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Economics - Research Paper Example

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Introduction United States of America is considered a super power of the world. It was once considered an economic model to be followed as it applied the system of laissez faire. With rapidly booming technology in the 1990s, the American economy surpassed greatly…
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Economics

As a result, the Current Account Balance of has been continuously deteriorating. It has not been long that China gained its position as a sovereign independent state. Initially, a centralized system or a planned economy was being focused upon. But later, the Chinese economy became more reliant on market oriented techniques and by the year 2000 the output of China quadrupled (CIA Factbook). Today China is an epitome of prosperity and economic development. It is the economic giant of today’s world. Its main focus has been on the manufacturing sector and is the major exporter of different goods and services. In this recessionary phase, China has managed to be coped very tactfully. With rising production and employment generation, not only the standard of living is being improved in China but also the economic position of China is being strengthened extensively. China manages to maintain a positive Current Account Balance in this phase of depressing worldwide economy. Additionally, China owns a large amount of foreign reserves to back its economy as well. The demographics of both the countries are different in the sense that China has the largest population of the world whereas, USA is at number 3. ... Read More
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