Zhu Hengpeng's "speaking ill of the central authorities" caused a leadership shakeup at the Institute of Economics

After the replacement of the Director, Party Secretary, and Deputy Director of the Institute of Economics at the Chinese Academy of Social Sciences (CASS) on August 22, the CASS president Gao Xiang accentuated recently "Three Points of Consensus" that must be followed by all the scholars and experts at the CASS.

The "Three Points of Consensus" are: 1) CASS must operate in alignment with the directives of Xi Jinping and the CPC Central Committee; 2) CASS's primary mission is to serve Xi Jinping and the CPC Central Committee; and 3) the Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era is the soul and guiding principle of Chinese philosophical and social sciences in this new era.

Zhu Hengpeng, the former Deputy Director of the Institute of Economics, was covertly removed from his post and disappeared since May for his reportedly veiled criticism of Xi Jinping's economic policies in a private Wechat group.

The CASS a ministry-level think tank under the State Council of China. As the Ministry of State Security (MSS) is monitoring doomsayers of Chinese economy, scholars at the government think thank are under close surveillance.

Zhu Hengpeng's disappearance has sparked curiosity about his exact words and the reactions of his colleagues involved in the conversation. While it's not uncommon for economists articulating dissenting views to be suppressed by the media, the sudden disappearance of Zhu Hengpeng suggests the unusual severity of these economists' dissatisfaction. Authorities seem to be more concerned about the political allegiance of the economics department's leadership.

When the political loyalty of a government think tank economist is called into question, it raises concerns about the potential leakage of state secrets and even the possibility of his past advice being deliberately misleading. This is a very serious matter to the Beijing authorities.

The new leadership of the Institute of Economics endorse the government policies unconditionally. This will be perceived by Beijing authorities as both a display of political allegiance and a testament to their ability to address real-world problems.

Yet, these economists, constrained by their inability to challenge the government's agenda, are limited to only offering advice that aligns with the government's predetermined course. This raises concerns about what will happen if this predetermined course is at odds with fundamental economic principles.

Over a decade ago, an espionage case was exposed at the CASS. Zhu Hengpeng and his colleagues implicated in the probe are likely to be subject to an anti-espionage investigation. Beijing authorities have repeatedly underscored that the political allegiance should be the overriding concern of the think tank experts as the CASS is but a government institution.

If we compare them with economists like Zhang Weiying and Xiang Songzuo, who are known for voicing open criticism of government policies without being arrested, the difference between CASS and other academic institutions becomes apparent. The Chinese government appears to have a more lenient attitude towards economists in universities, but we don't know how long this situation will last.

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