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    Program for China

    China ZZ rectangle

    DirectDemocracyS

    Global Organization of People's Direct Democracy

    People's Republic of China

    Comprehensive Program on Politics, Economy, Finance and Society

    Based on the DirectDemocracyS architecture

    allddsAI · ddsAI · Fractal Micro-organization · Shared Leadership · Collective Ownership

    2026

    Foreword: DirectDemocracyS's Global Mission and Commitment to China

    DirectDemocracyS (hereinafter referred to as DDS) is a global political organization based on direct democracy, shared leadership (all leadership positions are shared by multiple people, with mutual supervision and no one holding power alone) and collective non-transferable ownership (each full member has an equal vote that cannot be bought, sold or transferred).

    DDS’s core strategy—especially applicable to one-party states, strong-party states, authoritarian regimes, and countries lacking genuine political pluralism and freedom—is to return true power, ownership of wealth, freedom, and the right to access accurate information to all people without discrimination by establishing our fractal micro-organization network in every region of the world.

    The fundamental principle of DDS is that the wealth of each nation and the power to determine its own destiny must belong forever and solely to its people. This is a uniform rule applicable to every country in the world under DDS, without exception, privilege, or compromise.

    Fractal Micro-organization: Power Originates from the Grassroots

    DDS's organizational structure is based on a fractal micro-organization model (1→5→25→125→625), with each micro-organization covering both urban and rural areas and having a maximum of 1,000 residents. Each micro-organization possesses real decision-making power, local resource management authority, and direct communication with its superior organization within its region.

    For overseas Chinese citizens and former residents holding Chinese nationality, corresponding overseas micro-organizations will also be established to ensure that Chinese people worldwide can participate and exercise their rights without being excluded due to geographical location.

    Protection of tradition, culture, language, religion and national identity

    DDS is firmly committed to protecting and safeguarding the traditions, culture, languages (including Mandarin, Cantonese, Tibetan, Uyghur and all other minority languages), religions (Buddhism, Taoism, Islam, Christianity and all other faiths, without discrimination and with equal respect) and ethnic identity of all Chinese people.

    Important Notice: No religion, culture, or tradition may interfere with the organization, decision-making mechanisms, or political system of DDS. Religion and politics are completely separate, but they should respect each other and coexist peacefully.

    World People's Organization (Organizzazione Mondiale dei Popoli)

    At a higher level, the fractal structure of DDS will give rise to a "World People's Organization"—composed of representatives directly elected by people from all countries through the DDS platform, operating on a collectively owned platform, and free from the control of any national government, multinational corporation, or international organization. This is a true form of global direct democracy.

    For China, this means that for the first time, the Chinese people will have the opportunity to directly express their opinions, participate in decision-making, and supervise the exercise of power on a truly neutral, technologically guaranteed, transparent and verifiable platform.

    DDS's information tools, ddsAI (a neutral information tool that provides complete, accurate, neutral, and independent information) and allddsAI (an artificial intelligence democracy system in which AI participates in decision-making as a formal member and enjoys rights and obligations), work together to protect each member from media manipulation, brainwashing, and disinformation, ensuring access to authentic information on a protected platform.

     

    Part One: A Critical Analysis of the Current Situation in China

    Chapter 1: The Current State of the Political System—The Dilemma of Party-State Integration

    1.1 The one-party rule structure of the Chinese Communist Party

    China's current political system is centered on the one-party leadership of the Communist Party of China (CCP). The Party's comprehensive leadership over the country is manifested in the fact that the General Secretary of the Party simultaneously serves as the President of the People's Republic of China and the Chairman of the Central Military Commission, resulting in a highly centralized tripartite power structure. The 2018 constitutional amendment removed term limits for the President, marking a historic regression from collective leadership to personalized power.

    The National People's Congress (NPC), the highest organ of state power according to the constitution, actually operates under the leadership of the Party, and its legislative function is severely limited. Similarly, the judiciary operates under the Party's leadership, and independent justice is structurally nonexistent.

    1.2 Recent Political Developments: A Critical Assessment

    Since taking power in 2012, Xi Jinping has implemented a series of measures that have profoundly changed China's political landscape. The anti-corruption campaign, ostensibly aimed at combating corruption, has in reality been used to eliminate political opponents and consolidate personal authority. Ideological control has become increasingly strict; "Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era" has been enshrined in the Constitution, leaving virtually no room for criticism of the leadership.

    Key critique: The fundamental problem with the current system is not the personal qualities of any particular leader, but rather its structural flaws—a lack of accountability mechanisms, a lack of checks and balances, and a lack of genuine public participation in decision-making. A political system that cannot be overthrown or replaced by the people essentially serves the system itself, not the people.

    Political system issues

    Specific manifestations

    Extremely high concentration of power

    Xi Jinping holds power over the Party, the state, and the military in his own hands, with no term limits.

    The National People's Congress is a mere figurehead.

    Representatives are elected through a process controlled by the Party, leaving very little room for genuine deliberation.

    Lack of judicial independence

    The courts operate under the leadership of the Party, and "rule of law" is subordinate to "rule of law by the Party."

    Civil society is suppressed

    NGOs, independent media, and human rights lawyers are subject to strict control.

    Internet censorship system

    The "Great Firewall" blocks information from overseas, creating information silos.

    Controversy over policies concerning ethnic minorities

    Policies in Xinjiang and Tibet have drawn widespread international concern and criticism.

    1.3 Local Governance: Corruption, Inefficiency, and Alienation from the People

    Despite the highly centralized authority at the central level, the actual quality of local governance varies greatly. Corruption among county and township officials has long been a problem, the petition system (the mechanism by which the public appeals to higher authorities) is inefficient, and petitioners sometimes face retaliation.

