The Beijing 2008 Olympics will be a great economic success. But while it is too early to quantify the exact contribution to economic growth, however, the preparations for the Games have highlighted structural flaws of China's socio-economic model of development. With regard to China's growth and structural change, ecological sustainability, the implementation of ambitious policies or the protection of intellectual property rights, the run-up to the Olympics rather underline the persistence of these fundamental challenges than offering answers on how to overcome them. Essentially the Beijing Olympics are a political spectacle which intends to create a faade of sustainable and equal economic growth in China which has created a new world power. However, looking beyond the smokescreen of 'China's coming out party' you will see that many of the institutional structures needed to maintain this impressive growth such as a strong and independent media and legal system are absent or at best very weak. Beijing 2008 was a excellent opportunity to create or strengthen these much needed institutions. Unfortunately, this opportunity looks destined to be a missed opportunity.