THIS WEEKPEOPLE & POINTS
2016-12-21
NEW FINANCE MINISTER
Xiao Jie, former tax chief and deputy finance minister, has superseded Lou Jiwei as finance minister, according to a decision passed at a meeting of the Standing Committee of the National Peoples Congress on November 7.
Xiao, 59, worked for the Ministry of Finance until 2005 after graduating from the Renmin University of China in 1982. He was deputy finance minister from 2001 to 2005 and head of the State Administration of Taxation from 2007 to 2013. Before being appointed deputy finance minister, he served as deputy secretary general of the State Council.
Xiao, who holds a PhD in economics, has published a number of research papers on economic policies. He is expected to continue advancing reforms in the countrys fiscal and taxation systems.
Small Food Vendors Need More Space
Peoples Daily November 4
Shanghai pancake vendor A Das reopened for business on October 28 after being closed down by authorities in September for lacking appropriate credentials.
The vendors specialty, the garlic oil pancake, is popular among local residents for its authentic flavor. The stall even gained international exposure by featuring in the BBC program Taste of Shanghai in February.
But A Das had already been suspended several times for emitting dense smoke and lacking a business license. The latest prohibition underlined the difficulties small food vendors face. A Das is lucky because media pressure prompted local authorities to fast-track its license application. Legitimizing the huge numbers of small food stalls, restaurants and factories, however, necessitates that local governments adopt innovative supervision and management methods.
On the one hand, food safety supervision should not be relaxed. Restaurants with poor sanitation standards are likely to cause health problems. Its necessary, therefore, to require stalls and restaurants to become licensed and food industry staff to undergo annual checkups. On the other hand, shutting down small food vendors in a one-size-fits-all approach to guarantee food safety is a lazy governance method. In addition to the convenience they afford local residents, small food stalls also provide many people means of subsistence.
Local governments should draw up specific laws and regulations governing small food vendors and producers to grant them more space. Small-scale food businesses, meanwhile, should improve their standards in order to win customerstrust and respect through high quality products.
Social Media Bubbles
Oriental Outlook November 10
Viewing figures for certain famous public accounts on Chinese messaging app WeChat shrank dozens of times following a WeChat upgrade on September 28 that may have hindered the fabrication of viewing numbers.
Some public accounts fake their viewing figures, either by themselves or with the help of specialists, in order to gather more advertising revenue. Placing an ad on a public account costs anywhere between several thousand yuan and hundreds of thousands of yuan, depending on the accounts popularity.
Taking advantage of this situation, some businesses engage in falsifying page view numbers. One such firm, for example, charges 21 yuan ($3.1) per 1,000 views and 300 yuan ($44.3) per 1,000 likes or votes. According to media consultancy firm iiMedia Research, the market value of companies engaged in faking WeChat public account views increased from 21.5 billion yuan ($3.17 billion) in 2014 to 37.8 billion yuan($5.57 billion) this year.
Industry insiders say its hard to eradicate the activity, pointing out that no online platform—from microblog Weibo to the large e-commerce websites—has been able to effectively curb fake viewing figures and posts. Nonetheless, Internet companies that provide such platforms should shoulder more social responsibility in this matter. Moreover, besides improving their content, public social media accounts should diversify their revenue streams beyond advertising, by offering training sessions for example, in order to sustain their businesses.
Rubbish Separation Has a Long Way to Go
The Beijing Times November 7
Chinas capital city will step up efforts to promote rubbish separation, according to the Beijing Municipal Commission of City Management. Separation is recognized around the world as an effective way to handle rubbish disposal. But although cities such as Beijing, Shanghai and Nanjing have practiced the solution for 16 years, the results have been disappointing.
Low public awareness has contributed to the lackluster results so far, with many less educated citizens saying they are not sure how to separate waste properly. The ever-increasing mountain of urban waste compounds the problem. The household waste produced in Beijing is expected to reach some 28,000 tons per day by 2020.
The government, therefore, should educate the public on separation practices with an awareness campaign that targets both adults and children. Disposal infrastructure should also be upgraded. In countries with fully fledged rubbish separation schemes, the various types of waste are sent to dedicated facilities for disposal—power plants that burn rubbish to generate electricity, factories specialized in dealing with kitchen waste, and refuse landfills. In China, however, different types of waste carefully sorted by residents may be collected together and taken to the same factory for disposal, which inevitably dampens public enthusiasm for separating rubbish in the first place.
Furthermore, regulations should be formulated to make rubbish separation a firm policy and to punish those who fail to comply.
TCAPTAIN PRAISED FOR AVERTING CATASTROPHE
China Eastern Airlines Captain He Chao, who managed to avoid colliding with another airliner during a takeoff on October 11, was awarded 3 million yuan ($442,680) by the company on November 3 for his quick and correct decision at a critical moment.
While the captains flight, with 147 passengers on board, was taking off from Shanghai Hongqiao International Airport for Tianjin, he noticed another airplane cutting across its path.
Captain He continued the takeoff and managed to pass above the other aircraft. The shortest vertical distance between the two planes was just 19 meters, and the shortest distance between their wings was merely 13 meters. Investigations determined that air traffic control was responsible for the incident. Afterward, the captain was hailed as a hero for saving the lives of the passengers and crew on board the two planes.
“We expect the purchasing power of individual Chinese consumers in 2030 will be roughly similar to that of [consumers in] South Korea today or [those in] the United States in 2000.”
Wang Dan, an analyst with Economist Intelligence Unit(EIU) China, commenting on a recent EIU report which said the number of people in China earning the equivalent of over $10,000 per year is expected to grow from around 132 million today to around 480 million by 2030
“In view of the current complex environment, family businesses in China should focus on business transformation and innovation.”
Jean Sun, PricewaterhouseCoopers China Assurance Partner, commenting on a PwC survey released on November 3, according to which, around 27 percent of family businesses on the Chinese mainland recorded a sales decline last year, compared with 16 percent in 2014
“The law strengthens the scrutiny of foreign Web service providers before they enter the market in China, but it will not hinder their development as long as they obey the countrys law.”
Wang Sixin, Deputy Dean of the School of Literature and Law at the Communication University of China, commenting on the adoption of the Cybersecurity Law on November 7
“By focusing on innovation and technological breakthroughs, China has become one of the few countries to systematically develop a wide spectrum of advanced aeronautical weaponry.”
Tan Ruisong, General Manager of the Aviation Industry Corp. of China, the conglomerate that manufactures the J-20 stealth fighter, which made its public debut at an exhibition in Zhuhai on November 1