Russian Regulators Jail Entrepreneur for Innovating “Too Fast and Too Freely”

(p. A1) AKADEMGORODOK, Russia — Dmitri Trubitsyn is a young physicist-entrepreneur with a patriotic reputation, seen in this part of Siberia as an exemplar of the talents, dedication and enterprise that President Vladimir V. Putin has hailed as vital for Russia’s future economic health.
Yet Mr. Trubitsyn faces up to eight years in jail after a recent raid on his home and office here in Akademgorodok, a Soviet-era sanctuary of scientific research that was supposed to showcase how Mr. Putin’s Russia can harness its abundance of talent to create a modern economy.
A court last Thursday [August 3, 2017] extended Mr. Trubitsyn’s house arrest until at least October, which bars him from leaving his apartment or communicating with anyone other than his immediate family. Mr. Trubitsyn, 36, whose company, Tion, manufactures high-tech air-purification systems for homes and hospitals, is accused of risking the lives of hospital patients, and trying to lift profits, by upgrading the purifiers so they would consume less electricity.
Most important, he is accused of doing this without state regulators certifying the changes.
It is a case that highlights the tensions between Mr. Putin’s aspirations for a dynamic private sector and his determination to enhance the powers of Russia’s security apparatus. Using a 2014 law meant to protect Russians from counterfeit medicine, investigators from the Federal Security Service, the post-Soviet KGB, and other agencies have accused Mr. Trubitsyn of leading a criminal conspiracy to, essentially, innovate too fast and too freely.
. . .
(p. A9) Irina Travina, the founder of a software start-up and head of the local technology-business association, said Akademgorodok was “the best place in Russia,” with “outstanding schools, low crime and a high concentration of very smart people.”
But she said Mr. Trubitsyn’s arrest had delivered a grave blow to the community’s sense of security.
“In principle, anyone can fall into this situation,” Ms. Travina said, praising Mr. Trubitsyn as a patriot because he had not moved abroad and had invested time and money in science education for local children. “It can happen to anybody,” she added. “Everyone has some sort of skeleton in their closet. Maybe nothing big, but they can always find something to throw you in jail for.”

For the full story, see:
ANDREW HIGGINS. “Russia Wants Innovation, but Jails Innovators.” The New York Times (Thurs., AUG. 10, 2017): A1 & A9.
(Note: ellipsis, and bracketed date, added.)
(Note: the online version of the story has the date AUG. 9, 2017, and has the title “Russia Wants Innovation, but It’s Arresting Its Innovators.”)

“Startling” Chinese Government Report Faults Slow and Tepid Reform “Stalemate”

(p. B1) BEIJING — China’s ambitious plan to revamp its economy has bogged down. Flabby state conglomerates have thwarted attempts to whip them into commercial shape. Rules that treat millions of city-dwelling rural migrants like second-class citizens have barely budged.
Such criticisms are common from skeptical foreign economists who have long argued that President Xi Jinping’s efforts to remake China’s economy and fix pernicious social problems have been too slow and tepid.
But these withering findings on China’s reforms come from a startling place: from within the government itself.
Just as striking, this unflattering report card from a Chinese state think tank — published this month with little fanfare — faults misconceived “top-level design” in policies, as well as local bureaucrats and state managers reluctant to change.
. . .
It concludes: “Reform has to some extent fallen into stalemate.”
The report brings into focus a sharpening debate in China about economic priorities. Experts inside and outside China say the country’s economy needs to be overhauled to continue growing fast enough to provide jobs and higher incomes for its people.
. . .
(p. B5) The new report, a 217-page study titled “The Reform Obstruction Phenomenon,” was written by researchers from the Economic System and Management Institute of China’s National Development and Reform Commission, which steers policy on industry, energy and many other sectors. The head of the commission, He Lifeng, and his deputy, Liu He, both have ties to Mr. Xi. But nothing in the report suggests that it had their blessing. The authors declined to be interviewed.

For the full story, see:
CHRIS BUCKLEY. “Still Waiting for Reforms.” The New York Times (Tues., MARCH 28, 2017): B1 & B5.
(Note: ellipses added.)
(Note: the online version of the story has the date MARCH 27, 2017, and has the title “In Rare Move, Chinese Think Tank Criticizes Tepid Pace of Reform.”)