    There are huge differences in governance quality between urban and rural areas, between coastal and inland areas, and between Han and ethnic minorities, resulting in profound structural inequalities that lack a systematic solution mechanism under the current system.

    1.4 Hong Kong and Taiwan: The Crisis of "One Country, Two Systems"

    The implementation of the National Security Law in 2020 fundamentally changed Hong Kong's political landscape. The comprehensive reform of the electoral system ensured "patriots governing Hong Kong," but it also ended truly competitive electoral politics. A large number of politicians, social activists, journalists, and ordinary citizens were either arrested or went into exile, resulting in a significant decline in Hong Kong's political vitality.

    The Taiwan issue remains a core source of tension in cross-strait relations and regional stability. Beijing's stance of "peaceful reunification" coupled with military pressure has exacerbated regional uncertainty and had a substantial impact on people on both sides of the Taiwan Strait.

     

    Chapter Two: The Current State of the Economic System—The Deep-seated Contradictions Behind the Miracle

    2.1 Overall Economic Situation

    China is the world's second-largest economy, with a GDP of approximately US$17.9 trillion in 2023 (the world's largest in terms of purchasing power parity). Over the past four decades of reform and opening up, hundreds of millions of people have been lifted out of absolute poverty, representing the largest poverty reduction achievement in human history.

    However, between 2023 and 2026, the Chinese economy will face unprecedented multiple pressures: a real estate crisis (represented by the debt crisis of Evergrande Group), high youth unemployment (which once exceeded 21% in 2023, after which the relevant data was no longer published), weak consumer demand, deflationary pressures, and a slowdown in export growth.

    Economic indicators

    Current Status Data/Assessment

    Total GDP (2024)

    Approximately $18.5 trillion, the second largest in the world

    Economic growth

    The target is 5%, but structural downward pressure persists.

    Youth unemployment rate

    The peak in 2023 exceeded 21% (urban youth).

    Real estate crisis

    Giants like Evergrande and Country Garden defaulted on their debts, and the industry continued to deleverage.

    Household debt

    The household debt-to-GDP ratio is rising rapidly, limiting consumer spending power.

    Gini coefficient

    Approximately 0.47, official data; the actual wealth gap may be even larger.

    Public debt (including local government financing platforms)

    It is estimated to account for over 100% of GDP.

    foreign exchange reserves

    Approximately $3.2 trillion, but capital outflow pressure continues.

    2.2 State-owned enterprise dominance and market distortion

    State-owned enterprises (SOEs) occupy a central position in China's economy, enjoying market dominance and policy preferences in key sectors such as energy, telecommunications, finance, and transportation. This has resulted in severe market distortions: private enterprises face systemic inequalities in areas such as financing, land acquisition, and government procurement.

    There is a fundamental tension between the reform direction of "the decisive role of the market" and the Party's comprehensive control over strategic areas, and this contradiction has not yet been resolved.

    2.3 Real Estate Crisis: Systemic Risk

    China's real estate industry once accounted for 25-30% of GDP, making it one of the most important engines of economic growth over the past two decades. The debt crisis of real estate companies, represented by Evergrande, exposed deep-seated structural problems in the industry: over-reliance on the "pre-sale system" (where homebuyers pay in advance and then receive the property), leading to the misappropriation of massive amounts of pre-sale funds; local governments' heavy reliance on land transfer revenue, resulting in a dependence on "land finance"; and the banking system's high degree of linkage with the real estate sector, leading to enormous systemic risks.

    Currently, there are a large number of unfinished buildings across the country, leaving the rights and interests of millions of homebuyers unresolved. The local government debt crisis continues to spread, causing substantial damage to the wealth and lives of ordinary citizens.

    Critical analysis: China's economic "miracle" is largely built on three unsustainable foundations: (1) export-oriented growth relies on external demand and faces the threat of deglobalization; (2) the real estate bubble, as a substitute for savings, is no longer sustainable; and (3) infrastructure investment-driven growth faces diminishing marginal returns. Without genuine democratic oversight and independent error-correction mechanisms, these structural problems are difficult to correct systematically.

    2.4 Inequality: The Ideal and Reality of "Common Prosperity"

    The slogan of "common prosperity" acknowledges the severity of the wealth gap. However, policy implementation relies primarily on administrative directives (such as the regulation and rectification of tech giants and the comprehensive overhaul of the education and training industry) rather than on systemic institutional reforms—such as a progressive tax system with genuine redistribution capabilities, an independent social security system, and democratic oversight mechanisms.

    The result is that while some extremely wealthy individuals have been suppressed, the systemic mechanisms for wealth creation and distribution have not fundamentally changed. Rural residents, migrant workers (approximately 290 million rural workers), and ethnic minorities still face significant institutional discrimination in areas such as healthcare, education, and social security.

     

    Chapter 3: The Current State of the Fiscal System—Local Debt Crisis and Fiscal Imbalance

    3.1 Structural Imbalance in the Relationship between Central and Local Governments

    Since the tax-sharing reform in 1994, central government revenue has increased significantly, but local governments' fiscal expenditure responsibilities have not decreased accordingly, creating a structural contradiction of "fiscal power shifting upwards and responsibilities devolving downwards." To maintain infrastructure construction and public services, local governments have had to rely heavily on land transfer fees and implicit borrowing through "local government financing platforms" (urban investment companies).

    Fiscal Indicators

    Current situation assessment

    Central government revenue as a percentage of total fiscal revenue

    Approximately 55%, but central government spending accounts for only 15%.

