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China - Essay Example

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Summary
2010 was a watershed moment for China, marking the culmination of an economic transition from one that is planned in a central manner to one that is oriented towards market forces. That year it became the worlds biggest export machine. Agriculture was de-collectivized as a first…
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Download file to see previous pages The stock markets were encouraged to grow and develop, and China embarked on a sustained effort to boost trade and investment activities with the outside world. Moreover, the private economic sector was given a boost and given substantial incentives and freedoms. This has come about gradually, with some hiccups and changes in direction, all aimed at bolstering Chinas global stature as an economic powerhouse and making sure that domestic industries are allowed to flourish.
Moving forward from this state of affairs there are several challenges to the economy and to the social cohesiveness and stability of the country that the Chinese government needs to address. Those relate to the reduction of the high rate of savings or the deployment of those large savings, even as domestic consumption on the other end remains lackluster; the provision of jobs to a large section of the Chinese population; the reduction in the rate of crime and the rate of corruption inherent in the system; concerns relating to the environmental sustainability of its economic activities, in light of global warming, its increased fuel needs, and the need to source energy from cleaner alternative energy sources moving forward. This has implications for the overall sustainability of its economic drive, given the widespread damage to the environment at present, which cannot be totally abated because of the lack of cleaner, safer alternative energy supplies to coal and oil. Moreover, the demographic shift towards a greater number of older Chinese has tremendous repercussions for the future of the Chinese society and economy.
Clearly the challenges include diversifying away from fossil fuel sources of energy, and sourcing more power from solar and other viable alternatives, including nuclear, though that presents its own problems too. Recent turmoils in the global economy likewise have rocked the Chinese economy to the extent that growth had stalled ...Download file to see next pagesRead More
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