Ever since the demise of Mao Zedong, founder of China’s communist party, his successor, Deng Xiaoping, opened China’s gates for overseas investments and companies that made it an economic world power it is today.

The communist ideals that Mao started have banned businesses in the country but Deng have turned China from a communist agrarian system of economy into a capitalist system. 

Leading in exports and manufacturing has given the country a great economic advantage and in the world market.  Foreign businesses, particularly from the US, outsource their labour force in China particularly for cheap labour. 

In just a decade, the transformation of China has become a testament to its elaborate form of economy.  This year’s forecast in China’s economy looks forward to a 7-9 percent growth in GDP.

The Chinese are also distinguished for their business aptitude.  In every country around the world where there is a considerable Chinese populace or China towns, a lot of them make their income by way of business and most of their businesses are stories of triumph.

As China’s economy continue to rise, a lot of finance experts still see heaps of hurdles that could delay its economic growth. 

Economic imbalance is one of these causes.  One of which is the one-sided development concerning the metropolitan and rural areas.  Even though the quality of life for people living in urban areas have somewhat improved, a lot of people in the rural areas still experience hardships particularly in the farming and housing communities.

This situation might somewhat resemble Mao’s “Great Leap Forward” where the chairman converted farmers to become steel workers resulting to China’s starvation.  Today’s China, however, have learned from past errors and is somewhat sensible to its food production but it still has a long way to go before it can achieve perfect balance.

The political climate in China can also be a likely obstruction.  So far, every dissent in the country has been suppressed with no mercy in its mainland and other places they allege to be theirs such as Tibet. 

China is also poised to keep Tibet under an iron grip and their way of doing this is by building infrastructures, encouraging Chinese from the mainland to migrate, and crushing oppositions.

Other sections in China like the province of Xinjiang, home for sizeable number of Chinese Muslims known as Uighurs, is also experiencing both economic and political unsteadiness because of strife. 

The most serious of all potential causes for China’s development is climate change.  China has now exceedingly overtook the US in carbon emissions and pollution.  The consequences brought about by this could not just upset China, but also the other countries.  The amount of carbon dioxide getting stuck on the planet will cause rising sea levels will undoubtedly cause problems in China’s south, and could even melt glaciers from China’s western part and the Tibetan region which will ultimately be a cause of flooding and fresh water shortages.



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