Trade and Aid in China

1807 Words4 Pages

China, a country with a population of over 1.3 billion, has made a great change in its economy over the past three decades (Morrison). China is the most populated country in the world occupying about 20% of the total world pollution. Its government, the Communist Party of China has been ruling the country for over 63 years since 1949.

China has shown a great change in its economy starting from 1978. 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 introduction changed the economy, culture, and the way of life among the Chinese. After 1978, about five hundred million people were raised out of extreme poverty (Morrison). This reform is now described as one of the greatest economic successes in modern times (Morrison).

Trade also grew more popular as china’s GDP got higher. The USA and China are now very close trade partners. In 2011, the two countries have traded goods which are worth $503 billion (Morrison).

However, China’s rising Economy has also raised the concerns of foreign policymakers as they consider how this increasing economy could affect other countries’ economies and the global world trade (Li). They also fear that the growing economy could also decrease exchange rates on other currencies. I think that this could lead to unrest in other countries to keep their exchange rates stable.

As the Euro zone crisis worse...

... middle of paper ...

... From a personal perspective, think that culture and tradition should be modernized not only in China, but around the world. I am not saying that Chinese culture should fully be transformed, but it should be modified. This, in my view will bring the world together as one. If all culture and tradition is changed, I presume the country will lose its identity, but slight modifications will make the country a better place, and trade is the best way to do it.

To wrap up my essay, I think that trade has helped China’s economy. After the 1979 economic reforms, China has changed a lot, and trade is a supporting member. Besides its negative effects like culture, trade has helped Chinas a lot; and I, as well as other economists predict that in a few years time, China will have the world’s largest economy!

Open Document