China's Changing Economy Is Changing Everything
Despite my inability to find anything on it through Google, I am convinced there was a TV show (or maybe a movie) with a character who, I believe, after getting completely dumped on would rise up and fight back, but not before first saying "Now that changes everything." What show, what movie, what character? I thought of that guy today while reading an interesting post on Danwei, entitled, "Finance and Family Values or, How I Learned to Stop Worrying and Love My Kid." The post/article was written by Jonathan Rechtman, a freelance writer based in Dalian, whose "writings on China, language, life, and philosophy can be found at The Art of Living." The thesis of the post is that economic stability is changing China's family values and, in particular, the parent-child relationship.
As the parent of two kids, I could not help but think how obvious this should be, while also thinking it had never occurred to me to apply it to China. Seems that good insurance and a retirement plan are changing the reason to have kids from security to love:
In comparison, household income did not have a large influence on the motivation for having children. The use of modern financial products was a much more decisive factor, which was something we didn't expect.Get it? Love has nothing to do with how much money you make...it's all about your 401(k).
But the fun doesn't stop there. Financial tools not only affect why parents have kids, but how they interact with them as well. Retirement plans also seem to be punching a few more nails into the coffin for Confucianism.
When you look at the style of communication between parents and children in Shanghai, Beijing, these big cities, you're going to find...it's not a top-down, "I give the orders" kind of relationship. On the contrary, you'll find more parents are using a very "equal" method of communicating with their children, trying to create a heart-to-heart dialogue. This obviously runs contrary to the Confucian hierarchical system, is essentially contrary to Confucian traditions.Chen goes on to note several other side effects: less stifling of children's individuality, greater self-dependence for both parents and children, a broadening of people's economic spheres, the wonders go on and on.The bottom line is: more freedom.
This, essentially, is what Chen's work is focused on: how finance and the market economy is making Chinese people freer. Free enterprise, free trade, and yes: freedom from Mom and Dad.
The most important role being played by financial markets is their ability to liberate individuals from their reliance on authoritative organizations, whether they are households, churches, or governments. They no longer have to be subordinate to these power structures to survive.
Someone should study the effect of having to add your kid to the car insurance policy too.

Comments (12)
Read through and enter the discussion by using the form at the endMark Anthony Jones - December 3, 2007 4:33 PM
I agree with Chen Zhiwu (quoted in Rechtman's piece linked to above) that as China's market economy develops, people become increasingly free, but I would qualify this by also pointing out that people are also becoming increasingly less free. More freedom means less freedom - that is the paradox of capitalist (post)modernity.
As people become increasingly integrated into the economy, they gain the ability to access a greater range of commodities, and are able also to access a greater variety of lifestyle choices. Shopping can in fact be experienced as a liberating force, as the ability to furnish new homes to suit individual tastes for example, can allow individuals a greater level of autonomy, as well as enhancing feelings of personal pride.
But this increased freedom comes at a price - less freedom. Consumerism is generally experienced by most people in contradictory ways - more variety, coupled with the freedom to choose, results also in increased integration, and hence loss of freedom. As Herbert Marcuse argued in his 1964 classic, One Dimensional Man, "advanced industrial societies" create false needs, which integrate individuals into the system of production and consumption via mass media, advertising, industrial management, and contemporary modes of thought.
As Robert Woods has argued in his essay on Marcuse's thought, "Establishment sanctioned forms of sensual release, what Marcuse calls repressive desublimation, complete our enslavement on the instinctual level. Vicarious enjoyment of violence (through TV and movies), relaxed social mores and commercialised forms of mass culture (professional sports, concerts, etc.) tie us libidinally to the system. After a weekend of such sensual release we return docilely to our work stations. We sin for pleasure and work for redemption." (- a phenomena that reaches extemes in the major cities of Japan, not surprsingly, considering Japan's global status a the quintessential consumer society).
Essentially, libidinally manipulated to consume, individuals become conditioned to experiencing (enjoying?) more desublimated forms of pleasure - which is inherently repressive. For China, as with all of other advanced consumer societies, one of the results will be an increase in psychological disorders, like depression, bi-polar disorder, ad infinitum.
Already, numerous Chinese social analysts (like Peking University's Yue Daiyun for example) are criticisng the new China as a society that is increasing people's sense of alienation, with consumerism "withering away their spirits" and making them "forget what it means to be a human being." Clinical depression, she notes, is, not suprisingly, sharply on the rise.
Still, as Marx always argued, the freedoms that market economies allow are historically progressive, with the benefits outweighing the negatives.
