Chinese Development Strategy Research Articles

China and deglobalization of the world economy

<abstract> <p>This paper analyses the causes of the downward trend in three key cohesion aspects of the world economy: international trade, foreign investment and global value chains. The paper shows that the causes of these trends are not cyclical, but structural; that is, it is the process of deglobalization of the international market, and transformation of the very foundation of the international economic system is underway. The specific aim of the study was to investigate the impact of current trends on China's economy. The question is whether the Chinese economy, which has developed due to globalization processes, will be negatively affected by reverse processes, and to what extent. To capture the short-run effect of globalization-related factors on China's economy, an autoregressive distributed lag (ARDL) model was used. For estimation of the long-run linkage, the ARDL bounds testing approach to cointegration was launched. The results of testing the short-term effects showed that the new Chinese development strategy, aimed at protecting domestic economy from external disturbances, has produced excellent results. Significant changes in the Chinese development paradigm, as based on domestic production to meet domestic demand and financed by internal resources, have led to a decrease in the share of all international indicators in the Chinese economy. This is shown by both the statistical description of changes in the globalization-related variables, and it is confirmed by the results of conducted empirical research. Testing of long-term relationships has given conflicting results, so it is not possible to identify the long-term impact with certainty. Nevertheless, the parts of bounds testing that are statistically indisputable indicate a long-term, strong cumulative impact of these variables on the Chinese economy, while the direction and intensity of the action of individual variables are unpredictable. A new paradigm enables China to take a better international position as a global investor instead of a recipient of investments, to take over growing parts of global product chains instead of being their production link and to initiate a new form of globalization in the Chinese way.</p> </abstract>

The Impact of Chinese Economic Structural Changes on Korea’s Exports to China*

We examine the structural changes of the Chinese economy and analyse how those changes have affected Korea’s exports to China. Focusing on the evolution of Chinese development strategy and the changing role of China in global value chain during 2000s, we separate the role of Chinese external demand and domestic demand in Korea’s exports to China. We also shed light on the driving force among Chinese GDP expenditure components in Korea’s exports to China for different periods of time. The subsample analysis shows that Chinese external demand had a significant impact on Korea’s exports to China before 2008, while Chinese domestic demand became important afterwards. More specifically, we find that Chinese investment is the most dominant expenditure component in determining Korea’s exports to China in recent times.

Comparative Analysis of the Economic Structure of the Socialist Market Economy of China and the New Economy Policy

ABSTRACT This article presents an analysis of the Chinese mode of production since the 1978 economic reforms. We try to explain the Chinese economic reforms based on its Marxist-Leninist ideology. Our research takes the form of a comparative analysis of the economic structures of the Soviet NEP (New Economic Policy) and Chinese reforms using a Marxist theoretical framework. Does the Chinese economic model correspond to the same kind of socialism found in the USSR during the NEP period? Our thesis is that the modern Chinese mode of production, since 1990s, follows a logic similar to the Soviet one during the NEP era. In the light of the NEP experience, our research shows that the Chinese development strategy shouldn't be understood as trending towards a neoliberal model. It is rather an original evolution of Marxism, in line with the tradition of Marxism-Leninism, adapted to the cohabitation with a globalized capitalist system. The NEP model is one of the earliest examples of a type of socialism based in part on market relations. In the USSR, as in China, the critical structures of the economy, heavy regulations and a certain level of economic planning are the basis of this socialist market model.

Optimization of Trade Structure Between Russia and China Under the Initiative «One Belt and One Way»

Russia is a very important partner in the Chinese development strategy «One Belt and One Way». Deepening of Russian-Chinese trade and economic cooperation meets the national interests and aspirations of Russia and China, playing a catalytic role in the development of bilateral relations and stabilizing the political and economic situation on the Eurasian continent and in the world. The development of Russian-Chinese trade relations have undergone many cooperative processes, and trade itself overtime has revealed its own pecularities, related to the time and political climate. Russia and China are the two largest economic powers in the world, and they have significant prospects and potential for cooperation. After China put forward the «One Belt and One Way» strategic development plan, the prospect of cooperation between the two countries has attracted an increasing attention. The article analyzes the history and current state of bileteral strategic trade relations. Some research opinions are put forward considering structural changes in the development process.

Identifying the Critical Risks in Railway Projects Based on Fuzzy and Sensitivity Analysis: A Case Study of Belt and Road Projects

The Belt and Road Initiative (BRI) is a Chinese development strategy developed in order to establish connectivity and deepen cooperation between China and other countries, increase trade, and support the socio-economic development of vast regions. A significant number of railway projects are planned to be constructed under BRI since railways are the most efficient means of transportation. This paper investigates the critical risks in railway projects implemented under BRI. In total, 24 potential risks in BRI railway projects are identified and categorized into 6 groups. A questionnaire survey is conducted in order to collect data about the probability of risk occurrence and their impact. To identify the critical risks in railway projects, a novel method based on fuzzy and sensitivity analysis is developed and applied for risk assessment. This method uses a fuzzy synthetic evaluation approach to assess risks and sensitivity analysis as criteria for critical risk identification. The results show that the most critical risks in railway projects are changes in design, design errors, cooperation between China and BRI country, loan risk, complex geological conditions of terrain, and geopolitical risk. The theoretical contribution of this paper is a novel method which combines fuzzy and sensitivity analysis into a single approach.

