Supply side policy case study: China's economic growth

• What year did the implementation of many supply side policies begin to stimulate economic growth and development?

  2000
• What are the main components of market-based supply side policies?

  • Deregulation and privatization
  • Labor market reforms
  • Trade liberalization (World Trade Organization 2001)
• What is the effect of deregulation and privatization in market-based policies?

  It decreases government control in various sectors and increases competition and efficiency
• How did labor market reforms contribute to supply side policies?

  They increased flexibility in the labor market
• What significant event in trade liberalization occurred in 2001?


  The establishment of the World Trade Organization
• What are the key components of interventionist supply side policies?

  • Education and training
  • Healthcare
  • Infrastructure (transport and power)
  • Subsidies and tax cuts
  • Research and development, especially technology
• What are some areas targeted by interventionist policies in terms of infrastructure?

  Transport and power
• What is the purpose of subsidies and tax cuts in interventionist policies?

  To stimulate economic growth and support businesses
• What is emphasized in research and development under interventionist policies?


  Especially technology
• What was the real GDP increase from 2000 to 2023?

  From $2.77 trillion to $16.33 trillion USD