Научная статья на тему 'CHINA'S ANTI-POVERTY REFORMS'

CHINA'S ANTI-POVERTY REFORMS Текст научной статьи по специальности «Экономика и бизнес»

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Ключевые слова
reform / economy / coefficient / factor. / реформа / экономика / коэффициент / фактор.

Аннотация научной статьи по экономике и бизнесу, автор научной работы — Sabigazina, Saule, Anipina, Aliya, Kaliolla, Ardak

Poverty not only affects people's living standards, but also the social and political sphere of society, and in many cases leads to an increase in crime. In many countries, the fight against poverty is based on the concept of income or consumption. A person may be rich, but they also may also be illiterate and may not be able to make important decisions that will affect their lives. Therefore, the task of reducing poverty has become a goal of the whole world.

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КИТАЙСКИЕ РЕФОРМЫ ПО БОРЬБЕ С БЕДНОСТЬЮ

Бедность влияет не только на уровень жизни людей, но и на социальную и политическую сферу общества и во многих случаях приводит к росту преступности. Во многих странах борьба с бедностью основана на концепции дохода или потребления. Человек может быть богатым, но он также может быть неграмотным и не иметь возможности принимать важные решения, которые повлияют на его жизнь. Поэтому задача сокращения бедности стала целью всего мира.

Текст научной работы на тему «CHINA'S ANTI-POVERTY REFORMS»

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CHINA'S ANTI-POVERTY REFORMS

d https://doi.org/10.24412/2181-1784-2023-21-642-655

Sabigazina1 Saule Anipina Aliya 2 Kaliolla Ardak 3

1 doctoral student, al-Farabi Kazakh National University 2doctoral student, al-Farabi Kazakh National University 3 senior lecturer, al-Farabi Kazakh National University E-mail: jdemesin80@gmail.com

Poverty not only affects people's living standards, but also the social and political sphere of society, and in many cases leads to an increase in crime. In many countries, the fight against poverty is based on the concept of income or consumption. A person may be rich, but they also may also be illiterate and may not be able to make important decisions that will affect their lives. Therefore, the task of reducing poverty has become a goal of the whole world.

Keywords: reform, economy, coefficient, factor.

In the history of humanity, the problem of poverty is an objective phenomenon in society. The phenomenon of poverty shows the inequality of society. Inequality is the amount of wealth and resources that belong to certain groups in society. The fact that they belong to the rich in society divides society into different levels of groups.

The fight against poverty takes place in any country. As the share of the rich in society increases, poverty becomes more acute and the struggle against it intensifies. This can be seen from the experience of well-developed countries.

Many scientists have considered the problem of poverty and the role of the state in it. Among them were Charles Booth and Seebohm Rowntree, who were the first to study poverty empirically. It was also studied by Adam Smith, Thomas Malthus, David Ricardo. According to Malthus, poverty is caused by overpopulation and food shortages. Meaning, poverty is due to overpopulation and the poor themselves are to blame. This process is regulated by effective phenomena such as disease and war.

Herbert Spencer says that poverty is one of the laws of society. In his «Social Statics» book, he tells that poverty and inequality arise in response to the growth of social production. Due to the impossibility of stopping production, this issue will not be fully resolved. H. Spencer says that poverty is a personal problem of each individual. He also says that people can be able to solve their problems without getting in trouble, while others allowing poverty to happen. Herbert Spencer also argues that it is impossible to determine the criteria for poverty. The worst form of poverty is mendicancy.

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The development of poverty as any phenomenon that accompanies the economic system has taken place in all countries of the world and still exists. Poverty affects not only people's living standards, but also the social and political spheres of society, and in many cases leads to an increase in crime. Therefore, the task of reducing poverty is the goal of the whole world.

