Contradiction In Terms

THE SLOGAN HAS A FAMILIAR RING: THERE'S NOTHing wrong with communism that a little capitalism can't fix. Last time around, that approach was called perestroika, Mikhail Gorbachev's futile attempt to rejuvenate the Soviet socialist system. Perestroika is alive and well and living in Beijing under an assumed name -- "socialist market economy."

More than 2,000 of the Chinese Communist Party's faithful gathered for their 14th Congress and dutifully applauded the concept. The socialist system, said party chief Jiang Zemin, depends on rapid economic growth. At a news conference, Hong Hu, vice minister of an economic-reform commission, was asked to define the socialist market economy. "It is," Hong replied, "a market economy that is subject to the regulation of a socialist country."

To make room for younger leaders, eight of the Politburo's 14 members, are to retire; all are over 65. Among them: President Yang Shangkun, Vice Premier Yao Yilin and Defense Minister Qin Jiwei. None of this indicates that China's rulers are contemplating any political relaxation. Yang and others who are leaving the Politburo will retain their government positions and their grip on power.