Question

Seriously please help? I'm stuck....China has one of the fastest-growing economies in the world. China joined the WTO in 2001. How does WTO membership help China's booming economy? How might it also hinder future growth?

Answer 1

China's membership to WTO allowed made China open to foreign investments to different sectors of their business. It gave more oppurtunities for China . Though it was really tough for them because they had to make various changes in their economy. They had to open their business to the world, decentralized trade, slashed the tariffs as well as adapted duall exchange rate. Even though they are progressing well, but they still have problems with intellectual rights. There hindrances would be the economic transition from a closed country to an opening country as well as the need to meet up with the quota since sme products would be phased out.