I'm going to make a presentation on this topic in class in next two weeks and I'd really like to collect some global ideas. So please do me a favor post your thoughts here. Thank you!
Some background information from Word Bank Opinion http://money.netscape.com/story/2007/01/23/world-bank-opinion-chinese-economy-does-not-pose-any-threat-to-world/
I think only China may be however if China co with India like they have said,
what a big marketplace in the world. How can you imagine?
I don't think China is a threat to the world economy.
China produce very low add-on value products to change products those like cars, computers, softwares.
What threat will China make?
Their labour work more than 12 hours per day to make shoes, clothes and sale them quite cheep to advanced country, why not think it is a good thing to who import Chinese products.
As they said:"China has become a leading source of investment for some African and Latin American countries. " Why other country have no interesting to invest there? I think the answer is, the market of African and Latin American countries is too small to take a look at.
Currently China seems to be threat but in coming days it will tame down and India will rise against it to face the situation. What China does is to sell goods cheap but without any quality.
It is necessary to concentrate on quality otherwise people who buy cheap dont repeat or return back to the same manufacturers.
I don't think so. They own a lot of dollars and the have an totalitarian regime, but I think they are now real threat: The people there want to become like the residents of western countries, and they are definitely no communists anymore..
The answer is: it depends. At the moment, China is one of the quickest growth economy in the world, and not the competitor for most countries. there is no sign to say that. However if something suddenly happens to it's regime or the war breaks up between the strait, that would be.
In all things there are winners and losers.
If you believe you're going to be worse off due to China's growth you'll think that the economy is threatened.
If you believe you're going to be better off you'll think that the economy is not threatened.
Overall, though, there'll be the same amount of resources in the global pot. So, no threat. Just redistribution.
But, GSIS, if you consider the power of the banks to create money, you must say that China could be a threat to the global economy, if one can prove that they will save instead of investing.
In other words, there'll be no change unless they save instead of investing..
Posing a risk to the U.S.A's economy however...
I guess with over a billion people in each country, there are lots of people who will be interested in buying quality western products. I see the development of China and India as a huge market opportunity for western countries.
China and India have huge populations. Now that the countries are industrializing there are lots of educated and hardworking people. The west should be afraid of them because they represent a dangerous competition!
Although China is still producing largely low quality products, they are also producing them for little money, which at times is more important.
Besides, judging by the technological know-how that is being transferred to China (Chinese engineers literally steal technical information and documentation) China will soon be able to compete in high quality products. They already have a fairly advanced space program.
India's IT experts are renowned world wide and there is an increasing demand in experts from there.
Glad you mentioned the totalitarian regime. Another threat that China poses to the west is its political system. Although there is a one party rule, a total disrespect for human rights, censorship and repression, China is economically very successful and its economy is booming as any western country can only dream of nowadays. Because of this economic success the Communists Party is very rich and powerful and most people don't question the legitimacy of the current regime, since it has improved their lives. China is in fact anything but communistic.
I've voted "YES", since I am not from China. They are no more a weak country just like during the World War ll. They starting growing and growing and will be the biggest country in economy influence to the world in one day.
China have the biggest population just like India. They have low labor wages, advance technology, rich of natural resources. Their people is hardwork, friendly, and pretty as well. I kinda love China chick.
Now, they are able to pull up their satellite and held Olympics Game just like other western country. They definitely have the ability to influence the world economy in one day.
They produce a lot of goods, export its to all around the world. I can say that you will find some thing in your house which is "Made in China" one day. Don't forget, most of the thing you get it from Wal-Mart, 80% which is imported from China.
This is just my point of view.
