Economic history of China (1949–present)

The economic history of China describes the changes and developments in China's economy from the founding of the People's Republic of China (PRC) in 1949 to the present day. The speed of China's transformation in this period from one of the poorest countries to one of the world's largest economies is unmatched in history.: 11 

This article is about Economic history of the People's Republic of China. For economic history of the Republic of China during the period when it only controls Taiwan area after 1949, see Economic history of Taiwan § Modern history. For The economic history of China between 1912 and 1949, see Economic history of China (1912–1949).
See also: Economy of China

Since the PRC was founded in 1949, China has experienced a surprising and turbulent economic development process. It has experienced revolution, socialism, Maoism, and finally the gradual economic reform and fast economic growth that has characterized the post-Maoist period. The period of the Great Leap Forward famine negatively impacted the economy. The chaos of the Cultural Revolution also disrupted the economy. However, since the period of economic reform began in 1978, China has seen major improvements in average living standards and has experienced relative social stability.

Since the Reform and Opening Up period, China has evolved into a backbone of the world economy. China has been the fastest growing economy in the world since the 1980s, with an average annual growth rate of 10% from 1978 to 2005, based on government statistics. Its GDP reached US$2.286 trillion in 2005. Since the end of the Maoist period in 1978, China has been transitioning from a state dominated planned socialist economy to a mixed economy. This transformation required a complex number of reforms in China's fiscal, financial, enterprise, governance and legal systems and the ability for the government to be able to flexibly respond to the unintended consequences of these changes. This transformation has been accompanied by high levels of industrialization and urbanization, a process that has influenced every aspect of China's society, culture and economy.

This article is issued from Wikipedia. The text is licensed under Creative Commons - Attribution - Sharealike. Additional terms may apply for the media files.