China's Economic and Its Effects on the Environment
How far has the acceleration of economic growth produced environmental deterioration in China?
China is one of the world’s economic powerhouses as it became large enough to influence the world market, dynamic enough to contribute to the world’s economy and sufficiently open to trade and capital flows to have a major impact on other countries. With the world’s largest current account surpluses and foreign exchange reserves and economic growth that have averaged at 10% the past thirty years, China’s economic growth developed under the intense economic reforms of the late seventies, resulting in accelerated growth. This is clear as its Gross Domestic Product in 2006 was thirteen times higher than what it had been in 1978. This economy was built on notably high saving rates, a huge labour pool and a powerful work ethic, allowing China to become the world’s largest exporter of technology goods and largest manufacturer in the world. This rapid economic growth did have negative effects on China’s environment, as growing Chinese industry resulted in a higher need for energy use. This high energy consumption from the reform years resulted in China’s environment becoming deteriorated.
The rapid economic growth has resulted in China’s being on ‘the cusp of environmental catastrophe’ as 300 million people have no access to clean drinking water. For many Chinese regions diminishing water supplies are an increasing social, political and economic problem. These water shortages have resulted mainly due to the increase demand of water from the agriculture sector as well as the residential areas. In Northern China we see how this agriculture is heavily responsible for these water shortages as eighty-five percent of the arable land is irrigated. Compared to the ten percent of irrigated arable land we see in the United States, it is clear that Chinese use of water on agriculture is extensive. Increasing use of water in the residential areas has also contributed to these water
China is one of the world’s economic powerhouses as it became large enough to influence the world market, dynamic enough to contribute to the world’s economy and sufficiently open to trade and capital flows to have a major impact on other countries. With the world’s largest current account surpluses and foreign exchange reserves and economic growth that have averaged at 10% the past thirty years, China’s economic growth developed under the intense economic reforms of the late seventies, resulting in accelerated growth. This is clear as its Gross Domestic Product in 2006 was thirteen times higher than what it had been in 1978. This economy was built on notably high saving rates, a huge labour pool and a powerful work ethic, allowing China to become the world’s largest exporter of technology goods and largest manufacturer in the world. This rapid economic growth did have negative effects on China’s environment, as growing Chinese industry resulted in a higher need for energy use. This high energy consumption from the reform years resulted in China’s environment becoming deteriorated.
The rapid economic growth has resulted in China’s being on ‘the cusp of environmental catastrophe’ as 300 million people have no access to clean drinking water. For many Chinese regions diminishing water supplies are an increasing social, political and economic problem. These water shortages have resulted mainly due to the increase demand of water from the agriculture sector as well as the residential areas. In Northern China we see how this agriculture is heavily responsible for these water shortages as eighty-five percent of the arable land is irrigated. Compared to the ten percent of irrigated arable land we see in the United States, it is clear that Chinese use of water on agriculture is extensive. Increasing use of water in the residential areas has also contributed to these water
Bibliography: S. Managai, Technology, Natural Resources and Economic Growth, (Japan, 2011) C E. Economy, The River Runs Black, (Ithaca and London, 2004) Minxin Pei, ‘The Dark Side of China’s Rise’, Foreign Policy, 153, 2006 [ 2 ]. Minxin Pei, ‘The dark side of China’s rise’, Foreign Policy, 153, 2006, p.32. [ 3 ]. Shunsuki Managi, ‘Technology, Natural Resource and Economic Growth’, (Japan, 2009), p. 3) [ 4 ] [ 5 ]. E. Economy, ‘The River runs Black’, (Ithaca and London, 2004), p.68. [ 6 ]. E. Economy, ‘The River’, (Ithaca and London, 2004), p. 69.