China Stats

Question 1

US-China rapprochement

Answer 1

Bilateral Trade Agreements 1979 and Most Favourable Nation (MFN) status
Duties on China exports from 50% to 8%
China exports up $4billion in 1979 to 183 billion 1997
2005: 80% of Fortune 500 in China

Question 2

SEZ

Answer 2

1997: 45 billion in FDI from SEZ
Shenzhen SEZ 3x wages of other regions
500% growth of exports 1981-1991

Question 3

TVE

Answer 3

1980 lift on ban on individual 1989 allowed for profits free to produce whatever
Value of TVE up to 27% of GDP
8% annual GDP growth till 1994
10x increase in value of exports to $80 billion from 1988-1997

Question 4

HRS

Answer 4

1985 China self-sustaining in grain
1979-1984: 127% increase in output

Question 5

Other leaders (Zhao Ziyang)

Answer 5

1985: Coastal Development Strategy
Open up Yangtze River Delta, Pearl River Delta when realised that current SEZ were not enough
Coastal region as a % of China GDP: 52 to 56 due to great domestic and foreign investment

Question 6

Other leaders (Jiang Zemin)

Answer 6

Jiang Zemin
“Socialist market economy” 1993 - force SOE reforms to privatise (Company Law and Labour Law) - legal background for China to restructure SOE into limited liability corporations with majority state ownership, written contract to stipulate duration of employment
Employment fell 20% and 90% of SOE transformed/broken up
32.8% annual growth rate in number of private enterprises > hires 22% of workforce and accounts for 1/3 of GDP

Question 7

Deng economic reforms

Answer 7

9.5% real GDP growth per annum1972-1995
Double digit growth rates 1992-1995