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  • Essay / Compare China's GDP and Economy - 1008

    When comparing the GDP of different countries, the size of that country must be taken into consideration. There are countries with large populations (e.g. China), countries with medium populations (e.g. United States), and countries with low populations (e.g. Singapore). Let's hypothetically assume that all 3 countries have the same GDP, then wouldn't Singapore be the stronger economy since it produces the same amount of goods/services with fewer resources? Thus, “simply calculating gross domestic product [can]…give a distorted picture of China's economic growth” (Levi). China's population is more than four times that of the United States, and technically its GDP should be at least three times that of the United States; However, it is barely higher, even after adjusting for PPPs. By definition, the Chinese economy is still much weaker than the American economy. Moreover, when you divide China's GDP by the gigantic size of its population, the result is bleak for a nation that prides itself on being the first