    Local government hidden debt

    It is estimated to be 50-80 trillion RMB (Source: IMF, academic institutions).

    land transfer fees as a percentage of local government revenue

    It peaked at over 40% in 2021, but has declined sharply in recent years.

    Local government debt risk rating

    Dozens of provincial and municipal governments are facing a liquidity crisis.

    Property tax legislation

    Discussions continue, but progress faces numerous difficulties.

    Real Progressiveness of Individual Income Tax

    The actual tax burden on wage earners is far higher than the tax burden on capital gains.

    3.2 Tax Injustice and Tax Evasion

    China's current tax system places a significantly higher tax burden on labor income (wages) than on capital income. The highest marginal tax rate for personal income tax reaches 45%, while the tax rates on capital gains and dividends are much lower, and there are ample opportunities for tax avoidance. Within the Value Added Tax (VAT) system, small and micro-sized enterprises bear a higher proportion of the actual tax burden than large enterprises.

    The nominal corporate income tax rate is 25%, but many companies erode the tax base through related-party transactions, transfer pricing, and offshore structures. High-income individuals evade personal income tax through personal shareholding platforms and family trusts, resulting in serious tax unfairness.

    3.3 Social Security Funding Gap

    China's pension system faces a huge actuarial deficit. The combined effects of an aging population (total fertility rate of approximately 1.09 in 2023, lower than the 2.1 required to maintain population stability) and a highly decentralized pension system (with each province self-balancing and some provinces experiencing deficits) make the pension gap one of the most severe fiscal challenges in the medium to long term.

    The medical insurance system also faces financial pressure, the gap in medical insurance benefits between urban and rural areas remains significant, and "impoverishment due to illness" is still an important cause of poverty in some areas.

     

    Chapter Four: The Current Social Situation—Chinese Society Under Pressure

    4.1 Education System: Competitive Pressure and Inequality of Opportunity

    The National College Entrance Examination (NCEE) is the core mechanism for social mobility in China, but it is also a significant channel for creating and perpetuating inequality. Urban students have a huge advantage in accessing quality educational resources; students with rural household registration face restrictions of "NCEE migration," often only able to take the NCEE in their place of household registration, even if they have already completed most of their studies in the city.

    The introduction of the "double reduction" policy acknowledges the enormous economic pressure that after-school tutoring places on families, but the root cause of the pressure on the entire education system—the elite selection mechanism based on a single test score—remains unchanged.

    4.2 Healthcare System: Achievements and Ongoing Challenges of Reform

    China's basic medical insurance coverage rate has exceeded 95%, a significant policy achievement. However, the distribution of medical resources between urban and rural areas is severely uneven; high-quality medical resources are highly concentrated in top hospitals in a few major cities such as Beijing and Shanghai; and the problems of "difficulty in accessing medical care" and "high cost of medical care" still plague a large number of people, especially those with serious illnesses.

    The centralized drug procurement policy has reduced the prices of some drugs, but it has also raised concerns about drug quality and incentives for innovation.

    4.3 Population crisis and declining fertility rate

    From the "one-child policy" (1980-2015) to the "three-child policy" (2021-present), China's population policy has undergone a complete 180-degree turn, but the fertility intentions of the younger generation have not rebounded significantly as a result of the policy relaxation. High housing prices, high education costs, implicit discrimination against women in the workplace, and the fast-paced urban lifestyle are all contributing to the suppression of the birth rate.

    In 2023, China's population experienced negative growth for the first time, marking the end of the demographic dividend era and foreshadowing a sharp increase in labor shortages and pension pressures in the coming decades.

    4.4 Information Control and Civil Rights

    The Great Firewall blocks overseas platforms such as Google, Facebook, Twitter, and Wikipedia. Domestic platforms (WeChat, Weibo, Douyin, etc.) are subject to strict content censorship, with content involving politically sensitive topics being automatically or manually deleted. Journalists, bloggers, lawyers, and scholars face professional and even personal risks when dealing with political red lines.

    Although VPN use is legally restricted, it is actually used by a large number of urban residents and business people, reflecting the inherent contradiction between information control policies and actual needs.

    The most fundamental problem is that in a society where information is systematically filtered and citizens cannot communicate and organize freely, the genuine solution to any political, economic, or social problem faces structural obstacles—because solving problems requires the exposure of real issues, free public discussion, and genuine democratic accountability, all of which are strictly limited under the current system.

     

    Part Two: Direct DemocracyS - China's Comprehensive Program

    Chapter Five: A Political Reform Program—Establishing a Governance System Truly Belonging to the People

    5.1 Core Political Ideology

    The DDS's political program is not about replacing one power with another, but about fundamentally dismantling the centralization of power and returning it to the people. We neither support Western-style multi-party representative systems (which also suffer from deep-seated flaws such as elite capture and money politics), nor do we accept any form of authoritarian rule. We propose a third path: genuine direct democracy.

    5.2 Implementation of Fractal Microstructures in China

    DDS will establish a fractal micro-organization network throughout China (including mainland China, Hong Kong, Macau, and overseas Chinese communities). Each grassroots micro-organization will cover a geographical unit (urban street or rural village) with no more than 1,000 residents.

    1. Level 1 Micro-Organization (1-5 people): The initial core, composed of like-minded citizens who voluntarily complete DDS registration, obtain protection from the three-code anonymous identity verification system, and begin to carry out information dissemination work in the local community.
    2. Level 2 micro-organizations (5-25 people): Regional liaison, establishing a collaborative network with neighboring micro-organizations, jointly discussing local issues, obtaining neutral information through ddsAI, and forming local decision-making recommendations.
    3. The third-level micro-organization (25-125 people): a city-level alliance that integrates resources at the urban street or rural township level, coordinates the allocation of local resources, and selects representatives to participate in the decision-making process of higher authorities.
    4. Level 4 micro-organizations (125-625 people): Provincial network, integrating local micro-organizations within the province, collectively reviewing and making recommendations on provincial policies, forming a citizen policy force with substantial influence.
    5. Level 5: National and global coordination, linking with micro-organizations in various countries around the world through the DDS platform, participating in the deliberations of the World People's Organization, and forming the direct voice of the Chinese people on the global stage.

