China's Economic Growth
Asian Business Enviromments (BBA320) | China’s Rapid Economic Growth and Institutional Economic Reform, and Future Growth | Can institutional reform (the transition from central planning to a market economy) provide a sufficient explanation for China’s rapid economic development over the past three decades? What needs to happen in order for growth and development to be maintained in future? | |
|
|
|
Introduction
The country; one of the oldest civilizations in the world has created the history since the civilization has constructed. Since then, the country called “The people’s Republic of China” has grown and especially last three decades, the growth of China is outstanding.
In current time, the population of China (2010) reached more than 1.34 billion (National Bureau of Statistics of China, 2011). In addition, China’s economic growth in last three decades is remarkably fast. The GDP growth rate in China from 1978 to 2005 is estimated at more than 9% a year (Hu & Khan, 1997, Pg.1) while growth rate in US during same period is counted at nearly 3% (U.S. Census Bureau).
In the past three decades, this period includes many economic transitions, and new policies and regulations were applied. These facts would leads to the rapid growth in China. This paper will mention how the Chinese economical and institutional reform affects to the country’s development and consider the way to maintain and reinforce economic growth and development in future.
Determinant of Development
Basically, the Development is defined as the gradual growth of something that is become more advanced, stronger, and efficiently. (Oxford Advanced Learner’s Dictionary, 2005). Traditionally, it also means national economic capacity, which basic economic condition is relatively static for long time (Tadoro, 2011, Pg. 14).
Under the view of traditional economic measures, development has meant the national economical capacity which the economic condition is static
|
|
|
Introduction
The country; one of the oldest civilizations in the world has created the history since the civilization has constructed. Since then, the country called “The people’s Republic of China” has grown and especially last three decades, the growth of China is outstanding.
In current time, the population of China (2010) reached more than 1.34 billion (National Bureau of Statistics of China, 2011). In addition, China’s economic growth in last three decades is remarkably fast. The GDP growth rate in China from 1978 to 2005 is estimated at more than 9% a year (Hu & Khan, 1997, Pg.1) while growth rate in US during same period is counted at nearly 3% (U.S. Census Bureau).
In the past three decades, this period includes many economic transitions, and new policies and regulations were applied. These facts would leads to the rapid growth in China. This paper will mention how the Chinese economical and institutional reform affects to the country’s development and consider the way to maintain and reinforce economic growth and development in future.
Determinant of Development
Basically, the Development is defined as the gradual growth of something that is become more advanced, stronger, and efficiently. (Oxford Advanced Learner’s Dictionary, 2005). Traditionally, it also means national economic capacity, which basic economic condition is relatively static for long time (Tadoro, 2011, Pg. 14).
Under the view of traditional economic measures, development has meant the national economical capacity which the economic condition is static