The Causes And Problems Of Excessive Growth Of China 's Index

The purpose of this research report is to provide an overview of China’s economic growth in relation to the long term economic growth drivers. Critical assessment will be made on the growth drivers to determine whether they lead to long term economic growth.

Since the reform and opening up, the economy of China grows significantly, as an emerging economy, China's economy has made tremendous contributions to the global economy, and Renminbi has become one of the most important currency in the world. According to the survey conducted by China National Bureau of Statistics found that from 1979 to 2012, China has attained an annual average growth rate of 9.8% for its national economy, while the annual average growth of the world economy is only 2.8 % during the same period. In past 30 years, China's GDP surpassed Japan’s, China became the world 's second largest economy, in addition, the huge total volume of trade makes China become the world 's largest trading nation. The contribution of China’s

Major stock market indices globally are trading near the high levels of 2007-2008. Some countries like India have surpassed the previous highs of 2008, and are trading comfortably higher (^BSE, Jan 2008: 20,000 approx.; May 2016: 25,000

China’s exceptional economic growth could barely be suppressed in China’s borders. Although China was both a giver as well as a receiver of economical communication throughout Eurasia. One of China’s many effects of their economic transformation lay in the dispersal of its tegnological advancements to people and places as the migration of soldiers, merchants, traders, slaves, and pilgrams, carried their accomplishments internationally. China’s unique way of manufacturing salt by solar evaporation spread to Christian Europe as well as the Islamic world. Papermaking, which started during the Han Dynasty, spread to Vietnam and Korea by the 4th century, Japan and India in the 7th, etc. Both printing as well as papermaking were both heavily affected

The Peoples Republic of China’s economy is now the second largest in the world with an estimated gross domestic product of $9.24 trillion USD (China, 2014). This is the result of a strict economic reform policy put into place in 1978, which removed emphasis on the agricultural sector and moved to the energy intensive sector of manufacturing. The growing demand for energy often came in the form of highly polluting coal-fired power plants, but in 1992 the Three Gorges Dam was approved with construction beginning in 1994. The world’s largest dam was intended to produce power economically, reduce environmental impacts, and help to prevent floods downstream. However, the Three Gorges Dam is often seen as highly controversial due to foreseen and unforeseen problems that have arisen following its completion in 2012 (Jackson and Sleigh, 2000). The dam may be one of China’s largest environmental oversights and social failure in recent years.

Different from focusing on how to increase the growth rate in the long run, this study focuses on how to increase the output level in the short and medium run. In the National People’s Congress Press Conference in March of 2007, China’s Premier Wen Jiabao argues that the biggest problem with China’s economy is that the growth is unstable, unbalanced, uncoordinated, and unsustainable. Based on the fact that the current ratio of consumption over output in China is much smaller than that of other countries, such as Japan and the United States, a higher ratio will increase China’s real GDP level in the short run. Since the short run real GDP is larger than before, a higher ratio of consumption will increase China’s economic growth rate

The economist states that it is harder for an economy with large size keep growing at a fast speed. Several research states the China’s GDP growth at an average 10 % per year for the previous three decades. So that there is a significant rise in the amount of labor, capital and the level of productivity. However, they all slowdown in recent year ("Why China's economy is slowing", 2015). In this essay, three components are included. In the first part of the article, the reason for the china’s decline in the economy will be discussed. In particular, the author focus on the income inequality and the effect of the real estates to the economic growth. The effect on the Australian economy and the United States will include in the second part and

Abstract: Economic development is very critical for better future of any country and its residence but for one to gain something thing they must lose something. This has been the case with china’s economy and the environment. China’s growing manufacturing sector and increase in consumption has taken the country’s economy to new heights. Today china is one of the largest economic powerhouse in world, but at what cost. China’s manufacturing sector is the largest in the world. It creates massive air pollution and waste. My paper will illustrate numerous dominant sources of economic growth in china and its colossal impact on the environment in china. In addition, my paper will discuss policies made for betterment of the environment.

top 5 and 10% of earners in China accounted for 19.8% and 31.9% of the

conditions must be met by China before the nation can become a member of GATT

The article I chose describes how the Chinese economy copes with its worst economic slow down in 25 years. The article said that the recent figure shows that growth has slowed sharply and deflation set in. The property market has dropped drastically and factory production is at its weakest point science the 2008 global crisis. In the first three months of 2015, GDP grew at "only" 7% year-on-year, which is pretty small compared to the “usual” 9% growth. Growth for 2015 will probably be the weakest in 25 years. Some pessimists said that China’s economy is about to crash after three decades of rapid development. But the article argues that china’s economy is stronger than they thought and is going through a quiet financial revolution.

In order to increase China’s consumption, some current literatures come up with several policy suggestions to reduce China’s high savings rate and therefore stimulate China’s consumption. Anderson (2007) points out that the bulk of excess savings has come from Chinese firms as they “expropriate” market share and profits from the rest of the world. This implies that the sudden appearance of China’s imbalance over the past few years, the sharply rising trade surplus and the implied dramatic increase in domestic savings relative to the already very high mainland investment levels, was not caused by weak consumers. Instead, the bulk of the evidence points to Chinese companies and rising corporate savings as the source of the problem. In particular, the banking system data show that the household share in total deposits has fallen since the beginning of the decade, offset by a rise in the enterprise deposit share. This is confirmed by flow of funds estimates, which also indicate that while household and government saving rates are generally high, neither ratio has changed much over the past five years. Instead, the real driver of the recent Chinese "savings boom" is the corporate sector, in which the estimated gross saving rate has shot up by nearly 7 percentage points since the beginning of the decade

East Asian Economies have experienced an outstanding record of high and sustained economic growth over the period of 1990s. In the period of 1965 to 1990, East Asia’s twenty three economies grew faster than other economies of all other regions. Most of this success is attributable to seemingly miraculous growth in just eight high performing Asian economies (HPAEs). Among these high performing Asian economies, China ranks as the world's 2nd largest economy after the United States since 2010. It has been the world's fastest-growing economy with consistent growth rates of around 10% over the past 30 years. A major contributor to China’s extraordinary growth has been its economic reforms coupled with the implementation of unorthodox policies.

Huang’s paper analyzed the phenomena and causes of the take off in China’s economy through four aspects.

This paper will discuss the nature of security market efficiency and then an application of understanding of stock market bubbles to a particular company. It will also develop and demonstrate an understanding of the topic area of capital market efficiency as well as apply theoretical understanding to the analysis of market information in the context of a company listed on the Shanghai Stock Exchange (SSE). It will illustrate the information on distance from the assumption that financial markets perform well and price changes constantly demonstrate real data. Furthermore, this paper will also illustrate what episodes of volatile security price behavior mean for the notion that security markets work efficiently. On the other hand, the main reason of this paper is to prepare a critical literature review of the competing views that stock market bubbles undermine confidence in the Efficient Market Hypothesis. This will investigate the movements of the share price of Shenergy Ltd and of the Shanghai Stock Exchange Composite Index generally in the light of information available to investors. Moreover, it will also define the actions and circumstances which may be related to share price movements and what has influenced share prices on the SSE over this time. This means, this will explain regarding the share price behavior that have been observed and confirms by any of the academic views encountered in literature review.