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Example research essay topic: Continue To Grow Standard Of Living - 972 words

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Chinas Economic Future Outlook If Chinas economy grows as fast for the next 20 years as it has for the past 14, it will be the biggest economy on earth: I feel that Chinas drastic improvements over the last 14 years are overwhelming, with their Real GNP growing at a rate of 9 % a year, which means by, 1994, Chinas economy will match the performance of countries like Japan and Taiwan. Chinas standard of living has also increased, and the number of people who were considered absolutely poor decreased approximately 63 %. I feel with the vast amount of people living in China, and the economic activity booming like it is, Chinas exports will continue to grow, as well as the standard of living. This will create more revenue, and more capital for them to produce even more goods and become even larger, prospering as one of the biggest economies on the earth. I also feel that China should try to overcome its corrupt system and steadily move into a free enterprise system. Competition has been the key to Chinas success: I believe that competition has been the key to Chinas success.

When Mr. Deng opened the free market, it brought the first signs of the farmers becoming more rich since the 1950 s. His political genius allowed the farmers to become rich. He also introduced the open-door policy which is proving to be very beneficial, as they follow in the footsteps of their strong rich neighbours. Mr. Perkins believed four conditions must be met for a market system to work well in reforming centrally planned economy.

I believe if China continues to improve its productivity, and the number of monopolies decrease as studies show, China will move into a capitalist front only to prosper. An Inflationary crisis within two years will test the governments reformist mettle: The 14 th Communist Party Congress, set the official seal on the fourth wave of economic reform. Market Splintering: l feel that China should allow labour to become freer, because this will allow workers to be better suited towards their jobs, and therefor they workers will be more effective. Infrastructure: l believe that China has to build a railway system, so it will not have the highest utilisation rates for freight traffic.

l also believe that China should give incentives for students to enter higher education. Government Finance: l think that the government should stop making up for losses of state-owned firms, and stop paying subsidies to these firms and consumers, hence the budget gap would be more than closed. Why privatisation may not be needed: Privatisation in many cases may not be needed because the government supports many businesses and purchases their products. If the companys are open to the market, many jobs will be lost.

If foreign ownership buys it up, many jobs will also be lost, as well as many profits and products. State owned firms are not ready for the market, because they are geared for the bureaucrats and not customers. They are more concerned with the welfare of the employees rather than efficiency. In the past, communism led to low productive workers, because the more profits they made, were taken from government.

Now things have changed, the more the retained earnings, the more the employees receive in bonuses, and that will make them work harder. A bracing wind is blowing through the open door: China follows the policies of its East Asian neighbours on foreign trade and investment. In 1978 China had an isolated economy, with a minimal share of world trade, commodities, especially oil which was Chinas main export. It has now blossomed into a $ 300 billion trade by 1995.

Exports has five-fold. China will also receive a lot of foreign investment from countries, especially japan, which will hit poor parts of China. China will also be joining GATT soon, and have reached an market-opening agreement with the US in October. I believe that China should allow as much foreign investment as possible because it has helped other countries surrounding them, and may help them. The Communist Party has nowhere to go but down l partly disagree with this statement, l feel that once a country like China has accomplished itself economically like it has (strong and prosperous future), it will take a lot to bring the party down even though there might be some good reasons to.

Also it may be difficult to go down, because China is still three quarters rural, and the people in the country still prefer communism because of the small favours received. Another factor why the party wont go down is because if it goes, it will be replaced by the army, the secret police or warlords. Even though the communist party has not functioned like it was supposed to, it will not go down. The communist party has been operating very much like capitalist, because of the capitalist society which has been introduced over the last several years. The party has a large role to play in Chinas transition to a full market economy. China is on its way.

the West should prepare Chinas interests lay in foreign investment, trade and economic reform. Chinas main driving force was competition, and they proved that privatisation and settling the matter of ownership are not so critical in the early stages of reform. In the years ahead, China must choose between keeping the communist party or keeping the stunning economic growth. If they continue to grow at the rate China grows, and keep improving their economy, and join the likes of Japan, they can combine forces in all aspects against the west, military wise and economically wise.

if Chinas economy grows as fast for the next twenty years like it has for the past fourteen, it will be the biggest economy on earth.


Free research essays on topics related to: communist party, standard of living, continue to grow, owned firms, foreign investment

Research essay sample on Continue To Grow Standard Of Living

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