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China’s WTO Membership Benefits China’s Economic Growth

日期:2013-07-14来源:网络整理作者:论文代写点击次数:
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China’s WTO Membership Benefits China’s Economic Growth

Abstract: After a 13 years’ efforts, in the first year of the new century, China had joined into the WTO as a formal member, which is of great historical significance in the process of China's modernization drive. As is an important event which signifies that China's opening to the outside world has entered a new stage and economic development will also be a new breakthrough. As the world's largest developing country, China having a huge market of a population of 1.3 billion, its possible developmental potential and contain unlimited business opportunities will result in China's accession to the WTO, which is bound to become the focus of attention in global economic events. Faced with these challenges and opportunities, china should have a clear mind of developing its own advantages and avoiding its disadvantages. Only understand these issues, the integration into the world can really be true in the world economy in an invincible position.

Keywords: China  WTO  Economy  Opportunity  Challenges

1. Introduction
As one of the results of the Uruguay Round negotiations, the WTO (World Trade Organization) was established in January 1, 1995. It replaced the GATT (Article of GATT) and become the legal basis and a permanent institution of the world's multilateral trade system. It provides a principled and contractual standard for governments to determine how to construct and carry out the domestic trade legislation and rules. It is also the Forum of collective debate, negotiation and judgment to promote inter-country trade relations.
On November 12, 2001, after experiencing15 years of arduous negotiations, China has finally become one of the official members in World Trade Organization (WTO). Today, the world economy is close to each other with an unprecedented combination of speed, the trend of the integration of the world economy, globalization and internationalization has become more evident. With this trend of development, the international economic and trade environment our country facing has undergone tremendous changes. Today in the increasing integration of the world economy, no country can possibly be divorced from the world economic system, the accession to the WTO is the need of China's economic development but also economic development of the world, it will strategically create more good external conditions and the environment for the future of China's economic development, and further deepening reform, expanding opening up and promoting China's socialist modernization drive. The impact of China's accession to the WTO is all-round, multi-faceted. Not only China's economy will have a far-reaching impact, but it will certainly be far-reaching implications on China's social and political system. Accession to the WTO will create a favorable international environment for China's economic development and penning. The impact of China's accession to the WTO is dynamic, long-term, and developmental. How to deal with this impact will be a great test on Chinese government addressing the problem.

2. Favorable factors for economic development of China's accession to the WTO  
2.1 Beneficial to further expand exports

After joining the WTO, China has enjoyed members of MFN status, not only to enjoy the benefits of opening up markets in other countries and regions so that the major trading countries of the phase out of discriminatory practices to china, but will also gain more favorable competitive conditions than in the past our products, so as to promote China's out trade in particular the development of export industries which has comparative advantages.
It can further stimulate aggregate demand, increase national income growth and increase new jobs, and becoming a new economic growth "engine." As China's advantage in labor-intensive export products would promote the level of the wages of departmental managers, technical personnel and workers so that the level of wage of the whole community will be raised, and it is helpful to realize living comfortably as soon as possible.

2.2 Beneficial to further attracting large amounts of foreign funds

After joining the WTO, China has been fulfilling obligations under WTO rules to gradually open up the domestic market to further improve the environment for foreign investment, and to enhance more attracts to foreign investors of our market, which are helpful to bring in more foreign capital, technology and management experience. China was originally owned by a market with tremendous potential, fewer restrictions and more opening, as is a hot concern of global investment market, China is bound to attract more foreign capital influx. By then it will become a very favorable conditions borrowing foreign capital and technology to rapid development of the national economy. Foreign investment growth of banking, construction, real estate, and other aspects will also drive china a lot of developments in the field of economy. After accession to the WTO, China's tertiary industry is promoted to develop rapidly. the development of the tertiary industry in developed countries often occupies a large proportion of the national economy. After China's WTO entry, the tertiary industry can be led to the standardized development. it may bring to our best job possibility and the benefits are very difficult immeasurable in short-term. As The influx of foreign capital, the Chinese government will also focus on development of the western region by collecting more domestic financial and material resources.

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