China's GDP. GDP per capita. Economy of China

2024 Author: Henry Conors | [email protected]. Last modified: 2024-02-12 02:55

China's economy is today considered one of the most efficient and overdeveloped in the world. In terms of GDP, China ranks second among all other countries, second only to the United States. Every year, the country's treasury is replenished by trillions of dollars, even taking into account the current global financial crisis.

Beginning of the economy

In the middle of the 19th century, the Chinese authorities were forced to open their seaports to foreign traders at a reduced duty of only 5%. The reason for this was an unequal treaty as a result of losing the Opium War. To this day, customs duties in the country are considered among the lowest on the continent. Significant economic growth in China began to be observed only in the 1950s, when the communists under the leadership of Mao Zedong managed to unite the fragmented empire. Until that moment, the country had a catastrophically low level of GDP per capita. China in the early 20th century was characterized by high levels of unemployment and poverty. The maximum annual earnings of a simple worker was no more than $300.

Since the 1980s, openness reforms have begun in the republic. At that time, China's GDP growth was driven by strong agricultural performance.economy. For the first time in 30 years, this industry has been freed from the endless restrictions imposed by the Zedong-era government. Handicraft industry and small-scale production were also encouraged. Gradually, the problem of unemployment began to disappear. With the advent of the new millennium, the PRC authorities headed for the West. Since 2001, China began to export its products in such huge quantities that it was previously unimaginable. Doors were also opened for large foreign investors.

Economic indicators

China's GDP over the years can be imagined as steadily developing and growing. These figures have been steadily increasing over the past 35 years. Since 2010, in terms of GDP, the republic has been confidently holding the second place in the world economic rating. In terms of the efficiency of the financial system, China has surpassed its eternal competitor Japan.

In addition, in the near future, experts expect China's GDP to rise to unprecedented heights. This will get ahead of the United States in the rankings. Nevertheless, in terms of GDP per capita, China ranks only 91st. The volume of the annual salary on average varies within 6 thousand dollars. As for the overall GDP indicators, in 2013 they amounted to $9.5 trillion, and in 2014 - about $10.4 trillion.

Over the past 10 years, the gross product has increased by an average of 10% per year.

Structure of the economy

The Republic of China has long been the world's main industrial superpower. ExceptIn addition, it is a leader in such industries as nuclear and space engineering, extraction of valuable ores, oil, uranium and gas. Nevertheless, foreign trade is considered one of the main branches of China's GDP replenishment. In terms of export production, the country occupies the first position in the world ranking. The share of income from this area is about 80% of China's GDP. More than 20 million workers are employed in export activities. Today, China maintains close trade relations with 182 countries of the world. The most popular products are electronics, cars, textiles, toys, telecommunications equipment.

The industry of the republic is represented by hundreds of industries. Traditional are textiles, coal mining, ferrous metallurgy. Oil refining, pharmaceuticals, aviation and electronic production should be singled out among the new rapidly developing ones. The food industry also plays a leading role in the country.

For the past 20 years, China has been consuming a huge amount of primary energy resources. Most of it is coal, followed by oil, gas, hydroelectric power stations and nuclear reactors. In terms of energy imports, China is second only to the United States.

Agriculture is declining every year due to severe water shortages.

Financial system

Currently, China has exactly half of the world's foreign exchange reserves. The peak of the accumulation of the dollar equivalent was 2012. Today, the pace of reserve build-up slowed slightly as the authorities decided to focus on investments in other countries. Banking systemRepublic is mainly aimed at supporting the public sector. The volume of credit investments in private business does not exceed 5%. The situation is gradually changing for the better due to the gradual process of denationalization of some banks.

Since 2013, Chinese branches began to appear around the world as part of foreign financial structures. Today, Chinese banks have offices in fifty countries.

GDP in 2015

Due to the global crisis, the PRC budget is also suffering serious losses. Nevertheless, China's GDP growth rate as of July this year was about 7%. Back in early 2015, experts predicted a reduction in rates to 5%, but the government found a way out of the situation at the last moment.

July 7, the Chinese stock system collapsed. This brought a loss of 3 trillion dollars. To stabilize the economy, the authorities decided to buy depreciated shares of large companies. To speed up the process, Chinese banks provided $42 billion in loans to brokers.

A few days later, information was received about the unexpected growth of the Shanghai stock market by 5%. Thus, the authorities managed to stabilize the country's budget.