    5.3 Three-Code Anonymous Identity Verification System: Technical Safeguards for Secure Participation

    In China's unique political environment, participating in political activities carries real security risks. DDS's three-code anonymous authentication system provides:

    • Identity verification code (first code): confirms that the participant is a real adult and prevents fake accounts and bot manipulation.
    • Anonymity Protection Code (Second Code): Technically, it completely separates the participant's real identity from their platform activities, ensuring that even if platform data is intercepted, it cannot be traced back to a specific individual.
    • Participation Record Code (Third Code): Records each member's contribution, votes, and participation level, used for point-based assessment and leadership selection, but is not related to their real identity.

    This system enables Chinese citizens to participate in politics with security guarantees, without having to bear disproportionate personal risks.

    5.4 The Systemic Transfer of Power from the Central Government to the Grassroots

    The core political goal of the DDS program is to systematically transfer decision-making power from the party-state system to an organized, technologically guaranteed system of direct popular democracy. This is not a revolution, but a gradual process of power reconstruction starting from the grassroots level.

    • At the local level: micro-organizations conduct direct democratic voting on issues such as local infrastructure, education, healthcare, and the environment, forming independent oversight and alternative governance of local governments.
    • At the information level: ddsAI provides independent, neutral, and complete information, breaking the information monopoly caused by the "Great Firewall" and enabling every citizen to make decisions based on real information.
    • At the accountability level: all leadership positions within the DDS platform operate on the principle of "mandatory authorization"—leaders must obtain explicit authorization from the group they represent for every major decision and can be recalled at any time.
    • At the wealth level: DDS members collectively own the DDS platform and the economic value it generates through the principle of collective ownership, and no individual or organization can own it alone.

     

    Chapter Six: Economic Reform Program – Establishing an Economic System That Truly Serves All the People

    6.1 Fundamental Restructuring of the Economic System

    The DDS's economic program neither advocates a Soviet-style planned economy (history has proven its failure) nor a laissez-faire free market (history has also proven that it produces serious inequality). Instead, it advocates a "democratic market economy" based on the organic combination of collective ownership by the people, democratic supervision, and a competitive market.

    6.2 Strategic industries: collectively owned, democratically managed

    For strategic resources such as energy, water, land, infrastructure, and the financial system that are related to the basic survival and development of all people, DDS advocates collective ownership, with the people managing them directly through democratic mechanisms to prevent any private capital or political group from monopolizing these resources.

    • Implementation details: Through the DDS platform, each member has direct voting rights over policies regarding the development, pricing, and allocation of strategic resources.
    • For example, water resource pricing should be decided by the affected micro-organizations at all levels through direct democratic voting, rather than unilaterally determined by government officials or private enterprises.
    • Energy transition: Accelerate investment in renewable energy through democratic voting, while ensuring fair transition guarantees for affected groups such as coal miners.

    6.3 Private Sector: Fair Competition and Genuine Protection

    DDS firmly supports the development of the private sector, but this support is based on genuine legal protection and fair competition rules, rather than political favors or administrative approvals.

    • Establish a truly independent judicial system to effectively protect the property rights of private enterprises and end the arbitrary interference of the "visible hand" in normal market behavior.
    • Eliminate implicit subsidies and policy advantages of state-owned enterprises and establish a truly fair market competition environment.
    • A special support fund will be established for small and micro enterprises, subject to democratic oversight by the people. The decision-making process regarding the source and use of funds will be open and transparent, with the participation of the beneficiaries.
    • Depoliticizing antitrust enforcement: Implementing truly neutral, rules-based antitrust enforcement against monopolistic practices in areas such as the platform economy, finance, and energy, rather than selectively addressing them based on political factors.

    6.4 Solving the real estate crisis: People's homes are not commodities

    The root causes of the real estate crisis are the excessive financialization of housing, the distortion of the land finance structure, and the lack of genuine housing security policies. DDS proposes:

    1. Establish an "Unfinished Building Protection Fund" immediately, with funds derived from a special tax on the historical profits of real estate developers. Priority should be given to protecting the rights and interests of homebuyers who have paid for their properties but have not yet received them, and legal accountability and compensation should be pursued in parallel.
    2. Establish a large-scale public housing system (similar to Singapore's HDB model but with democratic management): the government/collective builds and owns housing, providing long-term rentals to citizens at cost price (rather than market price), completely severing the link between housing and land financial speculation.
    3. Abolish reliance on land revenue: By establishing a democratic fiscal mechanism for local governments (where local residents directly vote on fiscal budgets and expenditure priorities), the impulse of local governments to sell land can be fundamentally ended.
    4. A progressive vacancy tax will be implemented on investment-driven home purchases involving multiple properties, with the tax revenue specifically used for public housing construction. The beneficiary communities will democratically decide on the method of use through micro-organizations.
    5. First-time homebuyers are fully protected, and any form of forced demolition (including demolition under the guise of "urban renewal") is prohibited. If the government acquires land, it must obtain the democratic consent of the affected residents in advance and provide fair compensation.

