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New economic sectors and new business models have been growing fast, he said, noting the Chinese economy is growing in a more balanced fashion, and is being driven more and more by domestic demand, innovation, as well as the service sector and the green economy.

China and other claimants of the South China Sea have the capacity to work out their disputes through dialogue and negotiation. As a non-claimant, the U.S. should make good on its repeated commitment that it does not take a position on competing territorial claims.

By December, all provincial governments in China had set a budgeted amount of spending for each student at vocational colleges and allocated the money to colleges accordingly, Yuan said.

"(The five theater commands) will better safeguard national sovereignty, security and interests while upholding regional stability and world peace," said Yang.

"Unlike monetary easing, which works by lowering domestic interest rates, fiscal policy can support aggregate demand and near-term growth without creating an incentive for capital to flow out of the country," Bernanke said Wednesday in a blog post. "A targeted fiscal approach would also serve the goals of reform and rebalancing the economy in the longer term."