TO: Wen Jiabao Premier of China FROM: Barry Naughton RE: Cooling the Chinese Economy As perhaps the best-prepared Chinese leader since Deng Xiaoping.

TO: Wen Jiabao Premier of China

FROM: Barry Naughton

RE: Cooling the Chinese Economy

As perhaps the best-prepared Chinese leader since Deng Xiaoping, you became premier 18 month ago risk to preside over an ambitious reform agenda, impressive institutional disentanglement and a major economic dash forward You and President Hu Jintao positioned the rule as supportive of the weak and disadvantaged, fair to ordinary citizens, and les tolerant of the corruption that permeates the ruling elite. to this time today, a wave of problems--from resurgent inflation and electricity shortages to wasteful investment and continued corruption--has swamped your carefully prepared economic program. Moreover, you're