Out Flying the Eagle: China's Drive for Domestic Economic Innovation and Its Impact on U.S.-China Relations
NAVAL POSTGRADUATE SCHOOL MONTEREY CA
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In 2006, the Peoples Republic of China adopted an innovation policy designed to accelerate domestic economic innovation. With this policy, China aimed to shift its economy from one that manufactures products at the lower end of the value-added chain to one manufacturing products at the top of the value-added chain. China plans to become not only a high-technology manufacturing nation but to become the world-leader in innovation. Certain aspects of this plan for endogenous growth through state-driven economic innovation were economically competitive with the United States. This thesis will assess the impact of the PRCs plans and actions to drive innovation, to include answering the following questions Have the PRCs actions regarding innovation made an impact on its economic performance And consequently How might we expect Chinas state-driven-innovation to affect U.S. China relations This thesis will show that China s Indigenous Innovation policy has made some minor contributions to raising the levels of innovation in China but will likely fall short of the 2006 2020 MLP goals. Furthermore, although this policy initially included economically competitive elements, it has been adjusted and in its present form is less likely to have a negative impact on future U.S.-China Relations.
- Economics and Cost Analysis
- Government and Political Science