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I get that. At the same time, that seems to be where they were in 1989, as well; from what I've seen of Tienamen Square, the Party was pretty much at "we'll agree to gradual reforms" and the Movement was pretty much at "shut.it.DOWN" so the CPP was all "well, we've got tanks" and that was that.
My sense of the PRC is that it's a managed economy where they're doing their level best to bridge the 14th and 21st centuries as quickly as they can; if that means getting medieval from time to time, it's par for the course.