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Unformatted text preview: and importing high technology products into China. Coastal regions and cities were allowed to experiment with free market reforms and offer tax and trade incentives to attract foreign investment. State price controls on a wide range of products were gradually eliminated. 3. China's economy has grown substantially faster since the economic reform. China has become one the world's fastest growing economies. China's rapid development has raised nearly 200 million people out of extreme poverty. 4. Chinas two main causes of economic growth were large-scale capital investment and rapid productivity growth. Large-scale capital investment was financed by large domestic savings and foreign investment. China's trade and investment reforms and incentives led to a surge in foreign direct investment (FDI), which has been a major source of China's capital growth. Productivity gains came from an increase in the efficiency in which inputs were used....
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This note was uploaded on 04/18/2008 for the course AG 201 taught by Professor Dillivan during the Spring '08 term at Southeast Missori State University.
- Spring '08