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by DiogenesKynikos 2407 days ago
> An analogy might be an American company appointing high ranking government people (who are still active in government)

It's not at all uncommon for high-ranking government and military officials in the US to sit on corporate boards right after they leave government. There's a well known revolving door.

American companies are also subject to very significant pressure from the government. See, for example, how the US government informally (and successfully) pressured all the major payment processors to cut off WikiLeaks in 2010, or how social media companies are now under significant pressure to censor content.

This sort of pressure, which exists to varying degrees in every country, is not the same as the government directly running a company or dictating its business plans. That is not, by and large, how things operate in China either in the private sector. I see the claim made all the time (for example in the first post I responded to) that all businesses in China are basically run by the government. I think the people making those comments don't know what they are talking about, and are basically advancing a paranoia about China which has become ever more intense in the US over the past few months.

1 comments

However the key difference is the amount of coercion, you aren't going to be shut out of the country, or business if you refuse to appoint government people in the USA, or do the government other favors.

The US government and private interests do indeed co-opt each other a lot, but its nowhere near the (implicit) threat of being run out of business (or worse) that it is in china.

There's the threat of significant regulation. I think there's a reason why Zuckerberg feel the need to go in front of Congress, rather than telling them to go bark up a tree. It's also quite amazing how quickly all the payment processors shut off WikiLeaks, based on pressure from US senators.

Companies can, however, be banned from the US for overtly political reasons. See Huawei and ZTE.

I agree that Chinese CEOs walk on thinner ice personally, and that they can be thrown in prison or worse much more easily. That's a general problem in China. However, the easy way in which Americans claim Chinese companies are run by the government is not true. It's also true that large US companies are thoroughly embedded in the government and vice versa (the massive defense sector, parts of the tech sector).