Will China Avoid the Middle-Income Trap?

Abstract

This paper employs a historical approach to address whether a country can avoid the middle-income trap. The development of the manufacturing sector and technological capacities are important for a country to avoid the middle-income trap. South Korea avoided the middleincome trap through developing the manufacturing sector. Argentina became a middle-income country by exporting agricultural goods and fell victim to the trap. The distribution of political power between state and society affect a country's capacity to develop technological capabilities. The concentration of power in the government in China is affected by historical factors. With the provision of equal opportunities to all citizens, China will avoid the middle-income trap with her building-up of technological and innovative capacities. The reasoning here can also be used to understand development experiences of other countries.

Queer Youth on the Move: Gentrification and the International in Beijing

“…That level of consumption would require income inequality to be an art gallery in a Mao-era factory in 798 in:cite journal vol. 3 level so that China not be constrained by the middleincome trap (Glawe and Wagner 2019;Zhou 2018;Huang 2015). The gentrification of Dashanzi serves a political purpose for the central government as a means of avoiding the middle-income trap in order to maintain consent for the increasing domination of state hegemony as the state produces visions of economic success through the renovation of its cities.…”

The impact of innovation aspiration shortfall and CEO origin on emerging economy firms' international expansion: evidence from China

“…outstanding innovation capabilities) and the innovation capabilities they currently have are hardly sufficient to support their value creation in overseas markets (Lu et al, 2014;Wu et al, 2021;Xie et al, 2019). For example, although China's manufacturing sector has a very large scale, these industries have not mastered core technologies and have weak innovation capabilities (Zhou, 2018). Because of this, conventional wisdom cannot effectively reveal the driving forces behind the international expansion of companies in emerging economies (Xie et al, 2019).…”

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“…Zhou (2011a) compares growth rates for a market economy and a planned economy. 2 A country's sustained growth depends on technical progress and China's strong state capacity helps developing technological capabilities in the last four decades (Zhou, 2018b). bringing the countryside into the fold.…”

“…2 2 A country's sustained growth depends on technical progress and China's strong state capacity helped in developing technological capabilities in the last four decades (Zhou, 2018b). …”