Sample Term Paper

Words 2,100

This term paper analyzes the phenomenon of Chinese economic growth, especially its trade relationship with the US including cheap exports, currency difference in price and the huge U.S. trade deficit. The paper analyzes each underlying cause of the issue.


  • Introduction
  • Chinese Exports-features and causes of increased productivity
  • Trade Deficit-Causes
  • Currency differentials and Pegged Pricing
  • Conclusion


China is world’s second largest economy. Growing at a faster clip than any other major nation, it is on course to exceed the United States as the world’s largest economy within two decades. Some observers discount the Chinese growth numbers as embellished, but shaving a point, as they suggest, of a GDP growth rate of seven to eight percent would still leave China with the most rapid growth rate in either the developed or developing world over a sustainable time period. Other observers, relying on proxies such as energy consumption, argue that China’s growth rate is in fact higher than the official numbers suggest. While the Chinese economy faces some serious roadblocks, such as a crumbling bnking system, an inefficient service sector, and a major disenfranchised element, these obstacles are more expected to slow rather than stop China’s economic march. The impact of a rising China on the countries of the world—both developed and developing—will be gigantic, and so will be the need to develop strategies and responses to meet the challenge. (Dumbaugh, 2005)

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