How To Avoid The Middle Income Trap In China

If economies have experienced a quite long period of slow growth while always pacing up and down at some middle income level and failing to stride into the rank among high income economies after the development of level from low income to middle income, which is considered to be caught by the "Middle Income Trap". China has become one of the upper middle income countries in the world at present. The new economic social characteristics presented at the current development stage in China have made several tests to its spanning for the "Middle Income Trap". In this essay we attempt to explore the possible logical relations between education and "Middle Income Trap" and whether the development of education will have positive meaning to avoid the "Middle Income Trap" for China or not from the perspective of the development of education and by using related theoretical research results for reference, such as economic growth theory and involving the achievements of development economics and educational economics,etc, and also by summarizing the experience and lessons of the main economies, of which either have successfully crossed the "Middle Income Trap" or fell into it, and according to the situation of development in China as well. The results of study in this paper show that human capital accumulation and technological progress caused by education play a key role in a must transition into the mode of modern economic growth after a certain development stage in the economies, accelerating industrial structure to upgrade and optimize, improving the income distribution, keeping the sustainable development of economy and society, thus avoiding the "Middle Income Trap" for China. Then we need to pay attention to what type of form for educational development is helpful for China to avoid the "Middle Income Trap" at present. Detailed study indicates that on one hand, we need to increase public educational input and pay attention to the adjustment of its structure in terms of the educational input mechanism. On the other hand, in terms of the transition of the direction of educational development, we should follow the rules of that the mode of educational development is required to meet the needs of different developing stages. Hence, while consolidating the rich achievements which have been obtained by the development of primary education, we should also pay more attention to try our best to transform into the timely catching up of higher education at the new developing stage. Furthermore, we should increase the international competitiveness of higher education and creative education in colleges and universities also should be put into practice to train creative talents.