Words to Know • Communist Party of China (CPC) • People’s Republic of China (PRC) • Republic of China (ROC, Taiwan, Formosa Island) • Import/Export • Mixed Economy • Tiananmen Square • Pollution (Air/Water/Soil)
The People‘s Republic of China is one of the largest countries. With a population of over 1.3 billion, roughly one-fifth of the world's total population. • The PRC is involved in a long-running dispute over the political status of Taiwan ROC. The CPC's rival during the Chinese Civil War, the Kuomintang (KMT), retreated to Taiwan and surrounding islands after its civil war defeat in 1949, claiming legitimacy over China, Mongolia, and Tuva while it was the ruling power of the Republic of China (ROC). The term "Mainland China" is often used to denote the areas under PRC rule, but sometimes excludes its two Special Administrative Regions: Hong Kong and Macau. • If the ROC declared formal independence from the PRC, guess what the response would be from the PRC?
China is often considered as an emerging superpower.It has the world's 2ndlargest economy. China is also a permanent member of the United Nations Security Council and Asia-Pacific Economic Cooperation. Since 1978, China's market-based economic reforms have helped lift over 400 million Chinese out of poverty, bringing down the poverty rate from 53% of population in 1981 to 8% by 2001. However, China is now faced with a number of other economic problems, including an aging population, an increasing rural-urban income gap, and rapid environmental degradation. • China plays a major role in international trade. The country is the world's largest consumer of steel and concrete. It is also the world's second largest importer of petroleum.
Interactive Notebook Question(Left Side) • Think-Pair-Share • What island group is China fighting for control from their former enemies?
Graphic Organizer PRC ROC VS Communist Democratic Command Economy Market Economy
After the Chinese Civil War, mainland China underwent a series of disruptive socioeconomic movements starting in the late 1950s with the Great Leap Forward and continued in the 1960s with the Cultural Revolution that left much of its education system and economy in shambles. • Reforms on the mainland have led to some relaxation of control over many areas of society. The PRC government still has almost absolute control over politics, and it continually seeks to eradicate threats to the social, political and economic stability of the country. Examples include the fight against terrorism, jailing of political opponents and journalists, custody regulation of the press, regulation of religion, and suppression of independence/secessionist movements.
Student Demonstrations in Tiananmen SquareJune 3-4, 1989 • Tiananmen Square is a large public square in Beijing, China, on the southern edge of the Inner or Tatar City. The square, named for its Gate of Heavenly Peace (Tiananmen), contains the monument of the heroes of the revolution, the Great Hall of the People, the museum of history and revolution, and the Mao Zedong Memorial Hall. • A massive demonstration for democratic reform, begun in Tiananmen Square by Chinese students in April, 1989. It was brutally repressed on June 3 and 4, 1989. • The demonstrators were joined by workers, intellectuals, and civil servants, until over a million people filled the square.
Tiananmen Square • Martial law was declared on May 20. The protesters demanded the government resign, but the government answered on the nights of June 3 and 4 with troops and tanks, killing thousands to quell a "counter-revolutionary rebellion.“
Interactive Notebook Question(Left Side) • Think-Pair-Share • How and Why did the students at Tiananmen Square upset the Communist Government?
Graphic Organizer China
Economic Statistics • Statistics • Exports: $1216 billion (2007) • Exports - commodities: machinery and equipment, textiles and clothing, footwear, toys,, plastics, iron and steel • Exports - partners: US 21.0%, EU 18.1%, Japan 12.4%, • Imports: $953.9 billion (2007) • Imports – commodities: oil, optical and medical equipment, organic chemicals. • Imports - partners: Japan 16.8%, EU 12.4%, US 7.9%,
Economy ofthe People's Republic of China • Currency yuan (CNY) • Exchange rate (2007) • CNY :$ USD = 7.61 CNY :¥ JPY100 = 6.47 CNY :€ EUR = 10.55 CNY :£ GBP = 15.23 • GDP per capita $2,034 • Agriculture (11.7%), industry (48.9%), services (39.3%)
In 1978, Deng Xiaoping initiated China's market-oriented reforms. Economy • Slowly the economy is moving from a command economy to a more market-oriented economy that is still within a rigid political framework under Party control (Mixed Economy). The reforms allowed a wide variety of small-scale enterprises to flourish, and promoted foreign investment. These changes resulted in mainland China's shift from a planned economy to a mixed economy.
3 Questions for any Economy, China edition. • 1. What to produce? • 40% of the Chinese economy is still based in state-run industries • 60% of the economy is based on the private sector in where producers and consumers make production decisions • 2. How do produce? • The many inefficiencies found in the state-run industries, particularly in the area of agriculture, limit China’s growth. • In the private market, the speed of economic growth has caused Chinese officials to have increasing difficulty monitoring consumer safety and environmental pollution.
