Chinese Economy (ePub)

China has shown an incredible pattern of swift development
while moving from a centrally planned economy to a market
economy. In the present day, China is a country whose
majority of population comes under upper middle-class income
category.
China is a socialist market economy. The socialist market
economy is an economic model, which has been put in place
by People's Republic of China. This model, introduced under
Deng Xiaoping, is established on a main state-run sector inside
an open market economy.
From the time when market reforms were introduced in 1978,
China has shown quick economic and social development. GDP
rate is about 10% a year, one of the fastest rates in history of
economies, raising over 800 million people out of poverty line.
According to IMF, China is the second largest economy of the
world based on nominal GDP and the largest economy of the
world based on by purchasing power parity, but China has not
approved this fact. Public sector industries haves major
contribution in the Chinese economy as compared to the
flourishing private sector. Overall, China comprises of the natural
resources of $23 trillion.
Along with one of the largest and fastest growing economies of
the world, Chinese economy is also the largest manufacturer
and exporter of products, and second largest importer of
products. Moreover, China is in free trade agreements with a
number of countries, together with ASEAN, Pakistan,
Switzerland, Australia, South Korea, and New Zealand. With the
population of about 1.37 billion, China is quickly adopting the
significant role in growth of the global economy since the global
recession of 2008. Despite every contribution China is making
in the world economy, it is still considered as a developing
nation.