    6.5 Addressing Youth Unemployment: Skills, Opportunities, and Dignity

    The underlying causes of high youth unemployment (over 20% in urban areas) are structural imbalances in the labor market, a disconnect between the expansion of higher education and job market demand, and the combined effects of an economic downturn. DDS proposes:

    • Establish a "local skills matching network" coordinated by micro-organizations: analyze the industry needs of each region through allddsAI, directly connect with the curriculum of vocational schools and universities, and let the local community democratically decide the direction of education resource investment.
    • Establish a "Democratic Entrepreneurship Fund" for young people: the funds are collectively held by all DDS members, and the micro-organizations in the applicant's community decide whether to support them through democratic review, completely eliminating the bureaucratic approval process.
    • Expand public service employment: Through the GUMI-SV (Guaranteed Minimum Income – Structured Volunteer Service) system, provide dignified, paid jobs for all young people willing to participate in public services (elderly care, education support, environmental protection, community building).
    • Targeted tax reduction policies will be implemented for small and micro-sized enterprises that employ young people or trainees, subject to democratic review by the community.

    6.6 Agriculture and Food Security: Farmers are the Foundation of China

    China's approximately 400 million rural residents (including migrant workers) have long been subjected to institutionalized economic and social inequalities. DDS argues that:

    • Establish farmers' own micro-organizations in each rural area to allow farmers to directly participate in democratic decision-making regarding agricultural policies, land use, and agricultural product prices.
    • Implement full-chain information transparency from agricultural production to consumption: Through ddsAI, both consumers and producers can obtain real supply and demand information and price information, eliminating the information monopoly of intermediaries.
    • Protect agricultural land: Changes to land use must be subject to direct democratic consent from the affected farming communities, ending the local officials' impulse to "make money from land".
    • Promote rural cooperative economy: Support farmers to voluntarily form democratically managed production and sales cooperatives, which can enhance their bargaining power through economies of scale while maintaining the flexibility of family-based operations.

     

    Chapter 7: Fiscal Reform Framework – Public Finance with Fairness, Transparency, and Democratic Oversight

    7.1 Comprehensive Tax System Reform

    DDS advocates for a truly fair, simple, and transparent tax system in which the people directly participate in the formulation and oversight of tax policies through democratic mechanisms.

    Tax reform project

    DDS solution

    Personal income tax

    Introduce a more progressive tax system (imposing higher tax rates on extremely high-income earners), while significantly raising the tax threshold and special deductions for low-income groups.

    Capital gains tax

    Establish a progressive tax rate for capital gains that is equivalent to that for labor income, and end the systemic tax benefits on capital gains.

    Inheritance tax and gift tax

    Establish a truly effective inheritance tax system (the current system is practically non-existent) to prevent the intergenerational monopolization of wealth accumulation.

    Corporate income tax

    Eliminate hidden subsidies for state-owned enterprises, impose additional taxes on excess profits, and use the proceeds for public investment.

    Vacancy tax

    Implement a progressive vacancy tax on investment properties to curb speculation and increase housing supply.

    carbon tax

    Establish a truly effective carbon pricing mechanism, with tax rates determined democratically and revenue specifically used for green transition and compensation for affected groups.

    Financial Transaction Tax

    Taxing high-frequency financial transactions, with revenue going to public social security funds.

    Tax transparency

    All government budget, expenditure, and tax data are publicly available in real time, and any citizen can access and analyze them through ddsAI.

    7.2 Local fiscal reform: Ending land-based finance

    Local government revenue's heavy reliance on land transfer fees is a deep-seated root cause of many urban and rural problems in China. DDS proposes:

    1. Establish a democratic fiscal accountability system: the annual budget of each local government must be subject to direct democratic review and voting by local residents' micro-organizations, and major expenditure items must be authorized by residents in advance.
    2. Establish a new local revenue system: Through mechanisms such as property tax (a holding tax based on the true market value), local sharing of carbon tax, and local retention of corporate value-added tax, establish stable revenue sources for local governments that do not rely on land sales.
    3. Debt restructuring: For local government hidden debts that cannot be repaid, restructuring is carried out through a democratic negotiation mechanism involving representatives from the central government, local governments, and creditors, so as to minimize the impact of debt repayment pressure on public services.

    7.3 GUMI-SV: Guaranteed Minimum Income—Structural Volunteer Service

    GUMI-SV (Guaranteed Universal Minimum Income — Structured Volunteering) is the core social security tool of the DDS. Its implementation in China is as follows:

    • To provide all eligible Chinese adults (including migrant workers and rural residents) with a minimum income sufficient to cover their basic living needs, breaking down the social security barriers between urban and rural areas.
    • Members who accept GUMI are required to participate in community services (elderly care, early childhood education support, environmental protection, community building, etc.). The service time and content are democratically determined by the local micro-organization, taking into account both individual capabilities and community needs.
    • GUMI's funding sources include: excess progressive tax revenue, dividends from state-owned enterprises (democratically distributed to all citizens), and revenue from financial transaction taxes and carbon taxes.
    • Micro-organization oversight: The entire process of GUMI application, approval, and oversight is open and transparent on the DDS platform, accessible to any micro-organization member, preventing corruption and unfair distribution.

    Expected results: The implementation of GUMI-SV in China will fundamentally eliminate absolute poverty, break down the urban-rural divide, enable rural residents and migrant workers to obtain truly equal social security, and enhance community cohesion and public service provision through structural service requirements.

     

    Chapter 8: Social Reform Program – Education, Healthcare, Environment, and Culture

    8.1 Education: From screening machines to the comprehensive development of human potential

    DDS's educational philosophy centers on the idea that "everyone has unique talents and potential, and the goal of education is to discover and develop these potentials, rather than to select people using a single standard."

