Western withdrawal after Tiananmen redirected investment flows to co-ethnic Chinese networks.

Evidence

The reduction in Western economic involvement in China after Tiananmen Square, following a decade of rapid Chinese economic growth, created the opportunity and incentive for overseas Chinese to capitalize on their common culture and personal contacts and to invest heavily in China. The result was a dramatic expansion of overall economic ties among the Chinese communities. — Samuel P. Huntington, The Clash of Civilizations and the…, 462

Categorization

• XREF: Parallels the extralegal-contracting material where shared community ties fill gaps left when formal channels withdraw.