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Outcomes of China’s Third Plenum: A Conversation with Scott Kennedy
Aug 1, 2024
Scott Kennedy, a senior adviser at CSIS and an expert in Chinese economic policy, discusses the implications of China's Third Plenary Session. He highlights the lack of drastic changes in economic measures but warns of challenges from the leadership's statist approach. The conversation reveals the link between national security and economic strategies, focusing on high-tech development as a key to reducing reliance on foreign industries. Kennedy also shares cautious predictions for China's economic growth in the next two years amid various domestic challenges.
33:04
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Quick takeaways
- The Third Plenum signaled a commitment to technological advancement as the main driver for China's economic growth without introducing drastic reforms.
- There is a concerning intertwining of economic policy with national security, indicating potential constraints on market autonomy in China's economic management.
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Significance of the Third Plenary Session
The third plenum of China's 20th Central Committee is a pivotal event that shapes the nation’s economic policy direction. This meeting is historically significant, as previous plenums have marked major shifts in China's economic landscape, such as the move towards marketization in 1978. Observers had high hopes for transformative changes this time, driven by concerns over slowing growth and rising inequality due to recent government policies. However, the outcomes indicated a commitment to maintaining the existing trajectory of economic management, placing emphasis on growth through technological advancements rather than radical reforms.
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