dkrause on DSKHT7XVN1PROD with $$_JOB152450. Economist, ‘‘<strong>China</strong>’s Shadow-Banking System: Trust Belt,’’ February 10,<strong>2011</strong>.451. Dinny McMahon, ‘‘Shadow Lending Hampers Beijing,’’ Wall Street Journal,December 2, 2010.452. Chen Jia, ‘‘Difference in incomes <strong>to</strong> resume widening trend,’’ <strong>China</strong> Daily,April 20, <strong>2011</strong>.453. Sheng Laiyun, ‘‘National Economy Maintained Steady <strong>and</strong> Fast Growth inthe First Quarter of <strong>2011</strong>’’ (Beijing, <strong>China</strong>: National Bureau of Statistics of <strong>China</strong>,April 15, <strong>2011</strong>).454. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, Testimony of Yukon Huang, February 25, <strong>2011</strong>.455. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, Testimony of Yukon Huang, February 25, <strong>2011</strong>.456. Danielle Kurtzleben, ‘‘7 Ways the U.S. Population Is Changing,’’ U.S. News& World Report, May 13, <strong>2011</strong>.457. Chen Jia, ‘‘Country’s wealth divide past warning level,’’ <strong>China</strong> Daily, May12, 2010.458. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Yukon Huang, February 25, <strong>2011</strong>.459. Bain & Company <strong>and</strong> <strong>China</strong> Merchants Bank, ‘‘Number of Chinese high networth individuals nearly doubles since onset of global recession, according <strong>to</strong> farreaching‘<strong>2011</strong> <strong>China</strong> Private Wealth Study’ ’’ (Bos<strong>to</strong>n, MA, <strong>and</strong> New York, NY:April 19, <strong>2011</strong>). http://www.bain.com/about/press/press-releases/number-of-chinesehigh-net-worth-individuals.aspx.460. Didi Kirsten Tatlow, ‘‘Cost of Living Increasingly a Struggle for <strong>China</strong>’sPoor,’’ New York Times, December 9, 2010.461. Andrew Peaple, ‘‘Shades of Gray in <strong>China</strong>’s Income Levels,’’ Wall StreetJournal, August 11, 2010. http://online.wsj.com/article/SB10001424052748704901104575422841352859712.html.462. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Martin Whyte, February 25, <strong>2011</strong>.463. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Martin Whyte, February 25, <strong>2011</strong>.464. Martin Whyte, ‘‘The Paradoxes of Rural-Urban Inequality in Contemporary<strong>China</strong>,’’ in One Country, Two Societies (Cambridge, MA: Harvard University Press,2010), p. 6.465. Martin Whyte, ‘‘The Paradoxes of Rural-Urban Inequality in Contemporary<strong>China</strong>,’’ in One Country, Two Societies (Cambridge, MA: Harvard University Press,2010), p. 11.466. Wu Jieh-min, ‘‘Rural Migrant Workers <strong>and</strong> <strong>China</strong>’s Differential Citizenship:A Comparative Institutional Analysis,’’ in Martin Whyte, One Country, Two Societies(Cambridge, MA: Harvard University Press, March 1, 2010), p. 56.467. John Liu, ‘‘Beijing <strong>to</strong> Reduce Student Residence Permits, Beijing TimesSays,’’ Bloomberg News, May 17, <strong>2011</strong>.468. Shan Juan, ‘‘Census: Population hits 1.37b,’’ <strong>China</strong> Daily, April 29, <strong>2011</strong>.469. Shan Juan, ‘‘One in three Beijingers a migrant worker,’’ <strong>China</strong> Daily, May6, <strong>2011</strong>.470. Wang Hongyi, ‘‘Migrants res<strong>to</strong>re population base,’’ <strong>China</strong> Daily, May 5, <strong>2011</strong>.471. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Elizabeth Economy, February 25, <strong>2011</strong>.472. Pang Qi, ‘‘Residence status influences students sitting national exams inBeijing,’’ Global Times (<strong>China</strong>), May 23, <strong>2011</strong>.473. Wang Wei, ‘‘School policy a boon for migrants’ kids,’’ <strong>China</strong> Daily, May 9,<strong>2011</strong>.474. Wang Wei, ‘‘School policy a boon for migrants’ kids,’’ <strong>China</strong> Daily, May 9,<strong>2011</strong>.475. Dester Roberts, ‘‘Preparing for the (Possible) <strong>China</strong> Crash,’’ BloombergBusinessWeek, July 18, <strong>2011</strong>.476. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Yukon Huang, February 25, <strong>2011</strong>.477. Brian Spegele, ‘‘Chinese Police Quash Protest Over L<strong>and</strong> Rights,’’ WallStreet Journal, March 31, <strong>2011</strong>.478. Tania Branigan, ‘‘Chinese newspapers in joint call <strong>to</strong> end curb on migrantworkers,’’ Guardian (United Kingdom), March 1, 2010.479. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Elizabeth Economy, February 25, <strong>2011</strong>.480. Sue Feng <strong>and</strong> Ian Johnson, ‘‘<strong>China</strong> Job Squeeze Sends ‘Ants’ <strong>to</strong> Fringes,’’Wall Street Journal, May 3, 2010.VerDate Nov 24 2008 13:46 Nov 10, <strong>2011</strong> Jkt 067464 PO 00000 Frm 00164 Fmt 6601 Sfmt 6621 G:\GSDD\USCC\<strong>2011</strong>\067464.XXX 067464
