Chinese Economy Research Articles

Chinese Economic Outlook: Unemployment Changes and Sector Shifts

A vivid image of the future of the Chinese economy proves essential in navigating the complex future of the Chinese economy. Under the impacts of the prolonged quarantine in China and the nation’s strong recovery in the high-tech sector following large financial market reforms, the future of the Chinese economy becomes increasingly uncertain with the likeliness of a period of expansion as well as development to redistribute sectors within the Chinese economy. With seemingly contradictory trends of development, such forecasts become increasingly urgent. In this study, through the statistical exploitation of the unemployment rate of China, coupled with policy and economic analysis of the nation, this paper sought to determine the future of the Chinese economy through both structural perspectives and its overall trend, shedding light on some of the ambiguity of the future. Although the forecast of unemployment proved to be flat under the exploitation of two different models following manipulation and testing of the data, news, and policy generated other insights from which a more accurate and specific conclusion regarding the Chinese economy can be derived. Finally, the research explores in detail the implications of the alternations in the Chinese economy.

Empirical Analysis of Factors Influencing China's Imports and Exports

Given the dynamic nature of the international trade landscape and China’s pivotal role in global trade, there is a compelling need to comprehensively investigate the myriad macro-factors influencing China's imports and exports. This study adopts econometric methods, based on a multiple linear model with fitness test and heteroskedasticity test for a comprehensive examination of diverse macro-factors affecting China's trade. Anticipated outcomes include a nuanced quantitative analysis of macro-factors impacting China's imports and exports, aiding understanding China's position in the global supply chain, offering decision-making insights for relevant industries, governments, and investors. The findings are expected to offer comprehensive and in-depth information for academia and practitioners alike, assisting financial decision-makers, business leaders, and investors in navigating global trade uncertainties and economic fluctuations. By delving into the quantitative impact of diverse macro-factors on China's imports and exports, this study aims to fill existing research gaps, providing substantial insights into the Chinese economy and international trade.

Analysis of Chinese Film Profit Model and Optimization Strategy

With the development of China’s economy, people pay more attention to entertainment activities. Movies have become a great entertainment for people. The development of the film market has an important impact on people’s lives and the development of China’s economy. A good movie may not have high profitability, so studying the film’s profit model and optimization strategy is necessary. Films are monetized mainly through the sale of box office copyrights and derivatives. This paper mainly analyzes the shortcomings of the Chinese film profit model and proposes optimization strategies through the film “Heat”. Chinese films regard the box office as the most important way to make money while ignoring many other ways that have the potential to bring more money to the film. This article hopes to bring some new ideas to the film industry. As one of the entertainment methods of the masses, movies have also had a certain impact on the Chinese economy.

A STUDY ON THE IMPACT OF CRIPPLING CHINESE ECONOMY ON MULTINATIONAL CORPORATIONS: INDIA’S FDI APPROACH

This project explores the multifaceted impact of a crippling Chinese economy on Multinational Corporations (MNCs) and examines their strategic responses. As disruptions in China ripple through supply chains, reshaping market dynamics, and introducing regulatory ambiguities, MNCs must skillfully navigate these challenges to uphold resilience and pursue sustained growth. Concurrently, India also emerges as a potential alternative for MNCs seeking stability and growth opportunities beyond China. This research paper delves into understanding the factors of Chinas economic growth over years, the cause for the downfall, and strategic measures that India can adopt to harness the potential inflow of FDI amidst the evolving global economic landscape, such as policy reforms, infrastructure development, and sector-specific incentives. The analysis section examines the major factors that determine the economy such as GDP growth rate, Population, FDI, Youth unemployment rate, GDP Per capita income and forecast of Indias momentum in FY25 based on secondary data. The conclusion emphasizes the central theme of harnessing Indias vast growth potential while confronting the key challenges that impede its expansion. By implementing strategic policies and precise reforms, India can sustain its robust growth trajectory, surpassing the $5 trillion threshold. KEYWORDS: Economic Landscape, Crippling Chinese economy, Indias measures, Multinational Corporations (MNCs), FDI, Sustained growth, Strategic policies, Challenges.

