Evaluation of Chinas Policies - Research Paper Example

Running head: CHINA’S ECONOMIC REPORT China’s Economic Report Insert Insert Insert 17 October China’s Economic Report Introduction China is regarded the tiger of Asia, both economically and militarily. Both neighbors and international community remain unease with China’s domestic and foreign activities. However, for China, economic growth is the headlight, which the country should never put off and this has for a long time reflected China’s domestic and foreign policy framework. Numerous questions still disturb analysts and this has to do largely with perspectives the analysts decide to take. For example, issues such as whether China’s international policy is premised on cooperation or conflict, how the country has adjusted to period of G-Zero world, behavior of its policy with the changing geopolitics of energy, and how diaspora groups of China affect the country’s economic development remain disturbing to many analysts. Therefore, answers to these questions require deep and lengthy journey into China’s domestic and foreign policy, economic reforms, and international development, politics and military aspects. Part 1 Evaluation of China’s policies makes one to conclude that developments and economic progress top as key priorities China would want to pursue, both in domestic and foreign environment (Norway’s Embassy and Consulate General Para. 3). As a result, the country’s effort has been directed at ensuring there is domestic social stability as well as regional and international political stability. China makes every effort to isolate itself from conflict that might threaten or endanger its economic development policy, thus the country ‘appreciates’ cooperation ties although its commitment to cooperation agreements and ties continue to be questionable (Norway’s Embassy and Consulate General Para. 3). An overview of China’s activities and strategies convinces one that the country has increased its engagement and interdependence with the outside world, although general suspicion of its partners persists. Indeed, this perception can be associated to China’s growing military might and the potential threat it poses. In summary, it can be stated that China has accelerated its efforts to change its foreign policy based on the sole aim to convince international community that it remains a responsible actor on the international arena (Central Asia-Caucasus Institute Para. 2). China continues to integrate in the global world of economy, political and cultural relations but the extent, quality, and quantity of these relations remain a matter of debate. China as usual remains cautious and alert in pursuing its global integration. There exist three perspectives of globalization - hyper-globalist, skeptics and transformationalist - and as a result, positioning China into one of the perspectives is really challenging. The reason for this dilemma may be ingrained in China’s tendency to almost embrace and integrate the three perspectives into one. For instance, hyper-globalist advocates for national economic, social, political, and cultural transformation into global outlook, which is position skeptics fear and posit that only some aspects can be transformed, while others should be preserved for national identity (Martell p.173-196). The transformationalist on the other hand tries to cool down the skeptic’s perspective by postulating that indeed, there is globalization and it is inevitable but not in totality (Martell pp.173-196). Therefore, as China’s economy transforms and integrates into global aspects (hyper-globalist), it remains reluctant to transform its political, social, and cultural aspects (skepticism), but acknowledges globalization is indeed necessary especially its internationalization activities (transformationalist). NIE perspective postulates that globalization creates winners and losers, based on the ability to remain smart and make right decisions, while SPG perspectives sees globalization positive or negative results to be largely hinged on the country’s social structures. On its part, outlier’s perspective regards success or failure to depend on the ability to make right decisions and to mix aspects of SPG and NIE. Lastly, feminist perspective sees success or failure of globalization to exhibit aspects of gender. In all these, China’s position, activities, and strategic moves can be linked to outliers’ perspective where the country sees itself in the global world to combine aspects of being smart, making right decision, and producing and establishing productive social structures. Part 2 Terrorism events of 11 September 2001 have transformed the world especially with regards to USA foreign policy. On its part, China strategically avoided this war although on the paper, it might have supported America’s actions on terrorism. Jon Henley expresses that, China avoided the consequences of, “a very gung-ho, almost McCarthyite anti-Chinese agenda” (Henley p.1). What this statement posits is that, China stayed away from war on terrorism