dkrause on DSKHT7XVN1PROD with $$_JOB153481. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Martin Whyte, February 25, <strong>2011</strong>; Andrew Jacobs,‘‘<strong>China</strong>’s Army of Graduates Struggles for Jobs,’’ New York Times, December 11,2010.482. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Martin Whyte, February 25, <strong>2011</strong>.483. Ho Kwon Ping, ‘‘<strong>China</strong>’s ‘ant tribe’ may sow seeds of unrest,’’ Straits Times(Singapore), March 16, <strong>2011</strong>.484. Cheng Li, ‘‘The Rise of the Middle Class in the Middle Kingdom,’’ in <strong>China</strong>’sEmerging Middle Class (Washing<strong>to</strong>n DC: The Brookings Institution, 2010, p. 18485. Cheng Li, ‘‘The Rise of the Middle Class in the Middle Kingdom,’’ in <strong>China</strong>’sEmerging Middle Class (Washing<strong>to</strong>n, DC: The Brookings Institution, 2010), p. 20.486. Cheng Li, ‘‘The Rise of the Middle Class in the Middle Kingdom,’’ in <strong>China</strong>’sEmerging Middle Class (Washing<strong>to</strong>n, DC: The Brookings Institution, 2010), pp. 14–16.487. Christa Case Bryant, ‘‘Surging middle classes eclipsing global poverty,’’Christian Science Moni<strong>to</strong>r, May 17, <strong>2011</strong>.488. Xin Zhigang, ‘‘Dissecting <strong>China</strong>’s Middle Class,’’ <strong>China</strong> Daily, Oc<strong>to</strong>ber 27,2004. http://chinadaily.com.cn/english/doc/2004-1027/contentl386060.htm.489. Li Shuang, ‘‘40 Percent of Beijingers Middle Class,’’ Global Times (<strong>China</strong>),August 11, <strong>2011</strong>. http://beijing.globaltimes.cn/society/<strong>2011</strong>-04/553384.html490. Yang Jing, ‘‘Stumbling on the Rocky Road: Underst<strong>and</strong>ing <strong>China</strong>’s MiddleClass,’’ International Journal of <strong>China</strong> Studies 1: 2 (Oc<strong>to</strong>ber 2010): 437.491. Yang Jing, ‘‘Stumbling on the Rocky Road: Underst<strong>and</strong>ing <strong>China</strong>’s MiddleClass,’’ International Journal of <strong>China</strong> Studies 1: 2 (Oc<strong>to</strong>ber 2010): 437.492. Bruce Dickson, ‘‘<strong>China</strong>’s Cooperative Capitalists,’’ in <strong>China</strong>’s Emerging MiddleClass (Washing<strong>to</strong>n, DC: The Brookings Institution, 2010), p. 292.493. Martin Whyte (Harvard University sociologist), telephone interview withCommission staff, January <strong>2011</strong>.494. Martin Whyte <strong>and</strong> Guo Maocan, ‘‘How Angry Are Chinese Citizens aboutCurrent Inequalities? Evidence from A National Survey,’’ in Social Stratification inChinese Societies (Bos<strong>to</strong>n, MA: Brill Publishers, 2009), p. 17.495. Andrew Jacobs, ‘‘Where ‘Jasmine’ Means Tea, Not a Revolt,’’ New YorkTimes, April 2, <strong>2011</strong>.496. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, written testimony of Elizabeth Economy, February 25, <strong>2011</strong>.497. Kenneth Lieberthal, ‘‘<strong>China</strong>’s Emerging Middle Class: Beyond <strong>Economic</strong>Transformation’’ (Washing<strong>to</strong>n, DC: The Brookings Institution, December 14, 2010).498. Laurie Burkitt <strong>and</strong> Jeremy Page, ‘‘<strong>China</strong>’s Population is Aging Rapidly,’’Wall Street Journal, April 29, <strong>2011</strong>. http://www.online.wsj.com/article/SB10001424052748704187604576290031070463712.html.499. Laurie Burkitt <strong>and</strong> Jeremy Page, ‘‘<strong>China</strong>’s Population is Aging Rapidly,’’Wall Street Journal, April 29, <strong>2011</strong>. http://www.online.wsj.com/article/SB10001424052748704187604576290031070463712.html.500. Economist, ‘‘Getting On: The Consequences of an Ageing Population,’’ June23, <strong>2011</strong>. http:www.economist.com/node/18832070.501. Willy Lam, ‘‘Beijing’s ‘Wei-Wen’ Imperative Steals Thunder at NPC [NationalPeople’s Congress],’’ <strong>China</strong> Brief (Washing<strong>to</strong>n, DC: The James<strong>to</strong>wn Foundation,March 10, <strong>2011</strong>).502. Willy Lam, ‘‘Beijing’s Blueprint for Tackling Mass Incidents <strong>and</strong> Social Management,’’(Washing<strong>to</strong>n, DC: The James<strong>to</strong>wn Foundation, <strong>China</strong> Brief, March 25,<strong>2011</strong>).503. Jeremy Page, ‘‘Internal <strong>Security</strong> Tops Military in <strong>China</strong> Spending,’’ WallStreet Journal’s <strong>China</strong> Real Time Report, March 5, <strong>2011</strong>.504. Loretta Chao <strong>and</strong> Don Clark, ‘‘Cisco Poised <strong>to</strong> Help <strong>China</strong> Keep an Eye onIts Citizens,’’ Wall Street Journal, July 5, <strong>2011</strong>. http://online.wsj.com/article/SB10001424052702304778304576377141077267316.html.505. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Murray Scot Tanner, February 25, <strong>2011</strong>.506. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Murray Scot Tanner, February 25, <strong>2011</strong>.507. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Murray Scot Tanner, February 25, <strong>2011</strong>.508. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, testimony of Elizabeth Economy, February 25, <strong>2011</strong>.509. U.S.-<strong>China</strong> <strong>Economic</strong> <strong>and</strong> <strong>Security</strong> <strong>Review</strong> Commission, Hearing on <strong>China</strong>’sInternal Dilemmas, written testimony of Elizabeth Economy, February 25, <strong>2011</strong>.VerDate Nov 24 2008 13:46 Nov 10, <strong>2011</strong> Jkt 067464 PO 00000 Frm 00165 Fmt 6601 Sfmt 6621 G:\GSDD\USCC\<strong>2011</strong>\067464.XXX 067464
