Impact of Disaggregated Industries' Exports on Economic Growth in China

Abstract

This research analyzes the influence of agricultural, manufacturing, and service exports on China's economic progress in both the short-term and long-term. The findings demonstrate that while every one of the export sectors positively influence development, manufacturing exports possess the most substantial long-term effect, underscoring the significance of industrialization and technical advancement. Agricultural exports, although advantageous, have a comparatively little impact due to minimal value creation and price instability, but the growing importance of service exports indicates China's fundamental shift towards a knowledge-based economy. The substantial error correcting mechanism indicates that China's economy rapidly adapts to discrepancies from equilibrium. Policy proposals include bolstering industrial competitiveness, fostering service sector growth, augmenting agriculture value addition, and sustaining trade openness. These results underscore the necessity for diversified exports, innovation-fueled growth, and economic resilience, therefore securing China's enduring worldwide economic supremacy and future prosperity.