Revolutionary Legacy, Power Structure, and Grassroots Capitalism under the Red Flag in China

This insightful book examines how localized property rights can thrive under authoritarianism, particularly in China. It offers a nuanced understanding of grassroots capitalism.

In Revolutionary Legacy, Power Structure, and Grassroots Capitalism under the Red Flag in China, authors Qi Zhang and Mingxing Liu delve into the intricate dynamics of property rights under authoritarian regimes. The book presents a compelling theory of localized property-rights protection, shedding light on how political elites in authoritarian settings can exhibit varying degrees of predatory behavior. This exploration is particularly pertinent for those interested in the intersection of politics and the legal landscape affecting business operations in developing nations, with a keen focus on China.

Zhang and Liu draw upon extensive fieldwork, archival research, and quantitative data to examine the post-1949 political landscape in Zhejiang province. They analyze the conflicts between dominant and marginalized factions, revealing how these tensions create systemic vulnerabilities. Marginalized local cadres, seeking political survival, forge alliances with grassroots constituents, leading to the provision of quasi-public goods, including property-rights protection. This dynamic illustrates the potential for localized property rights even in predatory regimes.

The authors argue that their framework is applicable not only to historical contexts like the Mao era but also to contemporary reform periods. Furthermore, the insights gained can be extrapolated to broader contexts beyond China, making Revolutionary Legacy, Power Structure, and Grassroots Capitalism under the Red Flag in China essential reading for anyone looking to understand the complexities of capitalist development in authoritarian environments.