WORLD ECONOMIC SITUATION IN 2002 AND COUNTERMEASURESBY CHINA

In 2001, world economy ran into the deepest recession since the latest 30 years, which was hard landing after boom for many years and led to the U type curve of world economic growth. According to the predictions from the world primary organizations, the year of 2002 would see all the same gloomy world economy. The recovery of world economy depends on that of American economy, which mainly pulled by expansionary policies. Facing such external adverse situations, in order to achieve more than 7% of economic growth in 2002, China should adjust foreign economic policies besides relying on the domestic demand.