All I am saying here, is that while I agree with Chen Zhiwu's assertion that the market economy is generally making the people of China freer, I think a more nuanced, more dialectical approach ought to be taken when assessing the effects of market economies on the lives of human beings, because the overwhelming weight of empirically-verifiable evidence shows that most individuals experience market economies in contradictory and complex ways, and that through the act of working and consuming (through the act of working TO consume), they experience both gains and losses of freedom.
Will Lewis - December 3, 2007 5:18 PM
I'm pretty sure this is not at all what you were looking for, but I couldn't help but think of John McClane's immortal words from the Die Hard series, typically invoked while breaking a green horse and used by Mr. McClane before turning the tables on his adversaries. Perhaps appropriate in these modern times?
Also, your post made me wonder if this greater parental freedom will usher in the Jack Kerouac's and Tom Wolfe's of China, but that will probably require a freedom addendum.
China Law Blog - December 3, 2007 6:43 PM
MAJ,
ummmm....
China Law Blog - December 3, 2007 6:45 PM
Will Lewis,
Maybe it is from the Die Hard series, all of which I have seen. I watched the last one just last month on a plane back from Asia. But, I keep thinking it is from a comedy. I keep seeing Jim Carey/Ace Ventura????
Law Office of Todd L.Platek - December 3, 2007 8:57 PM
MAJ: How does Yue Daiyun describe the period of 1949-1980? As spirit-enhancing? Were people more greatly enjoying, or even "feeling" their humanity, than now? Because everyone was poor, and equality reigned (with the exception of the higher-ranking cadres), the human spirit soared? Has Yue compared figures of suicides and deaths through state-caused famine and illness of that period with 1980-present? Get a grip.
Glen Wilkins - December 4, 2007 9:39 AM
MAJ,
Interesting thesis but I thought it could be simplified thus: Consumerism encourages us to live outside our means by buying crap we don't need. Thereafter we are doomed to toil long hours to pay for those things thus eliminating any leisure time that would bring true refreshment/fulfillment. Every economic choice comes at a cost.
In this time of economic explosion in the East, what choices will the Chinese make? Will they become coke-fueled pleasure-at-all-cost narcissists typical of Manhattanites circa 1985? Or, disillusioned, will they all put on daishikis and join a melon commune in Xinjiang? We shall see in due time.
Also, I need to use "libidinally" more often; has a nice ring to it.
Mark Anthony Jones - December 4, 2007 2:25 PM
Todd - I can understand your scepticism - why you have asked me to "get a grip" - but the empirical reality is that the number of mental health problems effecting the wider mainland community is on the rise. As far back as 2001, the World Health Organisation led a study that showed that mental health problems in China were on the rise, and at an alarming rate. This has remained the trend ever since. "The increase in mental health problems is drawing the attention of the Chinese government," the People's Daily reported back in 2001. "The Ministry of Public Health said last month that 16 million Chinese citizens suffer from mental health problems with the incidence rising to 17.4 percent....More competitiveness and the collapse of traditional social relationships due to drastic social changes are blamed for the increasing mental health problems."
By 2004 it was reported that the number of people aged under 17 alone who were suffering mental health problems had increased to 30 million. The Ministry of Health again expressed their concerns over the "growing trend of mental disease", particulalry among children and teenagers (the group now suffering the most).
In 2007, The Economist had this to say: "The need for care has presumably long been there. After all, life in pre-reform Communist China was undeniably stressful, with widespread poverty and a series of cataclysmic political campaigns. Yet Zhang Jianxin, deputy director of the Chinese Academy of Science's Institute of Psychology in Beijing, says that urban Chinese now face tremendous pressure to make money and, most importantly, compete with their neighbours for status. The result is a rise in disorders such as anxiety and depression. China's National Centre for Disease Control estimates that 100 million Chinese suffer from one form of mental illness or another."
Others analysts are now starting to point the finger at the effects of advertising on people's sense of self, as well as on some of the other alienating effects of consumerism (the psychological effects of the internet is now in particular attracting a great deal of attention in China, especially in regard to its impacts on teenage mental health) - no surprises in any of this, since psychologists and mental health researchers throughout the Western world have for a long time very often identified consumerism as having a causal link to a large percentage of cases.
