China 's Economic Growth Essay

Decent Essays

Beginning in 1980 when China entered the global market, it experienced remarkable growth in terms of GDP and net output. Much of its growth is attributed to its large amount of exports, particularly within the manufacturing industry. As a result, its GDP per capita increased significantly and the country as a whole became considerably wealthier. More recently, however, demographic changes and increased wealth inequality are hindering its growth. Between 2008 and 2015, the World Bank estimates GDP growth decreased from 9.623% to 6.9%. While its growth remains quite strong in comparison to other developing economies within its echelon (BRIC countries), its increasingly stagnant growth evokes concern for the future of its economy and prospects.
Much of China’s economic disparities lie in the overall gentrification of the country. Much of China is rapidly transforming into more advanced, urbanized cities, while the majority of wealth is held in affluent metropolises such as Guangzhou, Beijing, and Shanghai. A study by Peking University found the poorest quarter accounted for less than two percent of total wealth in China. The same study also found that the wealthiest percent of China owned nearly two-thirds of all wealth. Inequality to this degree not only presents an ethical dilemma regarding the advancement of a select few, while the majority of china remains in a far more regressed state, but also reduces the resilience of the population to shifting economic trends. While

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