A Prada store in Beijing. Income disparities has widened in China, especially for those living in urban areas. © Reuters
IORI KAWATE, Nikkei staff writer | China
BEIJING -- China camewithin a few hundred dollarsof attaining high-income nation status last year, according to official statistics released Tuesday, as the economic slowdown andweak yuan blunted individual and corporate incomes.
The World Bank defines a high-income nation as one withanominal gross national income (GNI) per capitaabove $13,205. China logged in at $12,608 last year, the National Bureau of Statistics reported.
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The article delves into China's economic landscape, highlighting its proximity to achieving high-income nation status based on nominal gross national income (GNI) per capita. Let's break down the key concepts involved:
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High-Income Nation Status: The article refers to China's pursuit of high-income nation status, as defined by the World Bank. A high-income nation is characterized by a nominal gross national income (GNI) per capita above a certain threshold, set by the World Bank at $13,205.
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Nominal Gross National Income (GNI) per Capita: Nominal GNI per capita is a key metric used to assess the economic well-being of a nation's citizens. It represents the total economic output of a country, adjusted for inflation and divided by the population. In this context, China fell short of the World Bank's defined threshold, reporting a GNI per capita of $12,608.
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Economic Slowdown: The article attributes China's proximity to high-income nation status to an economic slowdown. Economic slowdowns are periods of reduced economic growth, often characterized by a decline in GDP growth, employment rates, and overall economic activity.
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Weak Yuan: The article suggests that a weak yuan contributed to China's economic challenges. A weak currency can impact a nation's GNI by affecting trade balances, potentially making exports more competitive but also increasing the cost of imports.
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National Bureau of Statistics: The National Bureau of Statistics is the official statistical agency in China responsible for collecting and publishing economic, demographic, and social data. In this context, it reported China's GNI per capita as $12,608.
Understanding these concepts provides a comprehensive overview of the economic factors influencing China's journey toward high-income nation status. The interplay of economic slowdown, currency valuation, and official statistical data from the National Bureau of Statistics underscores the complexity of China's economic landscape.