In many countries, the fight against poverty is based on the concept of income or consumption. A person may be rich, but he may be illiterate and may not be able to make important decisions, which will affect their lives. On this basis, in order to understand the problem of poverty in world practice, the following viewpoint have been formed:

- depending on success

- depending on basic needs

- depending on the opportunities for human development

The main factor causing poverty is the loss of a stable income.

Georg Hegel (1770-1831), a German philosopher, developed the concept of the state based on the internal purpose, not on the principle of natural law. Hegel considered the problem of poverty in terms of subjective determination. He did not see modern methods and rescources to help people. Analyzing the tax system in England, where there is a special tax on poverty, he came to the conclusion that says "people have special needs, where hard work does not matter, they lose the right to live by their own labor, and as a result there is rudeness."

Hegel opposes the development of charitable foundations because they oppose the development of a society characterized by immanent contradictions.

The situation in China's political region is full of socio-economic contradictions. Many problems stem from the political orientation towards unbalanced development, which has existed in Beijing since the time of Deng Xiaoping. The essence of this direction is that wealth is not evil, if one part of society gets wealthy faster than others, it has a positive effect on the state. In this way, some people were given the opportunity to live a good life. As a result, there is a sharp gap in the level of development of different social groups and different regions in modern China. This problem is manifested on two levels. 1. The division of society into classes In China, during the years of reform, it was divided on two parts, the rich and the very poor. According to official statistics, the latter make up 3% of the population, 10% of the poorest families in China receive 1.4% of the total property, and 10% of the richest families receive 45%.

In the past, poverty was limited to rural areas. According Asian Development Bank , the number of low-income citizens living below the subsistence level, is 37 million per capita or 8% of the total urban population. Today, the income gap between urban and rural population is 3.24: 1. At the same time, unemployment is growing in the country.

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Today, the number of Chinese living in poverty decreased from 98 million to 16.6 million.Today, China compared to its 60s in much better state. China has made great strides over the past few decades. In 2019, China celebrated the 70th anniversary of the founding of the People's Republic of China. At the same time, China in 2020 called for the eradication of poverty to the end.

The Chinese government began the fight against poverty in 2012. The main goal began with the provision of basic necessities, such as medical care, housing, education, as well as transportation to remote areas. By 2020, the government is about to help 15 million people.

Economic growth in the 1960s and 1970s didn't do well in Japan, Hong Kong, South Korea, and Taiwan, but inequality noticeably decreased. In Japan, the Gini coefficient reduced from 0.45 to 0.34; In Taiwan it decreased from 0.5 to 0.3. This economic pattern is called the "Asian model of development." Currently, this model is developing in a different way. One reason is that globalization and technological innovation benefited transformed economists. They may require very high salaries, as in America and Europe. In a developed world economy, these fundamental economic factors are not the only factor that divides income. In general, the state policy on income is paramount. The main issue here is corruption and nepotism. During the Golden Age in America, capitalism was closely linked to politics and the plutocracy .But in China, the state controls resources through state-owned companies, monopolizes control of the railways. The country had reduced interest rates and access to credit through political decisions. In China, inequality can be reduced, or the rich may not show their income, so they will be exempted from paying taxes. Chinese economist Wang Xiao Lu has made a breakthrough by studying the "gray income". According to his studies, the income of 10% of the urban population in China is 23 times higher than the income of 10% of the poor. [5].

Inequality in China dates back to the time of Mao Zedong, when there was a household registration system in which rural inhabitants were restricted from leaving their homeland. Restrictions on labor mobility have been lifted in 1980, and millions of Chinese have been able to become migrant workers, but they must also be registered in rural areas, including their children. Rural registration has many disadvantages compared to urban registration, such as housing and education. The child of a migrant worker must pass the ''gaokao'' exam to enter a university, which must be taken only at a place of special registration, not at the place of residence. Therefore, the child of a migrant worker is sent back to a rural school, which is funded by the state at a very low level, and the quality of education is poor compared to urban schools. Income inequality in the education system notably increased. The housing registration system, along with infrastructure, shows that there are 45% of the poor in China, and there is a large gap between urban and rural income. [5].

