In what way does the geography of China affect its economy?

Like in any places in the world, it is not that China’s geography “affects” economy, it is that it will determine it. You can not easily trade if you are stuck in mountains and you can not quietly grow business quietly when you are over-exposed. Look at a map of China : mountains, water, roads, everything that exists was built upon those resources.

Pro-tip : even though there is a strong bias in current studies to think that econometrics equlas economics, numbers and metrics can barely touch the surface of how economies really develop. Understanding economics means understanding history, geography and ultimately culture. See this answer : Clément Renaud ‘s answer to What are the most significant flawed assumptions in economics? In particular, what assumptions have led to incorrect theories which have been used to justify harmful and failed public policies?

This text was originally published in quora.

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