Following education and healthcare access, and increase in industrialization,

Following the death of Mao Zedong in 1976,
China transformed from the former communist governance into a hybrid leadership
associated with capitalism. After this era, many citizens including farmers and
other commune system workers migrated to the urban areas for the search of jobs
with a higher income. Previously, China held the economic factors such as land,
housing, and other property under the care of the government. Thereafter, the
country allowed the control of the financial and economic elements by the
private sector as a way to ensure rapid growth of the economy through providing
the government with surplus funds from the individual investors. Through the
reformation brought by rural-urban migration, privatization of sectors such as
housing and land, changes in education and healthcare access, and increase in
industrialization, China’s national development has been revolving around the
effects of neoliberalism.

From the privatization of the agricultural
communes to foreign direct investment, China has seen its economy grow courtesy
of neoliberalism (Nonini 2008). The country previously focused on controlling
all its sectors through directly dealing with investors from the state and
foreigners. China depended on the tax remittance, shares on the public property
stocks, and working directly with investors for the expansion of infrastructure
facilities in exchange for the rights to invest in the nation (Venugopal 2015).

We Will Write a Custom Essay Specifically
For You For Only $13.90/page!


order now

As a result, immense growth of the nation’s economy resulted from the
neoliberalism changes. The increase can be measured using some of the following
aspects of neoliberalism.

Firstly, China witnessed the increased
dissolution of the agricultural communes during the 1980s. During this time
period, the peasants and farmers in the rural areas and neighboring towns accessed
full rights to use land and other property in an individualized way. Thus, they
could lease property, hire labor, and also spend the profits garnered from the
products for their benefits to enhance more development from the grassroots
level. This step laid the foundation for the town village enterprises (TVEs) as
a result of increased assets under the control of communes (Mudronova 2012).

Later, entrepreneurialism, increased free labor practices, and open market
competition rose in the nation. With the TVEs, political and economic
management transformed into having villages and enterprises increasing
administrative power to control and manage assets. The Chinese government
introduced this as a way to allow competition between regions based on development.

As a result, the TVEs saw the rise of major cities and industrial areas such as
Shanghai and Guangdong (Mudronova 2012).

Secondly, the government implemented
managerial capacity to manage assets based on the ‘cadre’ system in the So and
Chu era (Mudronova 2012). By then, China aimed at bettering the management of
sectors such as the State-Owned Enterprises (SOEs). Also, the government
targeted the implementation of mega-projects such as dams, major roads,
high-speed railway, Olympic games hosting, creation of subway systems and
superhighways, and construction of more airports among other infrastructure elements
(Mudronova 2012). Consequently, this improved the fiscal capacity of sectors
with many industries and enterprises increasing their ability to pay higher
taxes based on the increment of the garnered profits.

Thirdly, within the 1990s and 2000s, China
opened more sectors to the private investors through allowing more private
shares and control of housing and land in the urban areas. The decision to
increase individual control of property was as a result of rapid urbanization
which called for increased jobs and settlements. Therefore, banks, companies,
and other financial institutions embraced the funding of the development of
property in the nation. With such a move, major towns and cities hosted more
jobs and settlement places. For instance, the banking sector had an increase in
the number of employees from 973,555 to 1,893,957 by 1996 (Mudronova 2012). The
industry also saw the rise in the number of branches to around 140,000 branches
across the country (Wu 2010). Through foreign direct investment, the country
welcomed international companies such as Motorola, Siemens, Microsoft, IBM,
Oracle, and Intel to settle for manufacturing and marketing of products. These
groups primarily enjoyed the presence of cheap labor in a promisingly favorable
market and investment hub. They also reformed the education research through
the implementation of research forums for the development and advancement of science,
technology, military, and manufacturing (Mudronova 2012).

As a development model, neoliberalism has
market and economic tenets which nations and regions follow towards growth.

Through neoliberalism, nations such as China and Haiti focus on the growth of the
economy using the currently available markets and through privatization of
various sectors (Venugopal 2015). As a result, this enhances the creation of
more resources and revenue for the government and for the national sectors to
support a more stable economy.

Firstly, neoliberalism focuses on
market-based solutions other than programs which are funded publicly. In China,
the government implemented a market-based strategy through welcoming private
investors to manage sectors such as housing, land, and manufacturing. As a
result, the private sectors directly funded the sectors with the aim of getting
a reward of increased profits and employment opportunities, and expansive
infrastructure. Through privatization of the sectors, the government was able
to distribute resources and wealth for the management by the public members in
terms of TVEs and later SOEs.

Secondly, neoliberalism encourages the
management of sectors such as industries and companies by more professional
individuals as a way to ensure better results and fast growth. In China, the
government created state-owned enterprises (SOEs) located in various regions
across the country as the primary basis for development. The SOEs were managed
by individual investors or external managers hired to instill professionalism
and meritocracy in the progress of the enterprises. Through the rapid growth of
the enterprises regarding the infrastructure creation and revenue increase,
states engaged in inter-region competition for development. Consequently, the
entire country enjoyed the development of various regions and all economic
institutions including finance, transport, education, industrialization and
communication.

Lastly, increased globalization in the
country marked the evolution of Chinese economy and market through natural
forces supported by education and effective management of sectors. Domestic
innovation notably increased by 40% in 2014 from 11% in 1980s (Gill 2016). According
to research, the increased level of innovation is due to the increased movement
of people, products, services, and knowledge to and fro the country. Many
educational institutions have established in the country following the rise in
sectors related with education, science, and technology such as military,
manufacturing, and management of companies and enterprises (Mudronova 2012).

During the previous financial crisis of 2008/09, the government of China implemented
a program to curb the impacts of the global crisis through redirecting finance
for more construction and manufacturing works in industries and companies (Mudronova
2012). The SOEs which recorded high losses enjoyed lesser taxation which aimed
at sustaining their stability and consistent productivity. At the same time,
the government welcomed more global connections from countries such as USA, UK,
Saudi Arabia, Jordan, and Japan among others to engage in partnership marketing
for increased importation and exportation of products and services.

Following the neoliberalism move of China,
the country reformed most of its sectors. As a result, private and foreign
investors took control of industries such as housing and land. Through the
individual investors, the government benefitted from increased tax revenues and
the development of infrastructure such as transport, sporting facilities, and
technology at the expense of the investors. In the current times, China is one
of the leading economies in East Asia and one of the most dominant industrial
and manufacturing products’ selling countries in the world. China imports raw
materials and energy, such as coal and steel from countries including Russia,
Sudan, Argentina, Brazil, and Saudi Arabia (Mudronova 2012). It also massively
exports its products to many countries across the world. Through neoliberalism,
China has shifted from an overreliance on government strategies in maintaining
control of the public sectors, such as land, housing, infrastructure, and
industrialization. Instead, the country embraced strategies to link private
investors with the sectors as a way to increase the revenue directed to the
government and to hasten the development of sectors. As a result, this step has
led to a massive development of the country and an increase in the standards of
living.