In China, the "China Western Development" has invested heavily in infrastructure development in the western provinces. The state has also made a big

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leap forward in the implementation of rural social programs. 100% of China's rural population now has access to health care, and many receive a basic pension. In China, the minimum wage is also being paid, which is at the provincial level. The Chinese also recognize that the fight against poverty still exists, which is a key factor, and poverty is an obstacle to economic growth. [5]. Prior to the reform, China had a much higher poverty rate than other countries due to economic backwardness and low growth rates. Now it has dropped. In order to implement the state policy to combat poverty, education, culture, health and other social projects are being developed in poor areas. As a result, China has become a model for other developing countries in the fight against poverty. 1949 Before the founding of the People's Republic of China, China's economy was a backward country, and most of its population was poor. After the founding of the People's Republic of China, it carried out national land reform, ending the twenty-century feudal period, thus increasing productivity in rural areas. Based on the national development policy in 1953 they adopted the "Five-Year National Development Program". As a result, China's economy began to grow, and the number of poor people began to decline in rural and urban areas. In this regard, in 1950 the plan for the centralization of the established system of public property and the economy did not correspond to the level of development of productive forces at that time. Therefore, the state has moved to the path of development, giving priority to heavy industry. The latter was carried out by the "Great Leap Forward" campaign, which slowed down the development of the Chinese economy. During the decade-long "cultural revolution", the development of the Chinese economy did not reduce poverty. At that time, the population grew rapidly, and the economic infrastructure failed. Economic growth has not helped the population. According to the study, the income of the population increased from 1966 to 1977 to 18 yuan, which in 1979. less than half of the per capita income of the rural population. During this period, the average annual income growth did not exceed 15%, the villagers consumed 2,100 calories per day. [9].

In 1978, when China decided to become an open country, rural poverty was 250 million and the number of poor was 31%, but at that time the official poverty rate was very low. [3]. At that time, the Chinese government decided to fight poverty in rural areas. Since then, the fight against poverty has been carried out in three directions. The first is the pursuit of economic growth. The second is to adapt to evolutionary measures in the fight against poverty. Third is the focus on many government measures to support the rural poor. [8, c. 3-].

In the late 1970s and early 1980s, on the basis of the reform of private land use, a strong focus on agriculture in rural areas began. Grain prices increased by 102%. As a result, poverty has begun to decline in China's underdeveloped regions.

Since 1990, the Chinese government has been implementing various programs to combat poverty. In the fight against poverty, government agencies allocate different levels of financial subsidies to areas with high concentrations of the

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poor. The main goal is to create jobs in those areas. All this is to boost economic growth and reduce poverty.

In the new millennium, the Chinese government has made changes to fight poverty, taking into account the poor. First, the government does not target poor areas. Instead, specific villages will be assisted by the project "Villages without Poverty" through the address. Second, projects related to anti-poverty policy have invested in the training of migrant workers in poor areas. In recent years, other poverty reduction programs have been launched in rural areas. For example, the agricultural tax was removed from the poor. Tuition fees for children in rural areas have been reduced, making it possible for children to receive education in rural areas. [8].

The work of the rural medical system has also improved. The social assistance system has helped many poor areas. As a result of this restructuring in 2005. The number of poor people decreased to 24 million.. As a result, the fight against poverty in rural areas has been successful.

In China, urban poverty has its own measure and cause. 1990 In the beginning, Chinese cities underwent economic transformation - the Chinese government reformed enterprises, resulting in increased poverty in the city. Urban families have become poorer, and the main breadwinners in the family have lost their jobs. The Chinese nation has struggled with this poverty. On January 18, 2013, Chinese Vice Premier Liu Yangdong highlighted the regions struggling with poverty: Inner Mongolia, Hebei, Jiangxi, Hunan and others. [4]. China has opened up access to education in rural areas to fight poverty. Liu Yongfu, director of the State Service for Poverty Alleviation, said that despite the slowdown in economic growth, funding for poverty reduction will not decrease. According to him, the direct monetary impact can be only temporary, and investment in education is effective in the fight against poverty for a long time. 2012 The government has allocated 299.6 billion yuan to fight poverty. In particular, quotas for students enrolled in the main universities of the country have been increased, food has been provided.

