StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

China Economic Development - Essay Example

Cite this document
Summary
Chinese economy Name: Instructor: Task: Date: Chinese economy China has witnessed a progressive climb into its boom. In this sense, it is vital to compare the same with another country for illumination of its economic progress. The country of choice would be India…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER97.7% of users find it useful
China Economic Development
Read Text Preview

Extract of sample "China Economic Development"

Chinese economy Task: Chinese economy China has witnessed a progressive climb into its boom. In this sense, it is vital to compare the same with another country for illumination of its economic progress. The country of choice would be India. Both India and china are front runners in the global economy. In turn, the differences between the two systems need in-depth analysis. Both of the countries emanate from ancient civilizations whereby various economic, political and social factors affect the same.

As regards basic facts, China’s economy is more developed than that of China. While China is the second largest economy, in terms of GDP, India is the seventh largest economy. China has a GDP of 15094 billion/USD while India has a GDP of 1848 billion/USD. This means that China has a GDP of $4.9 trillion while India has a GDP of 1.3 trillion. It is vital to note of the GDP growth that has occurred in China. This growth has led to its economic dominance and eventual boom. China’s economic boom has matured for thirty years.

China’s rise to the second largest economic status has matured for thirty years since it accepted free market principles (Wearden, 2010). Chinese economy has been growing at an average rate of 10 percent. This is equivalent to three times that of the world average. On the other hand, India has had a GDP growth rate of 8 percent. The China’s GDP success emanated from reforms that Deng Xiaoping initiated. In dollar terms, its GDP has risen from $147.3 billion, in 1978, to $4.9 trillion in 2009 (Wearden, 2010).

China eased on its strict economic policies after the detriment caused by Great Leap Forward. This was an attempt by Mao to modernize China that derailed its economy for several years. This triggered the first wave of foreign investment thereby prompting the Chinese authorities in intervening to control inflation and economic growth. There are fundamental differences that drive India and China’s economic articulation. To begin with, India was under colonial rule for 190 years. This led to its stagnation in terms of economic growth since there was no local government to steer its growth.

This also led to its slow progress in picking up economically. Colonial rule also drained India’s resources. On the other hand, there is limited history of colonization to China. This gave the country a space of initiating its economic initiatives and having a planned economic model. Another fundamental difference regards liberalization of markets. It is notable that China liberalized its markets earlier than India. This enhanced its economy to a great extent because of significant entrepreneurship.

This led to welcome of private investment and foreign direct investment. On the other hand, India was slow in embracing open market economies and globalization. In addition, there is a difference between the two countries in terms of agriculture. It is vital to note that it forms a significant part of both economies. However, India’s agriculture is less developed. In this case, it has a substantial part of the same carried out for subsistence. In addition, growth of agriculture, in India, depends on individuals’ personal initiatives (Chatterjee, Heuer & Davis, 2006).

In this sense, farmers still use old farming methods. Unlike India, China’s agriculture is more developed and technologically advanced. In addition, there are substantial government initiatives that prop the same. In terms of IT, India has more advanced systems than those of China. This stem down to the fact that India has a more liberalized system that allows substantial experimentation with IT (Maluste, 2011). On the other hand, China is more restrictive in terms of its information technology and internet use.

China has a method of restricting information to its citizens by censorship methods. India has 840 million mobile users while China has 680 million users. Additionally, India has 120 million internet users while China has 81 million users of internet. In 2010, India had $49.7 billion earnings in the BPO sector while India had $35.76 billion earnings in its BPO sector. Additionally, India has better tax incentives than China. India rules in the court in terms of exchange transparency and predictability in the capital exchange markets.

On the other hand, there is significant restriction on the Chinese capital market by the government. It is vital to note that China has a more advanced infrastructure system than that of India. This is evident in various forms. This includes roads and other transport services, housing, water management, civic amenities and communication (Chatterjee, Heuer & Davis, 2006). These aspects converge to give the same an economic edge over India. Unlike China, India still lags in terms of manpower development, civic amenities and sanitation services.

In summary, China has witnessed a progressive articulation towards its economic boom. This emanated from market liberalization and early globalization. China has fundamental differences, with India, in terms of market liberalization and aspects of colonization. In this sense, China possesses a better GDP and its growth than India. This leads to a better manufacturing and infrastructure sector. However, India has a better IT and tax incentives than India. References Chatterjee, S., Heuer, M., & Davis, H. (2006). Management in India: trends and transition.

