degrees and 29 Ph.D degrees In China. In 1983, over 37,000 people were under either M.A. or Ph.D programmes In research Institutes and Institutes or higher learning. Bottlenecks In development of S and T human resources : MaJor problems at present are (1) the development of educa­ tion, Including expenditures and fc.cllltles, Is lmcompatlble with modernization programmes. The total number of Science and tech­ nology personnel In all fields Is small and the percentage In the total population Is very low -one out of every 62 In 1982; (2) Irrational composition of special lzatlons -there Is a big demand tor personnel In egrlculture, light Industry, textile Industry. etc.; (3) over-specefllzed disciplines and curriculum, resulting In students• narrow scope of knowledge a~d lack of basic theore­ tical and comprehensive analytic~! abilities as well as flexlbl­lltles; (4) absence of a system tor continuing education, thus providing no for~al learning opportunities or updating knowledge In science and technology after university education. To overcome these difficulties and to of education, It Is l1:1portant to open up necessary expenditures and facilities. teaching and teachers In institutes of expand adult education. promote the development new avenues, Increase Improve the quality of higher learning. and FINANCING SCIENCE AND TECHNOLOGY FOR DEVELOPMENT Expenditures on science and technology Expenditures on 5clence and technology In China come mainly from government's budget allocation in two categories, I.e. re­ search expenditure and capital construction expenditure. which are al loted to the various ministries or provincial governments through the Ministry of Finance. Within the research part of the budget there Is a special fund under the control of the State Science and Technology Commission for developing new products, pilot plant experiments and/or as subsidy to priority research proJects. In addition, the ministries and provincial governments can also allocate a certain amount from their operating expenses 
**Analysis**
The text appears to focus on the development of human resources in China, particularly in the field of science and technology. It highlights the challenges facing the country in terms of education, training, and financing for S&T development, which suggests that the category should be related to education and economic development.

**Category**
Education, Economic development