China’s Growth Miracle: Past, Present, and Future

Over the past 35 years, China has achieved extraordinary economic performance thanks to the market-oriented reforms and opening-up. By the end of 2012, China became the second largest economy by GDP size (nominal and PPP terms) just after the United States; The GDP per capita also reached to $6075 in 2012, up from $205 in 1980; Regarding the openness, as the largest exporter and second largest importer, China has accumulated $3.3 trillion in foreign exchange reserves, ranked top in the world. Meanwhile, China has been remaining the largest recipient of Foreign Direct investment (FDI) among the developing countries for the last two decades and more recently, came to become the No.5 exporting country judged by the outwards FDI. Nowadays, as a major driver of the global growth, the incremental contribution of China has surpassed that of the U.S. All the above phenomena can be undoubtedly summarized as China’s growth miracle..