Thousand Oaks, CA: SAGE. Maluste, R. (2011). Endogenous origins of economic reforms in India and China: the role of attitudinal changes. Boca Raton, FL: Universal-Publishers. Wearden, Graeme. (2010, August 16). Chinese economic boom has been 30 years in the making. The Guardian. Retrieved from http://www.guardian.co.uk/business/2010/aug/16/chinese-economic-boom.

Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“China Economic Development Essay Example | Topics and Well Written Essays - 750 words”, n.d.)
China Economic Development Essay Example | Topics and Well Written Essays - 750 words. Retrieved from https://studentshare.org/macro-microeconomics/1455704-china-economic-development
(China Economic Development Essay Example | Topics and Well Written Essays - 750 Words)
China Economic Development Essay Example | Topics and Well Written Essays - 750 Words. https://studentshare.org/macro-microeconomics/1455704-china-economic-development.
“China Economic Development Essay Example | Topics and Well Written Essays - 750 Words”, n.d. https://studentshare.org/macro-microeconomics/1455704-china-economic-development.
  • Cited: 0 times

CHECK THESE SAMPLES OF China Economic Development

Advanced Technology the Key to the Chinese Economy Development

This paper "Advanced Technology – the Key to the Chinese Economy development" focuses on the economists that are concerned over the issue of not occurrence of the industrial revolution in China in the eighteenth century although China possessed all the elements required for the revolution to take place.... hellip; The use of advanced technology took the industrial development on the rise of China.... The early development of commerce was facilitated by the productivities in agriculture and use of technology....
4 Pages (1000 words) Essay

Economic Development of China

In addition, empirical studies confirm the close relationship between good institutions and economic development (De Long and Shleifer, 1993), Besley, 1995; Knack and Keefer, 1995; Easterly and Levine, 1997, 2003; Acemoglu, Johnson, and Robinson, 2001).... In China, the state or its agents, carry out 'shareholder' functions performed by private owners in market economic systems.... This thesis attempts to examine the governance role of different types of state-share holders in china's listed companies....
47 Pages (11750 words) Dissertation

Cultural Effects on Health among the Elderly and General Population

The country is advanced in health sector and… The paper studies the cultural attitudes of elderly people towards the home care services in china.... Research has shown that these groups of persons have high valuations on quality of The difference in facilities and conditions of services has influenced greatly the perceptions of most citizens of china (Anon, 2005).... United Kingdom is more superior in terms of health services as compared to china....
10 Pages (2500 words) Essay

Gender Inequality in Eastern Countries

Globally, the development of gender inequalities in societies is related to a particular phenomenon where in almost all the families women have the key responsibility of taking care of the family members (Palenga-Möllenbeck 2013, p.... In fact, education is considered as an indispensable requirement for the professional development of each individual.... Gender discrimination is also evident in preferential treatment and networking within the economic market....
13 Pages (3250 words) Essay

The Alibaba Group Holding Limited and the Aspect of Disruption

The reporter describes the Alibaba Group Holding Limited as a prime case example of what The Aspect Of 'Disruption' in terms of economic entails.... 'Disrupters' wreak havoc on the economic front, the year 2014 having experienced the greatest 'shake-up' of what were once dominant traditional business models.... This invariably affected the global economic sector, especially in terms of business strategy....
8 Pages (2000 words) Essay

Economic Development of China

In 1978, it initiated market reforms and this marked the beginning of its development.... Many challenges have as well resulted from its rapid economic growth and these include urbanization, high levels of inequality, external imbalance and challenges on the sustainability of the environment.... The economy of china has attained a significant change over the decades and this was marked by its beginning of economic reforms that took place in 1978....
10 Pages (2500 words) Research Paper

The Economic Development of China

The author of the paper will evaluate and present the economic development of China as one of the oldest civilizations in human history.... hellip; According to many economists, financial reforms have long term effect on economic development in China affecting markets and the financial intermediaries.... The paper states that although China has lost one-fifth of its agricultural land due to environmental degradation and economic development since 1957, still the government has taken the initiative to rectify these damages through reforestation and other methods....
18 Pages (4500 words) Coursework

Gender Inequality and Education in Eastern Societies

In fact, education is considered as an indispensable requirement for the professional development of each individual.... The paper "Gender Inequality and Education in Eastern Societies" describes that gender inequality is necessarily depended on education but not at a similar level; in Eastern Societies also, which have many common social and cultural characteristics, a similar trend can be identified....
8 Pages (2000 words) Coursework
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us