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This book provides an overview of the key challenges currently faced in China and OECD's main policy recommendations to address them. Drawing on the OECD’s expertise in comparing country experiences and identifying best practices, the book tailors the OECD’s policy advice to the specific and timely priorities of China, focusing on how its government can make reform happen.
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Since the start of the economic reform process in the 70s China has been able to generate a large volume of investment, both from domestic and foreign sources. This high volume of investment was instrumental in sustaining strong economic growth and related improvements in living standards. However, this growth model is not longer sustainable. Returns on investment have fallen, excessive capacity is plaguing several sectors and the negative externalities have been very onerous, notably in terms of environmental degradation and rising income inequality. A key objective of the Chinese government is therefore to move the economy towards a more balanced, sustainable and inclusive growth path as envisaged by the 13th Five-Year Plan. In this adjustment process, the country is seeking new approaches for smarter, greener and more productive investment. This will require mutually reinforcing reforms to improve investment planning, rebalance the role of government and market forces, mainstream responsible business conduct and encourage greater private investment, especially in green infrastructure. China’s growing role as an outward investor may act as catalyser for the required reforms at home, as Chinese private and state-owned enterprises have to adopt internationally recognised practices and standards .
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The report shows how China, already the world’s largest wind market, could reach 1,000 GW of wind power by the middle of the century, an achievement that would reduce carbon dioxide emissions by 1.5 gigatonnes per year, or roughly equivalent to the combined CO2 emissions of Germany, France and Italy in 2009. The China Wind Energy Roadmap is the first national roadmap that has been developed by a country with IEA support, drawing from its global roadmap series.
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In many OECD countries, tertiary education systems have experienced rapid growth over the last decade. With tertiary education increasingly seen as a fundamental pillar for economic growth, these systems must now address the pressures of a globalising economy and labour market. Within governance frameworks that encourage institutions, individually and collectively, to fulfil multiple missions, tertiary education systems must aim for the broad objectives of growth, full employment and social cohesion. In this context, the OECD launched a major review of tertiary education with the participation of 24 nations. The principal objective of the review is to assist countries in understanding how the organisation, management and delivery of tertiary education can help them achieve their economic and social goals. China is one of 14 countries which opted to host a Country Review, in which a team of external reviewers carried out an in-depth analysis of tertiary education policies. This report includes: an overview of China's tertiary education system; an account of trends and developments in tertiary education in China; an analysis of the strengths and challenges in tertiary education in China; and recommendations for future policy development. This review of tertiary education in China forms part of the OECD Thematic Review of Tertiary Education, a project conducted between 2004 and 2008.
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This paper, prepared by the OECD and the Development Research Center under the State Council of the People’s Republic of China (DRC), discusses principles for reforming the Chinese railway, based on experience of rail reform in OECD countries. This paper draws on materials presented at a seminar held in Beijing on 28-29 January 2002.
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The solar heating and cooling (SHC) roadmap outlines a pathway for solar energy to supply almost one sixth (18 EJ) of the world’s total energy use for both heating and cooling by 2050. This would save some 800 megatonnes of carbon dioxide (CO2) emissions per year; more than the total CO2 emissions in Germany in 2009. While solar heating and cooling today makes a modest contribution to world energy demand, the roadmap envisages that if concerted action is taken by governments and industry, solar energy could annually produce more than 16% of total final energy use for low temperature heat and nearly 17% for cooling. Given that global energy demand for heat represents almost half of the world’s final energy use – more than the combined global demand for electricity and transport – solar heat can make a significant contribution in both tackling climate change and strengthening energy security.
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Learning for Jobs is an OECD study of vocational education and training (VET) designed to help countries make their VET systems more responsive to labour market needs. This special report looks at the system in China. China’s education system has made dramatic advances: almost all children in China now complete lower secondary education. Around three quarters continue into upper secondary schools, with fast increasing numbers in tertiary education. At upper secondary level about half the cohort enter vocational schools – more than 20 million students. At the same time the system faces significant challenges. The government is seeking to make the system accessible to all students – by removing the fees barrier, ensuring minimum quality standards in all vocational schools, and in providing adequate high quality workplace training opportunities. The OECD review assesses the main challenges faced by the VET system and presents an interconnected package of policy recommendations. For each recommendation, the report describes the challenge, the recommendation itself, supporting arguments, and issues of implementation.
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Under Action 14, countries have committed to implement a minimum standard to strengthen the effectiveness and efficiency of the mutual agreement procedure (MAP). The MAP is included in Article 25 of the OECD Model Tax Convention and commits countries to endeavour to resolve disputes related to the interpretation and application of tax treaties. The Action 14 Minimum Standard has been translated into specific terms of reference and a methodology for the peer review and monitoring process. The minimum standard is complemented by a set of best practices. The peer review process is conducted in two stages. Stage 1 assesses countries against the terms of reference of the minimum standard according to an agreed schedule of review. Stage 2 focuses on monitoring the follow-up of any recommendations resulting from jurisdictions' stage 1 peer review report. This report reflects the outcome of the stage 1 peer review of the implementation of the Action 14 Minimum Standard by the People's Republic of China.
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In 2017, the People's Republic of China (hereafter, "China") decided to implement a national emissions trading scheme (ETS) to limit and reduce CO2 emissions in a cost-effective manner. Set to start in 2020, the ETS will initially cover coal- and gas-fired power plants. It will allocate allowances (also known as permits), based on the plant's generation output, with a different benchmark for each fuel and technology. China's ETS, set to expand to seven other sectors, will be the world's largest by far, covering one-seventh of global CO2 emissions from fossil-fuel combustion.
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Under Action 14, countries have committed to implement a minimum standard to strengthen the effectiveness and efficiency of the mutual agreement procedure (MAP). The MAP is included in Article 25 of the OECD Model Tax Convention and commits countries to endeavour to resolve disputes related to the interpretation and application of tax treaties. The Action 14 Minimum Standard has been translated into specific terms of reference and a methodology for the peer review and monitoring process. The peer review process is conducted in two stages. Stage 1 assesses countries against the terms of reference of the minimum standard according to an agreed schedule of review. Stage 2 focuses on monitoring the follow-up of any recommendations resulting from jurisdictions' stage 1 peer review report. This report reflects the outcome of the stage 2 peer monitoring of the implementation of the Action 14 Minimum Standard by the People's Republic of China.
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