Should we be surprised by General Secretary Xi Jinping’s recent policy initiatives to re-exert control over the private sector? One prevailing view is that they mark a distinctive break with the past couple of decades, when China produced massive fortunes for a small elite in real estate and tech. Others argue that they’re necessary to clean up messy sectors that require more effective regulatory oversight. However, the truth is that the Chinese Communist Party (CCP) has always been, at best, suspicious of private entrepreneurs and activities outside of its direct control, and, at worst, downright hostile. External observers have often seen what they want to see, claiming that while the party has maintained its socialist rhetoric, in practice it was not serious and could be ignored. After all, the private sector contributes 60 percent of GDP and provides almost 90 percent of new jobs in urban China. Surely, the CCP could not be serious about reining it in — or could it? History m