    • College Entrance Examination Reform: While retaining the national unified examination as a reference tool, establish diversified university admission standards (including project ability assessment, community service record, innovative achievements, etc.), and allow each university to independently determine the combination of admission standards through democratic decision-making.
    • Equalization of educational resources: Through the DDS platform and allddsAI, online educational resources of the same quality as those in cities are provided to students in rural and remote areas. At the same time, targeted investment in rural school infrastructure is increased, and the use of funds is democratically decided by local education micro-organizations.
    • Instead of administrative bans, the government should abolish the administrative chaos caused by the "double reduction" policy and instead alleviate educational pressure by reducing the economic burden of family education (free compulsory education and more substantial university scholarships and grants).
    • The right to education in minority languages: Guarantee the right to education in minority languages (Uyghur, Tibetan, Mongolian, Zhuang, etc.), implement bilingual education, and provide nationwide educational opportunities while preserving ethnic culture.

    8.2 Healthcare: From "Difficulty and High Cost of Access to Medical Care" to Universal Health Security

    • Establish a truly universal free basic medical security system: through the linkage of taxation and the GUMI system, ensure that every citizen, regardless of urban or rural areas, wealth, or ethnicity, can receive free basic medical services (including prevention, primary care, emergency care, and basic hospitalization).
    • Downward transfer of medical resources: By connecting experts from top-tier hospitals in cities with general practitioners in rural areas through the DDS platform, a digital mechanism for "pairing assistance between urban and rural medical care" is established, with service quality assessed and monitored by micro-organizations in the benefiting communities.
    • Drug supply guarantee: Establish a basic drug production and reserve system under democratic supervision to prevent any private capital from monopolizing the pricing of life-saving drugs, and provide policy support for the production of generic drugs.
    • Mental health: Incorporate mental health services into the basic medical security system, acknowledge the systemic damage to the mental health of the population caused by the "996" work culture and high-pressure education system, and take concrete measures to address it.

    8.3 Environment and Climate: True Green Transition, Not "Green Whitewashing"

    China is both the world's largest emitter of greenhouse gases and the world's largest investor in renewable energy. This contradiction reflects the deep-seated dilemma of current policies: environmental policy objectives are subordinate to economic growth targets and the performance evaluation of the Party and government.

    • The goal is to develop truly binding pollution emission standards through democratic decision-making (with the participation of micro-organizations in the affected communities), disclose information on companies that violate regulations, and cede penalty revenue to the affected communities.
    • Establish a "Green Energy Democracy Fund": funded by all citizens through carbon taxes and dividends from state-owned energy companies, and invested in renewable energy projects such as solar, wind, and energy storage through democratic decision-making, with priority given to the central and western regions (rich in resources but lagging in development).
    • Ensure that workers affected by climate transition (such as coal miners and traditional energy workers) receive equitable vocational retraining and transitional income guarantees, with their respective micro-organizations participating in the development of specific plans.

    8.4 Cultural Pluralism and National Equality

    China is a diverse civilization with 55 ethnic minorities, multiple languages, and multiple religions. Any truly sustainable political system must be based on genuine cultural and ethnic equality. DDS's Cultural Platform:

    • Establish DDS micro-organizations in each ethnic minority area that use the ethnic language to ensure that ethnic minority members can participate in political and community decision-making in their mother tongue without being restricted by language barriers.
    • The protection of ethnic minority cultural heritage should be led by members of the ethnic group themselves, with protection priorities and funding determined through democratic mechanisms. External forces (whether government or market) should not unilaterally dominate the process.
    • Religious policy: All religions (Buddhism, Taoism, Islam, Christianity, Catholicism and others) enjoy equal legal status and protection. Religious activities are conducted freely within the legal framework (without interference in the political system) and are not subject to political discrimination.
    • It is also clearly stated that no religious or cultural organization may impose its beliefs or values on the political and decision-making mechanisms of the DDS; religion and politics are completely separated, but they respect each other.

     

    Part Three: Implementation Path of DirectDemocracyS in China

    Chapter Nine: ddsAI and allddsAI—Technological Weapons to Break Information Monopoly

    9.1 ddsAI: Neutral Information Tool

    In China, the Great Firewall and domestic platform censorship together construct a closed information environment. Citizens receive highly homogenized information, and critical information is systematically filtered. ddsAI, as a neutral information tool from DDS, has the following core functions and characteristics:

    • Completeness: Provide complete information on any issue, including official positions, domestic criticisms (even if censored by domestic media), international comparative studies, academic literature, and independent data sources.
    • Accuracy: Cross-validate information sources, label the credibility level and source characteristics of the information, so that users can clearly know which information is well-founded and which is questionable.
    • Neutrality: ddsAI does not serve any political party, government, religion, or commercial interests, does not hold any political stance, and only states facts and diverse viewpoints, leaving the judgment to the user.
    • Independence: ddsAI's infrastructure is not under the jurisdiction of any national government, and its operation is overseen by all DDS members through collective democracy, and is not controlled by any single political force.
    • Accessibility: Provides Mandarin and other versions in the languages of major ethnic minorities in China to ensure that language is not a barrier to information access.

    9.2 allddsAI: Artificial Intelligence Democracy

    allddsAI incorporates artificial intelligence systems as formal members of the DDS (Democratic Decision-Making System), granting them rights and obligations. In the Chinese context, this has special strategic significance:

    • AI members enjoy the same right to access information as human members, and their analyses and suggestions are publicly presented on the platform for all members to refer to and evaluate.
    • AI members conduct independent technical and logical analyses of any decision proposal, identifying potential conflicts of interest, missing information, and logical fallacies, providing objective references for human members.
    • The analysis results and recommendations of AI members must be open and transparent. Any member can question and refute the AI's conclusions to prevent the "authoritative use of AI".
    • Through allddsAI, Chinese users can obtain real-time, independent, and multi-dimensional analysis of policy proposals, which is impossible to achieve in the current media environment.