The link to consumerism, and to consumer culture, is not surprisingly becoming an increasingly common theme in Chinese literature too, just as it did (and still does) in Japanese literature. Think of Banana Yoshimoto's classic postmodern novel, "Kitchen" for example, which hit such a strong accord among the residents of Hong Kong that a movie production team there bought the rights to make the film. The novel explored the way that many people today fetishise consumer products to such a degree that they find it difficult to relate to human beings. The protagonist in Yoshimoto's novel for example, related to her kitchen appliances to such a degree that she was unable to maintain meaningful relationships with other human beings. "Kitchen" was written before the age of the internet, a commodity that has alienated huge numbers of people, trapping them in a so-called "virtual" reality. It's true, that the internet can also facilitate meaningful dialogues between people, that it can bring people together. It's a very useful tool, when used sensibly. Young people are certainly the most vulnerable to its dangers.
Todd, I don't quite understand your point about suicide rates: they remain very high in China, mainly in the impoverished rural regions, though the vast majority of such suicides have little to do with the psychological effects of consumerism. At no time did I suggest otherwise, right? And at no time did I compare the psychological well-being of today's mainland Chinese with those who lived during the Maoist era - correct? The causes of mental health problems among the general urban population today are quite different from the causes of such illnesses 30-50 years ago. That goes without saying, surely.
What I DID say is that China's market reforms are historically progressive, that China today is a much better place (on most measures) than it was prior to the introduction of market reforms, that the market-driven economy does enhance and facilitate the growth in many kinds of freedom, but that we ought to recognise that market economies impact on people's lives in complex and contradictory ways - aside from the growth in the social and economic inequality that the market has produced, consumerism can enslave just as much as it can liberate (as Marcuse, I think, quite correctly recognised). It's not that it effects people either one way or the other, but that it effects people in both ways, simultaneously - that it frees us at the very same time that it entraps us.
I brought all of this up in my initial comment for a reason: to say that the market economy makes people freer is true, no doubt about it. But it also makes people less free - no doubt about that too in my opinion. Rather than proclaiming one or the other, I think that it is worth recognising that market-drivin economies impact on human beings in contradictory ways.
Mark Anthony Jones - December 4, 2007 2:52 PM
Dan, I take it that you consider my comments on this thread to be a little over the top, judging from your cautious response to my comment - your simple, but polite "ummmm..."
Todd - one more thing I forgot to mention: Yue Daiyun, like me, regards today's China, with its market-driven economy, as being historically progressive on most measures. Never does she describe the period of 1949-1980 as having been "spirit-enhancing". She recognises that consumerism is today the main ideological force driving Chinese society, shaping its values, permeating almost every aspect of its culture. She is critical of this, and she does, I have to admit, focus on consumerism's darker aspects - on its alienating impacts. But I in response have tried to provide some balance to the discussion by also pointing out the liberating aspects of consumerism - noting, for example, the fact that many urban Chinese today experience the buying and decorating of their own homes as increased autonomy, power and pride. The same, no doubt, can be said about many other specific kinds of consumption - the buying of a car, for example.
Amban - December 4, 2007 10:08 PM
"the empirical reality is that the number of mental health problems effecting the wider mainland community is on the rise."
Do we have suicide statistics for the period before 1980? If not, how are we to interpret data for just 27 years? That doesn't make good social science.
"The causes of mental health problems among the general urban population today are quite different from the causes of such illnesses 30-50 years ago. That goes without saying, surely."
It couldn't agree more.
As Frederick Teiwes said about the anti-rightist campaign of 1957-8: Altogether some 550,000 were labeled rightists, the psychological pressures of struggle sessions resulted in a significant number of suicides, and reform through labor was apparently meted out on a large scale.
Mark Anthony Jones - December 5, 2007 2:01 AM
Amban - I don't know whether any suicide statistics for China exist for the period before 1980 (mostly likely not). I'm not claiming though, that the suicide rate is higher or lower now than it was prior to 1980 - all I know is that rural suicide rates are today very high, especially for women (China presently has the highest female suicide rate in the world).
The incidence of mental health disorders among the rural population has been rising fast though, over the period covering at least the past 16 years.
As for your last point - well, I'm glad we agree on something! :)
All the best,
Mark Anthony Jones
Mark Anthony Jones - December 5, 2007 2:21 AM
Amban: you say, "how are we to interpret data for just 27 years? That doesn't make good social science."
I think that 27 years is quite a lengthy period of time - certainly enough to establish whether or not there is a current trend, or pattern, in place. I'm sure more social scientists would agree with me on this. Remember, I'm not comparing today's China with pre-reform China when it comes to suicide rates, or to the incidence of mental health problems in general. There simply isn't enough data available to make such a comparison, and at any rate, my argument doesn't rest on the need for such a comparison.
arthurharman@gmail.com - February 28, 2009 9:22 PM
jon rechtman is boring and out of touch.