Countries Became Prosperous by Studying Drucker (Who Had Studied Schumpeter)

According to the article quoted below, former Cambodian communists are studying the thought of Peter Drucker. Drucker wrote many influential articles and books. My favorite is his article praising his teacher Joseph Schumpeter, written in the year that Schumpeter would have turned 100.

(p. A4) MALAI, Cambodia — For years, Tep Khunnal was the devoted personal secretary of Pol Pot, staying loyal to the charismatic ultracommunist leader even as the Khmer Rouge movement collapsed around them in the late 1990s.

Forced to reinvent himself after Pol Pot’s death, he fled to this outpost on the Thai border and began following a different sort of guru: the Austrian-American management theorist and business consultant Peter Drucker.
“I realized that some other countries, in South America, in Japan, they studied Drucker, and they used Drucker’s ideas and made the countries prosperous,” he said.
The residents of this dusty but bustling town are almost all former Khmer Rouge soldiers or cadres and their families, but they have come to embrace capitalism with almost as much vigor as they once fought to destroy class distinctions, free trade and even money itself.
Mr. Tep Khunnal helped lead the way, as a founder of an agricultural export company and a small microfinance bank for farmers before rising to become the district governor. From that position, he encouraged his constituents to follow suit.
. . .
“We joined the communists, and now we have joined the capitalists, which is much better,” said Dim Sok, a local official.
. . .
Mr. Tep Khunnal, 67, retired from government and business a few years ago and now devotes his time to spreading Drucker’s ideas across the country. He teaches at a university in a neighboring province and is translating the theorist’s work into Khmer. He has even compiled his favorite bits of Drucker’s wisdom into a small handbook.
. . .
He said he began reading about economics while serving as a Khmer Rouge envoy to the United Nations in the 1980s. Although he liked Milton Friedman, the free-market economist, and Frederick Taylor, who pioneered scientific management, he was most drawn to Drucker’s insistence that employees were central to an enterprise’s success.
“What I find interesting for me is that he talks about individuals, he gives power to individuals, not to collectivism,” he said of Drucker. “Frederick Taylor in the early 20th century, he talked about efficiency, but Drucker talked about effectiveness.”

For the full story, see:
JULIA WALLACE. “MALAI JOURNAL; Pol Pot’s Former Followers Become Cadres for Capitalism.” The New York Times (Thurs., MARCH 23, 2017): A4.
(Note: ellipses added.)
(Note: the online version of the story has the date MARCH 22, 2017, and has the title “MALAI JOURNAL; They Smashed Banks for Pol Pot. Now They’re Founding Them.”)

The article by Drucker on Schumpeter, mentioned by me above, is:
Drucker, Peter F. “Modern Prophets: Schumpeter or Keynes?” Forbes (May 23, 1983): 24-28.

“Hubs of Genius Do Not Arise from Government Planning”

(p. 13) In the early 1960s, the Soviet Union tried to make a version of Silicon Valley from scratch. A city called Zelenograd came to life on the outskirts of Moscow and was populated with all manner of brainy Soviet engineers. The hope — naturally — was that a concentration of clever minds coupled with ample funding would result in a wellspring of innovation and help Russia keep pace with California’s electronics boom. The experiment worked as well as one might expect. Few people will read this on a Mayakovsky-branded tablet or ­smartphone.
Many similar attempts have been made in the subsequent dec­ades to replicate Silicon Valley and its abundance of creativity and ingenuity. Such efforts have largely failed. It seems near impossible to will an exceptional place into being or to manufacture the conditions that lead to an outpouring of genius.
. . .
As in the case of Zelenograd, hubs of genius do not arise from government planning or by acting on the observations of a traveler. They’re happy accidents. To attempt to clone such things or pinpoint their characteristics is futile.

For the full review, see:
ASHLEE VANCE. “Smart Sites.” The New York Times Book Review (Sun., JAN. 10, 2016): 13.
(Note: ellipsis added.)
(Note: the online version of the review has the date JAN. 8, 2016, and has the title “”The Geography of Genius,’ by Eric Weiner.”)

