Document Type

Paper Series

Publication Date

1-2004

No.

146

Abstract

"The Impact of China's Accession to the WTO" 中國入世後的初步分析

This paper will first review the early concerns about China's entry to the WTO. Then we will evaluate the preliminary impact of the WTO membership on the Chinese economy, which turned out to be better than expected. We also discuss the current international debate on the Chinese currency renminbi revaluation and suggest that a gradual improvement of the current Chinese rigid exchange rate system will be inevitable.

Finally we will explore the potential problems and challenges to both economies of mainland China and Hong Kong in the future. We argue that international competitions apparently are competitions among quality of goods and services, technological software and hardware. In fact, it is competitions among the institutions. As only the better institutions may attract more resources internationally including both physical capital and human capital. China's determination to enter the WTO after 15 years of long negotiations is as significant as her initial reform from the central planned economy towards a market economy. It signifies that China will reform her traditional market economy towards an internationally competitive market for the 21st century's New Economy. Furthermore, Without doubt, facing such unprecedented challenges both from mainland China and new world economy, Hong Kong must reform her political and economic institutions to foster a new economic partnership with mainland China to sustain her high income and high growth rate in the future.

"Chinese Private Enterprises" 私營經濟 : 中國政經風向標

The paper argues that the development of the private sector has, in fact, become the indicator of China’s national economy. A norm could be derived from the economic development during the reform and open era in the past two decades: the fewer restrictions imposed by the state, the faster is the economy development of China. Furthermore, the paper argues that there is a close relationship between economic modernization and traditional cultural traits which are based on Confucian clanfamilial network. The paper believes that these traits would become powerful facilitators in China’s modernization drive.

Comments

CAPS Working Paper Series No.146 (Jan 04)

Recommended Citation

Ma, Y. (2004). The economic challenges for the New Chinese leadership (CAPS Working Paper Series No.146). Retrieved from Lingnan University website: http://commons.ln.edu.hk/capswp/14