1. Most/all businesses above a certain size are state run or directed. 2. Sorry if it came off that way. It's just that in my personal experience, China is muc

1. Most/all businesses above a certain size are state run or directed. 2. Sorry if it came off that way. It's just that in my personal experience, China is much more dependent on this kind of ingratiation compared to America. (e.g. I've never had to give the people who reviewed my college application gifts to increase my chance of admission or anything like that.) From what I can see, the reason China is pulling out ahead is basically: - they have a humongous population, with a fair portion in poverty, giving easy access to productivity gains by lifting them out of it - they possess probably a majority of the industrial complex of the world - they have a reasonably competent government All of which breed technological development. You probably have different insights though. (Also, things like patent and technology copying, etc. probably help.)