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Chinas Economic and Political Impact on South Asia

Source: www.rand.org
Topic: China's Economic

Sort Desciption: Published 2003 by the RAND Corporation 1700 Main Street, P.O. Box 2138, Santa Monica, CA 90407-2138 1200 South Hayes Street, Arlington, VA 22202-5050 201 North Craig Street, Suite 202, Pittsburgh, PA ...

Content Inside: Chinas Economic and Political Impact on South Asia ROLLIE LAL CT-214 December 2003 Testimony presented to the Commission on U. S.- China Economic and Security Review on December 4, 2003 Published 2003 by the RAND Corporation 1700 Main Street, P.O. Box 2138, Santa Monica, CA 90407-2138 1200 South Hayes Street, Arlington, VA 22202-5050 201 North Craig Street, Suite 202, Pittsburgh, PA 15213-1516 RAND URL: http://www.rand. org/ To order RAND documents or to obtain additional information, contact Distribution Services: Telephone: (310) 451-7002; Fax: (310) 451-6915; Email: order@rand.org Dr. Rollie Lal1 Chinas Economic and Political Impact on South Asia Before the Commission on U.S.-China Economic and Security Review Chinas Growth as a Regional Economic Power: Impacts and Implications December 4, 2003 Thank you Madame Chairman and Commissioners for the opportunity to speak before the commission today.  After decades of tensions, India and China are moving closer in a shift that is affecting the strategic realities of Asia.  A recent visit to Beijing by Indian Prime Minister Vajpayee has produced a promising set of agreements to help settle the long-standing border dispute, increase trade, and decrease mutual distrust.  A critical factor in drawing the two countries together has been their growing economies.  However, while the probability of military conflict is increasingly low, bilateral economic competition could be the source of possible friction in the relationship. Implications of Chinas Economic Power Chinas economic growth and liberalization has affected India in significant ways. China set a positive example for India in the 1980s by liberalizing its economic system and transforming China into an economic success story.  However, the lessons of Chinas modernizations were implemented by its neighbor a decade later, after an economic crisis forced India to reform its ...

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