The book under review, is:
Weiner, Eric. The Geography of Genius: A Search for the World’s Most Creative Places from Ancient Athens to Silicon Valley. New York: Simon & Schuster, 2016.

“20 Years in a Labor Camp for ‘Practicing Capitalism'”

(p. 23) “Just talk to any Chinese who lived through that time,” a middle-aged man whose father spent nearly 20 years in a labor camp for “practicing capitalism” tells the radio reporter Rob Schmitz, in “Street of Eternal Happiness,” his new book about some of the ordinary people he encounters in his Shanghai neighborhood. “We all have the same stories.”

For the full review, see:
ADAM ROSE. “‘Shanghai Confidential.” The New York Times Book Review (Sun., MAY 15, 2016): 23.
(Note: the online version of the review has the date MAY 13, 2016, and has the title “‘Street of Eternal Happiness,’ by Rob Schmitz’.”)

The book under review, is:
Schmitz, Rob. Street of Eternal Happiness: Big City Dreams Along a Shanghai Road. New York: Crown, 2016.

Under Communism Inventiveness Did Not Yield Economic Benefits

(p. A17) The Soviet Union may have pioneered in space with Sputnik and Yuri Gagarin, but today Russia has less than 1% of the world commercial market in space telecommunications, the most successful commercial product so far stemming from space exploration. Russians may have won Nobel Prizes for developing the laser, but Russia today is insignificant in the production of lasers for the world market. Russians may have developed the first digital computer in continental Europe, but who today buys a Russian computer? By missing out on the multi-billion-dollar markets for lasers, computers and space-based telecommunications, Russia has suffered a grievous economic loss.
Accompanying this technical and economic failure was a human tragedy. Russian achievements in science and technology occurred in an environment of political terror. The father of the Russian hydrogen bomb, Andrei Sakharov, wrote in his memoirs that the research facility in which he worked was built by political prisoners, and each morning he looked out the window of his office to see them marching under armed guard to their construction sites. The “chief designer” of the Soviet space program, Sergei Korolev, was long a prisoner who worked in a special prison laboratory, or sharashka. The dean of Soviet airplane designers, A.N. Tupolev, also labored for years as a prisoner in a special laboratory. Three of the Soviet Union’s Nobel Prize-winning physicists were arrested for alleged political disloyalty. Probably half of the engineers in the Soviet Union in the late 1920s were eventually arrested. In 1928 alone 648 members of the staff of the Soviet Academy of Sciences were purged.
When one looks at these statistics and at the genuine achievements of Soviet science, one is forced to ask basic questions about the relation of freedom to scientific progress.
. . .
Mr. Ings admirable effort to reach nonspecialized readers sometimes leads him to make exaggerated statements. He claims that we have “good agricultural and climate data for Russia going back over a thousand years” when in fact the data is incomplete and unreliable.
. . .
The claim that the Soviet Union was a scientific state brings Mr. Ings close, in his conclusion, to condemning science itself. He sees science and technology as causing a coming global ecological collapse, and he thinks that in some ways the demise of the Soviet Union was a preview of what we will all soon face. In one of his final sentences he says: “We are all little Stalinists now, convinced of the efficacy of science to bail us out of any and every crisis.” “Stalin and the Scientists” deserves attention, but a very critical form of attention. It is based on an impressive amount of study, and most readers will learn a great deal. It is, however, incomplete and overdrawn.

For the full review, see:
LOREN GRAHAM. “BOOKSHELF; No Good Deed Went Unpunished.” The Wall Street Journal (Tues., Feb. 21, 2017): A17.
(Note: ellipses added.)
(Note: the online version of the review has the date Feb. 20, 2017, and has the title “BOOKSHELF; Science Under Stalin.”)

The book under review, is:
Ings, Simon. Stalin and the Scientists: A History of Triumph and Tragedy, 1905-1953. New York: Atlantic Monthly Press, 2017.