The Evergrande Story: A Look into Chinese Corporate Law and the Redefinition of Privately Owned Enterprises and Their Relationship to State-Owned Enterprises in the Chinese Economy

Abstract In December 2021, Evergrande, the second-largest private property developer in China, defaulted on its debt and became the most indebted firm in the world with over $300 billion in liabilities. Its default marked the beginning of a real estate crisis in China, one that is still in the process of being resolved. The Chinese State, through its State-owned enterprises (SOEs), has played an enormous role in mitigating the crisis. Had it not, it is very unlikely that Evergrande would remain in existence today, with huge ramifications for Chinese society and the national economy. This article undertakes a case study of Evergrande, a privately owned enterprise (POE) that exhibits SOE characteristics, to shed further light on the web of interactions between large enterprises in China. It reconsiders how ‘private’ some POEs are in the Chinese economy and argues that, at a certain level, both SOEs and POEs operate in a co-dependent manner. Not only does this challenge the conventional distinction between SOEs and POEs, but it also has wide-ranging implications for corporate governance in China. Indeed, SOEs find themselves having to bail out POEs and are exerting control over POEs in which they have no equity stake. SOEs are thus financially burdened with protecting all large enterprises including POEs, whereas POEs can operate in an unregulated fashion and receive rents from their close ties to SOEs. Altogether, this article’s analysis showcases the operation of various themes of Chinese corporate governance and contributes to the existing literature seeking to understand the unique role of the State in Chinese enterprises.

Chen Han-seng, the Institute of Pacific Relations, and Changing Ideas About the Chinese Rural Economy

Abstract The famous sociologist, economist, and historian Chen Han-seng was the founder of the Agrarian China Research Association, publishing influential studies on industrial production and class relations, and their effect on peasant living standards. Through the Institute of Pacific Relations (ipr), Chen engaged in a theoretical dialogue with liberal intellectuals and responded to American, British, and Soviet theories about Chinese society and rural China. Unlike American ipr scholars, such as John Lossing Buck, whose agenda was to investigate the consumer power of Chinese peasants, Chen’s study of living standards emphasized their production capability and the role usury played in it. And unlike the ipr British economists, such as R. H. Tawney, who were generally optimistic about Chinese rural industry, Chen’s research proved Chinese industrialization to be unsustainable and to lower peasant living standards. In reaction to these American and British scholars, Chen tactically changed his concept of “living standards” and developed his own theory of Chinese rural economics.

Research on the Reform of Authorized Capital System in Chinese Stock Companies: Against the Background of the Implementation of the New Company Law

With the rapid development of the Chinese economy and the continuous improvement of the market economy system, joint-stock companies, as an important form of economic organization, have gradually become the main force of economic development. In order to adapt to the new development trend, China has successively introduced a series of laws and regulations, attempting to reform and improve the authorized capital system, enhance corporate governance, protect investor rights, and promote the healthy development of the market economy. This article analyzes the current situation and problems of the statutory capital system of Chinese joint-stock companies, and based on this, analyzes the reform effects of the new Company Law on the authorized capital system of joint-stock companies. It also explores the transformation path of the authorized capital system of Chinese joint-stock companies after the implementation of the new Company Law, providing reference opinions for the development of joint-stock companies and the optimization of the efficiency of capital system reform.

How enterprises' public welfare low-carbon behavior affects consumers’ green purchase behavior

The Chinese economy has undergone high-speed, high-quality growth, and the concept of low-carbon technology has gained popular support. Businesses and consumers must jointly endeavor to achieve low-carbon economic development. Moreover, it is important to investigate whether enterprises' low-carbon behavior is correlated with consumers' green consumption behavior. We built a theoretical model to depict the relationship between corporate public welfare low-carbon behavior, consumers' green purchase intention, and green purchase behavior. We then divided corporate public welfare low-carbon behavior into three dimensions. We proposed hypotheses, collected data through a questionnaire survey, and analyzed the data using statistical analysis software of SPSS 26.0 and AMOS 24.0. Public welfare low-carbon behavior was significantly correlated with consumers’ green purchase intention, and public welfare low-carbon participation and public welfare low-carbon motivation were significantly correlated with green purchase intention. Finally, we proposed suggestions from three perspectives: the public welfare low-carbon mechanism, public welfare low-carbon participation, and public welfare low-carbon motivation. The results provide theoretical support for research methods related to the low-carbon growth of enterprises and green consumption, as well as guidance and decision-making support for enterprises in carrying out cause marketing.