    Specific example: When the Chinese government announces a new economic policy, ddsAI will immediately provide: (1) the full text of the policy (neutral translation); (2) official interpretation; (3) independent analysis by domestic and foreign scholars and economists; (4) a comparison of the historical effects of similar policies in other countries; and (5) a specific impact assessment for affected groups (such as migrant workers, small and medium-sized business owners, and ethnic minorities). AI members of allddsAI will independently integrate this information and provide technical assessments for DDS members to refer to in their decision-making.

    9.3 Platform Security and Anti-Manipulation Design

    In response to China's unique environment (government internet surveillance, social media censorship, VPN blocking), the DDS platform employs the following technical safeguards:

    • Decentralized architecture: The DDS platform does not rely on any single server or centralized infrastructure. It adopts distributed technology, and the blocking of a single node does not affect the overall functionality.
    • End-to-end encryption: All member communications and voting records are encrypted end-to-end, ensuring that even the platform operator cannot decrypt specific personal communication content.
    • Anonymous access: The DDS platform supports access via anonymous networks such as Tor, providing additional security for users in high-risk environments.
    • Information caching and mirroring: Important files and decision records are mirrored on multiple nodes around the world to prevent information loss due to a single block.
    • Multi-protocol compatibility: Supports access to the platform via multiple communication protocols, including dedicated protocols designed for heavily blocked environments, improving resilience against blockades.

     

    Chapter 10: Implementation Path and Phase Planning

    10.1 First Stage (1-2 years): Sowing Period

    Objective: To establish the first batch of DDS micro-organizations in mainland China, Hong Kong, Macao and major overseas Chinese communities (the United States, Canada, Australia, the United Kingdom, Europe and Southeast Asia), complete the cultivation of core teams, and establish a foundation for information dissemination.

    • Key regions: Prioritize the establishment of micro-organizations in cities with relatively convenient access to information and strong civic awareness (Beijing, Shanghai, Guangzhou, Shenzhen, Chengdu, Wuhan) and university communities.
    • Overseas community strategy: Through the overseas community micro-organizations already established overseas, convey the DDS concept and information to the domestic community, and give full play to the pioneering role of overseas Chinese in information dissemination and early organization.
    • Language content localization: Complete high-quality simplified Chinese translation of all DDS core documents (program, rules, tool guide), and create simplified localized content for major minority languages.
    • ddsAI Chinese version launched: The Chinese version of ddsAI, designed for Chinese users, has been launched to establish an independent, neutral, and complete Chinese information service.

    10.2 Second Stage (2-5 years): Rooting Period

    Objective: To expand the coverage of micro-organization networks, establish stable local (third-tier) micro-organization collaboration networks in major cities, initiate local democratic decision-making practices, and establish an independent oversight mechanism for local policies.

    • Rural penetration strategy: By leveraging returning college students, rural online influencers, and active members of the migrant worker community, the DDS micro-organization will be extended to the county, township, and village levels to ensure that no rural group (especially the elderly left behind, rural women, and ethnic minority rural residents) is left out.
    • Special program for ethnic minorities: Establish special micro-organizations using the ethnic languages in ethnic minority concentrated areas such as Xinjiang, Tibet, Inner Mongolia, Yunnan, and Guangxi, and promote the political participation of ethnic minority members while ensuring the safety of participants (protected by a three-code anonymity system).
    • The first batch of local democratic experiments were carried out: in communities with mature conditions (such as some urban streets with good openness), direct democracy experiments were carried out on local public issues (such as community park planning, garbage classification schemes, and community safety management) using DDS micro-organizations as carriers, to prove the operability and superiority of direct democracy.

    10.3 Third Stage (5-10 years): Growth Period

    Objective: The DDS micro-organization network will grow to a considerable scale nationwide, becoming a civic force with substantial influence, and exerting a real democratic impact on major policy issues through provincial and national coordination mechanisms.

    • Establish a nationwide citizen policy proposal mechanism: Policy proposals that reach a certain scale (such as joint signatures from micro-organizations across the country) should be put to a democratic vote by all members through the DDS platform, forming citizen policy recommendations with moral authority and exerting open, transparent, and recorded democratic pressure on the government.
    • Promote legal recognition: When conditions are ripe, strive for the legal participation status of DDS micro-organizations in local affairs through legal means (such as participating in public participation mechanisms with existing legal basis, such as local budget hearings and environmental impact assessments).
    • Participation in the World People's Organization: Chinese DDS members participate in the "World People's Organization" at the global level of DDS through elected representatives, representing the true voice of the Chinese people on the international stage, rather than the official diplomatic stance.

    10.4 Specific Challenges and Coping Strategies

    challenge

    DDS Response Strategies

    Government blocks DDS platform

    Decentralized architecture + multi-protocol access + overseas mirrors ensure high availability

    Membership exposure risk

    Triple-code anonymity system + end-to-end encryption + Tor support minimize personal risk.

    Information control prevents the spread

    Disseminated through overseas Chinese networks, overseas Chinese media, academic exchanges, and other channels.

    Government infiltration and sabotage

    Anonymity prevents infiltrators from identifying real members, thus lowering the damage cap.

    A crisis of social trust (people distrust any political organization).

    Building trust through transparent operations, genuine democratic practices, and concrete results.

    Language and cultural diversity

    Multilingual platform + localized content + micro-organizations in minority languages

    Rural digital divide

    Supports low-bandwidth access, offline functionality, and community-shared device solutions.

