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In December 2003, the P.R.C. promulgated comprehensive new export control regulations governing exports of all categories of sensitive technologies.
In December 2003, the P.R.C. promulgated comprehensive new export control regulations governing exports of all categories of sensitive technologies.
==Economy and Commerce==
==Economy ==
After 1980 China had the highest economic growth rates in the world. Suddenly in mid-2008, the growth rate slowed sharply from 11% a year to only 5.5%. Much of the economy was geared to exports, and building factories for exports to the United States and Japan. When the [[Financial Crisis of 2008]] hit, exports fell off and prices for industrial products like steel fell in half. Many factories were shut down. The decline has especially hit steel, cement and the construction industry. The government in November 2008 announced a $586 billion stimulus program to build roads, dams, electric grids and other infrastructure projects that are designed to supplement the international market.<ref> David Barboza, "Great Engine of China Slows ," [http://www.nytimes.com/2008/11/26/business/worldbusiness/26chinasteel.html?_r=1 ''New York Times'' Nov. 25, 2008] </ref>
China's economy, based on rice and wheat farming, was generally prosperous until the 18th century. Population pressures, and failure to adopt new technology led to an impoverished nation by 1900.
After Mao's death the policy of modernization along Western lines has led to a remarkable rate of economic growth in the industrial cities, which have pulled in millions of peasants from the still poor rural areas. Slack environmental standards have led to serious pollution problems.
The modern Chinese economy has benefited from investments from Taiwan and Hong Kong. They jumped far ahead of China by 1970 in terms of technology, and in recent years have invested in mainland industries.
These two factors have changed Chinese economy, from a command economy to a more socialist state, with the Chinese economy increasingly in the hands of privately-owned businesses, not state- or military-run enterprises. The 2001 declaration by Jiang Zemin (former leader of the Communist Party) of the "theory of three represents" -- that the CCP represents not only workers, but also intellectuals and entrepreneurs -- was an explicit affirmation of what had been a trend for the previous years
Since 1980 China has enjoyed the highest economic growth rates in the world. Suddenly in mid-2008, the growth rate slowed sharply from 11% a year to only 5.5%. Much of the economy was geared to exports, and building factories for exports to the United States and Japan. When the [[Financial Crisis of 2008]] hit, exports fell off and prices for industrial products like steel fell in half. Many factories were shut down. The decline has especially hit steel, cement and the construction industry. The government in November 2008 announced a $586 billion stimulus program to build roads, dams, electric grids and other infrastructure projects that are designed to supplement the international market.<ref> David Barboza, "Great Engine of China Slows ," [http://www.nytimes.com/2008/11/26/business/worldbusiness/26chinasteel.html?_r=1 ''New York Times'' Nov. 25, 2008] </ref>
Since 1979, China has largely rejected socialism and embraced capitalism, while maintaining Communist party rule. Private ownership of the means of production has dramatically reduced poverty and increased wealth, especially in the cities but also in rural areas. Nationally the GDP (in 2007 prices) has exploded from 2 trillion yuan in 1980 to 25 trillion in 2007.
Since 1979, China has largely rejected socialism and embraced capitalism, while maintaining Communist party rule. Private ownership of the means of production has dramatically reduced poverty and increased wealth, especially in the cities but also in rural areas. Nationally the GDP (in 2007 prices) has exploded from 2 trillion yuan in 1980 to 25 trillion in 2007.