a946cb0246f86fc00b111911_pa3868c.jpg Paul Lachine

The Future of China’s Growth

China’s economy is slowing, and Premier Wen Jiabao suggests that this was both inevitable and beneficial. Whether or not Wen is right, the Chinese authorities have much work to do in laying the groundwork for strong economic performance in the medium and long term.

BEIJING – The slowdown of China’s economy has captured the headlines in recent weeks. Whether it is a permanent or temporary adjustment, the Chinese authorities have much work to do in laying the groundwork for strong economic performance in the medium and long term.

Despite extraordinary growth since the start of its transition to a market economy in 1979, China is facing serious challenges simultaneously: rising inequality, large and growing levels of environmental degradation, stubborn external imbalances, and an aging society.

Fortunately, China’s 12th Five-Year Plan (2011-2015) recognizes the need to deepen market-oriented reform, change the country’s development model, and focus on the quality of growth, structural reforms, and social inclusion to overcome the rural-urban divide and stem the rise in income inequality. In line with this bold, long-term approach, a new report, China 2030: Building a Modern, Harmonious, and Creative High-Income Society, proposes reforms that my country needs to develop a mature, well-functioning market economy by 2030.

We hope you're enjoying Project Syndicate.

To continue reading, subscribe now.

Subscribe

Get unlimited access to PS premium content, including in-depth commentaries, book reviews, exclusive interviews, On Point, the Big Picture, the PS Archive, and our annual year-ahead magazine.

http://prosyn.org/Ypd0BI4;
  1. solana105_JUANMABROMATAAFPGettyImages Juan Mabromata/AFP/Getty Images

    The Lost Spirit of the G20

    Javier Solana

    As Japan prepares to host its first G20 leaders’ summit later this month, little remains of the open and cooperative spirit that marked the first such gathering in 2008. But although the United States will most likely continue its protectionist drift, other G20 countries should use the occasion to make a clear case for free trade.

  2. velasco94_YoustGettyImages_headswithbooksstaring Youst/Getty Images

    The Experts We Need

    Andrés Velasco

    Policy gurus spend too much time with others like them – top civil servants, high-flying journalists, successful businesspeople – and too little time with ordinary voters. If they could become “humble, competent people on a level with dentists,” as John Maynard Keynes once suggested, voters might identify with them and find them trustworthy.

  3. benami152_KiyoshiOtaPoolGettyImages_trumpmelaniaeatinginJapan Kiyoshi Ota - Pool/Getty Images

    Don’t Feed the Donald

    Shlomo Ben-Ami

    For Japanese Prime Minister Shinzo Abe, appeasing US President Donald Trump is not so much a choice as a necessity: he must prove to Japan’s people and their neighbors, particularly the Chinese, that he knows how to keep Trump on his side. But Abe's strategy won't work with a US administration as fickle and self-serving as Trump’s.

Cookies and Privacy

We use cookies to improve your experience on our website. To find out more, read our updated cookie policy and privacy policy.