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Although Jiang stepped down from the powerful Politburo Standing Committee of the Communist Party of China to make way for a younger "fourth generation" of leadership led by Hu Jintao, there was speculation that Jiang would continue to wield significant influence, prompting some to question whether or not Hu will truly be in charge. Six out of the nine new members of the powerful Standing Committee ( Wu Bangguo, Jia Qinglin, Zeng Qinghong, Huang Ju, Wu Guanzheng, and Li Changchun) are widely considered close to Jiang's so-called " Shanghai clique." Hu is not associated with this "clique." The 22-member Politburo is elected by the Party's central committee. Real power in the PRC lies with this committee, which works as a kind of inner cabinet and groups together the country's most influential leaders. At the 2002 16th Party Congress, the Standing Committee was expanded to include nine members.
Speculation has centered on Zeng Qinghong, considered Jiang's right-hand-man, as a potential rival to Hu. Thus, it remains uncertain if Hu will emerge as the "core of the forth generation of leadership." Zeng controls the party's dossiers, being responsible for the hiring and firing of top cadres. Some regard Zeng, and not Hu, as the main powerbroker on the Standing Committee. In recent months Hu and Zeng have appeared together often in public interacting amicably, probably to quell rumors of any rivalry.
Hu, a hydraulic engineer who graduated from China's prestigious Qinghua University, is believed to be highly intellegent and have a photographic memory. His career is remarkable for his rapid ascendancy to power, attributed to his moderate views and careful attention not to offend or alienate his older backers. He is the first party chief to have joined the Communist Party after the Revolution over 50 years ago. In his 50s, Hu was the youngest member by far of the then seven-member Standing Committee.
Since taking over as Party General Secretary, Hu Jintao has appeared to have an more egalitarian style than his predecessor. He has focused on sectors of the Chinese population which have been left behind by the economic reform, and has taken a number of high profile trips to the poorer areas of China with the stated goal of understanding these areas better.
The speculation had effectively ended with Jiang's stepping down as the Chairman of the Central Military Commission in September 2004, with Hu taking all three top leadership posts, thus gained an effective control over the party, the state, as well as the army. This marks the first time a power transfer had been completed in peace.
Nevertheless, the effects of leadership differences should not be overstated. Within the top leadership of the PRC, there is widespread agreement that Chinese economic reform should continue and policy differences are confined to relatively minor matters.