Economics

China is one of the worlds oldest civilizations in history. It has had the largest economy for the past two millennia despite the challenges she experienced like missing out industrialization and subsequent wars like civil wars and imperialism. Looking at the last 25 years, Chinas economy has been improving for the better and in fact by 2005, it was ranked the second largest economy of the world lead by the United States. By 2007 however, her economy had suffered enormously due to mass lay off of workers at state owned enterprises, corruption and other business related crimes and environmental damage. Other major factors are in the year 2005, there was a currency reevaluation system and the transmission to an exchange rate took into consideration a number of different currencies across the world which devaluated the Chinese Yen. The global financial crisis hit the nations vital manufacturing and exporting sectors leading to the shutting down of industries. Therefore in the last five years, we see an economy that has experienced drastic change from one which relied on international trade to market economy.

Main industries
The primary industries that significantly contribute to Chinas economy are
The rural agriculture which comprises of crop production such as millet, tea and sorghum among others and also animal husbandry and fishing. Today, agriculture contributes up to 13 of Chinas GNP.
Industries which were liberalized in such a way that one can be self employed. They include automotive industry, steel industry, telecommunication industry, pharmaceutical industry, shipping industry and energy and mineral production.

Foreign direct investment which totals up to 1.5 billion dollars by the Russia, England and France.
Contracting system which is a combination of both the private companies and the government which then share profits. For example, those constructing roads in Kenya.

Tourism is one of the fastest-growing industries in the national economy and is also one of the industries with a very distinct global competitive edge. The total revenue of Chinas tourism industry reached USD 67.3 billion in 2002, accounting for 5.44 of the GDP.

Poverty Rate
The poverty rate in China has greatly improved in the recent past. A World Bank release indicates a fall in poverty per head count from 18.5 in 1981 to less than 2 in 2007.  Thus half a billion people were lifted out of poverty in achieving the Millennium Development Goals. 10 of the poverty rate still means that 130 million people are poor in the country and much still has to be done  Unemployment
The rate of unemployment currently stands at 4.3 in urban areas and substandard unemployment and unemployment in the rural areas. With the global financial crisis, a lot of manufacturing and exporting sectors were closed down and consequently, 20 million workers were left jobless. This has led to social unrest. (Bowler, 2009)
Gross National Product
The Gross National Produce 2008 indicates that Chinas GNP growth fell to 6.8 from 9 in the third quarter of that year which is half its 13 in 2007.
This has been attributed to the slow growth in industrial production that has fallen from 2009 by 5.7 as compared to an 18 pace in 2007. (Simmons, 2006)

Climate Change
Climate change will have significant impact on Chinas economy and life in general. This will be characterized by rising water levels, frequent storms and extreme temperatures. Generally, these events will have their real impact on the natural environment as well as man-made infrastructure and mans ability to significantly contribute to the economy. In western China at Qinghai- Tibet Plateau, there is already the melting of ice caused by the rise of temperatures since 1980 by 2 degrees Fahrenheit. This has lead to drought and sandstorms in the North. Water rising, massive flooding and landslides around the three Georges dam area along Yangtze River are already being experienced due to global warming. (Hvistendahl, 2008) In due course, it will affect quality life, electricity, fishing, transport and water use therefore tampering with Chinas economy. It is also important to note that the quick growth that took off in China in the past few years greatly compromised the state of the environment.