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12011REPORT TO CONGRESSof theU.S.-C
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23Figure 1:China’s Share of the U
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25The weakness in U.S. exports of a
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31Table 3:RMB Bond Issuances by Mul
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35of bilateral negotiations under t
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37Stonewalling the WTO: A Case Stud
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39that China’s existing system of
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41now. Because the structures of th
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43How Big Is China’s State Sector
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45Fortune Global 500, compared to j
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47panies are less profitable, after
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49erate primarily within state-cont
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57Figure 1: Chinese FDI Stock in th
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63U.S. firms with sensitive technol
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65Addendum I: SASAC Companies, Larg
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67Addendum I: SASAC Companies, Larg
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69dkrause on DSKHT7XVN1PROD with $$
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71January 2010, the heads of 19 U.S
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77cause Beijing had sought to exclu
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81China in Search of Western Techno
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83scious policy seeking to drive Ch
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89Like previous plans, the 12th Fiv
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95Consultative Conference National
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99panies account[ed] for fully 7 pe
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205ganization, modeled on the Europ
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207China’s leadership also places
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211[General Armaments Department] p
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213Table 2: Select Chinese Satellit
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215weapons or coorbital satellite w
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217Malicious Cyber ActivitiesDirect
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RECOMMENDATIONSChina’s ‘‘Area
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239320. Chang Xianqi, Military Astr
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243woman Jiang Yu simply expressed
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245Table 1:Timeline of Sino-North K
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249China also provides economic sup
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251economic and social strains woul
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255Iran’s South Pars Gas Field af
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257When asked by Commissioners abou
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281trade, and dispute settlement. 2
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287of Request to the United States
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289fense, since its current fleet o
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327Although the slogans change over
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335What Constitutes a ‘‘Core In
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339Selected CAIFC/CPD Track Two Exc
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375ecutive Schedule under section 5
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APPENDIX IIIPUBLIC HEARINGS OF THE
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APPENDIX IIIALIST OF WITNESSES TEST
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393Alphabetical Listing of Panelist
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397In TaiwanU.S. Government• Amer
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APPENDIX VLIST OF RESEARCH MATERIAL
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401The National Security Implicatio
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APPENDIX VIACRONYMS AND ABBREVIATIO
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