The rapid rise in GDP per capita has reduced the level of subsistence consumption. Rising aspirations have led to people saving a greater proportion of their income. E... ... middle of paper ... ...as individual economies, the twenty fastest-growing economies in the world between 1978 and 1995 would have been Chinese . China’s high savings rate will ensure continued increase in investment, its status as a developing country will ensure its ability to take advantage of available technology developed by advanced economies and improvements in the quality of human capital will ensure sustained rises in productivity. Despite the current lacklustre effort by the government to minimise environmental damage, there has been relative improvements.
It has become one of the world’s fastest growing economies ever since (Wiki answers). China may have started with very little money, but it is now holding the world’s second largest economy. It is also the second largest importer and the largest exporter of merchandise (Wiki answers). Some analysts think that China will have the largest economy in a few years time (Morrison). Economic reforms were introduced in 1978 by the Communist party of China.
This is leading to tremendous changes in the global economy. China has become the second largest foreign direct investment recipient country in the world and the largest recipient among developing countries. Since 1978 the foreign direct investment has flooded into the country. In 2002 china became the first country for a very long time to attract more foreign direct investment in one year then the United States (bringing in US$53.2 billion while US$52.7 billion flowed into the United States). Foreign direct investment has played a vital role in the transformation of the Chinese economy in China, with value contracted increasing from US$ 52.1 billion (1998) to US$ 115.1 billion (2003).
1. International trade Owing to the global technology advances, by a gradually falling in the cost of transportation and communication, importing and exporting have become much cheaper for many goods and services, as well as the cost of discovering the foreign buyers and sellers have declined(John Vickers, 2001). In 2001, China formally joined the World Trade Organization, which meant China agreed to follow the same global rules governing imports, exports, and foreign investments that most countries in the world were complied with. Since then, a rapid growth of China’s export has been boosted. In a recent BBC article on the internet, it is explained that ‘in recent years, China has also become a trading giant - it is the world's fifth largest exporter of merchandise after the US, Germany, Japan, and France’ (http://news.
The United States has been quick to outsource and offshore millions of domestic jobs that can be done at a cheaper rate to countries such as India and China. The labor in both these countries will cost a fraction of what it costs to produce and assemble in the United States. Chinas cheap labor has become a prominent advantage to the nation by not only increasing the countries employment rate but also providing more to their economic... ... middle of paper ... ...rlier or later is yet to be determined. The positive global effects of China crossing the Lewis Turning Point are plentiful; increased output commodity, raising domestic employment, more regional economies join China’s trade chain. Works Cited 1.
During pre-modern times, China’s economy was in constant growth and stable due to its high influence in commerce along trade routes that moved across the Old World. Since China was deficient in technology and innovation that would push its economy and it commercial relationships with other countries, America became an economical power and its global influence expanded which resulted in its surmount above other economies including China’s . China lost against America in the economy and America took first place. After the September 11, however, America’s economy began to fall; it was not until 2013, when the economy began to rise. Although America’s economy is growing as time goes on, China’s economy is also growing.
The book, "China's Rise: Challenges and Opportunities provides a detailed look into China’s important role in the global arena. China’s growth in the past few decades has made it a economic superpower, however, with this growth, challenges regarding its internal and external policies, military modernizations and energy dependences have risen. China has been the fastest growing economy in the last thirty years. Its contributions to the global economic growth are substantial. China is the second largest exporter and holds the largest foreign currency reserve in hand.
But still, its GDP per person is low so it is likely to be developed and continues to grow. So China is the main power of global economy. But recently, professionals, as well as the global economy investors are also finally starting to know the fact. Which is China's high-growth era of gorgeous now it is a thing of the past. Thus, precarious situation of the Chinese economy in the world is still having a significant impact.
Although China makes great economic achievements and improvements every year, the economic achievements is not that glorious when divided by the large denominator of population. B... ... middle of paper ... ... rate is 8.77‰( SFPCC) in China, it brings a population increase of 19,090,000(SFPCC statics), which equals a medium-sized country in Europe. As a result, overpopulation may not be that serious in some other countries, it does be the most serous social problem in China. In order to solve the overpopulation issue, the government should pay great attention to it. Some policies, such as “ One China policy”, have already been made in China.
It was this change of textile manufacturing power, combined with the huge labor force that China has that allowed dramatic growth of economy in China, as a starting point (Hayat). Industrialization, as discussed in Horan’s lecture, was a stepping stone in Japan and China’s major development as an economic prowess that breaks the international barriers in trade that they once had, which also provided some strong backbone supports to their developments. Next, the second key aspect in why China has grown so large is th... ... middle of paper ... ...ina falls down someday, it would only mean a temporary break from the industry, as we have already seen how successful China has become now on its own. References. "Economic Suicide Biggest Threat to China - OP-ED - Globaltimes.cn."Globaltimes.