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Chinas Economics

Chinas Economics

China has always been an important country in the world. With its increasing large population, it was determined by other countries that is has a lot of economic potentials. In just one decade and a half, China has transformed itself from a giant that use to live in poverty into a wealthy powerhouse to the world economy. With one-fifth of the world¡¦s population, China is now producing 4% of world merchandise and a proportion of global production. It has also one of the world¡¦s oldest and most influential civilizations. China has established three approaches to the world economy and they are establishing an alternative socialist system (1950s); isolating itself from the system (the 1960s to mid 1970s); and participating in the system again from the 1970s. China¡¦s economic system was quite similar to Soviet Union¡¦s because it is central planning system. However, after the 1950s, this central planning is broken into regional planning by different provinces in China. In anothe!
r words, China has changed from a centrally based country in a regionally based country, in which different provinces produces different goods and servies. This change has encouraged the development of small enterprises, which are the main driving forces of Chinese

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