Muzzled Chinese Historian Dares to Publish Truth of Cultural Revolution

(p. 7) BEIJING — It seemed that China’s censors had finally muzzled Yang Jisheng, the famed chronicler of the Mao era. Last year, he had finished writing a widely anticipated history of the Cultural Revolution. But officials warned him against publishing it and barred him from traveling to the United States, he has said, and he stayed muted through the 50th anniversary of the start of that bloody upheaval.
Now Mr. Yang has broken that silence with the publication of his history of the Cultural Revolution, “The World Turned Upside Down,” a sequel to “Tombstone,” his landmark study of the famine spawned by Mao’s policies in the late 1950s. The 1,151-page book is the latest shot fired in China’s war over remembering, or forgetting, the dark side of its Communist past, a struggle that has widened under the hard-line president, Xi Jinping.
“I wrote this book to expose lies and restore the truth,” Mr. Yang writes in the book, which has been quietly published in Hong Kong, beyond the direct reach of Chinese censors. “This is an area that is extremely complicated and risky, but as soon as I entered it, I was filled with passion.”
Since Mr. Xi took power in 2012, the Communist Party authorities have denounced historians who question the party’s lionization of its past and exhume grim events like the Cultural Revolution, which Mao started in 1966, opening a decade of purges and bloodshed.
Tens of millions were persecuted and perhaps a million or more people were killed in that convulsive time. But officials say dwelling on such events is subversive “historical nihilism” aimed at corroding the party’s authority.

For the full story, see:
CHRIS BUCKLEY. “Historian’s New Mao Book Turns Acclaim in China to Censure.” The New York Times, First Section (Sun., JAN. 22, 2017): 7.
(Note: the online version of the story has the date JAN. 21, 2017, and has the title “Historian’s Latest Book on Mao Turns Acclaim in China to Censure.”)

The English translation and condensation of Mr. Yang’s earlier book, is:
Yang, Jisheng. Tombstone: The Great Chinese Famine, 1958-1962. Translated by Stacy Mosher and Guo Jian. New York: Farrar, Straus and Giroux, 2012.

China’s “Ruthless” One Child Policy Forced Some Women to Have Abortions

(p. 15) Deng Xiaoping, China’s leader after 1978, had set a target of quadrupling the country’s per capita national income by 2000. China’s planners decided that they could achieve this goal only if, in addition to increasing the size of the pie, there were fewer people to share it.
So they determined, in their words, to “adjust women’s average fertility rate in advance.” The man who ran the program that treated women as if they were production functions was a rocket scientist, Song Jian, who had worked on ballistic missiles. Song went on to help manage the giant Three Gorges Dam on the Yangtze River. His was a world in which unintended consequences were not important.
Population control was not unusual in the 1980s. India also had a fertility-­control program. The United Nations gave its first-ever population award to the Chinese minister for population planning in 1983 (along with Indira Gandhi). But China’s application of population control was particularly ruthless.
In 2012, Feng Jianmei, a factory worker pregnant with her second child, was taken to a clinic, forced to sign a document consenting to an abortion and injected with an abortifacient. She was in her seventh month. Pictures of her lying next to her perfectly formed seven-month dead fetus went viral. But hers was hardly an unusual case. In the 1990s, population targets became a major criterion for judging the performance of officials. It is no surprise that they carried out the one-child policy ruthlessly. Reading this account, one wonders why rape as a weapon of war is (rightly) seen as a war crime, whereas the forcible violation of women’s bodies in pursuit of government policy wins United Nations awards.

For the full review, see:
JOHN PARKER. “Little Emperors.” The New York Times Book Review (Sun., JAN. 10, 2016): 15.
(Note: the online version of the review has the date JAN. 8, 2016, and has the title “”One Child,’ by Mei Fong.”)

The book under review, is:
Fong, Mei. One Child: The Story of China’s Most Radical Experiment. Boston, MA: Houghton Mifflin Harcourt, 2016.

