Emerging China

Emerging China

China’s economy in the last two decades has been transformed into the world largest economy. This article mainly aims at looking at how China has succeeded in its technological and industrial development as the fastest growing country in terms of economy; that the world has never witnessed before. It brings to the limelight the negative aspects that have infringed human right and business and trade ethics that the country has used to gain competitive advantage.

The author has first highlighted the positive developments that China has achieved in terms of elevation of poverty in which over three hundred million people are out of poverty. Another aspect that China has managed to achieve is the increased exports rates that have risen from thirty eight billion dollars to one hundred and ninety six billion dollars within the year 1994-2004. China has also managed to be the highest steel, cement and coal producer. Two thirds of the world electronics like DVD players, mobile phones, microwaves oven and other products like toys, shoes, and photo copiers are produced from China. China’s education system focuses on technical and scientific courses in which students are expected to be higher than those of the US

The author then highlights the challenges the county is facing. Poverty is the major issue in which over three hundred million people are desperately poor. The public health sector is not functioning and is headed for a collapse. This gives the possibility of avian influenza pandemic in the country. There is also a high rate of unemployment. These social challenges have caused social unrest in the county over the last few years. The Chinese citizens are tired of the widespread corruption among its leaders. The economic and market reforms are not for the common good of all the workers in the industry sectors. Their human rights are violated as they painfully suffer from political repression (the human rights groups are prohibited in China.). The low cost of labor and unethical trade practices are the cause of cheap manufactured products in the exported countries.

He author has successfully supported his evidence from a member of the security review

Emerging China

commission on how Chinese Yuan floats the world’s currency market. The government in fact suppresses it currency as a form of subsidy yet this against the rules of WTO. Another effect of China’s economy is that which concerns the environment. The government has no policies that enhance the protection of the environment. The officials ignore control measures for pollution. These failures of not following international labor regiments rules and the global environmental requirements have assisted China to gain competitive advantage.

In general, the article has successfully given the readers the internal story behind Chinas success which the author through the three topics of threat to United States on energy supply, global economic dominance and military threat has analyzed the weak points in China which does not pose any challenge to the US. Concerning energy supply, China has made deals with various countries around the world like in Ecuador, Kazakhstan and Canada. It has exported large tones of oil to Sudan, Iran and Venezuela. This gives the potential to challenge the US but according Kenneth Liebertahl, he says that these countries have no straight records of striking a deal with any one. Concerning global dominance, the country – China has done what the US can no longer do. China has exported manufactured goods at the lowest prices. The Yuan rate is not fixed which makes prizes extremely low. In terms of military hardware the US is two decades ahead of China.

This is a good article for both political and economic oriented students all over the world. It critically analyses that success of China and at the same time provides the inside story of what lies behind the country’s success.

Reference

Emerging China