As we learned about the industrial revolution in the 18th century one of the things that stood out to me the most was the shift in economic roles of the common person and the resulting emergence of a middle class. as i have reflected more upon it i can see numerous connections with the economic 'revolution' that is happening right now in china.
We all know china's economy has been growing at unprecedented rates for some time now. it's growth is due to a revolution similar to that of the industrial revolution in england. technological advances and a growing demand for labor in china caused the cities to grow at rapid rates. Farmers who previously lived in the country side moved to the cities looking for wage jobs. and at first such jobs were very tedious, and payed very little. but as time went on and the economy grew suddenly those wage workers began making more and more. and therefore more and more workers came to the cities and the growth increased and the cycle continues.
Just as in the industrial revolution, these wage occupations were far from glamorous however they did slowly better the economic situation for millions. and the most striking connection is that a middle class emerged from such jobs. as specialization and production efficiency improved more and more people got higher paying jobs and suddenly the distribution of wealth shifts from a feudal one with the vast amount of wealth at the top, to a more democratic one where the wealth is increasingly in the middle class.
I found this article from TIME entitled "Thriving in the Middle Kingdom" which uses one man's experience in the middle class to highlight the dynamic of the growing middle class in china. his name is Charley Qian. "By any Chinese yardstick, he receives an outstanding salary. Including overtime, Qian stands to earn between $7,500 and $9,000 this year. That's way above average. In China's countryside (where more than 60% of the population lives), incomes average less than $300 a year, but even in the wealthier cities, the typical annual salary amounts to little more than $850." the article explains how Charley cant afford all the nice name brands and things but can afford to look good, take vacations, spend leisure time etc. are these not the results of the industrial revolution?
the middle class is still a minority but growing rapidly nonetheless. "A sociologist at CASS who spoke to TIME under the condition of anonymity estimates that the group most people think of when asked about the middle class—managers, professionals, skilled technicians and service workers earning $2,500 to $10,000 a year each—constitutes considerably less than 5% of the national population. In other words, fewer than 65 million people."
The economic implications of such a class will be interesting to study for years to come. it will certainly become the largest consumer market on the planet, just as the european and american one's were following such economic growth.
it is fascinating to see history repeat itself in china today.
My parents constantly discussed China's state of economy. Even more so now that my dad has received a job offer over there. But, because it's economy is much different and the wages would most likely be considerably lower, my dad has a lot of thinking to do before just picking up and moving back to China.
ReplyDeleteIt'll be really interesting to see how China's economy will change in the next years.