Question

What is China's five-year plan and what role does it play in China's economic development? What is the dispute?

Answer 1

The five year plan started in 1953 in China. The five year plans are the initiatives for the development and growth of China.

Planning is the key initiative for the development of any country. In China five year program lead the foundation of development process.

When the communist party took power in 1949, China's largely agranian economy lagged behind the Economies of industrialized nations.

Influenced by the success of Soviet union's central economic planning Mao'e introduced the first five year plan in 1953, of which to increase the industrial development at the cost of agriculture production.

Five year program plays a key role in the development of China as we saw that China was an agranian economy earlier, the Five year program changed the economy from agrarian to industrial economy.

Now China is the world's largest exporter, earlier it used to import from the rest of the world and produces only the agriculture product in domestic territory, it has transformed itself completely.

And the reason is five year plan.

India also follows this five year plan, which place a key role in the development of the country.

China is following the mission of " made in China 2025".

Dispute

Wether China is growing with 6.5% anuual growth of GDP , China is still unable to enhance its consumption level, because the economy of China is supply driven, which implies that wether China has grown very fastly, but it is unable to increase the domestic consumption level. Its entire focus on the fulfillment of global demand not the domestic demand.