Tradingup; Picking the world champion of trade is
a latest journal from The Economist, focusing on the different measures of
international trade provided a diversified and intriguing prospective to reflect
on China’s champion crown on international trade, which raised critical argument
around the world, but mentioned by Chinese press constantly.
International trade, depending on numerous components involved,
including population, territory, currency purchasing power, composition and trade
in services, lead it to a sophisticated calculation and discussion. According
to the journal, China is oriented to export physical commodities instead of
service, like culture spread and technological innovation that U.S. has undergone
during the past half century. As a Chinese, in terms of my personal experience,
currently China is speed up and focus on service export rather than ten years
ago, based on China’s mounting comprehensive power that connects to national
soft power. Whereas, there are sceptics and opponents existing who are arguable
about the so-called threat from China.
Refer to the journal, the author mentioned the China’s
enormous economy, leading to the trade below to the world average relative to
small economies. China used to concentrate on export and has maintained this
policy for more than 30 years since the reform and open policy released, however,
after the strike of worldwide economic recession from 2008, China is beginning to
initiate a set of reforms covering several economic field instead of focalizing single segment or physical goods export only, that will be a marked impact to
China’s development in next phrase. Therefore, to my view, nonetheless, international
trade is still driving China’s growth, China is supposed to concern on
internal trade more than before. Refer to It's a continent, actually; Internal trade,
reported China’s “Go West” campaign.
The author also talked about that trade reveals the
integration with the rest of the world lying on import rather than export. To my
overview, the measure of international trade is compounded with different parts
of concern. To big countries, it is complicated and arguable but adjustable, and
by the same token, to small countries, it is relatively simple but there is
potential dangers leave behind, refer to
I am sorry the links can not work, because visitor are supposed to log in to read the full articles, but you can google the title, then you are able to read the full article.
ReplyDeleteMany countries business in China for manufacturing goods because the China is most population country which labor is the competitive advantage. The most millionaire is Chinese. As your blog that now the China have a power into international trade in the world. For example, Alibaba is the biggest service-sale products directly by customer and manufacture.
ReplyDeleteThis article is interesting and brings up a lot of good points. I agree with you when you state that international trade is still driving China's growth. As mentioned in the comment above me, China has a competitive advantage in labor. They have more people in their country than any other, which leads to that labor advantage. I also agree when you said "the measure of international trade is compounded with different parts of concern. To big countries, it is complicated and arguable but adjustable, and by the same token, to small countries, it is relatively simple but there is potential dangers." There are many factors that play into this international trade for China.
ReplyDeleteIn the past, China had a strong comparative advantage in labor, but with the economic development and reform in Chinese society, you will notice that the comparative advantage in labor is relatively weakened. Therefore, currently, China and the CCP are in face of a new round of reform in economic structure and politics.
DeleteI have read an article comparing China and US using purchasing power parity (PPP) instead of simply converting China's GDP to dollars at the official exchange rate, which means that it takes into account the differing prices in the two countries.So, if a dollar is worth 6.2 renminbi today on the foreign exchange market, it may be that 6.2 renminbi can buy a lot more in China than one dollar can buy in the US. The PPP comparison adjusts for that; that is why China's economy is much bigger than US today.
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