The Great Tea Road and the Formation of the Community of the Chinese Nation

The Great Tea Road is another important international commercial and cultural channel connecting China to the world that has emerged on the Eurasian continent after the decline of The Silk Roads. It is the result of the prosperity and development of economic globalization since the 16th century. The Chinese National Community is a national community of economic interdependence and cultural compatibility formed by the people of all ethnic groups in China during the long-term historical development. As an important part of The Belt and Road Initiative, The Great Tea Road is the product of the integrated development of Chinese cultural identity and national economy, the concentrated embodiment of the consciousness of Chinese National Community, and an important medium to convey the Chinese nation's concept of friendly economic and cultural exchanges with other countries and to build a community with a shared future for mankind. It is of great significance to explore the value and realization path of The Great Tea Road to the formation the sense of community for Chinese nation for the using of The Great Tea Road as a heritage site and the promotion of economic and cultural cooperation among cities in countries along the route through tea culture as a medium.

Price prediction of power transformer materials based on CEEMD and GRU

The rapid growth of the Chinese economy has fueled the expansion of power grids. Power transformers are key equipment in power grid projects, and their price changes have a significant impact on cost control. However, the prices of power transformer materials manifest as nonsmooth and nonlinear sequences. Hence, estimating the acquisition costs of power grid projects is difficult, hindering the normal operation of power engineering construction. To more accurately predict the price of power transformer materials, this study proposes a method based on complementary ensemble empirical mode decomposition (CEEMD) and gated recurrent unit (GRU) network. First, the CEEMD decomposed the price series into multiple intrinsic mode functions (IMFs). Multiple IMFs were clustered to obtain several aggregated sequences based on the sample entropy of each IMF. Then, an empirical wavelet transform (EWT) was applied to the aggregation sequence with a large sample entropy, and the multiple subsequences obtained from the decomposition were predicted by the GRU model. The GRU model was used to directly predict the aggregation sequences with a small sample entropy. In this study, we used authentic historical pricing data for power transformer materials to validate the proposed approach. The empirical findings demonstrated the efficacy of our method across both datasets, with mean absolute percentage errors (MAPEs) of less than 1% and 3%. This approach holds a significant reference value for future research in the field of power transformer material price prediction.

Chinese Outbound Tourists and the Changing Political Economies of Cambodia, Malaysia, and Singapore

ABSTRACT The global tourism industry was severely affected by the COVID-19 pandemic. New economic, social and political realities have emerged, and destinations are facing the changes. This research compares three popular destinations among Chinese tourists (i.e. Cambodia, Malaysia and Singapore) to illuminate key political economic shifts of tourism in Southeast Asia in relation to China amid of the unfolding ‘new normal.’ By conducting a qualitative review and content analysis on publicly available data (e.g. media stories and public documents), the article contributes to a burgeoning body of knowledge on the impact of the pandemic wipe-out of the tourism industry and the context-dependent responses across destinations. The study reveals that established attitudes toward tourism have been challenged, as China and its major host countries learn to live with a weakened tourism industry. Whilst the three countries attempt to diversify their tourism economy, their dependency on the Chinese in their tourism and economic development will possibly deepen even though the post-Covid Chinese economy has slowed down. The comparison illustrates the different types of China-driven forces affecting these countries, highlighting the nuances and shades of understanding tourism political economies in these Southeast Asian countries.

Research on Tax Policies to Promote Agricultural Modernization Development

Agriculture constitutes a fundamental sector of national economic development, and the steady growth of agriculture-related industries has contributed significantly to job creation and increased value output in the Chinese economy. The central government has consistently prioritized the healthy and sustainable development of agriculture, implementing various policies to support agricultural enterprises in enhancing their market competitiveness. This includes a wide range of tax support measures. On the other hand, the effectiveness of policy incentives in encouraging enterprises to improve their operations is unclear, given that most agricultural enterprises in the country face challenges such as small size, outdated information, weak management capabilities and poor resistance to market risks and uncertainties. This paper aims to examine the role of tax policy in the industrialised management of the agricultural sector. This paper seeks to provide new insights into governance in this area by exploring the moderating role of tax policies on the relationship between Chinese agribusinesses and their management. The findings will provide policy makers with responsible recommendations for enhancing the effectiveness of tax policies and other agriculture-related policies.

Торгівельні війни та їх вплив на національні економіки

The article examines the impact of trade wars on the US and Chinese economies and their foreign economic relations. The analysis showed that throughout the considered period of 2016-2023, from the outside it looks like the US-China "war" is a normal trade dispute. China has declared its intention to become the sole leader in the world market not only of goods, but also of technologies. However, the real cause of the conflict is hidden in the global confrontation between the two leading economies, the purpose of which is the actual division of the world into new spheres of influence. To determine the impact of countries' exports on their GDP, appropriate regression models were built. The model for the USA showed that during the period 2000- 2021, the volume of exports from the USA to China had a decisive influence on the GDP of the USA. A similar model for China shows that the most powerful influence on China's GDP comes from the volume of its exports to the United States. Therefore, during the current part of the considered period, the economies of both countries are not only in a state of protracted trade war, but also depend on each other

Construction Technology of Slope Excavation and Support for Hydraulic Engineering

With the development of the Chinese social economy, more and more attention is paid to water conservancy construction, water conservancy project construction is related to the national economy and people s livelihood, in Xinjiang water conservancy project construc- tion, because of the water conservancy project construction period, involving wide, poor conditions, large span, and other factors, so the water conservancy construction in the slope excavation and support construction is more difficult, How to effectively improve the quality of water conservancy engineering construction, do a good job in slope excavation and support construction work. Below we will combine a hydraulic engineering construction example, to analyze the application of slope excavation and support technology in hydraulic engineering construc- tion for you.

Land Security and Mobility Frictions

Abstract Frictions that impede the mobility of workers across occupations and space are a prominent feature of developing countries. We disentangle the role of insecure property rights from other labor-mobility frictions for the reallocation of labor from agriculture to nonagriculture and from rural to urban areas. We combine rich household and individual-level panel data from China and an equilibrium quantitative framework featuring sorting of workers across locations and occupations. We explicitly model the farming household and the endogenous decisions of who operates the family farm and who potentially migrates, capturing an additional channel of selection in the household. We find that land insecurity has substantial negative effects on agricultural productivity and structural change, raising the share of rural households operating farms by over 40 percentage points and depressing agricultural productivity by more than 20%. Comparatively, these quantitative effects are as large as those from all residual labor-mobility frictions. We measure a sharp reduction in overall labor-mobility barriers over 2004–2018 in the Chinese economy, all accounted for by improved land security, consistent with reforms covering rural land in China during the period. JEL Codes: O11, O14, O4, E02, Q1.

The influence of smart city policy on urban green energy efficiency -- A quasi-natural experiment based on 196 cities

Based on 196 prefecture-level cities in China from 2006 to 2021, this paper constructs a weight matrix of urban economic geography and uses the spatial differential model to verify the impact of smart city policies on urban green energy efficiency. The results show that the efficiency value of green energy fluctuates in Chinese cities. Different test results show that smart city policies can effectively improve urban green energy efficiency, but mainly from the time effect rather than the individual effect. It means the improvement in urban green energy efficiency comes more from the fast-growing of the Chinese economy and urban construction in this period than from the country's smart city pilot policy. In addition, from the spatial spillover effect result, China needs to design a better urban spatial development plan to improve the capacity of smart city energy services and vigorously develop intelligent technology represented by information and communication science.

