Monday, September 20, 2021

China's crack down on Cheng Wei

 CNN Business has an article about China's crack down on Cheng Wei's ride-hailing app

This seems to me to be an example of what Acemoglu and Robinson predicted about China's future in their book Why Nations Fail. That is to say that the authoritarian regime in China would not be able to sustain growth based on innovation due to its lack of control over such growth.

This is reminiscent of Chain crackdown on Jack Ma which was covered recently in a WSJ article entitled "Jack Ma’s Costliest Business Lesson: China Has Only One Leader."