Wednesday, June 06, 2007

No More Internet Cafes in China

Most people take it entirely for granted that China's impressive growth and export success implies that its bureaucrats and public sector workers are very savvy. While the GDP growth, exports and poverty reduction data is certainly impressive, I sometimes think that in some respects, this government tries to be too clever and turns out to be clever by half.

This story in the Business Week reports that the government of China has ceased issuance of licenses for new internet cafes and that its inspectors will investigate whether existing license holders are renting out their licenses or failing to register the identities of users. One wonders how a nation that has achieved unprecedented feats in economic development can have such small thinkers for bureaucrats.

This is completely wrong-headed policy that leads one to question what the magical number of Internet cafes ought to be. Cant most bureaucrats find better things to regulate?

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