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Viewing cable 08BEIJING4625, MEDIA REACTION: ECONOMIC CRISIS, CENTRAL ASIA

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Reference ID Created Released Classification Origin
08BEIJING4625 2008-12-22 08:29 2011-08-23 00:00 UNCLASSIFIED Embassy Beijing
VZCZCXRO2085
RR RUEHCN RUEHGH RUEHVC
DE RUEHBJ #4625 3570829
ZNR UUUUU ZZH
R 220829Z DEC 08
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC 1526
INFO RUEHOO/CHINA POSTS COLLECTIVE
RHMFIUU/CDR USPACOM HONOLULU HI
UNCLAS BEIJING 004625 
 
DEPARTMENT FOR INR/R/MR, EAP/CM, EAP/PA, EAP/PD, C 
HQ PACOM FOR PUBLIC DIPLOMACY ADVISOR (J007) 
SIPDIS 
 
E.O. 12958:  N/A 
TAGS: OPRC KMDR CH
 
SUBJECT: MEDIA REACTION: ECONOMIC CRISIS, CENTRAL ASIA 
 
-------------------- 
  Editorial Quotes 
-------------------- 
 
1. ECONOMIC CRISIS 
 
a. "China should learn to deal with a high unemployment rate in 
order to develop" 
 
The official Communist Party international news publication Global 
Times (Huanqiu Shibao)(12/22): "The slowing economy has led 
factories to cut jobs. Joblessness in China is rising, prompting 
fears of social unrest. How well can China handle this problem will 
determine China's sustainable development. China shouldn't be afraid 
of a high unemployment rate as it is just a natural outcome of the 
adjustment to a market economy. China is entering the industrial age 
but it is far from industrialized.  Knowledge-intensive industries 
such as the high-tech industry should receive more attention than 
labor-intensive industries.  The workforce needs to be redirected to 
those industries.  To handle a high unemployment rate China should 
improve its unemployment insurance and assistance systems and train 
people for reemployment." 
 
B. "China should build a domestic demand-driven consumer society" 
 
Zheng Yongnian, head of the East Asian Institute of National 
University of Singapore said in an interview with the official 
Xinhua News Agency international news publication International 
Herald Leader (Guoji Xianqu Daobao) (12/22): "The prospects of 
China's export-oriented economy are gloomy. China's economy has been 
serving the overseas market long enough and now it's time to serve 
its own people. The only way out is to create a domestic 
demand-driven consumer society.  To maintain China's economic growth 
there are two solutions.  One is investment, the other is 
consumerism.  A consumer society needs a solid foundation such as 
social insurance system, health care and education.  Since China's 
GDP growth has been very high in the last few years it is the best 
time to set up a social insurance system and to build a consumer 
society. Regarding the international environment, if China doesn't 
become a consumer society, the international economic order will 
never change. Social reform in China cannot be avoided." 
 
2. CENTRAL ASIA 
 
"What games are Americans playing in central Asia?" 
 
The official daily newspaper of China's Communist Youth League Youth 
Daily (Zhongguo Qingnianbao) (12/21): "It is nerve-wracking to think 
that America will use a war to overcome the economic crisis. 
Americans are using their military bases in central Asia to watch 
all the countries there including China.  In this region Americans 
pay more attention to Russia and China.  They have been trying to 
launch long-range early-warning aircraft in this region.  Although 
the EU, NATO, Turkey and Iran are trying to expand their influence 
in Central Asia, Central Asian countries' only motivation is 
economic benefit.  No matter how the situation changes in Central 
Asia no single country can dominate this region.  The door is open 
to all. " 
 
RANDT