Geopolitics and Global Economics: The Rise of China

Over the past years, Kavan Choksi has looked closely at how the economies of the U.S. and U.K., as well as the rest of the world, behave and where the future is likely headed based on their moves. In this blog post, he discusses how China maintains its economic dominance.

First, Kavan Choksi observed a huge improvement in China's technology.

There was once a time when the tag "made in China" was treated as a running joke to describe how China-made products were synonymous with poor quality. Though there might be somewhat of an argument for that even today, one must note how significantly China has improved its technology.

China has built its own satellites, spaceships, nuclear weapons, and more. Even more mind-blowing, experts believe that China is only scratching the surface of its potential.

Then, there's China's low cost of labor, which in turn means their products aren't all that expensive.

Kavan Choksi explains that the rest of the world is almost beholden to China, just by looking at the number of consumer goods that it has had a hand in creating.

Today, it's no longer surprising to know that the most popular smartphones have components and parts made in China. Even European car manufacturers admit that they have included China-made products in their vehicles since they are far more affordable.

Finally, in a clear attempt to be more competitive on the international scene, China has been actively adopting English in numerous industries for a decade now.

For a few years running, all state employees younger than 40 have been required to master at least 1,000 English phrases. In addition, all schools have begun teaching English in kindergarten. Meanwhile, the government has been funding extensive teacher training programs to attain the goal.

In time, Kavan Choksi mentions, China will communicate and negotiate in English more competently, making it a stronger force in world economics.

For more of Kavan Choksi’s insights on global finance, business, and economics, check out this page.