Uncovered interest rate parity phenomenon and determinants of domestic interest rates: an analysis of Pakistan and China economies

The core objective of this article is to explore the viability of uncovered interest parity and to reconnoiter major determinants of domestic interest rates of the Pakistan and China economies. It is imperative to study the interest rate parity that assistances to comprehend that exactly how exchange rate and domestic interest rate influence foreign interest rate of two economies in emerging trends in international trade. The World Development Indicators is main source of data gathering, and it ranges from 1980 to 2023 for the analysis of both models. This study considers two models, Engle–Granger causality has been applied in Model 1, to analyze the uncovered interest parity, and findings indicate that the exchange rate of each country has no effect on the interest rate of the other country. However, Model 2 investigates the main determinants of domestic interest rate and their long-run associations for Pakistan and China. To capture the long-run association, ARDL estimation technique has been deployed, and findings show the long-run relations and co-integration among the policy variables of both countries. In Pakistan, consumer price index and exchange rate hold positive linking with the domestic interest rate; however, output level is adversely correlated. The error correction term is 91%, confirming the rapidity of equilibrium adjustment when a shock occurs. Regarding the Chinese economy, consumer price index and exchange rate have a negative impact on China domestic interest rate. The results of the error correction model indicate an 80% speed of convergence in the long run. This study suggests that improvement in productivity and exchange rate may assist both economies to experience steady exchange rate and interest rate.

Research and development factor mismatch, production losses, and energy efficiency: A study on Chinese regional economies

In the face of global economic development and increasing energy demands, the efficient allocation of Research and Development (R&D) resources emerges as a universal concern. This study illuminates the complex relationship between R&D factor mismatch, production losses, and changes in regional energy intensity. Utilizing factor mismatch accounting framework and the STIRPAT model, we systematically assess the impact of spatial mismatches in R&D factors on R&D output and regional energy intensity. The analysis unfolds in three steps, first, the estimation of the degree of spatial R&D factor mismatch and the resulting output gap; second, the calculation of R&D output loss as a function of spatial mismatch coefficient and output share per location; and third, the examination of changes in energy intensity induced by R&D factor mismatch in terms of Total Factor Productivity (TFP), factor mismatch, and output structure. Our findings reveal that R&D factor mismatches can hinder energy intensity reduction, and that regional disparities in the process of factor market marketization significantly contribute to variations in regional energy intensity. These insights emphasize the critical role of efficient R&D resource allocation in promoting energy conservation and productivity, providing substantial implications for policy-making in sustainable growth and energy efficiency across diverse economies.

Chinese Strategic Hedge in Bangladesh through Investment

During the last decade, the surge in Chinese outbound foreign direct investment in Bangladesh has been met with anxiety, often invoking national security concerns. Most scholars explain China’s investment with the connection of economic interests and market expansion. Scholars have not paid enough attention to the geostrategic rationale behind China’s investment statecraft towards Bangladesh. This study centres on the question: What economic and non-economic (geostrategic) factors drive the growing Chinese investment footprint in Bangladesh? Following the qualitative research approach, this study argues that along with economic incentives, non-economic issues such as security and strategic competition with India are the significant determinants of the Chinese increasing investment footprint in Bangladesh, which is beyond the notion of win–win cooperation enhancing China’s regional status and leadership in South Asia. This study promises to contribute to the literature on the Chinese political economy, providing a theoretically nuanced treatment of Chinese investment statecraft concerning neoclassical realism.

The rise of the red dragon: the non-binary political economy of decentralised public banks

ABSTRACT This article scrutinises China’s unexpected economic ascent as an industrial dynamo despite an underdeveloped institutional framework, driven by a fusion of the Currency and Banking School arguments. Our discourse focuses on the reorganisation of endogenous money in post-Communist China, which significantly fortified the domestic economy. We employ a two-tiered framework, firstly linking the Currency vs. Banking School debate to the crucial role of domestic bank credit creation in economic development. Subsequently, we anchor this within the context of the post-Mao reforms, illustrating how ‘inside money’ is deployed in a top-down manner to real industry via a bottom-up and decentralised organisational design. The emergent Chinese political economy is in our view defined by the amalgamation of neo-statist and neo-liberal credit market policies. We detail the transformative effect of evolving domestic commercial banking trends, thereby shaping a distinctive post-Communist society.