Page 108 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.81, # 2, 2024, pp. 104-116

In early 1990, China's employment rates rose as a result of economic programs and
reforms aimed at improving labour market conditions by emphasising skilled
employment and acknowledging human capital as an essential element of production
that adds value across all economic sectors, leading to enhanced working conditions
in urban and rural areas (Ghose, 2005).

In 2015, the employment rate declined by 4.97% due to substantial pressure on Chinese
exports and the yuan from global economic turbulence, leading to lower worldwide
demand, limited investment, and the robust performance of the United States dollar.
During this era, China's GDP expanded by 6.9%, marking its most sluggish growth rate
since 1990. In 2014, growth reached 7.3%, resulting in a decline in China's employment
rate, among other issues such as substantial population growth. In 2022, the employment
rate decreased to 4.83% due to declining oil prices and the repercussions of the global
COVID-19 pandemic, which has significantly affected the economies of countries
worldwide.

Human Capital Development Index (HDI)
Notwithstanding rising economic apprehensions China persists in advancing its
human development objectives both locally and internationally. In 2022, China's
Human Development Index (HDI) rose to 0.788, categorising it as China's high human
development index declined from 79 in 2021 to 75 in 2022.

Table2. Human Capital Development Index(HDI)
Human Development Inequality Planetary pressures-
Index value adjusted adjusted Human
Development Index
China 0.78 0.66 0.67
East Asia and the 0.76 0.64 0.68
Pacific States
Source: United Nations Development Programme
The PHDI is the worldwide metric for human development. In 2022, this score in
China was around 0.679, indicating a 13.8 percent decrease relative to the human
development index. This deprivation decclined from 15.6% in 2021 but is above the
East Asia-Pacific mean of 10.8%. Upon accounting for inequality, China's human
development index diminishes to 0.662, which is 16.4%. China's 2009 health sector
reforms have achieved significant successes. The average healthcare expenditure rate
from 2008 to 2020 was 16.3%. Health subsidies increased from RMB 15 per
individual in 2009 to RMB 84 per individual in 2020, while the Government's
proportion Comprehensive health spending nearly increased to twice to 30.4% in
2020, an increase from 17.9% in 2005 (China Health, 2021).

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