, bribery, and money laundering but China has still managed to have a large amount of unprecedented economic growth which leaves countries flabbergasted. One of the main reasons why the Party has been able to control about one-fifth of humanity is there ability in the last three decades to maintain the political institutions and authoritarian powers of old-style communism, while dumping the ideological straitjacket that inspired them (McGregor, 92). The country is run by about 300 people, mainly men who have a ‘red machine,’ which signifies them at the tip of the pyramid. The ‘red machine’ is simply a red phone that allows top party members to communicate with other top members without the fear of the phone call being intercepted by any outsiders. These 300 men/women are ministers and vice-ministers, chief editors of major newspaper outlets, the chairmen and women of the elite state enterprises, and the leaders of innumerable party-controlled bodies (50). The United States is a perfect example of a free society because of government transparency. Freedom of press is an essential component for government transparency, which is embedded in the first amendment. China does not have any form of freedom of press whatsoever, instead China has a Central Propaganda Department (CPD) under control by the Communist Party. The CPD handles news and information (McGregor 69). Moreover, freedom of press is very essential to a free society because it allows people to scrutinize the government and make the government more transparent. It is obvious the Party would not want this because they are afraid of government transparency which could in turn destabilize the Party. Transparency often allows citizens of a democracy to control their government, reducing government corruption, bribery and other malfeasance. Moreover, the CPD can shift public opinion, sugarcoat corruption, and basically control what you see in the news media. Unlike China, the United States offers a variety of news carried by mainstream media outlets and alternative media outlets which some people prefer. In addition, China intentionally manipulates its people by formulating propaganda with major news outlets instead of showing what really happens within the government. The Chinese people are worse off by the Propaganda Department controlling the media because it does not improve society as whole. Chinese people will not be well educated if their government keeps control of the internet and censoring major websites that can benefit the Chinese people. The internet can be used as tool to create jobs and wealth, investments, and produce virtual currencies like Bitcoin. The Chinese people cannot open their eyes and see what opportunities can be reached if their government was not so interventionist. Furthermore, another major discrepancy between a free society and minimal free society are free market economies. Hong Kong, as an example, has a free market society which produces major wealth and individuals are left unrestricted to pursue their own self-interest. China, on the other hand, is very restrictive and the government intervenes on anything it can get its hands on. However, China has a very ironic economy that leaves economists stunned. History has shown that economies thrive best when they are left unrestricted by their government, but China is paradoxical because it