Showing posts with label power struggle. Show all posts
Showing posts with label power struggle. Show all posts

Friday, May 11, 2012

Questioning China's Economic Model: One Spark?


The New York TimesAs Growth Slows, China’s Economic Model is Questioned sets a tone in marked contrast with its enthusiastic accounts of China’s prowess. One of its most respected columnists, Thomas Friedman, has been singing the praises of  Chinese infrastructure for years. In New York City, Friedman sees potholes. In China, gleaming highways. Friedman never met a cement mixer he does not like. China has plenty. We have too few because the Republicans won’t authorize an infrastructure bank. We have political stalemate, while China is run by wise technocrats dressed in muted business suits who decide what is best for the country and are not hobbled by the rule of law, property rights, and other small things that get in the way of progress.

The Times piece raises an uncomfortable question for those who regard the Chinese model as the way of the future. Could it be that China is a house of cards, ripped apart by political infighting over political power and spoils, that is kept alive only by embattled  private enterprise?  Could it be that the polite men in dark business suits, who are feted in Washington as our equals, rob state enterprises for their personal benefit, suppress dissent because they know that one spark can destroy their party monopoly, and compete among themselves to see who can waste public savings the fastest by pouring concrete faster than their regional competitors.

go to forbes.com

Dr. Gregory's latest book can be found at Amazon.com.

Monday, December 19, 2011

Kim Jong Il: The Passing Of A Tyrant And The Ensuing Power Struggle

Kim Jong Il, who died Saturday at the age of 69, was the last leader of a Stalinist state held together by a Stalin-like cult of personality, brutal repression and disposition of rents to supporters. Like Stalin, Kim Jong Il rid the North Korean leadership of any possible independent-thinking rivals. There are no Gorbachevs or Dengs in the wings. But the grooming of his chosen successor, third son Kim Jong Un, remains incomplete, and this throws something of a monkey wrench in succession plans.

Kim Jong Il leaves behind a failed economy and a starving people. He built a regime that could survive the grossest of economic failures by means of a blustering and threatening foreign policy, an oversized military that sucked up huge resources, strategic payments to key supporters in the party and military from arms and drug sales, and absolute repression of his people.

go to Forbes.com

Monday, January 31, 2011

An Egyptian Power Struggle: Why the Worst Will Win (Lesson’s from Lenin’s Playbook)

The media has again begun its celebration. Another repressive dictator has been overthrown (or is about to be). The people are massed in the streets demanding freedom. Talk turns to a successor who will restore order and create a new and better order. We hear these familiar words as the thirty-year-old Mubarak regime totters on the brink.

The hard reality is that this optimistic scenario rarely works out. A worse (or equally bad) dictator rises to the top, not a democracy or even a more benevolent dictator. Throughout history, it is the Lenins, Stalins, Ayatolla Khomeneis, Saddams, and Aristides who replace the Czars, the Shahs, the al-Bakrs, and the Papa Docs. Successful transitions from dictatorship to democracy of the Philippines and South Korea are the exception and require special circumstances.

Machiavelli advised that “a man, who wishes to profess goodness at all times, must fall to ruin among so many who are not good.” Even a well-intentioned “Prince” must learn “how not to be good.” F. A. Hayek expressed the same sentiment when he explained why “the worst will rise to the top” in a power struggle played without rules. In Russia, the “good” Kerensky fell to Lenin. In Iran, the good “Bakhtiar” could not contend against Khomenei. In Egypt a “good” El Baradei will fall to a yet unidentified leader of the Muslim Brotherhood.

The Lenin-Stalin-Khomenei-Saddam has substantial advantages in a power struggle, and there is little the outside world can do. He is unconstrained by a moral compass; he is willing to do whatever is necessary to gain power. These advantages are multiplied when the dictator-to-be does abhorrent things in the name of a powerful ideology. Lenin and Stalin had socialism and its intellectual admirers in the West. Saddam had Arab nationalism, and Khomenei had his vision of a fundamental Islamic revival.

Dictators are loathe to designate a successor (unless it is their son or daughter, but even then they hesitate). Hence, the power struggle will take place in a vacuum without established rules. In such a free-for-all, the most brutal contender is advantaged, particularly if he has organizational skills. Nor does it particularly matter what the people want. In the absence of established democratic institutions, their voices can be scarcely heard.

Lenin’s playbook of 1917 is still the classic. His Bolshevik party was organized as a tiny party of professional revolutionaries. The Bolsheviks were part of the February-revolution coalition that dispensed with the Czar. The victors agreed to elect a constituent assembly to create a new multi-party parliament. Lenin had carefully wooed supporters within army and navy units, and he had enough of them to drive Kerensky’s timid provisional government from the Winter Palace in November 1917 without a shot.

After the Bolsheviks received only twenty percent of the popular vote for the constituent assembly, Lenin sent in armed sailors to its first meeting and bolted the doors forever. Lenin then ordered his bloody Red Terror against rival parties and independent thinkers. Notably, he suppressed those parties most brutally that were the closest to the Bolsheviks in ideology. He could not afford to have any rival in the wings. The Czar and his young son and teen age daughters were slaughtered in Siberia.

It was left to Lenin’s successor, Stalin, to move against his own party. By 1938, he had executed any and all party leaders, whom he regarded as a threat.

Lenin’s formula for power fits the Egyptian situation to a T: A popular revolution overthrows a despised dictator. There is no planned succession. Any figure associated with the old regime is tainted. There will be some popular figures among the “revolutionaries,” but they are disorganized and have no ideology to sell. The dictator-to-be’s party may be small, and it may not be particularly popular, but it is well organized and can bring force to bear when necessary. It employs its organizational superiority, brutality, and raw power to outmaneuver or liquidate rivals. Once the dictator-to-be’s party is in power, he can turn his attention within to eliminate his rivals.

The Egyptian army is the one wild card, just as the Czarist army was Lenin’s wild card. Indeed, remnants of the white army fought Trotsky’s Red Army to a standstill, until they were split apart by internal disputes. The advantage to Lenin and the next Egyptian dictator is that both armies were conscripted rather than professional. Conscripted armies are less likely to fill a power vacuum than professional armies.