This revision is from 2025/11/19 02:54. You can Restore it.

How does China's model of communism and socialism differ from past attempts and how does it avoid the errors of the past?

Simply, freedom of commerce is a key element of Chinese successful communism. Commerce is encouraged and accepted. Poverty is medicated by commerce. Socialist market economy simply encourages markets, enterprise and commerce. The communism is not about ending money, curtailing wealth or controlling production, instead it is exactly the opposite. China is the largest buyer and seller in the world, yet no one can argue that it is not communist or not meeting communist values. Embraced as tools for growth; "letting some get rich"., Poverty alleviation and modernization.

The implementation of socialism is the use of taxation for universal services and dealing with corruption, which is the usual cause of the failure of socialism. Relatively low taxation funds the usual social services and virtually no debt show that competent management is key. China's tax burden is lower than most developed (OECD) nations but similar to or slightly above many emerging Asian economies. It is notably lower than the US.

When compared to the United States, the majority of taxation goes to universal social programs and not, quite frankly, stolen in schemes and scams and benefits for insiders. This kind of corruption is certain to bankrupt the USA at some stage. The Chinese social programs are fresh, they're forward-looking, yet they grounded in realism. They're not socializing gender-reaffirming surgeries, street art or a too big to fail companies to save the company, rather the company is thrown and the social fallout managed. The socialism is tight and essential and taxes are low because of it. These are the programs.

1. Universal Education - Nine-Year Compulsory Education from year 1 to year 9.
2. Basic Public Health Services Package - Free preventive services including vaccinations, maternal/child health checks, hypertension/diabetes screening, and health education.
3. Universal Health Insurance Coverage - Not fully "free" healthcare—high reimbursement rates (70-90% for many services) but with deductibles/co-pays; achieved through mandatory/voluntary enrollment in Urban Employee Basic Medical Insurance (UEBMI) or Urban-Rural Resident Basic Medical Insurance (URRBMI). Critical illness insurance adds extra protection.
4. Basic Pension System - Contributory (employer/employee or individual + government subsidy); basic pensions raised annually (2% increase in 2025, 21st consecutive year). Rural residents get subsidized low-contribution plans.
5. Unemployment Insurance
6. Work Injury & Maternity Insurance - Mandatory for employers.

Not universal—aimed at low-income or vulnerable groups.

1. Dibao (Minimum Livelihood Guarantee) Cash assistance to bring household income up to local poverty threshold.
2. Medical Financial AssistanceSubsidies for premiums or out-of-pocket costs for the poor.Supplements universal insurance for low-income.

The key take-away here is that taxes are going to the society and not going to elites, aristocrats and other parties so that can amass personal fortunes as with other countries financial systems. That is a matter of corruption.

How does it compare in costs with other nations.