China 's Economic Impact On China

Nowadays, China has become the second largest economy in the world. The GDP (gross domestic product) of china was growing at 9.7% per year in average since 1978, which the year of Chinese “open door” politic founded. China also has become the biggest producer and consumer in many key agricultural and industrial markets and the largest FDI recipient among the developing countries. The performance of china in developing of economy is called “china’s economic miracle”, which be studied by many economists. However, there are also bad results with the development of economy in china such as environment disruption, corruption and

There is a fierce competition for world dominance as China is poised to overtake the United States as the preeminent world power. China’s growing gross domestic product (GDP) rivals that of the US with economists predicting the Chinese economy will surpass that of the US by 2020 (Morrision, 2014; Strauss, 2013). In 2012, China had a GDP of $8.22 trillion (World Bank, 2014a) experiencing an annual average growth rate of 9.86% between 1999 and 2012 (World Bank, 2014b); whereas the US had a GDP of $16.24 trillion in 2012 (World Bank, 2014a) with an average growth rate of 2.15% from 1999 to 2012 (World Bank, 2014b). More than half of the GDP growth in the past decade can be attributed to labor income growth among college educated employees. Even during economic recession, income growth among college graduates had a positive effect on GDP (OECD, 2012).

Moreover, after setting up economic institutions and an industrial base, Deng Xiaoping established various Special Economic Zones in China that allowed for increased foreign investment, helping to develop China’s commercial growth. As described before, when Deng Xiaoping came to power, his goal was for China to fulfill the Four Modernizations: modernization in agriculture; industry; science and technology; and defense. Deng believed that the only way China could keep up with Western countries was if China achieved the Four Modernizations. Specifically, in order to achieve the Four Modernizations, Deng had to fulfill a two-step goal. The first stage was to build up economic institutions and to set up a strong industrial base, both of which had been denied to China during Mao’s Cultural Revolution. The second stage of the Four Modernizations was China’s emergence from isolation and integration into the global economy, both of which were crucial for China’s commercial economy to develop. Deng Xiaoping’s biggest accomplishment was his achievement of this second goal. Specifically, the period of time when Deng reformed and opened up China to the world is known as 改革开放, which is pronounced Gaige Kaifang. What separated Deng Xiaoping from other leaders in the past was that Deng’s method of thinking was very pragmatic. He recognized Mao as a hero to modern China, but also believed that some of Mao’s policies were wrong. Deng’s famous quote was: “黑猫白猫抓住老鼠就是好猫,” which translates to

There have been recent concerns about the United States’ involvement with China’s economic rise. A concern about China’s growth surpassing the United States in economic size within the decade and regulating purchases of power. China’s economy grew in 1979 upon opening to foreign trade, investment and a free market. The increase of China's economy caused the gross domestic product to grow in 2016 by ten percent. China soon had the lead in being the largest economic manufacture, merchandise exporter and importer and holder of foreign exchange reserves. Their control as one of the largest economies encouraged the United States to have commercial ties with them. China's huge influence made it the United States’ second largest trading partner,

China, the most populous country in the world, has experienced an abnormal growth rate in Gross Domestic Product over the past decades. However, facts and statistics indicate an economic growth slowdown of the Asian giant.

Spanning over the last few decades, China’s economic rise seems nothing short of a phenomenon. The country has flourished – growing from being impoverished to what is now the world’s second largest economy. Many analysts describe this massive rise in such a short time span as “one of the greatest economic success stories in modern times.” (SOURCE) As China’s gross domestic product (GDP) rapidly escalates, Western countries are in fear of China soon becoming the world’s largest economy. However, with the help of penetrating evidence, the myth of China as being a threat to the United States’ economy is debunked in Peter Nolan’s Is China Buying the World?. Published in 2012, Nolan, an international expert on China’s economy, analyzes China as

The Chinese economy can be viewed as the cornerstone of the global economy. The current global GDP, measured in purchasing power parity of nearly 60%, as well as current international rate of growth at more than 80%, is primarily accounted for by China and other neighbouring middle-income countries, such as India or Vietnam.[1] These numbers are significant in understanding our global economy, which is widely interconnected through alliances of trade, laws and finance, thereby affecting our daily lives politically, economically, socially and technologically.[2] With recent analysis indicating that China’s growth has declined to about 6.8% by the end of 2015[3], how would a crash in China’s economy affect the global market?

The following paper coherently illustrates the trade patterns of USA and China and describes the various trade policies developed over the past years that have impacted the respective economies of both countries alongside the effect of the same on the bilateral trade relations between the two. Based upon the previous statistics, US-China trade is considerably one of the largest trading partners in today’s economies. Both countries’ trade relations entail exchange of investment, services as well as goods varying from agricultural products to non-agricultural products. Currently, China is the second-largest trading partner, third-largest export market and the biggest source of imports for the United States. The U.S.

Zhang portrays that the export levels in China rose as a result of the expansion of multinational corporations. This suggests that as exports are a component of aggregate demand as exports rise aggregate demand rises meaning China 's economy is growing in theory. This is supported by Sun (2002) by showing the macroeconomic impacts that FDI induces. He recognises that FDI influences trade flow as he sees that China 's total trade volume relative to GDP rose from 15.2 percent in 1980 to 26.8 percent in 1995. The more coastal you go the more influential the foreign direct investment contribution becomes.. Sun concludes that FDI is a form of trade creating in China. Chen (1999) ran cross-sectional regressions on 29 provinces in different years and confirmed that FDI does positively impact upon both promoting China 's host province total trade flows with the rest of the world and on increasing bilateral trade flows between China and its trade partners. The journal raises the idea of FDI and technological advancement promoting economic growth to be inconclusive. Naughton (1996) highlights a number of factors that limited the impact of FDI on China 's domestic economy. He states that the FDI was distributed provincially especially in Guandong who prosper from investment coming in from Hong Kong. Secondly, up to 1991 most of the output of FIEs was exported meaning that the foreign firms that were present gave no significance; foreign investment also never went above one

The rapid rise of China as a major economic power within a time span of about three decades is often described by analysts as one of the greatest economic success stories in modern times. From 1979 (when economic reforms began) to 2011, China’s real gross domestic product (GDP) grew at an average annual rate of nearly 10%. From 1980 to 2011, real GDP grew 19-fold in real terms, real per capita GDP increased 14-fold, and an estimated 500 million people were raised out of extreme poverty. China is now the world’s second-largest economy and some analysts predict it could become the largest within a few years. Yet, on a per capita basis, China remains a relatively poor country.

For the past three decades, critics have immersed themselves in the discourse of China’s rapid economic growth and development. For a socialist regime, the emergence on China’s remarkable economic achievement has been one of the world’s most unprecedented success stories. Sai-leung Ng (2000) emphasized on China’s success, describing China as the country with the most rapid economic growth of the time. Paul Collier (2007) noted that individuals in the west were starting to get worried that China was converging to quickly with the western economy. To support Collier’s comment, Jean-Francois Huchet (2006) rated the Chinese economy among the top five leading economies in the world.

China is generally an economically developed country. The massive economic growth started in the late 1970s and has continued up to date. The early years before 1970 were marked with low income levels and the consumption rate of products was not high. The current economic growth is unique and remarkable owing to the fact that it covers a wide geographical location. The China coastal regions have contributed to a large extent the vast economic growth due to the large quantity of export products that translate to income. The Central and Western regions have also been up to task as far as economic growth is concerned. (Brandt,2009)

Nowadays, the outlook of the global economy is clearly not optimistic, and there are so many severe issues have been plaguing the world economy in recent years. Such as potential asset bubbles, higher financial market volatility, weaker global demand, and deteriorating monetary and credit crisis, and falling of oil prices, and so on a series of troubles around the world. (World Economic Situation and Prospects 2016 2016)Once when we discuss and analyse those economic problems, it is inevitable to associate with China’s slowdown. Indeed, since China entered WTO, China takes advantages of large population to develop the labour intensive industries like manufacturing to expand the relationship with the world by frequently international trade, as greater interaction and stronger cooperation between China and the world, Chinese economy is merged to the world economy and become an integral part of the global economy. Therefore, the Chinese slowdown is bound to affect the growth of world economy. So the question arises, why China slows down its economy? If exploring further to figure out why, one factor which cannot be ignored is the declining export. (China’s Export Decline Accelerates 2016) Thus, the study I concentrate on is to investigate the reasons of declining export in Chinese international trade.

In today’s global market, China is one, if not the world’s most important player. When China’s economy is doing well, the majority of the world’s economies tend to do the same. When China’s economy is slow, the rest of the world usually follows.

Anti-dumping and countervailing duties may be imposed on imported goods that pose a threat to Chinese national industries. Tariff should be imposed on imported agricultural products include-wheat, corn, rice, soybean oil, rapeseed oil, palm oil, sugar, cotton and wool.