Red Capitalism

Red Capitalism refers to the combination of Communism and Capitalism that China has pursued in the 1990s to 2010s.

  • Financial system is supported by large government-controlled banks
  • Financial system is supported by money printing from The People's Bank of China
  • Local Governments have offered massive fiscal subsidies by issuing debt on behalf of developers and other firms
  • The Chinese Communist party controls the non-financial economy through licensing, regulations and direct control
  • Overall exports are subsidized by the government to create local jobs