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Globalization and growth: the case of China

In: Boosting European Competitiveness

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  • Linda Yueh

Abstract

China’s economy has been remarkably successful since market-oriented reforms were introduced in 1979. Its growth of real gross domestic product (GDP) has averaged over 9 per cent per annum over this period, propelling China to become the world’s fourth-largest economy in the span of a couple of decades. However, recently, there has been doubt as to the sustainability of its economic growth. This may come as a surprise to many, but not to those who have studied its particular path of economic transition. This chapter analyses how the ‘gradualist’ path of economic reform taken by China predicted the current state of uncertainty regarding its growth prospects. It then discusses China’s approach to economic growth. Next the chapter analyses the benefits and challenges of globalization and argues that it may be the best remedy for resolving the structural problems resulting from China’s transition and growth process.

Suggested Citation

  • Linda Yueh, 2016. "Globalization and growth: the case of China," Chapters, in: Marek Belka & Ewald Nowotny & Pawel Samecki & Doris Ritzberger-Grünwald (ed.), Boosting European Competitiveness, chapter 5, pages 48-57, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:17217_5
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    Keywords

    Economics and Finance;

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