Today, China's social policy strategists face a difficult task. This is primarily due to high inequality. One of the reasons is the "Kuznets effect" of income and consumption, which occurs during structural changes, when the labor force moves from a low-productivity sector in agricultural production to high-productivity industrial production. [1]. In 1955, Harvard economist Simon Kuznets marked the relationship between inequality and prosperity with the letter U. In this regard, inequality is exacerbated when the labor force leaves the land, becomes more productive and begins to earn more money. When industrialization is over, more educated citizens will demand redistribution of states, and inequality will decrease again. [5].

Will China grow? Proponents of the "slowdown theory" attribute China's growth to two sources - the transfer of cheap labor from the agricultural sector to

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production and the growth of investment - exhausted. In fact, according to Oleg Tsivinsky of Yale University, growth in China should not be expected to slow sharply in the near future. Productivity growth in the private sector is a key factor in economic growth. In this regard, he draws on the study of economists Loren Brandt and Xiaodong Zhu's "Growth Factor in China", where the main driving force of the "Chinese miracle" is the growth of productivity in the private non-agricultural sector over the past three decades. 1978-2007 Productivity in the public sector increased by 1.52%, in the private sector - by 4.5%. The private sector generated 420 million jobs during this period. Would private sector growth continue to grow if China used the public sector's financial resources wisely? In 2007, the public sector accounted for half of capital investment, of which only 13% was spent. The growth of deposits has increased from 21% to 40% over the last twenty years. GDP was able to compensate for inefficiently allocated resources to the low-productivity sector. Stephen Roach of Yale University, who studied China's 12th Fifth Plan, said the country's expertinvestment has shifted economic growth to a model of increasing domestic demand and consumption, which means that investment in China will decline. According to Wei Yao, chief economist at Societe Generale, private companies and members pay high taxes. The effective tax rate for the private sector is three times higher than for state-owned companies, which pay higher taxes and have lower social security benefits per capita in education, health care and social security than in other countries.

The public sector has a steady flow of cheap financing. Many Chinese do not have the opportunity to keep their savings, except in state-owned banks, where they are given a minimum income. Most of these funds were borrowed to finance loans from public sector companies. According to Robert Theleen, chief financial officer of ChinaVest, and the American Chamber of Commerce in Shanghai, 90% of bank loans go to state-owned companies, which produce only 50% of GDP, and 10% to private companies. Public sector companies receive government subsidies based on beneficial government agreements for resources and barriers that are artificially provided to non-state companies at low prices. According to economist Andy Xie, investments in fixed assets of state-owned companies are 20-30% higher than in the private sector. At the same time, the temporary costs of public sector companies are 50% higher than those of the private sector. If the financial market was informed that both types of companies would receive the same source of funding, the Chinese economy would be more efficient and would distribute the profits to all segments of the population. Many Chinese acknowledge that private sector companies are less competitive than state-owned companies. The state oppresses, the private sector goes backwards - the economic principle of China in recent years. However, many Chinese do not see the link between growing inequality and state monopolization of resources. According to a Pew Research poll, 45% of Chinese agree that "if people work well, they can do it all," while a third percent disagree. This means that the

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Chinese not only see income inequality, but also inequality of opportunity. People who say that hard work is not a guarantee of success say that the state should have more influence on the economy. [14].

