China Economy Today

East Asia is the fastest-growing region in the world over the past two decades, theEast Asian currency crisis of 1997-98 notwithstanding
u China is the fastest growing country in East Asia—nearly 10% p.a. sincebeginning of economic reform (1979)

Chinese real GDP grew from $177 billion to $1.17 trillion (2001 prices) and real GDP per capita grew from $183 to $920. The U.S. GDP and GDP per capita are respectively 9 and 40 times the comparable Chinese figures.

China survived the East Asian currency crisis relatively unscathed
u China is one of the very few socialist countries that have made a successful transition from a centrally planned to a market economy—the 10th Five-Year Plan is only indicative and not mandatory and the rate of interest (the price of money) and the exchange rate are the only prices that are still administratively determined on the margin

The private (non-state) sector accounts for more than 65% of GDP and an even greater percentage of employment in 2001—non-state-owned firms face hard budget constraints and ordinary citizens can make a good living without being beholden to the state.

China is the 5th largest trading country in the world (exports of US$266.2 billion and imports of US$245 billion in 2001)

China is no longer a “shortage” economy--insufficient aggregate demand is a real possibility