Lenin Sought to Enserf the Soul

(p. B11) Mr. Navrozov’s contempt for Lenin, the leader of the Bolshevik Revolution, and Stalin, his brutal successor, arose out of intellectual loathing, not of a personal history of exile or repression. In his book, “The Education of Lev Navrozov: A Life in the Enclosed World Once Called Russia” (1975), he described Lenin as a “barbarian” unworthy of his country’s deification.
“He had to enserf every soul psychologically,” he wrote. “He had to destroy inside every soul all the psychology of independence that had been accumulating throughout the history of Russia.”
The book, which was partly autobiographical, was praised by the philosopher Sidney Hook and the historian Robert K. Massie.
. . .
. . . , Saul Bellow, in his novel “More Die of Heartbreak” (1987), placed Mr. Navrozov among the dissident writers Aleksandr Solzhenitsyn, Vladimir Maximov and Andrei Sinyavsky as “commanding figures, men of genius, some of them.”
. . .
. . . , [Navrozov] cautioned that the Affordable Care Act was reminiscent of Soviet-socialized medicine. “Obamacare will destroy the delicate fabric of existing free-market medical services,” he wrote in 2012 on Newsmax.

For the full obituary, see:
RICHARD SANDOMIR. “Lev Navrozov, Literary Translator and Soviet Dissident, Dies at 88.” The New York Times (Tues., FEB. 14, 2017): B11.
(Note: ellipses, and bracketed word, added; italics in original.)
(Note: the online version of the obituary has the date FEB. 9, 2017.)

The Navrozov book mentioned above, is:
Navrozov, Lev. The Education of Lev Navrozov: A Life in the Closed World Once Called Russia. New York: Harper’s Magazine Press, 1975.

Robert Conquest Documented the Millions Killed by Stalin

(p. A7) Mr. Conquest’s master work, “The Great Terror,” was the first detailed account of the Stalinist purges from 1937 to 1939. He estimated that under Stalin, 20 million people perished from famines, Soviet labor camps and executions–a toll that eclipsed that of the Holocaust. Writing at the height of the Cold War in 1968, when sources about the Soviet Union were scarce, Mr. Conquest was vilified by leftists who said he exaggerated the number of victims. When the Cold War ended and archives in Moscow were thrown open, his estimates proved high but more accurate than those of his critics.
. . .
Though Mr. Conquest’s body count was on the high end of estimates, he remained unwavering at the publication of “The Great Terror: A Reassessment,” a 1990 revision of his masterwork. When Mr. Conquest was asked for a new title for the updated book, his friend, the writer Kingsley Amis, proposed, “I Told You So, You F–ing Fools.”
. . .
He was also an enthusiastic crafter of limericks, a form in which his irreverence and flair for language flourished. One version of an often-quoted one reads:
There was a great Marxist named Lenin
Who did two or three million men in.
–That’s a lot to have done in,
But where he did one in
That grand Marxist Stalin did ten in.

For the full obituary, see:
BRENDA CRONIN and ALAN CULLISON. “Historian Exposed Stalin’s Reign of Terror.” The Wall Street Journal (Weds., Aug. 5, 2015): A7.
(Note: ellipses added; italics in original.)
(Note: the online version of the obituary has the date Aug. 4, 2015, and has the title “Robert Conquest, Seminal Historian of Soviet Misrule, Dies at 98.”)

The revised edition of Conquest’s master work, is:
Conquest, Robert. The Great Terror: A Reassessment. 40th Anniversary ed. New York: Oxford University Press, Inc., 2007.

Cuban Entrepreneurs Lost Faith in Fidel’s Revolution

(p. 22) Ihosvany Oscar Artiles Ferrer, 44, a veterinarian who worked in Camagüey but recently moved to Queens, said the lack of wholesalers to buy supplies from made it difficult to eke out a profit.
“The private business is like a handkerchief the government puts over everything to be able to say to the United Nations that in Cuba people own small businesses,” Mr. Artiles said.
“In the beginning, almost all of us were revolutionaries,” he added. “But now, we quit all that because we don’t believe in Fidel, in the revolution, in socialism or anything.”

For the full story, see:
FRANCES ROBLES. “Stay or Go? Cuban Entrepreneurs Are Divided on Where to Stake Futures.” The New York Times (Tues., MARCH 22, 2016): 22.
(Note: the online version of the story has the date MARCH 21, 2016, and has the title “Stay or Go? Cuban Entrepreneurs Divided on Where to Stake Futures.”)