Many economists suggest a variety of measures to combat poverty. Li Shi, dean of the China Institute of Inequality at Beijing Normal University and an economist, said the redistribution of wealth would be "very difficult" and would require comprehensive and systematic change, with no individual reforms. In this regard, economists differed. Some say that the system of financing social insurance should be increased: subsidies for health care, housing, pensions and education. China's high savings rate is due to the individual payment of expenses. More funding for the social protection system will encourage Chinese to spend more on consumption, thus helping the country's economy grow.

The state has made great strides in creating a social protection system. In recent years, China has abolished taxes and duties on farmers and granted pensions to all rural residents. The government has further reduced tuition fees for students under the age of 16 in public schools and encouraged housing projects for the poor. At the same time, the Chinese government has increased the health insurance system by 95%, which in 2000 covered only 15% of the total population.

According to economists, all the reforms related to taxes, social protection, public payments, were secondary. That is, secondary redistributive methods of reform have been more effective than structural reforms, which affect the distribution of primary income. The main of these measures is to increase the economic efficiency of the public sector to compete with the private sector. Again, it would be beneficial to remove state subsidies for resources, electricity and water, all of which benefit the state. The main effective way to reduce inequality in China is to have capital allocation reforms - to reduce or eliminate the advantage of state-owned companies for financing. This would help private sector companies, employ more people, and distribute wealth equally throughout the economic system. Of course, the reforms are being opposed by powerful people and organizations. The government is trying to solve the problem through less resistance by focusing on improving the social security system, which will be understandable to ordinary Chinese and can be implemented.

The Chinese government has gradually reformed the economy, but progress has been slow. The reforms led by Hu Yangtao and Wang Yangbao gradually faded. Some observers have accused them of doing nothing in the last ten years since China joined the WTO. Bornst, an economist at the Peterson Institute, said in an interview that reforms could be suspended due to the anti-reform response to the layoffs of 40 million state-owned companies in the 1990s. However, the government has left its successors a strong economy with minimal inflation and global poverty reduction reforms, which has pessimized many economists.

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Today, many sources suggest that the new fifth generation of Chinese leaders will be more aggressive in reform. One of them wanted to start his own business. Another was the support of researchers from the World Bank "China 2030", which reduced the role of companies in the public sector through reforms, the transformation of the economy in favor of individuals and companies. Observers who are waiting for a quick reform should not wait, because the leaders of this party support the consensus and do not like immediate action [14]. On November 8, 2012, Hu Jintao, a former secretary of the Chinese Communist Party, spoke at a party congress about the need to create a "moderately harmonious" society in which the country's economic growth would benefit the entire population. He reiterated that public policy needs to find a middle ground between the status quo and reforms. He proposed to increase the level of GDP in the country.

China's approach to governance has been largely based on consensus, but there is no clear agreement on how to carry out these reforms. For example, the distribution of income was not agreed. The plan, backed by Wang Yaobao, calls for the minimum wage to be raised from public sector companies' dividend payments to the state and higher-income earners' personal income taxes and public sector executives' salaries. Chinese newspapers were confident that the plan would be implemented quickly, but economists are skeptical. These reforms were introduced in 2004. discussed, rejected by the State Council twice.

An economist at CEIBS, says groups with similar interests will oppose the new plan. According to historian Zang Lifan, many of the measures in these areas remain the measures of the previous administration and are no longer used. He says the Chinese leadership needs to do more than just build on consensus to tackle the current inequality.

The most important thing is that the distribution of funds between the state and private companies is very difficult. In fact, it is very difficult to reconcile reforms and opposition from the public sector and some ministers. The Chinese government may return to where it started to find a middle ground in the fight against inequality. In addition, "gray income" and corruption are approved on the basis of negative factors. Many Chinese believe that this is a problem for the Chinese.

Corruption is an important issue in China. Due to the high role of the state, people with great connections have a great opportunity to earn money. An effective way to solve it is to audit bank accounts and property [15]. Poverty alleviation is an economic problem. It can cause significant institutional change. This article examines China's experience in combating poverty. The features of the transformational economy, the mechanisms and tools to combat poverty, as well as the role of the modern Chinese state in addressing this issue were also considered.

