This podcast episode examines the challenges faced by China's economy, particularly in the property sector, and the impact on the ruling Communist Party's social contract with the Chinese people. The property sector's overcapacity and collapse have caused pessimism among the people, affecting household wealth and future earnings. The Chinese government's response includes stimulating the economy, implementing preventative repression, and striving for common prosperity through various policies. China's strategy involves a technological panopticon that enhances surveillance and a shift towards new growth drivers. The leadership of Xi Jinping has led to a narrowing of social freedoms and slower growth, but living standards have improved compared to the time of Mao Zedong.
