The Underlying Factors of Economic Growth in China in the 1990s

China has already overtaken Japan to become the world`s second-largest economy in recent five years. “However, such economic

In order to do this, the new Agricultural Adjustment Administration paid landowners to take property out of production. What ended up happening was

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

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

One example of a change in relashonship between the communists and the peasants in when the wealthy countryside land owners had the feudal system ablohsed. In document 8 it is stated “ the landownership system of feudal exploitation by the landlord class shall be abolished and the system of peasant landownership shall be introduced in order to set free the rural productive forces.” This shows the People’s republic of Chinas desire

The Great Leap Forward is a Maoist approach to ruling China; it is distinct from the soviet model. After the hundred flowers Mao started to take criticism negatively and created an “Anti rightest campaign” that targeted intellectuals and anyone with an independent mind. Mao’s Anti rightest campaign allowed him to continue on with GLF plan without any constraints from the party. The Great Leap forward can be seen as a simple intensification of the Big push strategy; there were massive increases in the rate at which resources were transferred from agriculture to industry. Mao implemented the idea of “communes” in the countryside. A commune was a large-scale combination of governmental and economic functions. It was used to mobilize labor for construction projects, provide social series and develop rural small-scale industries. Mao rejected material incentives and monetary rewards, bonuses were eliminated and free markets were shut down. In 1958, there was a spectacular autumn harvest (grain); Leaders were blinded because of growth in industries. Agricultural workers were moved to rural factories and Agricultural workers were told to reduce the acreage

The rise in China from a poor, stagnant country to a major economic power within a time span of twenty-eight years is often described by analysts as one of the greatest success stories in these present times. With China receiving an increase in the amount of trade business from many countries around the world, they may soon be a major competitor to surpass the U.S. China became the second largest economy, last year, overtaking Japan which had held that position since 1968 (Gallup). China could become the world’s largest economy in decades.

Most importantly, the reestablishment of the hukou system in the early sixties, preceding the failure of Mao’s Great Leap Forward plan, affected factories in China heavily. By law, every worker in the city needed a hukou, an urban residence permit, in order to be allowed to work. This created a huge conflict between China’s urban and rural citizens as it was made extremely difficult for people from rural areas to get hukous, which of course everyone wanted (Naughton, pg. 118). Because of this, the urban and rural areas started to develop in very different ways since city folk had primary access to food, even during the nationwide famine. However, even with the societal uproar, the Chinese government did not make

This had the advantage that one could exchange the owner in case of bad management. But it also had the disadvantage that the buildings deteriorated, because the peasant was only a relatively short on the farm and therefore did not maintain the buildings. A change of ownership was not equal to what we now understand as a sale. The properties were exchanged, so to speak, and the purchase price was more or less the detachment sum for the inventory and the buildings. The social structure of society was characterized by the peasant’s large families. The livelihood had to be earned by the farm. A family extension (marriage) required a farm exchange (enlargement). Whenever there were no

The years of 1953 to 1957 marked a period of experimentation within the domestic Chinese economy. Following the successful redistribution of land between 1949 to 1952, the Chinese government created the ambitious First Five Year Plan (FFYP), aimed towards the fast industrialisation of heavy and light industry. The Plan followed closely the Soviet model of industrialisation, translating it into the Chinese context, and having the advantage of hindsight and experience to avoid some of the “grosser Soviet mistakes” (Central Intelligence Agency, pp 2). China had long been an agrarian country, with agricultural output accounting for about half of the countries total GNP. There existed a strong reliance on agricultural production as a foundational support for the economy (Uhally 1988, pp82-83). It was as a result that the plan was contingent on the centralised procurement and distribution of agricultural output, chiefly grains, to finance investment in the production of capital goods. Within the plan, the proportion of the state budget devoted to agriculture was set at a low 6.2 percent. Yet the Chinese Communist Party (CCP) nursed some grandiose ambitions for agricultural production and socialisation. In doing so, they would have to first solve the contradictions that were evident in the ownership of land by peasants after the redistribution. Under a fully socialist state, such a system of private enterprise was not feasible, as mentioned in the First Five Year Plan:

There are several changes that have affected the social aspect in rural china since 1949. Most of these have had a great influence in rewriting the history of the regions. One of the most evident changes took place following the revolution in 1949. Thirty years after winning the revolution against the colonial and the feudal cultures China has been able to establish a tradition that Walder describes as “more robust.” However, during the entire period there was an unpredictable environment for the occurrence of the revolutions. As a result, from 1949 to 1978, a number of changes by varied institutions and social movements that were not controlled by the choices of the Chinese people have taken place. These choices exerted some positive changes on the values and the social behaviors of the people. But, they also had some negative effects. The people had a great passion for revolution that inspired most of the events since 1949, it largely differs from the social mentality and the traditional culture. It cannot be said to be modern since the traditional values and the social mentality still affect China and its people in varied ways (Fan, Heberer &

In this essay we look in-depth on how government strategies and economic policy play a crucial role in the success of High Performance Asian Economies (HPAEs) during 1960 to 1990 (World Bank 1993).There are eight countries within HPAEs: South Korea, Taiwan, Hong Kong, Singapore, Thailand, Malaysia, Indonesia and Japan. Its economic development has significantly rise that it was name ‘East Asia Miracle’ (World Bank, 1993).

The purpose of this essay is to show how the economy of China has, and is changing, becoming the second largest economy in the world today. Although China is currently under the leadership of Xi Jinping, this essay will concentrate primarily on the actions undertaken by then President Mao Zedong, followed by then President Deng Xiaoping, (sans mention of Hua Guofeng). Given the relative infancy of Xi’s assumption of power, economic policies still remain largely rhetorical in form. Likewise, the majority of literature concerning economic policies under Xi are largely speculative, often citing strategies and ambitions as opposed to thereby, lacking a solid basis for rational induction In addition to China’s lack of transparency, In addition, it will be shown that the methodology behind the Chinese economy demonstrates the implementation of varying levels of the characteristics associated with the schools of Realism, Marxism and Liberalism. Thus, China’s approach to global trade in the 21st Century is pluralistic, testamentary to the failed economic

In accordance to this, China went on a construction binge. Whole factories were purchased from abroad while others were built with local resources. By 1978, the frenzy for new projects reached a level that reminded some people of the Great Leap Forward. In an effort to promote agricultural production, the government released many of the restrictions on the 'spontaneous capitalist tendencies' of the peasantry. (173) In the late 1980's, the government decided to expand the scope of private marketing. The next step was to increase the amount land assigned to the peasants. The peasants were now not responsible to the government for the use they made to the private plots. They simply could grow what they wished, for the sale to the government or to private markets. This led to furious rebuilding and inflow of foreign investments. All this enabled China to remake itself into Asian's hub of finance, trade and culture.