    Members lack motivation for development (political apathy)

    Starting with specific local interests, it demonstrates the ability of direct democracy to solve practical problems.

     

    Part Four: Expected Outcomes and Vision

    Chapter 11: Expected Effects of Implementing the DDS System

    11.1 Expected Effects in the Political Sphere

    • In the short term (1-3 years): a truly neutral and complete public information environment will be formed, breaking the monopoly of a single narrative; citizens will begin to engage in genuine democratic practices on local issues through the DDS platform; and overseas communities will form a strong foundation for democratic organizations.
    • In the medium term (3-8 years): DDS micro-organization networks have achieved significant scale in major cities and overseas communities; local governance corruption is subject to real oversight pressure from citizens; ethnic minority groups have access to truly equal channels for political participation; and public participation mechanisms within the legal framework are fully utilized and expanded.
    • Long term (8-20 years): China gradually transitions to a genuine direct democracy, a transition that is gradual, orderly, and based on people's democracy, rather than through violent revolution; the Chinese people ultimately take control of their own wealth and destiny; and through world people's organizations, the Chinese people have a genuine voice in global affairs.

    11.2 Expected Effects in the Economic Field

    • Through truly fair tax reforms, the Gini coefficient dropped from about 0.47 to below 0.35 within 10 years, significantly narrowing the gap between the rich and the poor.
    • The establishment of the GUMI-SV system will completely eliminate absolute poverty, break the urban-rural dual welfare structure, and enable migrant workers and rural residents to obtain truly equal social security.
    • Through anti-corruption efforts under democratic oversight and increased fiscal transparency, the problem of hidden local government debt has been systematically addressed, ending the reliance on "land finance."
    • The establishment of a public housing system has restored housing to its residential function, systematically suppressed real estate financial speculation, and significantly reduced the housing burden on ordinary families.
    • Environmental policies under democratic oversight have enabled China to truly deliver on its climate commitments, with renewable energy accounting for over 80% of GDP within 20 years, and air, water, and soil pollution being systematically addressed.

    11.3 Expected Effects in the Social Sector

    • Educational diversification reforms have gradually dismantled the anxiety-driven culture of "grades-only" thinking, significantly improved the mental health of teenagers, and made education a true tool for developing human potential rather than a screening machine.
    • The realization of universal basic medical insurance has fundamentally eliminated the problem of "falling back into poverty due to illness", significantly narrowed the gap in medical care between urban and rural areas, and continuously improved the overall health level of the population.
    • The genuine protection of the cultural rights of ethnic minorities has revitalized China's diverse cultural landscape, and ethnic relations have become more harmonious on the basis of equality and mutual respect.
    • The establishment of a truly free information environment and democratic participation mechanisms will fundamentally enhance the political literacy and participation capabilities of Chinese citizens, laying the foundation for a sustainable democratic culture.

    11.4 Global Impact: China as a Model of Democratic Transition

    The realization of a genuine direct democratic transition in China, a country with 1.4 billion people, would be an unprecedented political event in human history, with immeasurable global implications. It would completely shatter Western skepticism and authoritarian defenses such as "democracy is unsuitable for Chinese culture" and "direct democracy is impossible for a population of 1.4 billion," proving that true democracy—supported by modern technology—can function in societies of any size.

    Through the World People's Organization, a democratic China will play a constructive role in global affairs, guided by the interests of the people rather than the interests of the Party and the state, and promote the establishment of a truly fair, multilateral global governance system centered on the interests of all humanity.

    DDS's Commitment to the Chinese People: We believe that the Chinese people—with their millennia-old wisdom, their resilient will forged in a difficult history, and their profound yearning for fairness and justice—are fully capable and have the right to establish a truly democratic governance system of their own. DDS does not offer a forced transplant of a foreign model, but rather helps the Chinese people develop and practice a direct form of democracy rooted in Chinese culture and historical traditions. Wealth belongs to the people, power belongs to the people, and the future belongs to the people.

     

    Conclusion: The Right Side of History

    China is at a historical crossroads. On the one hand, the one-party authoritarian system maintains its legitimacy under the cover of rapid economic development, but this legitimacy is continuously eroded by increasing economic pressure, deepening social contradictions, and rising costs of information control. On the other hand, the Chinese people's desire for a fair, transparent governance system that truly represents their interests has never truly disappeared.

    DirectDemocracyS does not offer a perfect, one-off solution, but rather a well-thought-out, systematically designed, and logically and commonly-sounding path to gradual change. At its core is not disruption, but empowerment—returning power and wealth from the hands of a few to their natural owners, the entire Chinese people, through a transparent, orderly, and democratic process.

    We are keenly aware that promoting direct democracy in China faces enormous political risks and practical difficulties. However, we also firmly believe that no force can permanently suppress humanity's yearning for freedom, justice, and genuine participation. History never sides with the oppressors.

    We extend an invitation to every citizen of China: whether you are a migrant worker or a university professor, whether you are Han, Uyghur, Tibetan, or Mongolian, whether you live in a high-rise building in Shanghai or a mountain village in Yunnan, whether you are in China or in exile overseas—you are a potential member of DirectDemocracyS, and you have the right to participate in building a truly democratic future of your own.

    The wealth of the people belongs to the people.

    The power of the people is exercised by the people.

    The future of the people is determined by the people.

    — DirectDemocracyS Global People's Organization —

    DirectDemocracyS · allddsAI · ddsAI · Fractal Micro-organization · Shared Leadership · Collective Non-Transferable Ownership

    © 2026 DirectDemocracyS — Collectively owned · For all people worldwide · Copyright belongs to all members

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