Delights and Worries for the Development of New Economics
Economic globalization has greatly driven the transfer of economic factors and thus brought about an “overflow” effect that economic factors like capital and technology flow into places that could guarantee low cost and high profit growth, forming a foundation for the springing up of new economics. The newly emerged economic powers, with their rapid economic growths and increasingly broadened shares in the world economy as a whole, are showing more and more important roles in world economic growth, which has become a prominent trait of the world economic development.
The following two advantages have contributed to the expansion of new economics: first, most new economics are large-scaled countries with enormous populations and dominant young people, so they have adequate labor resources and enjoy low producing costs that could bring more economic returns. Second, new economics generally employ the market economy, and the huge domestic markets and large potential for trading up are demonstrated as great attractions for foreign capitals.
Meanwhile, new economics are also faced with lots of problems and risks. They are inferior in high-grade industries and financial industry, and call for perfection and improvement of their internal mechanisms. And risks like geopolitical conflict, political risk, fiscal risk, debt and financial risk, protectionism in trade and investigation just seem more piercing. But judging from an overall view, newly emerged economics have shown an irresistible trend of economic development and remain to be the main impulse of world economic growth.