Chinese city authorities have promised to exclude 68,000 low-income households from 200 neighboring villages by 2020. In these poorest regions of China, the average per capita income is $ 1,634 a year to reach. In Shanxi Province, China's

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poorest province, the average source of income has increased by 12%. Officials and businessmen are also helping the poor.

According to the Prime Minister of Tibet, in 2018, 180 thousand people will be lifted out of poverty, in 2019 150 thousand people will receive a regular salary. In 2018, 700 anti-poverty projects were developed, 36,000 farmers and herders were trained, and 47,000 new workers were employed to protect the environment.

The Inner Mongolia government will spend $ 1.5 billion in 2018. specifically struggled with poverty. Due to this, the number of poor people in the country decreased by 235 thousand. It is planned to create a high-tech production in the area, which will provide employment for the unemployed.

The online shopping service Alibaba is also helping to fight poverty. In 2018 he turned 600 poor Chinese villages into "Taobao villages". In addition, 60,000 private companies are working with the company to fight poverty, which began in 2015 with the slogan "10,000 companies will help 10,000 villages."

17 foresters signed memorandums of understanding with several provinces. The total amount is $ 250 million. The involvement of the rural population in forestry and landscaping has helped them a lot. The state provided subsidies to enterprises participating in this practice.

This method paid the poor Chinese, and the poor began to decline. According to the State Statistics Service, the average source of income in 2018 increased by 6.5%.

According to the International Monetary Fund, in 2010, a program to combat poverty was announced at the regular congress of the Communist Party, when GDP was 4.5 thousand dollars, five years later it was 8.2 thousand, in 2018 - it was increased to 9.6 thousand dollars.

According to Vitaly Mankevich, president of the Russian-Asian Union of Industrialists and Entrepreneurs (RSPP), "domestic demand is growing in China, which means that the economy is growing. In addition, Chinese companies do not focus on the production of consumer goods, which are important for entering foreign markets, but on the production of quality products for domestic use. Wealthy Chinese increase the demand for quality products, so Chinese enterprises produce high-quality and technological products so as not to lose the growing domestic market. Thus, the fight against poverty is an important component of the "Made in China" program. The program is important for China, so the country pays special attention to the fight against poverty. "

On May 25, 2020, an important event in the political life of China took place in Beijing - there were two sessions, goals and objectives for the future, a report on the past. This session is a session of the All-China Committee of the Supreme People's Advisory Council, the People's Political Consultative Conference of China,

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which was held on May 21, and the 13th National People's Congress was held until May 28.

The session began with a minute of silence to mourn the victims of the coronavirus epidemic. Issues in various fields were discussed at the session. In addition to the fight against the coronavirus epidemic, the Chinese are concerned about the fight against poverty and the prospects for future economic growth. The report of the session of the National People's Congress said that this year all low-income villagers will be completely lifted out of poverty. Central and regional authorities will reduce budget expenditures.

By 2020, China will be free of poverty, and 1.4 billion Chinese will join a middle-income society. This means that "China will fulfill the first point of your UN Sustainable Development Goals ten years in advance," says the leading Chinese state publication Zhenmin Zhibao.

Over the past 40 years, 700 million Chinese have been lifted out of poverty. This is 1978. in connection with the reforms and open door policy of the authorities. Over the decades, there have been government programs to help low-income people. In the fall of 2013, Chinese President Xi Jinping visited Hunan Province to help those in need during an infectious disease visit.

China is spreading its experience in fighting poverty to other countries. In the "Report on China's Progress in Sustainable Development 2030" on the UN agenda, published in the fall of 2019, China participated in the project of the poorest developing country to fight poverty. China shares its experience by organizing various training programs and forums, and by building "special villages that actually show poverty reduction" in developing countries such as Laos and Cambodia.

