Contribution Of Exports To China's Economic Growth And Policy Options

The export development has accompanied China's economic growth since 1978. This paper is to approach the general relationship between export development and economic growth, to ascertain to what degree that export contributes to economic growth, and to propose feasible policies based on the analyses. At the beginning this paper illustrates the various models of trade's effects on economy by using macroeconomic and microeconomic methods so as to depict the general mechanism of exportation's contribution to economic growth, and analyses the compatibility of these models to China. Then by using the relative statistics, the paper adopts some models and makes an empirical analysis on China's exportation's contribution to her economic growth, both historically and presently, aggregately and stmctumlly. Based on the analytical result, the paper draws the conclusion that China's export has an active impact on her economic growth, but export is only one of the "motors"for economic growth and is facing the chanllenge of updating its stnxcture. At last, the paper submits the pmposition that China shall follow a diversified export development policy as to both maintain her existing comparative advantage and update her export structure by combining the industrial policy making and export policy making.