Rising global economic power by China to challenge new global order

Abstract

This paper's arguments guide Chinese political economy. This analytical idea is based on Rodrik's political-economy trilemma: global economic integration, democracy, and national sovereignty. Chinese policymakers face a trade-off among three policy goals: (hyper-) globalization, democracy, and national sovereignty. China’s President Xi and the Chinese Communist Party (CCP) have chosen global economic integration and national sovereignty (fewer human rights). To reflect the analytical idea, which can measure the length of a vector, is a mathematics methodology. As a result, Chinese political events such as the Great Proletarian Cultural Revolution in 1966, the death of Mao Zedong in 1976, and the choice of Chinese President Xi Jinping as General Secretary of the Communist Party in 2012 had an impact on reshaping when the length of vector (the sphere's radius of 2) was more than 2. The future direction of China will lead to a “Golden Straitjacket.” The “Golden Straitjacket.” makes a country push forward trade liberalization and national sovereignty -- i.e., democracy is constrained. Chinese policy has changed to stronger centralization of political power and decision-making for President Xi and the CCP. Also, China expands a global economic integration and national sovereignty. However, China needs to contribute to globalization without causing more conflicts to Western countries. In other words, China should be loath to relinquish the individual and national benefits of integrated international economies. “Fast and furious” is the first step of globalization for a peaceful world.

Keywords

• globalization
• global order
• chinese political economy
• mathematical economics