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The People’s Republic of China (ZhonghuaRenmin Gongheguo) is currently the second largest economy in the world, with the world’s fastest growth rate and largest population.

China is also still an economy in transition from a poor, rural command economy to a dynamic and prosperous market economy, with a stark contrast between a large and mostly poor rural population, and relatively advanced, westernized, and wealthy cities.

Introduction� How Fast is China’s Growth?

� China’s Geography

� A Basic Guide to Chinese Language

� China’s Provinces

� China’s Imperial Dynasties

� An Overview of China’s Early History

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China’s annual Gross Domestic Product was 40 trillion Yuan (Renminbi) in 2010.

– about $6 trillion at official rates.

– almost $4,500 per capita.

USA GDP is about $15 trillion.

– almost $50,000 per capita.

China’s currency undervalued: purchasing power parity comparison is almost double (17% of U.S. level).

China’s annual real per-capita growth rate has averaged 8% since reform began, and about 9% over the last decade.

Growth of Japan, Korea, and China

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1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

1950-2009

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China

Japan

ROK

Growth of Japan, Korea, and China

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First Forty Years

China after 1976

Japan after 1952

ROK after 1962

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Growth of Japan, Korea, and China

(Beginning Year = 100)

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0 5 10 15 20 25 30 35 40

First Forty Years

China after 1976

Japan after 1952

ROK after 1962

Why Has China Grown?

� Economic reforms since 1978.� Foreign Trade openness after 1984.� Undervalued exchange rate after 1994.� Foreign Direct Investment after 1997.� Internal Migration from rural to urban,

agricultural to manufacturing.� High rate of private savings.� Public investment in public infrastructure,

particularly during global downturns.

China’s Future Trajectory?IF the PPP numbers are accurate, and IF China

and the U.S. could maintain the same growth rates as over the last three decades…– China will be the world’s biggest economy (in PPP

terms) in six years, and twenty years if the currency remains undervalued.

– It would take thirty more years for China to overtake the U.S. in per-capita income.

But even though China invests more than it consumes, such high rates of growth are not possible to sustain once an economy catches up with the leaders. Especially not for an export-driven economy in which productivity improvements come from the movement of rural labor into light industry.

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China’s land area is roughly 3.7 million square

miles, compared to 3.5 for the USA (0.6 in Alaska). The U.S. is bigger if you include water (the Great Lakes).

China’s average population density is more than four times that of the USA.

Geography and Population

� China’s population is 1.3 billion people, now growing at only 0.5% per year.

� Most Chinese live in the east.

� Until recently the vast majority lived in rural areas.

� China has significantly less farmable land than the USA, so the density per unit of arable land is almost nine times that of the USA.

China is very mountainous

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So where do Chinese live?

China’s Languages

� Like Europe, China has many languages, and within them many dialects.

� Most share Hanzi as a common written language (the Japanese call it Kanji). Mongolian, Tibetan, and Manchurian have different scripts.

� The dominant language taught in schools is what we call Mandarin (the Portuguese word for Chinese official). Chinese call it, among other things, Putonghua, Zhongwen, or Guoyu. Cantonese is another language that shares the same written script.

� In the PRC, the traditional characters have a simplified version (Jiantizi) derived from handwriting.

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Chinese Characters� Chinese is written in one-syllable characters, each

containing one of more radicals derived from simpler characters, which are stylized pictographs.

� There are a couple hundred radicals, and many thousands of characters. Reading a newspaper requires about 5000, but one dictionary contains over 100,000 characters.

� Chinese words are usually polysyllabic, and written Chinese gives little help with spacing of characters.

Pronouncing Pinyin

� Chinese is romanized for foreigners using Pinyin (vs. the old Wade-Giles or Yale systems).

– Peking => Beijing, Kwangtung => Guangdong, Mao Tse-Tung => Mao Zedong, Chiang Kai-Shek => Jiang Jieshi

� Spoken Mandarin Chinese consists of homophones: identical sounds with many different meanings.

� Every possible syllable can be written on a single page, but each can be pronounced with one of four tones.

� Syllables have an initial (usually a consonant, or a false initial) and a final (a vowel/consonant mix).

� Some initials don’t go with some finals.

Pinyin Initials

� Many initials are easy, but some aren’t:

– r

– j vs. zh

– q vs. ch

– x vs. sh

– c vs. z

� Try these word pairs:

– xue/shui

– xiang/shang

– jiang/zhang

– jian/zhen

– cai/zai/sai

– xiao/shao

– ri/zhi

Pinyin Sound Pinyin Sound

b spun z it's over

p pun c it's cider

m month s sight

f fun zh jerk

d stung ch churn

t tongue sh sure

n none rjacque/ralph

l lung j jeep

g goop q cheep

k cool! x sheep

h hot!

y yet w weigh

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Finals – the second half of a SyllablePinyin Sound Compound Sound Compound Sound Compound Sound

a father ia y + a ua w+a

o owe iao y + ao uo w+o (whoa)

e done ie y + e (yet) üe ü+e

in machine

ing sing

ar car

er her

ai aisle uai w+ai (why)

ei eight ui,uei w+ei (way)

ao how

ou low iou y + ou

an John ian y + an uan w+an (juan) üan ü+an

en under uen w+en (wen)

ang song iang y + ang uang w+ang

eng lung ueng w+eng

ong hunger iong y + ong

i insure (after z,c,s,zh,ch,sh,r), be (after b,p,m,d,t,n,l,j,q,x,y)

u Super

ü like the German or French

ün ü + n

Chinese Surnames

� There are about 4000 surnames in China, and a term for common people is Laobaixing, the old hundred names. (There are over 6 million surnames in the U.S.A.)