Well-known orientalist and sinologist Yuri Tavrovsky said that "China has been struggling with poverty for decades." With Xi Jinping coming to power, the struggle began to grow exponentially, as Xi's "Chinese Dream" included a plan to overcome poverty in 2021, the 100th anniversary of the founding of the Chinese Communist Party.

According to Tavrovsky, in 2019, Beijing will soon achieve this goal. Of course, the coronavirus epidemic has aggravated the situation, but it has not prevented the eradication of poverty. "I am confident that by the end of 2020, Beijing will announce that it will finally overcome poverty," Tavrovsky said. "This is the first case in the world." According to the expert, other countries should learn from China's experience, as poverty and low living standards are also found in developed countries.

According to Tavrovsky, in 1978, 95 percent of China's population lived in poverty. By 2012, 99 million people remained. In 2020, there should be no one left.

The poverty line in China is determined independently in each province. For example, Tavrovsky gave the indicators of the Xinjiang Uyghur Autonomous Region. It divides the whole population into four colors according to the level of income.

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Green means that the family's annual income is more than 5,000 yuan ($ 700), which is normal. The next is the yellow level, where the family's annual income is 4,5005,000 yuan ($ 630-700), which is usually not enough. However, the real poverty is the orange and red levels with an annual income of 4,000-4500 yuan and 4,000 yuan ($ 560), respectively.

Xi Jinping said at a joint meeting of members of the All-China Committee of the Chinese People's Political Consultative Conference on May 23 that "Chinese peasants should follow the path of common prosperity" and that no one should be left behind. According to him, the status of agriculture should not be lowered, all efforts should be focused on solving the problems of this sector.

As for the further development of the economy after the coronavirus epidemic, for the first time since 1994, quantitative goals of GDP growth have not been set, said Chinese Prime Minister Li Keqiang in his report. This was a major blow to the Chinese economy from COVID-19, which led to a 6.8 percent decline in GDP in the first quarter of this year. Li Keqiang called the fall "a price to be paid to prevent the epidemic."

Speaking of May 23, President Xi Jinping said the economic situation in China "should be analyzed from a comprehensive, dialectical and long-term perspective" and "efforts should be made to achieve new opportunities and new achievements."

The Chinese government has chosen to set flexible goals instead of announcing the numbers that can be achieved. The main tasks for 2020 are to achieve sustainable employment, fight poverty, as well as create a society of average prosperity. However, at the session of the National People's Congress, some figures were mentioned. Among them - the creation of more than 9 million jobs, inflation should not exceed 3.5%, the unemployment rate should not exceed 6%. At the same time, China's state budget deficit is 1 trillion yuan (about 141.6 billion dollars), which is 3.6 percent of GDP.

The main task of the authorities is to help the regions to provide employment, maintain living standards and ensure the functioning of the market. This will be done through the mechanism of inter-budgetary transfers. In addition, the regions will be able to issue most of the target bonds totaling 3.75 trillion yuan ($ 525.9 billion) this year to raise more funds to support the provincial economy. About 600 billion yuan ($ 84.1 billion) will be spent on budget investments.

As for the tax burden, in 2020 it will be reduced by 2.5 trillion yuan ($ 352.6 billion). We are talking about lowering rates or temporarily removing VAT and contributions to pensions and other funds, exempting medium, small and micro enterprises from insurance payments.

Xi Jinping spoke with delegates on May 21, calling for stability and security on six fronts and six districts. Six fronts: employment, the financial sector, foreign trade, foreign investment, domestic investment and expectations. Six districts -employment, meeting the vital needs of the population, the work of market

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participants, food and energy security, the stability of production and supply chains, the continuous operation of lower levels of government.

Here, the Chinese authorities, confident in stability and security, are confident in the overall economic situation. "We will move forward while maintaining stability, thus laying a solid foundation for the full-fledged construction of a middle-class society," he said in a report on the work of the government presented at the current government session. This can be compared to training an athlete to do physical exercises first and then to perform more complex tasks.

