Asymmetric Interdependence
China and Russia’s economies in comparison
Abstract
China, with a population ten times larger and an equal amount of arable land, produces six times as many goods and services as Russia. In terms of gross domestic product valued at purchasing power parity, China ranks first in the world, Russia sixth. In Russia, a significantly larger share of GDP goes to private consumption as well as government final consumption expenditures than in China, and Russia is more militarised. In China, the investment rate is twice as high than in Russia, which has been one reason for its strong economic growth, along with the strong increase in the labour force. At the same time, 25 percent of China’s inhabitants live in absolute poverty; in Russia, 4 percent. China is a far more important trading partner for Russia than Russia is for China. China determines the scope and intensity of economic integration with Russia and is guided only by its own interests.