� Chinese usually put the surname first, followed by a one or two syllable given name.

� Over 20% of Chinese are named Wang, Li, or Zhang.

� Next most popular are Liu, Chen, Yang, Huang, Zhao, Wu, and Zhou (>20m each).

� Top hundred surnames account for 85% of population.

� Children take father’s surname, wives keep surname.

China - the Middle Country� The Chinese call it Zhong Guo, the Middle

Country/Kingdom.

� The word China comes from Persian and Indian names (Sina), most likely referring to the Qin Dynasty.

� The Middle Kingdom originally referred to the area around the Yellow River (Huang He).

� The main ethnic group calls

itself the Han people.

� Characters are called

hanzi, the Han characters.

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Major Cities and Provinces� The capital Beijing is China’s

most modern city, with 18m people and a per-capita income of 70,000 RMB ($10,000) in 2009.

� Jiangsu province is China’s largest industrial producer.

� Shanghai is the largest city (19m) and the richest (80,000 RMB or $12,000 per capita).

� Guangdong (96m) is now China’s largest province, followed by Henan and Shandong (95m each) and Sichuan (82m).

27 Provinces and Autonomous Regions, four Muncipalities, plus two Special Autonomous Regions

Helpful Geographic Words� Hai – sea

� Hu – lake

� Lin – forest

� Xin – new

� Yun – cloud

� Dong – east

� Xi – west

� Nan – south

� Bei – north

� Guang - wide

This helps us with Guangdong, Guangxi, Shandong, Shanxi, Hunan, Hubei, Henan, Hebei, Jiangxi, Shanghai, Qinghai, Hainan and Yunnan.

Also, Beijing = northern capital, Sichuan = four rivers , Zhejiang = winding river, Heilongjiang = black dragon river, Shaanxi = thief’s mountain west, Xinjiang = new frontier.

� An, Ning – peace

� Shang – at or upon

� Qing – clear blue

� Shan – mountain

� Jiang, He, Chuan – river

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Regions

North China:� Beijing Municipality [Peking]

� Tianjin Municipality [Tientsin]

� Hebei [Hopeh (Jehol/Chihli)]

� Henan [Honan]

� Shanxi [Shansi]

� Shandong [Shantung]

Manchuria:� Liaoning [Liaoning]

� Jilin [Kirin]

� Heilongjiang [Heilungkiang]

Lower Yangzi [Yangtze]:� Shanghai Municipality

� Jiangsu [Kiangsu]

� Anhui [Anhwei]

Middle Yangzi:� Jiangxi [Kiangsi]

� Hubei [Hupeh]

� Hunan

Upper Yangzi:� Chongqing [Chungking]

Municipality

� Sichuan [Szechwan]

RegionsLingnan:� Guangdong [Kwangtung]

� Guangxi [Kwangsi] A.R.

� Hainan Island

� Xiang Gang [Hong Kong] S.A.R.

� Aomen [Macau] S.A.R.

Southeast Coast:� Zhejiang [Chekiang]

� Fujian [Fukien]

� Taiwan

Yun-Kwei:� Yunnan

� Guizhou [Kweichow]

Northwest China:� Shaanxi [Shensi]

� Neimonggu A.R. (Inner Mongolia, inc. Suiyuan, Chahar)

� Gansu [Kansu]

� Ningxia A.R. (Hui) [Ningsia]

� Xinjiang A.R. (Uighur) [Sinkiang]

Tibetan Plateau:� Qinghai [Ch'inghai]

� Tibet (Xizang A.R.)

Rivers & Cities

Major Rivers:� Changjiang (Yangtze River)

� Huanghe (Yellow River)

� Zhujiang (Pearl/West River)

� Heilongjiang (Black Dragon/Amur River)

� Huaihe

Other Cities:� Guangzhou [Canton]

� Xian [Sian]

� Hangzhou [Hangchow]

� Suzhou [Soochow]

� Chengdu [Chengtu]

� Qingdao [Tsingtao]

� Wuhan [Woochang/Hankow/Hanyang]

� Kaifeng

� Luoyang

� Fuzhou [Foochow]

� Nanjing [Nanking]

� Kweilin [Guilin]

� Dalian [Dairen]

� Taibei [Taipei]