Professional Documents
Culture Documents
IBT Act 4
IBT Act 4
BAINBUSX
Submitted by:
Beros, Lorraine Anne T.
Submitted to:
Mr. Mario Andrew P. Ustaris
Course Instructor
1. According to the documentary you watched, what are the successive scenarios in which
China became one of the richest countries.
Based on the documentary, there was a moment wherein China became a global economic
force who has predicted to become the world’s biggest economy in the future and this claim was
supported by different scenarios where China has proved their high worth of value. Those
scenarios specifically started with the Market Reform which took on the late 1970s-1980s, where
Xiaoping initiated economic reforms after the passing of Mao Zedong. Which helped the country
from being a centrally planned economy to becoming a market-oriented one. This period has
introduced policies such as the Household Responsibility System where farmers are allowed to
cultivate their own land and sell surplus produce and also the opening of Special Economic Zones
in order to attract foreign investment and technology. Next is the Export-led Growth in 1980s-
1990s where China has been branded to become the factory of the world. Export-oriented
industries arose which contributed significantly to the growth of the economy. The government
has also implemented tax incentives and infrastructure development.
In the succeeding years, is the beginning of the modernization of China wherein they
started to invest in infrastructure projects including transportation networks, telecommunication
and energy systems which has boosted productivity, facilitated trade and supported urbanization.
Domestic consumption also became higher due to the large population of the country which
provided a huge consumer market for domestic and foreign companies.
By the year 2010, China has started to appreciate innovation and technology development
as part of its economic strategy, focusing on sectors such as high-tech manufacturing, artificial
intelligence and renewable energy. They have also initiated global investment projects such as Belt
and Road Initiative which is aimed at enhancing the infrastructure connectivity and to foster
economic cooperation with different countries to expand its influence and have access to new
markets. Lastly, the country has also pursued financial reforms in order to liberalize its capital
markets and internationalize its currency. Regardless of the challenges, namely economic
imbalances, environmental degradation and demographic shifts. China continues to strive for
sustainable development and continued prosperity.
2. Even though China is one of the richest countries in the world, why can it be considered
an emerging market? base your answer on the characteristics of a country that can be said
to have an emerging market?
a. Market volatility
China, despite being one of the richest countries in the world, is still considered to be an
emerging market because of the volatility of its market. The main cause for this is the country’s
political instability, exposing investors to the risk of fluctuations in exchange rates and market
performance. Unlike developed markets who can operate freely in the market, the government of
China actively intervenes in various sectors. This intervention then leads to unpredictable changes
in trading policy, which in turn impacts market confidence. Aside from that, China restricts the
free flow of capital in and out of the country which hinders market adjustments.
3. What are the strategies used by China that made them an economically powerful country?
Like most other countries, China's initial step in growing its economy was to increase its
heavy industry. China's strong economic growth and trade expansion are likely to continue for a
very long time. However, this promise cannot be fully realized unless a number of structural and
macroeconomic risks are addressed. Because of the size and complexity of the Chinese economy,
many of these reform issues are related to one another. China employed a variety of strategies to
gain economic influence. Some of these strategies include reforming the agricultural, educational,
and industrial sectors; encouraging the development of private businesses; creating a stock
exchange; encouraging collaboration between tech universities and large corporations; attracting
in scientists with foreign training; establishing special economic zones; searching for new
international trade agreements; and restating the Communist Party's dominance. compared to the
West, China has prioritized economic growth over liberal ideas and notions when it comes to
modernization. China's rise to economic dominance is evidence of the success of an all-
encompassing and dynamic strategy for economic development.
Members’ Contribution:
Student Name Output Contribution (specific)
China’s Economic Rise: History, Trends, Challenges, and Implications for the United States. (2019, June
25). CRS Reports.
https://www.everycrsreport.com/reports/RL33534.html#:~:text=China’s%20rise%20from%20a,a
nnual%20rate%20of%20nearly%2010%25.
Hart, B. (2021, May 12). Is China Succeeding at Eradicating Poverty? | ChinaPower Project.
ChinaPower Project.
https://chinapower.csis.org/poverty/#:~:text=When%20the%20%245.50%20per%20day,populati
on%20(237.2%20million%20people)%20still
Hu, Zuliu., & Khan, Mohsin. (n.d.). Why is China growing fast?. International Monetary Fund.
https://www.imf.org/external/pubs/ft/issues8/index.htm
Morrison, W. (2019, June 25). China’s Economic Rise. Congressional Research Service.
https://sgp.fas.org/crs/row/RL33534.pdf