The Cycle of the Commons: China’s 75-Year Struggle with Shared Resources

 

The Cycle of the Commons: China’s 75-Year Struggle with Shared Resources

Since 1949, China has swung between extreme collective ownership and rapid privatization. While these phases look different on the surface, they share a common thread: the "Tragedy of the Commons," where individuals (or officials) exploit a shared resource until it collapses.

1. The Mao Era: The Tragedy of "No Ownership"

Under Mao Zedong, the state abolished private property, turning the entire nation into a "commons."

• The Great Leap Forward (1958-1962): When villagers were forced into People's Communes, the "Common Mess Halls" became a literal tragedy. Because food was free and "shared," people ate everything immediately. With no individual responsibility for the grain supply, the "commons" was depleted, contributing to the Great Famine.

• Backyard Furnaces: To meet steel quotas, people melted down their own tools and communal resources to produce useless pig iron. The shared environment—forests and timber—was stripped bare to fuel these furnaces, a classic destruction of a common resource for short-term political "gain."

2. The Deng & Jiang Era: The "Contract" Tragedy (承包制)

Deng Xiaoping’s Household Responsibility System (家庭聯產承包責任制) is credited with saving the economy, but it created a new version of the tragedy.

• Short-Termism: Farmers were given land on short-term contracts. Because they did not own the land permanently,they had no incentive to maintain soil health. They used massive amounts of chemical fertilizers to maximize yield before the contract ended, leading to widespread soil acidification and groundwater pollution.

• Village Enterprises (TVEs): In the 1990s, local factories popped up everywhere. Since the rivers were "common" property, every factory dumped toxic waste into them to save costs. The result was the "Cancer Village" phenomenon—the economic gain was private, but the environmental cost was shared by the public.

3. The Hu & Xi Era: The Tragedy of High-Tech and Urban Space

Even as China became a global superpower, the tragedy moved into new sectors.

• The Bike-Sharing Collapse (2017): Under Hu and then Xi, companies like Ofo and Mobike flooded city sidewalks with millions of bikes. Because the "sidewalk" was a common public space and the bikes were "shared," users treated them with no care, and companies over-saturated the market. This led to "Bicycle Graveyards" that choked public squares.

• The Real Estate Bubble: Local governments relied on selling land (a finite common resource) to fund their budgets. This led to "Ghost Cities"—over-exploitation of the land for short-term GDP growth, leaving a massive debt burden for the next generation.