China Economy Of War

The Economy of War and Peace: How China’s War Prone Forces Are Controlled by the CCP The leader of China matters. Under Deng Xiaoping, a reformist who started the trend of privatization and changing the rules of the Chinese economy, the wealth in China has been growing immensely. Further carried out by the current leader, Xi Jinping, the changes from a Command Economy to a Free Market Economy have been gradually underway. This has allowed for more trade to be carried out with other countries such as the United States, Europe, and the Middle East. The message is clear; China needs other nations to aid in the transition to a market based economy to continue their growth trajectory. In order to gain international prestige and rise as a superpower, …show more content…
In contrast to the Old Economic system, the New Economic model stresses the importance of globalization and freedoms in the market. China needs international trading partners like the US and Europe who are already entrenched in the New Economy in order to leapfrog existing Old Economy institutions and avoid the Middle Income Trap. China can learn from other countries on how to do international exchange and become competitive in the world market, as well as learn from mistakes made by the Soviet Union as they were transferring to a New Economy system. One example of how China is using the existing institutions and building their economy by copying other powers, is through the World Trade Organization. By being one of the Most Favored Nation states in the World Trade Organization, China was able to facilitate a massive growth in their economy by increasing imports and national influence in existing institutions. In addition, China became a veto country in the UN, which made China a mover and shaker in the international sphere. This supports the idea of Neoliberalism which claims that international cooperation can be achieved in the world system through institutions as they give smaller states the opportunity to rise and to get their voices heard. The UN can help solve conflicts such as the rising security dilemma between the US and China, which means that there is the opportunity for China to have a peaceful rise. An example of this idea is in the article “China and the Evolving World Order” by Suisheng Zhao. Zhao argues that China is “dissatisfied not with the current order but its position in the order” so by creating connections with the major hegemonic powers, China can increase its own sphere of influence (Zhao, p. 1). China can achieve its overall goal of becoming a major world power by gaining

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