fuck me

Good Essays
China’s economy experienced a stunning growth the past couple decades and the future once looked promising. The methods that China used to grow could cause the downfall of its economic growth. What had been called the “Golden Years” could be over, which was a time of economic prosperity and growth. The growth could be affected from the political corruption, which can scare away foreign investment. Economic growth caused the housing bubble, which could bring down the economy. China’s growth also spurned the idea of protecting the environment that has caused pollution and environmental issues. The Chinese economy does not have a great economic future due to political corruption, the housing bubble, the pollution and environmental issues, and the loss of their comparative advantage.
The economy of China has been growing for the past three decades but recently it has been stagnating and that could be sign that end of the growth is near. Last year’s growth of 7.7% is “slightly above the market expectation” of 7.6% but that would have been the lowest number since 1999 (Wang 2014). All growth will eventually come to an end, an economy must be able to adjust to the occurring change. Different economical sectors must grow to accommodate the changing economy. Factory output has suffered and for five month low it was down to 9.7% (Wang 2014). If this is a sign of declining growth then the Chinese government will have to intervene and make the necessary corrections. Moving away from the industry sector to the service sector could be beneficial. China’s government is heavily involved with the economy and if the government fails to perform then the economy will suffer.
Political corruption can deter business investments, which undermine the ...

... middle of paper ...

...the economy. Political corruption is ripe and there is very little that can be done to the top officials if they are corrupt. The shaky government is a reflection of the economy, which is beginning to show strains as the housing bubble nears popping. Investors believed that there would always be a need for more housing and unfortunately there are not enough buyers. All of the developments wreaked havoc on the environment and cause numerous issues. The pollution is hurting the GDP and the people of China. Factories that once caused the pollution are leaving to countries with even more relaxed regulations. This has forced China to pushed China to invest in other sectors which can be a risky gamble. China is losing its allure and is now faced with new task of adapting. If China cannot adapt then there will be no more growth, and the “Golden Years” will be for nothing.
Get Access