The Expansion of the Chinese Economy
And the Effects it has on the Canadian Economy
What was once considered a third world country, in a state of economic despair; China has grown to become a strong economic power and continues to expand. For the past 25 years, China has grown economically at the average rate of 9.0% per year (People's Republic of China). Unexpected at first, China has entered international markets at full steam, taking the world by surprise. Their rate of expansion alone has set records in all areas of economy. The purpose of this essay is to expose the economic growth of China and the factors that contributed to this. I will also examine the effects China has on the main economic sectors of Canada. A brief look at China's economic history will show the path of China's development and how China will continue to grow and become an even stronger nation within the international trade market.
China's economic history is a perfect example of a confused government trying to find the right direction. From the 1950's, with the introduction of a centrally planned economy, to the 5 year plans introduced in 1953 to model after Stalin and the Soviet Union, China seemed eager to take economic direction from any source(China). When plans like the Great Leap Forward failed, the government decided to take the initiative to control the economic situation (China). With the Socialist Market Reform, the Chinese government tried to lessen the control of the government, as to allow a market economy to generate, while still having the state owned sectors as the backbones (China). They hoped this would encourage foreign investment and internal growth. These decisions were beneficial to the Chinese economy and China saw an ...