and as America was busy pursuing the enemy, China was pursing economic and investment friendship ties across the world. This fact leads to conclude that, “China benefited enormously from the fact the USA was spending itself into the ground on military hardware that was never going to be a threat to China” (Henley p.1). Therefore, for China, the post 9/11 world did not lead the country into instability or cut in public spending; instead, China’s international development policy has increased and expanded, overtaking USA in some notable cases. China continues to grow based on competitive advantages of the nation in numerous ways. For instance, China’s low labor cost has ensured the country continues to feed developed nations with low cost products, hence making growth of its market faster, and easy (Fischer p.1). Further, China’s population turned into market remains bedrock for both domestic and foreign investors, making inward and outward FDI to characterize the society in equal measure. In all these activities, China’s success and competitive advantage rests on aspirations for innovations and government’s continuous efforts to initiate economic policies that promote domestic economic activities, while at same time enticing foreign investors (Fischer p.1). China’s need for energy resources to feed its industries and population has exerted pressure on the country, an aspect that is raffling its neighbors and international players like USA (Liberthal and Herberg pp.6-9). China wants to establish itself strategically in the region and the world to access energy resources more easily, and this can be cited in its energy policies (Liberthal and Herberg pp. 6-9). To this fact, China is perceived to be assertive in regards to its foreign policy behavior, and today, the country continues to flex muscle where it believes it possess an upper-hands as matters of natural resources and energy are concerned. Part 3 China’s diaspora community continues to be part of economic lifeline of the country as they channel resources back home in large measure. China’s government supports internationalization of its home country firms through capital and technical support and in turn, those who leave the country carry with themselves responsibility to contribute back to the country in terms of investment or resources to the government. Politically, China’s diaspora community has remained silent and never exhibit tendencies to challenge Beijing government. China is an ardent follower of state capitalism where the system has excelled for the country. For about three decades, state capitalism has defined and characterized China, and the country has used this system to enormously expand its economy (Ma p.1). The country emerged from 2008 financial crisis unscathed, and as other countries ‘bled’, China was basking comfortably and praising its state capitalism system. This led to China’s minister to conclude that, “China’s economic success emanate from socialism that can also practice market and that the formulation of China’s economic policy “give[s] full play to the basic role of market forces in allocating resources under the macroeconomic guidance and regulation of the government” (Ma p.1). Conclusion China’s cheap labor, economic reforms, and international development have combined to propel the country to international level where its friends and foes remain divided, surprised, worried, and even unease. Despite this great success and progress, China’s remain victim of international criticism, suspicion, and myriad of problems and challenges that sometimes camouflage the country’s great-leap of in development. Nevertheless, China for unforeseeable future is going to remain key player in national, regional, and international economic matters, which subsequently are going to direct the kind, nature and content of its foreign and energy policies for a long time. Works Cited Central Asia-Caucasus Institute. “Chinese Foreign Policy”. N.d. 17 October 2011. http://www.silkroadstudies.org/new/inside/research/chinese_fp.htm. Fischer, Bill. “Can China maintain its competitive advantage?” Management Issues, 09 June 2011. 17 October 2011. http://www.management-issues.com/2010/6/9/opinion/can-chinas-maintain-its-competitive-advantage.asp. Henley, Jon. “Was 9/11 really the day that changed the world for ever?” The Guardian, 9 September 2011. 17 October 2011. http://www.guardian.co.uk/world/2011/sep/09/9-11-changed-world-forever. Liberthal, Kenneth & Herberg, Mikkal. China’s search for energy security: Implications for U.S. Policy. The National Bureau of Asian Research, vol. 17, no. 1, 2006. Ma, Ying. “Market capitalism, state-style”. Hoover Institution Policy Review, no. 165, 2011. 17 October 2011. http://www.hoover.org/publications/policy-review/article/64571. Martell, Luke. “The third wave in globalization theory.” International Studies Review, vol. 9, no. 2, pp. 173-196, 2007. Norway’s Embassy and Consulate General. Norway’s China Strategy. N.d. 17 October 2011. http://www.norway.cn/Embassy/Norway-and-China/strategy/ Read More