With license to build: Chinese offshore wind firms rejecting European certificates

ABSTRACTThis paper examines the role of six European certification firms attempt to position themselves in China’s offshore wind industry. We find that European certification firms lack attention to local needs and struggle with differences in risk perceptions. Chinese companies, on their part, stress the importance of first-hand experience rather than foreign involvement in project development, making the efforts of European certification companies redundant. We conclude that the Chinese development strategy is in opposition to established European certification practices: from a Chinese perspective, the European approach looks like over-engineered project development, whilst in China, taking risks and gaining access to necessary experienced and ‘independent’ knowledge is seen as a precondition for developing the offshore wind industry.

Soldiers, Weapons and Chinese Development Strategy: The Mao Era Military in China's Economic and Institutional Debate

Renewed interest in China's defence modernization has focused new light on the connection between military goals and national high technology strategy. China is in the throes of a major effort to modernize its arsenal. Its technology planners have begun systematically to build a genuinely national high technology infrastructure that may ultimately enable Chinese defence planners to harness the dual use potential of many new technologies. Yet as scholars and policy-makers raise questions about present patterns and anticipate future trends, it seems more important than ever to take a long look backwards into the origins of the relationship between China's military and its economic development strategy.

Land and housing policy in Chinese urban development, 1976–86

A brief consideration of how urban land and housing policy has been affected by shifts in Chinese development strategy since 1949 forms a useful backdrop against which to view current policies and practice. A programme of co‐ordinated land and housing development in the cities was often relegated during the 1950s and 1960s by priorities in production. The body of the paper outlines the administrative arrangements for co‐ordinating land and housing development at the level of the urban municipality. Then the approach during the last decade is examined, followed by the changes introduced with readjustment in the spheres of housing supply, tenure and allocation. In a concluding note mention is made of pending reforms to the urban land and housing systems that were under active consideration at the time of writing.

The Basis for Chinese Agricultural Growth in the 1980s and 1990s: A Comment on Document No. 1, 1984

Rather than considering the possible ramifications of each clause of Document No. 1, 1984 separately, this comment will focus on aspects of the document which are consistent with Chinese development strategy in the 1980s and those which acknowledge the principal vulnerabilities of the strategy as they pertain to agriculture. Much of the document is concerned with: (1) consolidating the gains achieved since the late 1970s in transforming rural organization via the production responsibility system and the attendant liberalization of rural markets; (2) extending the current areas of profitability in terms of increased production and the sale of farm goods that have become available through this transformation and especially in terms of reaping the rewards from specialization, hitherto untapped; and (3) more effectively setting the stage for future growth by attempting to generate confidence as to the durability of these organizational, and other critical policy changes.

Urban bias, rural bias or state bias? Urban‐rural relations in post‐revolutionary China

The authors aim to evaluate the relevance of ‘urban bias’ and ‘rural bias’ to the Chinese case. They present empirical evidence on the nature and extent of differentiation in rural‐urban living standards, examine the political basis of relevant economic policies and investigate the relationship between these policies: both the changes in labour productivity in each sector and the inter‐sectoral savings transfers. Both ‘urban’ and ‘rural bias’ hypotheses illuminate certain dimensions of Chinese development strategy. But the realities of rural‐urban relations have been complex, and analysis must be supplemented by a focus on the divide between state and society, and the question of ‘state bias’.

The relevance of the Chinese experience for third world economic development

If the ten elements of Chinese development strategy discussed earlier are to provide object lessons relevant for other third world nations, they must be potentially transferable to other societies. The extent to which each element of the strategy is transferable depends on the conditions under which it can be successfully implemented, and on the degree to which these conditions are satisfied in other third world nations. I had also sought to determine what political-economic, geographical, and historical conditions are required for the successful implementation of each of the ten elements of strategy. The results of this analysis are summarized in the form of a matrix in Table 1. Each of the ten elements of strategy under discussion requires at least one - and often many more - of the major features of China's political-economic system. In all cases an effective and extensive system of public administration and/or a massoriented class structure are required, and in most cases a considerable degree of public ownership of the means of production and administrative control of resource allocation is either necessary or helpful. Less often required, but crucial in a few cases, are a central government with the power to mobilize resources on a large scale, a political leadership capable of influencing and involving people on a wide scale, and a ruraloriented class structure.

A CLARIFICATION OF CHINESE DEVELOPMENT STRATEGY SINCE 1949

The Developing EconomiesVolume 17, Issue 3 p. 266-285 Free Access A CLARIFICATION OF CHINESE DEVELOPMENT STRATEGY SINCE 1949 John T. MACRAE, John T. MACRAESearch for more papers by this author John T. MACRAE, John T. MACRAESearch for more papers by this author First published: September 1979 https://doi.org/10.1111/j.1746-1049.1979.tb00615.xCitations: 1AboutPDF ToolsRequest permissionExport citationAdd to favoritesTrack citation ShareShare Give accessShare full text accessShare full-text accessPlease review our Terms and Conditions of Use and check box below to share full-text version of article.I have read and accept the Wiley Online Library Terms and Conditions of UseShareable LinkUse the link below to share a full-text version of this article with your friends and colleagues. Learn more.Copy URL Share a linkShare onFacebookTwitterLinked InRedditWechat Citing Literature Volume17, Issue3September 1979Pages 266-285 ReferencesRelatedInformation

Balanced development: Maoist conception and Chinese practice

This paper explores the economic reality behind the balanced development aspect of the Chinese development strategy more thoroughly than has been done previously. Firstly, it introduces material from the Wan-sui volumes to shed more light on its economic ideology, but mainly it uses the recently available macroeconomic information about the Chinese economy to examine how empirically the policy was put into effect, what its implications were for the intersectoral allocation of investment, choice of technologies, etc., and what its effects were in terms of incomes and employment. A final section compares the strategy with the ‘balanced growth’ policies of Western economic literature and the ‘harmonic growth’ advocated by Kornai.