China and India on the Road to Success

b) Economic – China’s isolation led to them having a localized government. On the other hand, India was susceptible to outside forces and influences, causing it to have more diverse culture, and therefore to have local

1. Why are the centuries of the Tang and song dynasties in China sometimes referred to as a “golden age”?

There are faults within Zakaria’s argument. Throughout the book, assumptions are made on the likelihood of the prosperous future of the U.S. and emerging powers. These predictions are based on assumptions, therefore lack solid evidence. Zakaria builds his argument based on the assumption that America “will remain a vital, vibrant economy at the forefront of the next revolutions in science, technology and industry” (Zakaria 182). Although there are some statistics that can support this assumption, the future remains unpredictable. Furthermore, Zakaria weakens his credibility by including personal opinions in the book. Particularly the claims made towards India give insight to his bias towards India over China. Zakaria has undermined the economic

much lower effective tax rate as they have the financial means to employ shrewd accountants

In Classical India and Classical China, the development of institutions and traditions were very different yet very similar in many ways. For instance, India and China both put women below men and considered merchants as a middle class. However, they differed in areas such as centralized government. Outside of the Mauryas and the Guptas, India was run by the religion-based caste system while China had a very centralized government, except for the Warring States period and the Three Kingdoms period. If you look closely, Classical China and Classical India are like opposites drawn in the same colours. They both socially stratified their people in ways dictated by their beliefs but while India made it impossible to move any way but down, China allowed movement in any direction through the pyramid of society if you could earn it. Furthermore, while China worshipped their ancestors and looked to learn from the past, India believed in reincarnation and looked to the future.

The difference between the natural environment and social structure of the two major countries in China and India: Another major difference between China and India is that India is a typical religious country where everyone believes in religion. People attach great importance to the world and prevail in monastic practice. Relatively speaking, China is a humanistic country that pursues the

The average developed country taxes revenue compared to their gross domestic product are 34% and Japan gets 32% of GDP as their tax revenue. This is better for people in Japan compared to other countries with higher share of tax revenue to GDP such as Denmark and France. However, Japan still have a higher tax rate compared to the United States which have a 26% tax revenue compared to GDP. The tax rate of goods and services also follows that trend, in Japan the average goods and service tax is 19.8% while in the

China is a growing country; its population is about 1.4 billion, and as of 2014, the Chinese economy is the world’s second largest (in terms of nominal GDP,) totaling approximately US$10.380 trillion, with a growth rate of 7.4%, and the GDP per capita is US$3,619.4. From last century to this century, China has had significant improvements in their economic development. China had been in three major crises during the last century: the 20th century. The Fall of Qing Dynasty, World War II, and Civil War in China, all of them struck China in a destructive way. From the end of the 20th century, China was in a fast-developing mode.

* The tax in India on an individual 's income is progressive. An education tax (CESS) of 3% is imposed too. * A limited company in India is liable for tax at the rate of 30% for a local company and 40% for a foreign company. * Companies in India whose tax liability is less than 10% of the "book profits" pay a 18% minimum alternative tax, MAT on the "book profits" with a surcharge and CESS, bringing the effective tax rate of 19.93% for domestic companies and 19% for foreign companies.

The U.S. tends to get most of its taxes from Income/profits, and Social Security, and a decent amount from goods and services. Denmark, almost entirely gets their taxes on income/profit, and goods and services, having very little come from Social Security and property. Those that do come from goods and services (which is why Denmark is also recessive) are known as VAT, or Value Added Taxes. The way this tax works is that anytime a product gains value, it is taxed. Mexico is a little more even in its taxes, as it gets almost equal amounts of taxes from income, Social Security, and goods and services. A good percentage (around ⅔ of the budget) of taxes spent in the U.S. go to mandatory spending, which includes things such as social security, medicare, and food stamps. The rest (around ⅓) goes towards discretionary spending, which includes things such as education, national defence, etc. There are many services that Denmark’s taxes pay

In terms of geographical breakdown of exports, China's major trading partner is Asia accounting for around 51 per cent followed by USA 22 per cent and Europe per cent.

The Doing Business database ranks China a modest 91st on the overall ease of doing business, with India worse but not dramatically so at 116th… in China it’s quicker to start a business, get goods from factory floor on board a container ship, and register property. But Indians - perhaps surprisingly - seem to have more flexible labour laws and fewer hassles with licences.

India is the second-most populous country with over 1.2 billion people which located in South Asia. India is the world’s seventh-largest economy based on nominal GDP and is the third-largest purchasing power parity. Following market-based economic reforms in 1991, India became one of the fastest-growing economies country and began to implement export-oriented foreign trade policy. However, before the reform due to the long-time of the implementation of Inward-looking import economic development strategy, the domestic market is highly protected in India which lead to the slow development of India 's import and export trade and stay in the trade deficit situation for a long time. As well as the contribution of foreign trade to GDP is low, ultimately affect the Indian economy development speed. Now, it is one of the most attractive country of the BRIC markets, which also includes Brazil, China and Russia. Sino-India trade relationship began in 1951 and start rapid growth in the 90s, now India has become the biggest trading partner of China in the area of South Asia.

It’s the most heard term about the global economy in the recent years and it’s the year we have been always hearing about its 2008. We all have been a part of it in some or the other way and all the major economies had been affected by the global turmoil which eventually lead to the worst situation after the Great depression of 1929. The sub-prime crisis in USA which lead to great recession where the house prices fell by around 31.8% which is more than any depression. The alarm started ringing for the crisis in 2006 when housing prices started to drop in USA. This crisis which eventually lead to bankruptcy of the Lehmann Brothers and many of the other companies were bailed out by the major banks. This was the time when Fed had interrupted and tried to curb the effects of crisis to the economy, in spite of the best efforts the government couldn’t see what was coming and had to face the heat for many more upcoming years. USA being the super power and one of the most powerful economies there has to be side effects on most of the economies. One of the economies we are going to discuss further in the paper is the Indian economy. AS we know India is a developing economy and it also faced the ripple effect of the USA downturn, the question here is how the economy managed to survive with the least possible negative effects on the economy in terms of unemployment,

1. Abstract 2. International tax law & its sources 3. Brief history of International Tax Law 4. Who gets the pie? 5. Arm 's length principle : Cornerstone of International Tax Law 6. Transfer pricing methods 7. Problems with of source taxation of MNE 's 8. Internet & e-commerce : Achilles heel of current International taxation regime? 9. Formulary Apportionment (FA) 10. Existing uses of Formulary Apportionment systems in the world 11. Developing countries & Formulary Apportionment 12. Critique of Formulary Apportionment 13. Transfer pricing and Formulary Apportionment : One continuum 14. Conclusion 15. Acknowledgements 16. References