Yuri Tavrovsky explained "Quantitative GDP growth was not stopped for two reasons". "Firstly, it is a fear of a second wave of coronavirus, and secondly, the prospects for Chinese exports are unclear. It is unknown how high it will be. Given the instability of the economic and epidemiological situation in other countries, the benefits are unknown.

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According to the expert, China is very positive about this issue. At the same time, Tavrovsky believes that the decision to abandon the real digital parameters may be difficult for the Chinese leadership, as the planned economy has been accustomed to real numbers for decades.

After the founding of the People's Republic of China, the country lived in extreme poverty. Based on his research in the 1970s and his unique approach to business, Yuan Lunping made great strides in growing hybrid rice. Thanks to the contribution of the academician, the problem of nutrition in China has been solved. At the same time, 9 percent of China's arable land could feed 20 percent of the world's population. China has been the world's largest producer of grain for many years. In this regard, solving the problem of poverty. In 70 years, the number of poor people in the country has decreased by 850 million people.

At a reception marking the 70th anniversary of China's founding, Xi Jinping proudly said that poverty, which had existed in China for thousands of years, would be eradicated. According to him, the complete eradication of poverty in China will be a real miracle in human history.

Over 70 years, China has transferred 400 billion yuan to 170 countries and international organizations to eradicate poverty, sent more than 600,000 people as humanitarian personnel and built about 5,000 humanitarian facilities. Thanks to China's efforts, 12 million specialists have been trained in developing countries. These figures speak volumes about China's mission and mission as a responsible world power.

The Chinese model and anti-poverty experience have presented the world with a "Chinese version" of the global problem of poverty reduction. As the ruling party, the Chinese Communist Party considers poverty eradication to be the main goal of socioeconomic development. The CCP has set a clear timetable for achieving this goal and conducts regular research to formulate a flexible poverty reduction policy.

historical, cultural, scientific and Q ISSN 2181"1784

economic relations" SJIF 2023: 6.131 | ASI Factor = 1.7

Opportunities for sustainable development are increasing due to existing measures to provide targeted assistance to those in need. China has Chinese characteristics aimed at eradicating poverty. According to President Xi Jinping, development is the main driver of poverty alleviation. His book, Poverty Alleviation, has been widely criticized in developing countries. Many African officials believe that the book is not only for the Chinese, but also for Africans and all those who are actively working to eradicate poverty.

United Nations Secretary-General Antonio Guterres has described China's strategy of providing targeted assistance to the poor as the only way to eradicate poverty and achieve the ambitious goals of the United Nations 2030 Agenda for Sustainable Development.

Today, more than 700 million people worldwide live below the poverty line. According to the UN Sustainable Development Program will be held until 2030, the eradication of poverty is the main goal of global development. In this regard, China, as a responsible country with experience in combating poverty, attaches great importance to mutually beneficial and open cooperation in addressing this pressing issue. China will help developing countries increase their opportunities for sustainable development by expanding imports, investment and other measures.

According to the World Bank Group, the implementation of the "One Belt and One Road" initiative will save 7.6 million people from extreme poverty, and 32 million people live in extreme poverty. In 2015, China established the South-South Cooperation Assistance Fund. At the end of last year, China implemented more than 200 development and cooperation projects in disaster relief, medical and other fields in more than 30 countries. At the summit of the African Cooperation Forum in September last year, the Chinese side promised to cooperate with African countries in stimulating production and development capabilities, which was highly praised by African leaders.

Academic Yuan Lunping "The ancestor of Chinese hybrid rice" said, who once said his dream was to grow hybrid rice to feed people to live happily. Academician Yuan Lunping's dream is China's mission and responsibility. In the future, China will continue to share its experience of poverty eradication with the world, China will continue to actively coordinate poverty eradication mechanisms to achieve new international cooperation and poverty alleviation and common prosperity through joint development.

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