m state-owned
enterprises, migrants, and new entrants to the work force; (b)
reduce corruption and other economic crimes; and (c) keep afloat the
large state-owned enterprises, many of which had been shielded from
competition by subsidies and had been losing the ability to pay full
wages and pensions. From 80 to 120 million surplus rural workers are
adrift between the villages and the cities, many subsisting through
part-time, low-paying jobs. Popular resistance, changes in central
policy, and loss of authority by rural cadres have weakened China's
population control program, which is essential to maintaining
long-term growth in living standards. Another long-term threat to
growth is the deterioration in the environment, notably air
pollution, soil erosion, and the steady fall of the water table
especially in the north. China continues to lose arable land because
of erosion and economic development. Beijing says it will intensify
efforts to stimulate growth through spending on infrastructure -
such as water supply and power grids - and poverty relief and
through rural tax reform. Accession to the World Trade Organization
helps strengthen its ability to maintain strong growth rates but at
the same time puts additional pressure on the hybrid system of
strong political controls and growing market influences. China has
benefited from a huge expansion in computer internet use. Foreign
investment remains a strong element in China's remarkable economic
growth. Growing shortages of electric power and raw materials will
hold back the expansion of industrial output in 2004.

Christmas Island
Phosphate mining had been the only significant
economic activity, but in December 1987 the Australian Government
closed the mine. In 1991, the mine was reopened. With the support of
the government, a $34 million casino opened in 1993. The casino
closed in 1998. The Australian Government in 2001 agreed to support
the creation of a commercial space-launching site on the island,
projected to begin operations in mid-2004

Clipperton Island
Although 115 species of fish have been identified
in the territorial waters of Clipperton Island, the only economic
activity is tuna fishing.

Cocos (Keeling) Islands
Grown throughout the islands, coconuts are
the sole cash crop. Small local gardens and fishing contribute to
the food supply, but additional food and most other necess