Postcard from Beijing: "Our Social System Is Inadequate" - DER SPIEGEL
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Postcard from Beijing "Our Social System Is Inadequate"

Economist and reformist Chi Fulin of China discusses the political mistakes of the Beijing government and the reforms that will be needed to close the growing gap between rich and poor in the world's most-populous country.
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SPIEGEL:

The gap between the rich and the poor is wider than ever, and party leader and head of state Hu Jintao called for the building of a harmonious society. How does he expect such a society to function?

Chi: Economic development is currently proceeding at such a pace that the development of society cannot keep up - neither when it comes to health and education, nor when national security or the environment are at stake. Our social system is particularly inadequate; it covers too few people and is badly administered. Social services should become the central focus of Chinese politics.

SPIEGEL: The National People's Congress has resolved to offer a helping hand to the victims of the modernization process. Where are reforms most necessary?

Chi: In the areas of health and rural education. Roughly 27 percent of farmers have never finished the ninth grade, even though the law requires them to.

SPIEGEL: What are the major flaws of the health system?

Chi: Many citizens are unhappy because the costs of medication and treatment has risen so quickly. Forty percent of people with health problems can no longer afford a doctor; 20 percent stay home even though they should be in the hospital. In the countryside it's even worse: many farmers have no choice but to sit helplessly at home and wait for their health problems to disappear. Families are thrust back into poverty when they have to pay for the medical treatment of relatives.

SPIEGEL: Is a change of course possible without genuine political reforms?

Chi: Of course we also need structural reform, but it has to be appropriate for China. The government needs to improve the selection of functionaries, and the various government departments have to work together more effectively. Ministries and commissions must no longer be allowed to supervise themselves. With regard to civil society, we have to foster the development of organizations dedicated to the economy and the common good.

Interview conducted by Andreas Lorenz