Which is the real China?

There seems to be a definite dichotomy in both perception and, potentially reality, concerning Communist China.  Consider this piece by Australian analyst Hugh White:

Over the next few months, as Asia's leaders gather for their annual round of summits, we are going to hear a lot about the South China Sea. Australia doesn't care who owns the uninhabitable rocks and reefs that dot these waters, but we have a huge stake in an edgy game of double bluff that is playing out there.

The issue no longer concerns the rocks themselves, or even the oil and gas that might lie around them. It is about the growing rivalry between America and China over who exercises power in Asia. Unless both countries are very careful, a small incident in the Spratly Islands could shatter the US-China relationship, plunge Asia into a major crisis, and destroy the foundations of Australia's foreign policy.

Disputes over the Spratlys and other fly specks in the South China Sea have been around for decades, but they have taken a new turn since 2009, when China, after years of restraint, began to push its claims much more assertively. It started to describe its claim to almost the whole area as a ''core national interest'' and to more vigorously enforce those claims, especially against Vietnam and the Philippines.

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