Chinese Economy Summaries Essay

Submitted By helloprince
Words: 741
Pages: 3

Comparing the annual average growth rates1 of high-technology manufacturing relative to the growth rates of total manufacturing, Figure 13 reiterates that China has gone through a period of rapid catch-up.
The figure demonstrates the high growth rate of Chinese high-technology exports over the period
1992-2001 (21.7% annually) figure showed high-technology exports have grown faster than total manufacturing, meaning a growing share of high-tech goods in total manufacturing. between 1992 and 2001, Chinese exports of high-technology manufactures increased seven-fold, increasing its share in the world total of high-technology exports from under 2% to over 5%.

PAGE 10 it can be seen that while trade in low-technology, medium-low technology and medium-high technology goods increased between two- and three-fold between 1992 and 2001, high-technology trade grew more than six-fold. The figure further shows that the largest share of the 7 percentage points growth in trade in goods between 1999 and 2002, can be attributed to trade in high-technology manufactures.

China’s imports of ICT goods, on the other hand, have been increasing steadily, amounting to USD 76 billion in 2002.
China’s exports are growing rapidly and are – at USD 79 billion in 2002 – approaching the EU and Japanese level.

China’s now leading exporter of ICT
China’s great surge hi-tech exports

China is already a major S&T player in terms of inputs to innovation. Since 2000, it has ranked second in the world after the United States and ahead of Japan in number of researchers. R&D spending has increased at a stunning annual rate of almost 19% since 1995 and reached USD 30 billion (at current exchange rates) in 2005, the sixth largest worldwide.

Besides, china has been improving its innovation policy all the time. According to the shown graph, now china is moving to the firm-centred innovation system, and the innovation system has evolved step by step. We could say that china now has a good innovation system.

China has also encountered many difficulties in pushing towards a knowledge-based economy.
Its weakness in high-tech innovation will be one of the main factors which will restrict China's economic development It will be more difficult to speed up China's economy by imitating the technology of advanced nations in the future.
Compared with other countries, the share of the Chinese population with tertiary education was very low, at 5% only. This however, still represents 31 million people aged 25-64 years.

Although Chinese R & D expenditure is growing very fast, but its researchers per thousand employment is very low compare to lots other countries. despite the large absolute numbers, in relative terms, China is still far away from the R&D efforts in the other economies.

There are also tensions in several segments of the labor market for various levels of S&T-related skills, which reveal human resource bottlenecks in the innovation system and…