(Allard, 2011) Table 3: Personal Income in the U.S. versus China

Personal Income

United States

China

2008

$48,100.00

$6,400.00

2009

$46,400.00

$6,900.00

2010

$47,200

$7,600.00

("China," 2011) ("United States," 2011)

These figures are significant, because they are showing how the U.S. has higher levels of personal income. This means that China is dependent upon selling their products in the U.S. markets. If there was a rapid disruption in trade, this could have an adverse impact on China's personal income levels. As a result, these facts must be used to show to China how they need to embrace political and economic reforms. If they refuse to do so, the total amounts of goods sold in U.S. markets should be reduced. This is because they do not want to follow the international regulations. This is when China will have a change in their behavior.

Conclusion

Clearly, globalization has been having a positive impact on China. This is because it helped the nation, to be able to establish their industrial base and to improve their standard of living. Over the course of time, this has allowed China to be able to see larger amount of capital reserves and their prominence in the world community has increased. However, the communist government has been slow to embrace any new kind of changes (when it comes to issues such as human rights and military spending). As, they believe that these areas are considered to be an internal security matter that does not...

As, they believe that they were using free trade to help the nation to modernize and build up the military. Once this occurs, is when the government will become more brazen and less likely to negotiate disputes. This is the point that the chances of hostilities will increase exponentially. To prevent this from happening, the world community must demand that China continues with its reforms. This will be accomplished by the threat of reducing trade with them. If this kind of approach is utilized, it will encourage positive changes by focusing on these areas.
References

China. (2011). CIA. Retrieved from: https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

China's Military Strength. (2011). Global Fire Power. Retrieved from: http://www.globalfirepower.com/country-military-strength-detail.asp?country_id=China

United States. (2011). CIA. Retrieved from: https://www.cia.gov/library/publications/the-world-factbook/geos/us.html

United States of America Military Strength. (2011). Global Firepower. Retrieved from: http://www.globalfirepower.com/country-military-strength-detail.asp?country_id=United-States-of-America

Allard, T. (2011). Tension Rise on South China Sea. SMH. Retrieved from: http://www.smh.com.au/world/tensions-rise-on-south-china-sea-dispute-20111116-1nj4v.html

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