The impact of foreign direct investment in China Thesis

The extend to of foreign direct investment in China - Thesis ExampleHis hypothesis was based on relative efficiency and opportunity cost that determined the production of commodities by each countries and eventual tack of the same between them leading to trade between them that can easily be visualized in terms of international trade (Ricardo, 1821). However, much before both Smith and Ricardo, in ancient propagation China was a trade superpower and was involved in active trade transaction with more European and other Asian countries. This might resembles with theorists favoring bullions or monetarists theory of economic thought tho neither of them extends an absolute explanation. Chinese indigenous goods that mainly comprised of valuable and costly silk of highest quality, extremely fine porcelain products, bomber powder, and compass and last but not the least printed papers made their way into other Asian lands through the famous silk root. The same had also swum through the seas and oceans to knock the shores of the European countries where they made great profit, along with great reputation (Bodde, 1942 Chow, 2005, p.1). This sort of trade was technology driven and came out of certain resource monopoly. non only those were mere goods that helped the Chinese economy to reach the pinnacle of its success but ground intermission inventions and innovations that held the Chinese head high at the global arena. Ironically approximately of those inventions were later credited to the occidental cosmea. Historically China is a country with huge population the most populated country of the world and in terms of area it also holds a substantial position. Both of these together created a huge market in China that was wealthy and a point of immense attraction for other countries to target up business ties with the same. It would not be an exaggeration that Chinese technology at that time was cold more improved than the rest of the world but a technological b ackwardness soon gimpy the nation as the Chinese monarchy was coming to an end. Inequality of wealth among the Chinese people and absolute handle on behalf of the late monarchs as well as the upper line of the basic needs of the parkland people might be considered as the rime cause of this decline. The Chinese monarchy was riddled with undercurrents and mutual conflicts that added to the bother and especially the European businessmen cemented their feet taking advantage of this situation. Greed of the upper class that were busy to get the last fallen fruits of Chinese monarchy took no care of the common Chinese and dreamt of building their glass dwelling house over the flesh, blood and bones of the common people (Mou, 2009, p.483). Once a flourishing nation was therefrom turned into a lucrative playground for the European business bullies who were lurking as opportunist vultures to make the most out of this wealthy but technologically backward trailing country that was wrestl ing among their own class conflicts. Through this process China lost their dominant global presence and entered a state of stagnation. Amidst this harmful environment the emergence of Sun Yat-sen might be considered as the first fresh air. Though his breeding was short lived yet he fought the war lords bravely and is