Analysis of the costs and benefits of China`s economic reforms in last Essay

Analysis of the costs and benefits of China`s economic reforms in last decades - Essay Example The early reforms were more definite since they were responses to definite problems and crisis of that period. In the second phase, the reforms were adapted to new set of challenges and opportunities (Naughton, p.107). China has shown a remarkable economic progress after centuries of oppression by the Westerners. Recently the China Daily newspaper has conferred that the nation is an example to all nations who are struggling to stand on their own feet (Callick, 13). In 1991, General Secretary Jiang Zemin that temporary difficulties cannot prevent the Chinese from continuing to develop (Saich, 75). This paper is the best example of analysis of the pros and cons of China’s economic reforms in recent decades. In the early 1990s, China’s approach towards economy resembled any other transitional economies with emphasis on sustaining balanced and efficient financial policies. The principles objectives were to eradicate corruption, promote a developed market economy and maintain fair competition in the domestic market. China’s fiscal policies are mostly complex and have yield varying resulting in different phases of reform. The early reforms were more definite since they were responses to definite problems and crisis of that period. In the second phase, the reforms were adapted to new set of challenges and opportunities. China has shown a remarkable economic progress after centuries of oppression by the Westerners. Recently the China Daily newspaper has conferred that the nation is an example to all nations who are struggling to stand on their own feet. It has been rightly assumed that the conversion of China from state socialism to market economy has generated pervasive corruption. With constant changing of reforms, public official took the opportunity to fulfill their personal ambitions. The factors encouraging corruption became more apparent from the pre-reform era with officials submerged in informal relationships. Market reforms in China have paved the way for growing disparity among different sectors of the society. Since policies now are mostly market based, the former strong relationship between the Communist Party and the Labor has deteriorated. Chinese economy today focuses mainly on urban regions. The transformation phase of China can be educative but only from the perspective of the overall transition