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Why China Cannot Become Global Economic Leader?

Presentation Dedicated by: Cheah Lee Chuen Chia Mei Si Fong Kai Yew Lee Kok Leong Te Hui Woon Tan Soo Lee Yong Woon Shin

The United States The World Economic Leader

Political Aspects:
Parliament system General election & transparency in administration Representative democracy Federalism- shared power between the national & states government Bipartisanship & Republican Veto power that possessed is unquestionable

The United States The World Economic Leader

Socio- Cultural Aspects:


- Maintain stable & low unemployment rate - Culture, value & language is universally accepted - Strong culture belief of equal opportunity & economic mobility - Freedom of expression, freedom of press & transparency of governance - Emphasize on labor law & human right

The United States The World Economic Leader

Economical Aspects:
GDP at PPP: world largest, 1/5 of global GDP at PPP Largest national economy since 1870s Largest trading nation & manufacturer World largest & most influential financial market 60% of global reserves has investment in U.S.D Commodity (esp oil) are traded in U.S.D Majority IB are traded in U.S.D too Freely traded currency & largest green bag of Forex reserve currency for other foreign countries

The United States The World Economic Leader

Technological Aspects:
Leading nations for technology & innovation Top most country for R & D effort & investment Leading country for scientific & engineering talent Highest place in innovation level, patient/ capita 13 hubs of technology innovations Proper governance of law & regulations for patents & copyright and emphasize on intellectual property right

The United States The World Economic Leader

Military Aspects:
1st rank in global military strength Highest expenditure for military R &D investment Leading nations in terms of fire power & equipments Involvement in UN is inescapable, maintain as leadership habit in UN Top ranking for defend spending budget & expenditure 3rd rank for total oil production

Gap between United States & China

Political Aspects:
People of Republic of China
Communist party of China No general election & transparency in administration Central committees responsible in authoritarian in structure & ideology No shares power between national & states government Unitary government centralizing states, military & media Party control is tightest in government offices and in urban economic, industrial, and cultural settings

The United States


Parliament system General election & transparency in administration Representative democracy Federalism- shared power between the national & states government Bipartisanship & Republican Veto power that possessed is unquestionable Republican- law limits the power of the United States government

Gap between United States & China

Socio-Cultural Aspects:
People of Republic of China
Concentrated and limited to privileged people, gap between rich and poor is too big may lead to social instability Infiltration of soft power in terms of culture, value & language is not adpoted by others countries Constraint in speech & media Public images and corporate social responsibilities practices still need to be improved in future. Not really concern about labor law & human right

The United States


Maintain stable, low unemployment rate Culture, value & language is universally accepted Strong culture belief of equal opportunity & economic mobility Freedom of expression, freedom of press & transparency of governance Good public images and corporate governance is well practiced in the United States Emphasize on labor law & human right

Gap between United States & China

Economical Aspects:
The United States People of Republic of China
Worlds largest exporter, the 3rd-largest economy in terms of GDP Dramatic progress in economic development is recently being exploited Currency not freely traded & controlled by the People of Bank of China (Pegging) Global investment towards RMB is not significant Lag behind in Economic Freedom Zone IB & Commodities not traded in RMB Not accepted as green bag of Forex reserve currency by other countries 1st rank in reserves exchange & gold

World largest, 1/5 of global GDP at PPP Largest national economy since 1870s Largest trading nation & manufacturer Largest & most influential FM 60% of global reserves has invested USD Commodity (esp oil) are traded in USD Majority IB are traded in USD Top ten in Economic Freedom Index Freely traded currency & largest green bag of Forex reserve currency for other foreign countries Highest Global Public Debt

Gap between United States & China

Technological Aspects:
The United States People of Republic of China
Dramatic increase in technology-based economic competitiveness. Highly dependent on foreign inputs and investments Considerable resources with which to acquire technology for research Internal technology innovation continue lag behind of U.S. Improper governance of law & regulations for patents & copyrights Emphasize on intellectual property right is not obviously seen Have the funds to invest on R &D in near future

World leading nations for technology & innovation Top most country for R & D effort and investment Leading country for scientific & engineering talents Highest place in innovation level, patient/ capita 13 hubs of technology innovations Proper governance of law & regulations for patents & copyright and emphasize on intellectual property right With the debt , it would lag behind to R & D investment in future

Gap between United States & China

Military Aspects:
The United States People of Republic of China
Prospect of China significantly increasing its military power Investment towards military R & D still lag behind as compared to U.S. especially in technology innovation 1st rank in active military manpower and labor forces of the world Participation and involvement of China is not active in the chaotic region/ nation Using cyber warfare to leapfrog the military competitiveness Dependable towards other countries for oil supplementation

1st rank in global military strength Highest expenditure for military R &D investment Involvement in UN is inescapable, maintain as leadership habit in UN Top ranking for defend spending budget & expenditure Working more closely in military-tomilitary relationships to include combined training, joint patrols, and shared medical and civil engineering missions Top 3 in total oil production by country

Gap between United States & China

If China were to become Global Economic Leader.


Political system should be reform to cater all parties benefit of interest Transparent administration & general election should be carried out Ameliorate social inequalities Improve public images, allow freedom on speech & media press, and emphasize on human right Infiltrate its culture, language, belief & value universally

If China were to become Global Economic Leader.

Focus on sustainability and quality of economic growth Ensure benefit of economic growth spread equally to the Chinese population Reformation & rebalance of income distribution Urbanization & inland development Ensure employment on target Encourage of private investment and R & D investment Industry upgrading and emerging strategic industries Unpeg Chinas currency and allow free market trading of foreign exchange & IB

If China were to become Global Economic Leader.


Emphasize in R & D investment for technology & military so as to enhance competitiveness Develop talent recruitment through education reform and strengthen countries IP regime Improve internal indigenous innovation capabilities Increase investment in human capital Proper governance, law & regulations Informatization should be enhanced Actively involvement in the United Nation & exercises its veto power globally

THANK YOU FOR YOUR ATTENTION.

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