China's Rise in a Changing World

Whereas the last three decades of the twentieth century witnessed China rising on to the global economic stage, the first three decades of the twenty-first century are almost certain to bring with them the completion of that rise, not only in economic, but also in political and geopolitical terms. China is now the second-largest economy in the world as measured by national accounts and is well on the way to becoming the largest economy in real terms in the not too distant future. The Chinese economy has contributed positively to world economic growth for decades, even during the global financial crisis (GFC) in which strong domestic growth played a pivotal role in ensuring that world economic growth stayed in positive territory. China’s integration into the global economy has brought onefifth of the global population into the world trading system, which has increased global market potential and integration to unprecedented levels. The increased scale and depth of international specialisation propelled by an enlarged world market have offered new opportunities to boost world production, trade and consumption, with the potential for increasing the welfare of all the countries involved.