Economic Development Of China Through Marxian Economics And Neoclassical Economics
1618 Words7 Pages
In the era of capitalist globalization, the economic growth of China has made the country a possible regional leader with the potential to become a global power. With respect to economics, China’s capitalist market has become a key international player in global politics. One way of conceptualizing the phenomenon of economic expansion in China is through the examination of traditional and contemporary IR theories. China’s remarkable economic growth, which exemplifies their “socialist market economy model,” can be conceptualized by the structural change in the country’s internal dynamics such as institutional changes and configuration of labor as well as external factors by expanding the degree of openness through capital investment, trade liberalization, and importation of advanced technologies. Both internal dynamics and external factors of China’s economic transformation can be rationalized by their appropriate theoretical frameworks for economic development. This paper seeks to examine the recent economic development of China through Marxian Economics and Neoclassical Economics by engaging the initial work of Marx’s assumption on capital accumulation and the contemporary work of neoclassical economics approach to capital distribution.
After a comprehensive analysis, this literature review presumes that both Neoclassical and Marxian approaches to China’s economic expansion give an ideal interpretation of the phenomenon. Although Marxist theory on economics provides