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China's Economic Conditions

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Sort Desciption: Chinas Economic Conditions. S. UMMARY. Since the initiation of economic reforms. in 1979 China has become one of the worlds. fastest growingeconomies. ...

Content Inside: Congressional Research Service The Library of Congress Issue Brief for Congress Received through the CRS Web Order Code IB98014 Chinas Economic Conditions Updated April 11 2003 Wayne M. Morrison Foreign Affairs Defense and Trade Division C ONTENTS S UMMARY M OST R ECENT D EVELOPMENTS B ACKGROUND AND A NALYSIS An Overview of Chinas Economic Development Chinas Economy Prior to Reforms The Introduction of Economic Reforms Chinas Economic Growth Since Reforms: 1979-2002 Causes of Chinas Economic Growth Measuring the Size of Chinas Economy Chinas Trade Patterns Chinas Major Trading Partners Major Chinese Trade Commodities Major Challenges Facing the Chinese Economy Reform of State Owned Enterprises Reform of the Banking System Infrastructure Development Major Issues in China-U.S. Economic Relations Chinas Accession to the World Trade Organization Chinas Normal Trade Relations Status Outlook for Chinas Economy IB98014 04-11-03 Congressional Research Service The Library of Congress Chinas Economic Conditions S UMMARY Since the initiation of economic reforms in 1979 China has become one of the worlds fastest growingeconomies. From 1979-2002 Chinas real GDP rose at an average annual rate of 9.3%; it rose by an estimated 8.0% in 2002. Many economists speculate that China could become the worlds largest economy at some point in the near future provided that the government is able to continue and deepen economic reforms particularly in regards to its efficient state-owned enterprises (SOEs) and state bankingsystem. Progress in reform- ing these sectors in recent years has been somewhat mixed. After many years of negotiations China became a member of World Trade Organiza- tion (WTO) on December 11 2001. WTO accession commits China to significantly reducing a wide varietyof tariff and non-tariff barriers over the next few years. Legislation (H.R. 4444) authorizingthe President to grant permanent normal trade relations (PNTR) status to China (once it joined the ...

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