By Michael Webber, M. Wang, Z. Ying
How has China approached the worldwide economic system? Webber, Wang and Zhu try to solution this question via research of the options of globalization, transition and regionalization. China's technique has been experimental, stressing the liberalization of exchange and funding flows and the improvement of a marketplace economic climate. by means of those indexes globalization in China has been sluggish and asymmetric. Integrating Western social technology and chinese language learn, this booklet assesses the character and influence of globalization in China and its implications.
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Additional resources for China's Transition to a Global Economy
2. FDI from China’s neighbours The existing literature about the destinations of FDI commonly identiﬁes three sets of factors (Dunning 1993; World Investment Report 1998; Coyne 1995). The ﬁrst set includes policies that attract FDI, such as economic, political and social stability, favourable rules for entry and operation, and sympathetic treatment of foreign afﬁliates. Host countries’ policies about tax, the functioning and structure of markets, and the coherence of FDI and trade policies are also categorised in this set of determinants.
Its technology import–digest–export model provides one example for developing countries to improve their technological capacity in selected areas of industry. However, China has what most developing countries lack: a huge domestic market, which offers a buffer against ﬂuctuating global markets and lessens dependence on overseas markets. This market – together with independence from structural adjustment policies – has made it possible for China to bargain for the technology it needs, to control the pace of its opening and to balance its trade.
0%) Notes: Investment data in this table include investment in capital and in kind (equipment, semi-processed products or raw materials). Data may be slightly different from those in other tables since different statistical sources and categories are used. Sources: SSB various years, China’s Foreign Economic Trade Yearbook. investment ﬂowed to Canada, compared with 19 per cent to the US and 18 per cent to Australia (again including trading enterprises). Chinese ﬁrms invested in Canada’s resource and real estate sectors.