China's trade with the world grew dramatically in the first three decades of the 20th century, marking a historic moment for the country. In the 1840s, China's economy was highly closed; however, when Britain and other powerful countries put pressure on their economy, China was willing to open international trade within its own economy. Over the next 60 years, China experienced little trade openness among other foreign powers, allowing transactions between foreigners. The financed railway spurred industrialization, as well as advertising and overseas shipping (Yan, 2014). The main reason for the moderation in China is because they are much more focused on production rather than consumption. Last year, Chinese consumption accounted for 35% of their economy; just over 10 years ago it was estimated that 50% represented their overall consumption (Reich, 2010). Foreign exports and imports increased dramatically, raising the annual trade expansion rate to about 7.4%. The Chinese economy's share of world trade grew by just under 2% from the late 1800s to the mid-1900s. By the early 20th century, comparative advantage was present throughout their economy (Yan, 2014). China's economy had many transformative effects due to World War I. One of the main reasons this happened is that it put a strain on trade in many other places around the world, offering many different beneficial aspects to the Chinese economy. For this reason, Chinese exports have seen a dramatic increase. Exports between countries such as the United States have increased at a considerable rate, starting from an annual rate of 6% before World War I, and increasing dramatically to 27% after the war began (Yan, 2014). China ranks first… in the middle of the paper… in a restricted area (Xu and Dong, 2009). China, over the years, has come to terms with producing and exporting less-skilled goods for foreign nations. China's skill premium increased in the early 20th century, flattening export prices around 1929 (Yan, 2014). The data shows that if there is no change in the overall final product of workers and import versus export prices become neutral, China's labor skill level will decline in correlation. The data also shows that exported products (coal, cotton yarn, raw silk, bristles, agricultural products, etc.) where a more intensive form of unskilled labor is used will experience a dramatic increase in price growth. Depending on the labor supply curves, the wages of skilled and unskilled workers will be determined based on the overall demand for each type of worker. (Yan, 2014).