China continued its bullish growth rate by posting
another above 9.6% GDP growth rate in 2011, reaching
a total of USD 7275 billion that year (USD1=RMB6.5). Average
GDP growth rate of the rest of the world economy was
only about 3.3% on average during the same period.
Overall, it suggests a booming time for China with
living standards rising as evidenced by the proliferation
of consumer durables, especially among the urban population.
China had also elevated itself to become the world's
second largest economy and the largest trader in
Over the years, Chinese
economy growth transition brings about improvement
in Chinese people’s standard of living and upgrades
consumption spending. According to experts from China
Machinery Industry Federation, car begun to enter
into families when the country’s GDP per-capita reaches
US$1000; private car purchase will become common
when the figure reaches US$3000. Such example are
large cities such as Beijing and Guangzhou.
upgrades in consumer spending promotes fast growing
industries such as electronic telecommunications,
auto and housing as the main driving forces of China.
In addition, it develops service sector rapidly and
the elevation of the level of service industry will
be an evitable trend. Such revolution will bring about
changes in China’s business economy as investors move
along with China’s economic development.
Below is the chart of
China GDP and real GPD growth rate from year 1978 - 2011: