An official like Li Zaiyong might be more interested in building a gleaming hospital filled with sophisticated equipment. Their attention drifts, however, when it comes to installing the trained technicians capable of operating the facility, since the Communist Party is better at rewarding new construction than health outcomes.
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The Chinese state builds gleaming public works and doesn’t flinch from locking up ethnic minorities or locking down whole cities. Too many outsiders see only the enrichment or the repression. Living there puts you face to face with both a sustained rise in living standards and authoritarian pulses emanating out of Beijing. It became no contradiction for me to appreciate the things that are getting better and getting worse. I saw how China is made up of both strong entrepreneurs and a strong government, with a state that both moves fast and breaks things and moves fast and breaks people.
The fundamental tenet of the engineering state is to look at people as aggregates, not individuals. The Communist Party envisions itself as a grand master, coordinating unified actions across state and society, able to launch strategic maneuvers beyond the comprehension of its citizens. Its philosophy is to maximize the discretion of the state and minimize the rights of individuals.
The Communist Party has relentlessly broken up entrenched interests, partly to prevent rich people from gaining political power and partly to spread material benefits throughout the country. It’s rise suggests that a country can grow powerful when it trains a lot of engineers and puts them to work, even under less-than-great institutional arrangements. In the words of one 1991 paper written by a trio of economists, “Our evidence shows that countries with a higher proportion of engineering college majors grow faster; whereas countries with a higher proportion of law concentrators grow more slowly.” Engineers are part of the reason that China has grown so much wealthier, despite its wavering commitment to secure property rights.
When Chinese officials talk about promoting consumption, it often involves building new malls or replacing old industrial equipment. In other words, it’s still more about investing to build stuff rather than shifting the propensity of households to spend a greater share of their income.
Never mind that China has gotten less growth from each unit of new investment since its big infrastructure binge of 2008. The Communist Party continues to build because it’s full of engineers and also because Marxist-Leninists don’t want to cede economic agency to the people.
China would be better off if it built less and built better. But we should also resist judging it by the standards of the United States, which is frankly underprovisioned in public infrastructure. Because there is perhaps one thing worse than an overactive state that can’t stop moving— and that is a state that can’t move at all.