3 Questions for any Economy…(China edition) • 3. For whom to produce? • China requires food production to meet self-sufficiency levels for the nation and only the surplus may be exported. In reality, there is not enough proper storage of food to meet the self-sufficiency requirement. • China exports a large amount of manufactured goods. However, the expanding middle class in China is seen as a growth market for both Chinese and foreign companies.
Modern ChineseEconomy, Which type of Economy is found in China today?? Write your answer on the left side of your INB
Education and Investment = GDP??? • Students in China are required to attend school at least till 9th grade. • China’s literacy rate is 90.9% • Capital investment 40.2% of GDP • How does this help or hurt the Chinese Economy?
The government now emphasizes personal income and consumption and focuses on foreign trade. • Chinese economic development is among the fastest in the world.
Interactive Notebook Question (Left Side) • Think-Pair-Share • By moving their economy away from a Command Economy to a Mixed Economy; what do the leaders of China hope to accomplish?
Mainland China has a reputation as being a low-cost manufacturer, which caused notable disputes in global markets. This is largely because Chinese corporations can produce many products far more cheaply than other parts of Asia or Latin America. There has been a significant rise in the Chinese standard of living in recent years. Today, 10 percent of the Chinese population is below the poverty line. • International trade makes up a sizeable portion of China's overall economy.
An entrepreneur is a person who has possession over a company, enterprise, or venture, and assumes significant accountability for the inherent risks and the outcome. • What do you think is the level of Entrepreneurship in China?
Interactive Notebook Question(Left Side) • Think-Pair-Share • Why do companies chose to do business in China?
Agriculture remains the largest employer in China, though its proportion of the workforce steadily declined. Women have been a major labor presence in China since the People's Republic was established. 40-45 percent of all women over age 15 are employed.
Graphic Organizer Low Cost Manufacturing China Moving from command to Mixed Economy Economics
Government • Although china is called a republic, true power lies with the ruling Communist Party. China has a President and a Premier. The President is the head of state while the Premier is the head of government. The President and Vice-President are elected by the National People’s congress. The Prime Minister is the head of the ruling party, the Chinese Communist Party. While there are elections for the National People’s congress, there is truly only one political party, the Chinese Communist Party. The State Council, which functions as a cabinet is appointed by the national people’s Congress. • Its incumbent President is Hu Jintao and its premier is WenJiabao.
Describe the ways governments distribute power (Left Side) • Unitary- a form of government in which power is held by one central authority. • Confederation-voluntary associations of independent states that, to secure some common purpose, agree to certain limitations on their freedom of action and establish some joint machinery of consultation or deliberation. • Federal-a form of government in which power is divided between one central and several regional authorities. • Which one is China today????
Citizen participation in government (Left Side) • Autocratic-government in which one person possesses unlimited power and the citizen has little if any role in the government. • Oligarchic-Government by the few, sometimes a government in which a small group exercises control especially for corrupt and selfish purposes. The citizen has very limited role. • Democratic-Government in which the supreme power is vested in the people and exercised by them directly or indirectly. • Which one is China today????
Graphic Organizer Low Cost Manufacturing China Moving from command to Mixed Economy Economics Communist Government Unitary Oligarchic
Population Growth • With a population of over 1.3 billion, the PRC is very concerned about its population growth and has attempted to implement a strict family planning policy. The government's goal is one child per family, with exceptions for ethnic minorities and flexibility in rural areas, where a family can have a second child if the first is a girl or physically disabled. The government's goal is to stabilize population growth early in the twenty-first century, though some projections estimate a population of anywhere ranging from 1.4 billion to 1.6 billion by 2025. • The policy is resisted, particularly in rural areas, because of the need for agricultural labor and a traditional preference for boys.
Graphic Organizer Low Cost Manufacturing China Moving from command to Mixed Economy Economics Communist Government Current Issues Unitary Oligarchic Population
Education • China has compulsory nine-year basic education. Many parents often invest large portions of the family's income on education.Private lessons and recreational activities are popular among the middle-class families who can afford them.
Graphic Organizer Low Cost Manufacturing China Moving from command to Mixed Economy Economics Communist Government Current Issues Education Unitary Oligarchic Population
Public Health • The Ministry of Health oversees the health needs of the Chinese population. An emphasis on public health and preventative treatment characterized health policy since the early 1950s. At that time, the party started the Patriotic Health Campaign, which was aimed at improving sanitation and hygiene, as well as attacking several diseases. • Health care in China is largely private fee-for-service.
Graphic Organizer Low Cost Manufacturing China Moving from command to Mixed Economy Economics Communist Government Current Issues Education Unitary Oligarchic Population Public Health