Economic Divisions of the Chinese Economy:
From the previous leaves of history in the early 1970s, China has moved from a closed economy to a market-oriented approach. It enables China to play a critical role in the global economy. China has become the largest exporting economy since 2012. China has made reforms starting from phasing out of corporate agriculture. Furthermore, China expanded its price liberalization policies, decentralised the fiscal policy, and created its banks’ largest diversified network.
China also improved and rapidly increased growth in the private sector, availing opportunities for its worldwide trade and development of new stock markets correspondingly. China is becoming the most prosperous economy in attracting investment within the country and worldwide. It is not harvesting the fortnight fruits, but it is gradually implementing its reforms within different sectors of the economy.
Economic Security in China:
Recently, China is considering Economic Security by supporting the enterprises in the rent economy. They have an eye view of the fastest competition keeping the national researchers to compete internationally. The restructuring of the overall economy and harvesting efficient fruits played a critical role in the quick rise in the GDP since 1980. According to Purchasing Power Parity (PPP) estimates, China has gained the second position in the largest growing economies surpassing Japan in 2003.
Significance of Labour Advancement In Economy:
Since the development of the economy, the world is harvesting fruits at an individual and global level. The modification of the labour market is a significant output created by the advancement in technology. Many queries should raise that either the technology’s progress is dumping employment opportunities or creating the job opportunities presented for the current and future age.
It is a general perception that the advancement in technology is hampering labour without skills. In other words, with the promotion of computers and robots, machines are replacing the job undertaking cyclic tasks. Such economic sectors that depend upon computers are affecting the employment rate adversely. On the opposite side, sectors of the economy that do not rely on technology have well-skilled labour.
China-Pakistan Economic Corridor:
The Pakistan-China Economic Corridor (CPEC) is one of the most promising South Asia region projects. The shifting of monopolistic power from west to east is the undeniable reality of this project. After the completion of this project, the world is no more unipolar. CPEC is part of the vision of One Belt One Road. It connects the Silk Road project in the southern corridor to provide quick, cheap and easiest access to trade globally.
Growing Chinese Economy and World Politics:
The monopolistic economies of the World are getting upset by the current growing economy of China. Countries like the US and India are struggling hard to defeat security in Pakistan. Such countries are trying to detract Pakistan from joining China in their projects. The apparent reality is that India is not happy to see Pakistan’s emergence as a strong ally of China.
China is successfully getting worldwide attention by sustaining its economic growth at a rate of nine per-cent per year for the last thirty-five years.
China has made one of the largest foreign investments ever in history for economic growth. The economy’s size, openness, and high growth rates are the three top things coming concurrently. In a little while, China will become the largest exporters on the globe.
Many perceptions are prevailing around the globe relating to Chinese growth. Both the opportunities and fear are prevailing as both sides of the same coin. The current expansion in the economy of China is alarming the further savings to pinch them. In the same way, some economies like Pakistan hope that China’s growth will pull them up.
Way Forward – Economic Divisions of the Chinese Economy:
Focusing on South Asia’s region, the impact of Chinese economic growth in other economies is no more homogenous. After the development of CPEC, China will indirectly affect further savings in trade and investment. Moreover, it also affects bilateral and friendly relations between different economies, including Pakistan.
As the economy of China is diversified, it will have more effect on the globe indirectly. Analyzing the different aspects, it may conclude that no single player in the economy can bring the required changes in the economy to safeguard the planet. Actions are necessary to take China, its alliances, and other global economies for global development.
Written by, The Hub Daily’s Writer
Managed and Edited by Javeria Qadeer