Legislative branch:
unicameral National People's Congress or Quanguo Renmin Daibiao
Dahui (2,985 seats; members elected by municipal, regional, and
provincial people's congresses to serve five-year terms)
elections: last held NA December 2002-NA February 2003 (next to be
held late 2007-NA February 2008)
election results: percent of vote - NA%; seats - NA

Judicial branch:
Supreme People's Court (judges appointed by the National People's
Congress); Local Peoples Courts (comprise higher, intermediate and
local courts); Special Peoples Courts (primarily military, maritime,
and railway transport courts)

Political parties and leaders:
Chinese Communist Party or CCP [HU Jintao, General Secretary of the
Central Committee]; eight registered small parties controlled by CCP

Political pressure groups and leaders:
no substantial political opposition groups exist, although the
government has identified the Falungong sect and the China Democracy
Party as potential rivals

International organization participation:
APEC, ARF (dialogue partner), AsDB, ASEAN (dialogue partner), BIS,
CDB, ESCAP, FAO, G-77, IAEA, IBRD, ICAO, ICC, ICRM, IDA, IFAD,
IFRCS, IHO, ILO, IMF, IMO, Interpol, IOC, IOM (observer), ISO, ITU,
LAIA (observer), MINURSO, MONUC, NAM (observer), OPCW, PCA, SCO, UN,
UN Security Council, UNAMSIL, UNCTAD, UNESCO, IFC, UNHCR, UNIDO,
AfDB, UNIKOM, UNITAR, UNMEE, UNMIBH, UNMOVIC, UNTSO, UNU, UPU, WCO,
WHO, WIPO, WMO, WToO, WTrO

Diplomatic representation in the US:
chief of mission: Ambassador YANG Jiechi
consulate(s) general: Chicago, Houston, Los Angeles, New York, and
San Francisco
FAX: [1] (202) 328-2582
telephone: [1] (202) 328-2500
chancery: 2300 Connecticut Avenue NW, Washington, DC 20008

Diplomatic representation from the US: chief of mission: Ambassador Clark T. RANDT, Jr. embassy: Xiu Shui Bei Jie 3, 100600 Beijing mailing address: PSC 461, Box 50, FPO AP 96521-0002 telephone: [86] (10) 6532-3831 FAX: [86] (10) 6532-6929 consulate(s) general: Chengdu, Guangzhou, Hong Kong, Shanghai, Shenyang

Flag description:
red with a large yellow five-pointed star and four smaller yellow
five-pointed stars (arranged in a vertical arc toward the middle of
the flag) in the upper hoist-side corner

Economy China

Economy - overview: In late 1978 the Chinese leadership began moving the economy from a sluggish, Soviet-style centrally planned economy to a more market-oriented system. Whereas the system operates within a political framework of strict Communist control, the economic influence of non-state organizations and individual citizens has been steadily increasing. The authorities switched to a system of household and village responsibility in agriculture in place of the old collectivization, increased the authority of local officials and plant managers in industry, permitted a wide variety of small-scale enterprises in services and light manufacturing, and opened the economy to increased foreign trade and investment. The result has been a quadrupling of GDP since 1978. In 2003, with its 1.3 billion people but a GDP of just $5,000 per capita, China stood as the second-largest economy in the world after the US (measured on a purchasing power parity basis). Agriculture and industry have posted major gains, especially in coastal areas near Hong Kong and opposite Taiwan, where foreign investment has helped spur output of both domestic and export goods. The leadership, however, often has experienced - as a result of its hybrid system - the worst results of socialism (bureaucracy and lassitude) and of capitalism (windfall gains and growing income disparities). China thus has periodically backtracked, retightening central controls at intervals. The government has struggled to (a) collect revenues due from provinces, businesses, and individuals; (b) reduce corruption and other economic crimes; and (c) keep afloat the large state-owned enterprises, many of which had been shielded from competition by subsidies and had been losing the ability to pay full wages and pensions. From 80 to 120 million surplus rural workers are adrift between the villages and the cities, many subsisting through part-time low-paying jobs. Popular resistance, changes in central policy, and loss of authority by rural cadres have weakened China's population control program, which is essential to maintaining long-term growth in living standards. Another long-term threat to growth is the deterioration in the environment, notably air pollution, soil erosion, and the steady fall of the water table especially in the north. China continues to lose arable land because of erosion and economic development. Beijing says it will intensify efforts to stimulate growth through spending on infrastructure - such as water control and power grids - and poverty relief and through rural tax reform aimed at eliminating arbitrary local levies on farmers. Accession to the World Trade Organization helps strengthen China's ability to maintain strong growth rates but at the same time puts additional pressure on the hybrid system of strong political controls and growing market influences. China has benefited from a huge expansion in computer internet use. Foreign investment remains a strong element in China's remarkable economic growth.