Final answer:
China is the second-largest economy in the world, with a substantial GDP but a lower GDP per capita due to its large population. It faces challenges such as income inequality and pollution, yet could become the world's largest economy by 2030.
Step-by-step explanation:
China has become the second-largest economy in the world. After tremendous economic growth since the beginning of the century, China was categorized along with other high-income economies such as the United States, Canada, the European Union, and Japan. According to Table 6.9, China's GDP is the second-largest, next to the United States. However, due to its large population, China's GDP per capita is significantly smaller than that of the United States, indicating that the average Chinese person is relatively poorer compared to the average American.
Nonetheless, China's rapid development has challenged the global economic landscape, accompanied by issues such as income inequality and pollution. Additionally, China holds a large amount of U.S. public debt and has often criticized U.S. fiscal policies, which reflects the complex economic relationship between the two nations. Despite the challenges, some projections suggest that China may surpass the United States to become the world's largest economy by 2030 if current trends persist.