International trade, as a major factor of openness, has made an increasingly significant contribution to economic growth. Chinese international trade has experienced rapid expansion together with its dramatic economic growth which has made the country to target the world as its market.
After opening to International trade, China's economy has increased tremendously. China would be able to earn money by selling goods made in their country to other countries. As the population is very big in China, there will be a large number workers to manufacture goods. Goods would thus be sold at a lower price as the salaries of the workers will be lower with more workers working for the same company. This would result in Singaporeans spending lesser money to buy goods that are made in China, which will leave Singaporeans with more money to buy other stuff. We actually own many objects that are made in China! For example, most of our stationeries, toys and accessories are made in China. This shows that China is a very influential country and many of the goods that China produces are essential in our dally lives.
However, with the increase in China's economy, more countries would want to do business and trading with China as China has an abundance of land and resources. There will thus be lesser opportunities for smaller countries with little resources such as Singapore as there will be lesser countries willing to invest and do business with Singapore. This would result in economic loss in Singapore.
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