The Fall of The Orient

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The Fall of The Orient.

Zhiwu Chen, a professor of Finance at Yale School of Management, had once addressed two pivotal questions to the world: “Why has China’s economy grown at such a fast rate during the last 30 years, and is this growth rate sustainable?” Over the past decades, China’s uprising as a huge economy power was undeniably prominent, first in Asia and then to the eyes of the world. The most popular answer as the world knows it is because China has “vast and cheap labors”, but that is not necessarily true. The idea of China’s development has been supported not only by huge labor force. Instead, it was also driven by all the changes that happen in the world, which allowed China to gain from its labor force, and also improvement in technological developments, and social reformations (Hayat).

China has developed at a relatively high speed as compared to the rest of the world due to the change in manufacturing order. The global textile manufacturing, which was once so synonym with the West, had moved multiple times from England to United States, due to series of events known as ‘Cotton Famine’. The textile industry then moved to Japan and China, as they were key players in the textile market (Biselli). 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...

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...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. N.p., n.d.

Web. 04 May 2014.

"Labor Force, Total." The World Bank. N.p., n.d. Web. 04 May 2014.

Biselli, Marco. China's Role in Global Textile Industry. Www.ceibs.edu. CEIBS, n.d.

Web. 03 May 2014.

Hu, Zuliu. "Why Is China Growing So Fast?" Economic Issues 8. N.p., n.d.

Web. 03 May 2014.

Dixon, Hugo. "How Fast Can China Grow?" Breakingviews RSS. Reuters, n.d.

Web. 3 May 2014.

Hayat, Usman. "What Explains China’s Economic Growth, And Is It Sustainable?"Enterpising Investor. CFA Institute, n.d. Web. 3 May 2014.

Horan, Joseph. “Paradox of Development”. Human System. Marquez Hall, Golden. Lecture.
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