TrueValueMetrics ... Impact Accounting for the 21st Century

Date: 2026-03-05 Page is: DBtxt003.php txt00028082

THE SOCIO-ENVIRO-ECONOMIC SYSTEM (SEES)
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SECTION 22
ON CHINA'S NUMBER ONE
GLOBAL PRIORITY
Version 1 ... February 2025

is threat from abroad and you can then articulate it as
fenil coming into your country that's one threat abroad or vague aggressive
actions by the Chinese which you know the Chinese go out of their way to say we don't you
know we don't want interfere in any of we just let us grow um so I I think

On China’s Number One Global Priority

3:02:19
China has figured out how to the bottom line how to
mobilize its resources to achieve its priority
targets and the number one priority target has been rapid Economic
Development and they've achieved it better sooner than even they imagined
nor did anyone else outside foresee or even keep up
with when I began to pay attention to the Chinese
economy which in my case was in the the 1960s and70s

3:03:05
for for two or three decades after that every piece of work and I wrote my
Master's thesis on the Chinese economy um at Stanford where I did it um
you always were told here's this the statistic you're looking for but you
can't count on the Chinese I mean they're probably making it though year in no matter what their
achievement was including achievements like going to major cities in China I
don't know if you've been and seeing that these are very modern cities with Rapid Transit that's better than that of
the United States and so on no matter what people so they needed to say that
the statistics are manipulated are are hyped
in one way or another now people have stopped doing it because I mean in the end you can see

3:04:04
what they're capable of doing it's it's they have the equivalent of of alphabet
you know Google Apple Intel all have their counterparts in China plus an
explode expion of small companies by the way I meant to mention that one of the
nice things that deep seek shows Americans who are willing to look at it
is that the notion that there's a significant difference between socialism
and communism because communism provides
incentives and commun excuse me capitalism provides incentiv
and capitalism doesn't
regulate and capitalism therefore stimulates

3:05:00
efficiency that the China if you assume it's socialist which
is what it calls itself socialism well they
obviously they're not holding back entrepreneurialism deep seek many other
is an entrepreneur deep seek as an Enterprise was formed in May of
2023 it's a one and a half year old new startup wow the the Chinese call it a
startup they borrow the American name a startup so and there's lots of companies
like that there's about 30 if I have it right about 30 companies working on
electric vehicles so it's not just be it's not Monopoly companies the way we have here it's it's actually easier to
start a business and to grow a business I can't tell you how many people that I
talk to in the United States have a an what the French called an eay fix you

3:06:01
know a fixed notion that one of the virtues of capitalism relative to
socialism is that it spawns and favors Innovation I would have been one of
those people yes it spawns and favors efficiency it all
ows entrepreneurs to the Chinese do all of that they always have but what what
where did this come from this is pure propagandistic even if it had a grain of
truth I'm not aware it does but it may that I'm not aware of it's not it's not some fixed it's
silly this guy uh who started deep sea May of 23
he had a background of technical he had a technical background but he was also
active in finance he straddled these two and he saw an opportunity and he got
together a group of engineering type recent graduates as I told you not I

3:07:03
made a little firm and went to work on a project that's what he did you know which is the story of a startup in
Silicon Valley multiplies 50 times or a thousand times whatever it is but you
have that that there too and you know it's common sense if you think about it
the Chinese prioritize economic growth they're practical people in the
same way Americans were so they said of course one of the things we have to do
is look at the United States figure out how they did it and go them one better
if we can that's everybody does that and that's what they did but they have
enough people and enough resources and enough capability to mobilize them to do
it so you know in a way they figured it out the the stilted all know socialism

3:08:06
is clunky and cumbersome the government is
everywhere it's childish well it's that head in the sand
mentality you know if things don't develop the way you
thought they would then you ought to go back to the drawing board and wonder about your
assumptions because you thought this but this happened all right socialism isn't
Innovative okay the Chinese have their the best electric cars the Chinese have
new AI the Chinese the Chinese you know they
innovated well they copy yes there was some copying going on no doubt they
stole some the technology probably but you know if you know

3:09:05
anything about history that's really not relevant everybody who can steals everybody who
can copies but the Chinese have done and the folks in Belgium
haven't and the folks in Italy haven't and the folks in Germany haven't and the folks in England haven't whoa whoa and
the Americans thought they could they were years ahead it turns out they're
not etc etc etc then it's time to ask
yourself you know since we've touched on Marxism

What Marxists Learned from the Failure of the Soviet Union
here's another parallel when the Soviet Union collap csis the first national
experiment in a socialist economy marxists were confronted with a
with a really serious problem because what was done in Russia was done in the name of Marxism we are marxists building

3:10:05
a socialist economy so the Russians had a real serious problem you fell apart
the thing you created wasn't sustainable we have the proof it's gone you know it
fell upon everybody who wasn't a Marxist piled in and said AR you failed because
socialism do the work I don't know kind of a quicky summary of the story now the
marxists either had to come up with their own alternative explanation or they'd be stuck with a
very bad result because the argument of the rest
of the world or much of it was that here is the proof that socialism isn't
Innovative it doesn't allow build the business socialism doesn't work
right and it forced

3:11:04
marxis to go back and say what did we get wrong what what did we not see we
didn't see that this experiment would fall apart not even by some outside in Invasion or
a war none of it it just fell apart we missed something we we better ask pretty
basic questions about our analytical framework Marxism or to say the same thing in
other words marxists had better come up with their own explanation of what happened or else the notion that
socialism doesn't work will kind of take the day it will have won the the
debate and so a variety of people myself included did that I spent 10 years of my
life writing a book with my colleague stepen Resnik a man that I worked with

3:12:01
also a professor of Economics like me uh we spent 10 years writing a book on what
happened to Soviet Union why did it fall apart what and what does that tell us
and the bottom line you know your audience might be interested book is available it's in print you can get it
what's it called what called Theory wrong title Theory and history
colon capitalism and communism in the USSR so
published by Routledge a big International Publishing House rout
ledge available in in English all over the world um been translated into bunch
of other languages to anyway um here's what we found just to give you
an idea of how basic we asked the question which is what I'm demanding in
a sense of people who misunderstood where the United States was going

3:13:03
relative to China we came to the conclusion
that the notion of socialism and communism had been
taken in a direction after Marx's
death by his followers that we believe
produced an unfortunate outcome and the outcome
was that socialists thought that what they were Pro about
was to go beyond capitalism in the sense of
depriving private owners of the means of production private
entrepreneurs from their position and their power in order to collectivize to make

3:14:06
the economy something the community as a whole undertakes not private
[Music] subgroups because of the contradiction simple idea that if a
private group of people are running an Enterprise they run it to maximize that
Enterprise not the needs of society and that those don't always work out and
that the society's needs can go unfulfilled because the privates don't
do what you would need to do to fill them an old idea fleshed out in the
century of writing by socialist mostly in the 19th century and so they ended up
with a tension between the private Enterprise and the state as the representative of the community as a
whole which should and Russia makes a revolution gets rid of the private

3:15:01
Enterprises and replaces them with state-owned and operated so that indeed the whole 20th
century is an endless debate between the private and the public capitalism United
States private versus socialism Soviet Union
public what we concluded make a long story short what we