The GDP based on purchasing power parity in the year 2013, was expected to attain 12.623 trillion dollars indicating a percentage increase by 9.81 per cent. In comparison, the GDP of China from the year 2011 to 2012 was increasing by 9.73 per cent (Huang et al, 121). For the next 5 years, the predicted forecast with respect to GDP growth of China has been depicted at 22.641 trillion dollars in the year 2018. Even though the GDP (PPP) of China has been set to outreach US, the nominal GDP of China even in the year 2018 will be still lesser than the competitor. The GDP (current prices basis) of US has been estimated to be at 21.101 trillion dollars in the next 5 years that is by 2018 which is higher significantly than that of China at 14.911 trillion dollars. If the current rate of growth as a pattern is followed, then China will still require 40 years approximately to reach the Rank 1 at world’s largest economy growth list with respect to purchase power parity and gross domestic prices.
China today functions as an economy based on market with more than 500 billion Chinese citizens ahead of the poverty line. Still, there are approximately 170 million individuals in the country still living below the poverty line set at 1.25 dollars per day globally.