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U.S.-China relations experienced significant change during the Reagan administration. In contrast to the 1970s, when China criticized American “appeasement” of the Soviet Union and U.S.-Taiwan diplomatic relations, and to the early Reagan years, when China threatened to downgrade relations over American arms sales to Taiwan and badgered Washington on a host of lesser issues, relations were remarkably free from challenges to a developing and expanding relationship from late 1983 until the June 1989 massacre.
The purpose of this article is to examine the role of constitutions in Hong Kong, the principal concern being the implications of the Basic Law which comes into effect in July 1997 as the constitution of the Hong Kong Special Administrative Region (HKSAR). In order to show the purpose and method of the Basic Law, I also examine the role of colonial constitutions in the territory.
Finding the proper balance between central control and local autonomy is a perennial problem in the Chinese economy, and the Chinese fiscal system has undergone numerous changes in central-provincial revenue-sharing arrangements since the 1950s. In the post-Mao period, fiscal decentralization began in 1980 under the slogan of “cooking in separate kitchens” (fenzao chifan), and a series of reforms was implemented to put local governments increasingly on a self-financing basis. However, this attempt to revamp the financial interaction between the central and provincial governments has been made immensely more complicated by rapid changes in the fiscal system and the shifting composition of revenues and expenditures brought by economic reform.
The 10 years of the “open policy” changed China dramatically. After it decided to join the world economy by expanding its exports and importing technology, funds and management skills to bring to fruition the historic goal of modernizing China, it opened itself as well to new forces in the international system. But while most studies of China's growing foreign trade sector emphasize its impact on China's trading partners and the international economy, few studies have addressed the domestic impact of this decision to open up parts of the domestic economy to foreign trade and shift into a more “export-led” pattern of economic development.
Observers of Chinese politics often are impressed by its vast diversity and its conflicting images. These conflicting images are found not only in analyses of the Chinese communist regime of revolutionary vintage but also in studies of the party-state's endeavor to extend its control over an increasingly industrialized and modernized society in the aftermath of the revolution. According to one view, the party-state is seen as being totally dominant in the industrial sector, in view of such powerful tools as central planning and state ownership, coupled with administrative channels of material supply and the bank's supervision. By the same token, at the enterprise level, the factory directors find at their disposal a vast inventory of tools of control, covering comprehensively all aspects of the worker's life, and this often creates an image of “totalitarian management.”
But there is another view, in which empirical studies suggest that the party-state seems powerless when it confronts the task of modernization and economic growth in the postrevolutionary era. For instance, within the structure of the command economy, the industrial ministries at the central level and the industrial bureaus at the local level find it difficult to keep abreast of operations of the various enterprises because of weakness in the feedback system. Thus, considerable material concessions must be made in order to induce compliance from the low-level units. Examples include the profit-retention system (1979-1984), the tax-forprofit system (begun in 1983), and the contractual-responsibility system (begun in 1984).
The zigzag and sometimes tragic search for democracy has been a central theme of modern Chinese politics. Often the searchers have been torn between the intellectual attraction of the modern ideals of democracy, based on foreign ideologies, and the practical necessity of adapting to Chinese conditions. Democracy in China has remained elusive both as an ideal and as a reality; at no time in the twentieth century has there been general satisfaction with the prevailing relationship between people and state.
The most successful political leaders of modern China – Sun Yat-sen, Mao Zedong, and Deng Xiaoping – have self-consciously pursued “Chinese paths” that have included limited commitments to popular power. It could be said that the successes of those leaders and the ensuing shape of Chinese politics have been based to some extent on their correct perceptions of the existing possibilities for feasible relationships between public authority and popular power, and their failures have been due to misjudgments of those relationships.
Since the summer of 1989, the post-Mao period has taken an especially tragic turn with regard to democracy. After ten years of unparalleled progress in democratizing reforms, Deng Xiaoping and the party leaders are attempting to reimpose unquestioned and unlimited control over society. Can the party really effect such a dramatic, authoritarian turn? Or will the societal forces already set in motion render such an attempt a very harmful but temporary atavism? The practical contradiction between the current policies of control and repression and the earlier policies of modernization through decontrol and openness has made the question of the relationship between popular power and public authority central to any prognostic analysis of current events.