If the question is:
... then some posters seem to be answering a totally different question:
If you posted the original question just as it was given to you as a presentation topic, then what needs to be discussed is:
Does a strong free-market economic system in a nation controlled by a repressive state pose a danger to international free trade? In my opinion, the answer in this case would be "yes". If we assume for a moment that China reaches or at least approaches US/European production levels (and Japan has shown us how quickly that could be achieved) then I certainly see a problem. If half of the top 500 corporations today were not American or European but Chinese, then the influence the Chinese State could be disastrous. Especially so, because they would use this power politically much more so than western Democracies have been willing to use it in the past.
in terms of business, what is a threat? any business has to be competitive in some respect, be it cost, quality, innovation or a combination of these. if you lose the edge you had then you feel threatened - in other words, better get your act together. on a global scale it's exactly the same. at the moment chinas economic edge is low cost and the west is quite happy to exploit that by transferring manufacturing capacity there and reaping extra profits - while at the same time quite un-patrioticly putting their own country fellows out of work. but business is business and the shareholder is king.
china investing in developing countries. wow, great. i life in the gambia, west africa. we need investment. so do many other poor nations all around the globe. yes, with investment comes economic and political influence - there is nothing new and it's an accepted international principle.
in respect of the above bolded quotation. the so-called western democracies are the masters in economic - read political - bullying and manipulation and have been so for centuries. this has been perfected during colonial times and has not stopped since - only the trminology has changed but the principles are the same. modern day slavery has simlified in that now the manufacturing process is being taken to the slaves - not the other way round. oooops. china is a prime example. it is mostly western conglomerates who order products from china but only because of the low labour cost. i think i just gone full circle.
I myself respect chineese people first because of hard work and sincerity .There is very little or almost no corruption in whatever they manufacture.I really feel that china is comming up with great strength.I see many chinese products so cheap and of good quality comming to the market.Chinese products have blocked the other products in other countries.I feel soon china will be the strongest economy of Asia.
The new chinese market is definitely an apportunity for the whole world, but you cannot blame the whole China for not giving you this opportunity and attribute it as a THREAT to the whole world. As for the business area, many Chinese companies are setup and many global corporations are opening their affiliate in China, because you can hire equally qualified people there with lower cost. If this is a threat to your local company, then you are just tided out by the globalization trend, but not by China. It could be Vietnam, Indonesia, Thailand or other countries, even not China. As for the military power, I have never seen chinese army colonizing in other countries, from the whole history, and making wars only for oils and resources. Therefore, I guess, China will not be a threat to the world. Otherwise, there are just so many earth-killing threat in the world now.
They're definitely using up a lot of resources, but personally I don't think it's a threat to the world economy. As for the US economy, that might be a different story.
This question is open to interpretation, which makes it beg more of an emotional response rather than a logical one. Before you can ask if it threatens the economy, you have to decide what is "good" for the world economy. Is it the right of economies to develop freely? Is it when all economies have a decent general welfare? Is it when employment is pleasant and plenty? After you answer this, you can decide if it is a risk. I, however, see that any country is a potential risk, as well as a potential benefit.
This might be a knee-jerk response to the headline of this thread, as I haven't read many of the replies to the original post, but I think a better question than "Is China a threat to the world economy?" may be "Is China a threat to the U.S. economy?".
Some people like to think of the world economy as a zero sum game. This is a very primitive model to which I do not personally subscribe, but it basically says that our loss is our competitor's gain, and vice versa.
Since China is a constituent of the world economy, their growth can hardly be considered as a threat to the world economy. It will simply serve to redistribute the wealth and resources of the world away from us and toward them.
A few things that I don't like about are trade with China are China's lower production standards, manifested by all of the Chinese toys that are hurting our children and the Chinese dogfood that is harming our pets, etc... And China's use of prison labor. They're able to export commodities so cheaply because they don't have to pay wages to prisoners who assemble and produce them.
So in the global forum, American laborers are literally competing for jobs with laborers in Chinese prison camps.
It's not confusing that many great men in our nation have advocated isolationism.
But more urgently than fixing the world economy we need to fix our own economy. And more urgently than fixing our own economy we need to fix ourselves.
Say hi to your mom for me.
China one of the largest consumer markets in the world. However i dont feel that makes it anymore of a "threat" to the world's economy than say the U.S. which at my last check was also one of the world's top grossing countries if not the top. Even California itself is in the top ten.
Uhm oil?? They release the cheap Chery QQ here in China and now everyone has a car. It doesn't look like the government is zoning up suburbs quite yet, but if China were to look like the US we'd run out of oil in no time.
And the US is not prepared yet for that. People don't understand what a luxury it is to live in those huge homes 60 miles from work. It will take time to adjust to China growing up.