China has had an exceptional growth performance during the last quarter century, as a result of the successful economic reforms. These included an economic opening and a rapid integration in the world economy. Political reform has been less extensive than economic liberalization. But the political system has also undergone profound changes. There has been a great improvement in China's external relations, as ideology no longer plays an important role in foreign policy. As a new economic giant, China will play a constructive role in the world. The relations with Taiwan are according to the author the only potential source of future tensions.
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