G.E. Fitzgerald
Economic Problems of China
China, one of the largest countries in the world with population also holds economic issues they have faced off and on for years. Due to their rocky past, they are much better than their days of the past but still hold problems within the economy just as any country. Since 1978 the Chinese economy has maintained economic growth at an average of nearly 8%. By western standards this is remarkable. The UK, by contrast, has grown at an average rate of economic growth. However, despite the impressive figures there are still many serious economic problems within the large Asian country. The growth rate combined with a population of over 1 billion has caused serious environmental problems. These are a good example of negative externalities of growth. A negative externality is a cost imposed on the rest of society as a result of receiving the benefits from growth. Also, other examples of China’s economic issues are pollution, Undervaluation of Yuan, Growing Income Inequality, and a few other conditions that have given China problems with their economy. Though they are not the only issues, as in how could you list all the economic issues of any group, these are some major issues I saw after studying the economics of the history of China and the economic issues today that China holds.
Pollution is a major problem in many industrialized cities. It is easy to imagine the impact upon the environment of over 1.3 billion people shifting from agrarianism to industrialism. People are no longer living out on the farmlands, they are moving in to the cities for work and a better way of life. This has added greatly to the pollution problem. From eco-friendly transportation such as walking and bicycling they have now turned to automobiles. Increased car ownership has led to problems of smog and worsening air quality. Pollution also occurs from China’s vast industrial sector. Often regulation of pollution is very limited with untreated...