The Rise of China: A Race Up or Down and the Impact on Actors world Introduction China's open reform period is characterized by a period of no blueprint but "looking for stones to cross the river", based on an incremental and gradual approach to reform. China is still a developing country, with pockets of industrialized regions. While China appreciates the fruits of its labor, due to this development imbalance there is a growing disparity between urban and rural areas. China's presence on the world stage has increased dramatically and has left many researchers puzzled about the consequences of its rise. There are numerous studies that discuss whether China's current path is upwardly directed or whether China is on the verge of its development with looming downturns in the near future, plagued by weak institutional reforms. While there are many characteristics that characterize China's direction, this paper will primarily analyze China's wages and regional disparities and how this has impacted the world. However, according to data published by the government, average annual real wages tripled from 1997 to 2007, from 3,285 to 24,932 Yuan. The Institute of Population and Labor Economics of the Chinese Academy of Social Sciences (CASS), reported that the rural labor surplus is declining to such a level that the continuation of industrialization cannot be supported cheaply (Cai , 2007). Furthermore, there have been increasing reports that China is losing its attractiveness as a manufacturing base for exports (Yang, Chen, Monarch, 2010). China's foreign direct investment (FDI) into China has...half of the paper...not stabilized at all. Conclusion The explanation for China's rise is usually polarized between deep optimism and an impending apocalyptic story for the country. global economy. Research suggests that China's rise embodies characteristics of both a race to the top and to the bottom. Furthermore, as examined in this paper, its integration has different effects across regions. However, both scenarios do not depend solely on China, but also on how countries like the United States adapt. Disrupting the transition due to fear by introducing trade barriers will not bring long-term economic benefits due to an already interdependent relationship between China and the world. China's transition is a path-based journey unfolding in the present, so an analysis of China's rise is speculative at best, but it serves as a mirror to capitalism, Chinese style..