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Dorota Roszkowska: Comparative Study of the Effectiveness of Strategy for Socio-Economic Development of Western China and Eastern Poland, as the Examples of Underdeveloped Regions

chengdu3Regional growth and development differences are considered as an important economic problem. Through national socio-economic policy governments try to implement instruments to minimize these disparities and make the pace of growth in all its regions equal and sustainable. Regional divergences are mostly an effect of historical inequalities.

Both China and Poland are characterized with the inner divergences, where Eastern Poland and Western China remain the underdeveloped regions. Both countries underwent economic transformation. In Poland changes began in 1989, in China in 1978. In order to minimize the uneven pace of growth both countries implemented special policy instruments to enhance the growth. They were a result of special accepted Strategies. Their realization started at the beginning of the 21st century. It was concentrated on the financial support of specific projects to better the level of territorially cohesion. Although both regions are not comparable in size and population, they are similar when it comes to economy structure, role of agriculture, tourism and natural resources. All of the above mentioned makes a comparative analysis interesting and important.

Besides these similarities, the structure of financial support in both countries is different. In Poland it is strictly connected with the accession to the European Union, which financed special supportive programs realized under governmental auspicious. Chinese strategy realization was mostly based on governmental funds with an important role of foreign loans and direct foreign investment, which number increased  rapidly after China’s accession to WTO. The results of the implied policy, which effectiveness can be measured with GRP pace of growth, show that the growth rate in Western China is much higher than in Eastern Poland. Although the Gross Regional Product per capita in Eastern Poland remains almost twice as big as in Western China.

The precise comparison of both strategies effectiveness in analyzed regions is difficult because of differences in it’s economic models and number of population as well. If we compare GRP of each provinces in Western China and Eastern Poland, in general, the richest province Sichuan GRP is RMB 2,1 trillion, while richest Eastern Poland voivodship is RMB 102 billion (look at the graph below). The whole Poland’s GDP is  about RMB 3,1 trillion, with it’s population of 38 mln people.

Graph. Gross Regional Product in Western China and Eastern Poland in 2010 (RMB, billion)

 graph

Source: own, based on: http://www.china-briefing.com/news/2013/05/16/chinas-provincial-gdp-figures-in-2012.html#sthash.A5PcAzUT.dpuf, http://www.stat.gov.pl/cps/rde/xbcr/gus/RN_pkb_rachunki_regionalne_2010.pdf, 20.06.2013.

If we compare macroeconomic indicators from the beginning of 21st century, the GRP in Eastern Poland grew on about 8% from 2000 to 2010 in general, in Western China the average yearly growth is on about 12%. The differences among regions in both countries are still important issue. They cause many economic and social problems, for example inner migrations and so called “brain drain”. Both analyzed regions need further structural and financial help to catch up richest parts of their countries. Drawing conclusions, both in Poland and China, the regional differences still remain an unsolved problem and its policies call for far-reaching changes.

The whole article will be to find in Western China Development Review, 2013.

Dorota Roszkowska, magister międzynarodowych stosunków gospodarczych i prawa, asystent na Wydziale Ekonomii i Zarządzania Uniwersytetu w Białymstoku, autor publikacji naukowych z zakresu gospodarki chińskiej i międzynarodowego transferu technologii, przygotowuje rozprawę doktorską na temat wpływu międzynarodowego transferu technologii na innowacyjność gospodarki ChRL.

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Dorota Roszkowska: Comparative Study of the Effectiveness of Strategy for Socio-Economic Development of Western China and Eastern Poland, as the Examples of Underdeveloped Regions Reviewed by on 3 sierpnia 2013 .

Regional growth and development differences are considered as an important economic problem. Through national socio-economic policy governments try to implement instruments to minimize these disparities and make the pace of growth in all its regions equal and sustainable. Regional divergences are mostly an effect of historical inequalities. Both China and Poland are characterized with the

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