China's Command Economy

China is the second largest economy in the world. It has become the fastest growing economy in the world with an average rate of 10% for the last thirty years. The largest exporter and second largest importer of goods has brought China to be ranked first in the foreign exchange reserves. The country with thousands of years of history, started off and continues today as mostly an agrarian economy. Over time China's economy continues to change and prosper. Starting with the first economic change in the early twentieth century, which occurred when the GMD (the Nationalist Party) lost control due to its poor economic performance. This in turn led to their defeat by the CCP. During that time many peasants lost their farmland and this led to a peasant

A command economy or planned economy is an economic system in which the government or authority has control over the production and pricing of good and services. The authority selects which items and services to produce, the creation and distribution process, and the costs of goods and services. Additionally, the government has control of all lands, capital and different resources. The government or authority decides essentially the most socially effective items to provide. They also create laws and regulations that control state-owned and privately owned businesses. The choice of goods available to customers is higher in the market economy system than in the command economy system. There are 2 types of Command Economy, a strong and a Moderate

Free-market and Command economy are the two-major economy system. It has sparked years of controversies among individuals over which system is better. However, no agreement has been reached. Meanwhile, it is obvious that free-market economy predominates all around the world as the majority of countries are following an economy which free-market process the dominating position.

Nations have debated on which economic direction their country will direct its footsteps since the creation of societies. The United States, being one of the most stereotypical capitalistic nations, began as a Laissez-faire nation, but throughout the centuries America’s economic standpoint has shifted more into Socialism rather than Laissez-faire. The second largest economy in the world, China, is widely understood as being a socialist country, however, for the past years they have been inclined towards a more capitalist nation, but are still officially socialist. Socialism and Laissez-faire both have fatal flaws, but both concepts can be blended and pragmatic to the new millennium while having a positive future.

The government also makes all main economic choices. Places like China have a command economy, and command economies grant hardly any freedom to people, as the government is very harsh on society. Everything is controlled by a central power. Although command economies are strict, they adapt to change well, thus that being a major advantage. There is very little uncertainty with where to work because their lives are already basically planned out. In a command economy it is very easy to make your own business, as in a market economy it could end up taking weeks, months, or even years just to get started. Also, in a command economy since it is so strict families are limited to have maybe one child, and soon the family will depend on that child when they are no longer able to work – making the child responsible for a lot of things in the family. Command economies are not poor, because there is always production and its very rare that a worker would be able to call

No government involvement means there’s free range of the whole system. Market system is what the United States have. And that means there is little government involvement. Here in Canada we have a Mixed economy. That just means that there is government involvement.

A mixed economy means that one part of the entire economy is being controlled and run by a certain country’s government, while the other half is left to the free market. Most economies of the countries all over the world are mixed, and they only differ in terms of intervention by the state. This system usually begins by authorizing private enterprises to run the majority of businesses before the government intervenes with specific areas of economics, such as inflation protection and taxes. Today, Canada and the US have different economic systems that are supposed to show what each country believes and what they value. Canada, for example, has a mixed economy while US

Economic systems are organized way in which a state or nation allocates its resources and apportions goods and services in the national community. An economic system is slackly defined as country’s plan for its services, goods produced, and the exact way in which its economic plan is carried out. There are three types of economic systems exist, they are command economy, market economy, and mixed economy. Command economy is also sometimes called planned economy. The expectations of this type of economy is that all major decisions that related to the construction or production, distribution, commodity and service prices are all made by the government. However, in market economy, national and state governments play a

First of all we will start with the stock market. As the name implies, it is mostly a market-based policy instituted by citizens, for citizens. But quickly, government commons-based economic policies were introduced, leading to a balance similar to that of democracy. This is a scenario that unfolds in thousands of scenarios, from the forestry industry to the tech support service, people were originally market-based (in N.A.) but the government injected commons-like policy to be a

Ian Bremmer profoundly states that he did not witness a global financial crisis. He witnessed a financial crisis with Western, free market, countries while China was not phased because they are the owners of their banks. Additionally, he claims that when one confronts a Chinese citizen and asks of his or her opinion of their government, they are generally happy with their state; unlike their Western counterparts. Ian Bremmer quotes Chinese Premier Wen Jiabo’s definition of state capitalism, “The complete formulation of our economic policy is to give full play to the basic role of market forces in allocating resources under the macroeconomic guidance and regulation of the government. We have one important piece […] that both the visible hand and the invisible hand are given full play in regulating the market forces.” The Chinese government also ensures that they are creating thousands of new jobs each year to create an easier access from poverty to middle class without any social threats. Lastly, a key in China’s state capitalism market is that they have a strong grip and direction on their banking

The work and pressure placed upon these factory workers pushes them to carry an unwanted burden and unnecessary stress. The Telegraph, a United Kingdom based news site, released an article called “'Mass suicide' protest at Apple manufacturer Foxconn factory” that explained to the world exactly what was happening in the factories in China. The conditions surrounding these workers triggered them to contemplate, attempt, and commit suicide. The Guardian, a British newspaper, released a story of “The woman who nearly died making your iPad”. In 2010, Tian Yu, a seventeen-year-old female who worked in the Foxconn factory, “threw herself from the fourth floor of her factory dormitory”, due to the working conditions she faced daily. Fortunately, she

In our society today, there are many distinct types of economies. The three leading economies are Market economies, Traditional Economies, and Command Economies. Each Economy is very diverse and unique from the next. An example of a market economy is in the US, and in a market economy there is a great deal of individual freedom and less government involvement. A market economy is based on Capitalism. A Traditional economy is a small group of people who are their own government. Not many societies today use a traditional economy. In a command economy the government controls all economic decisions. Examples of command economies are communist countries such as China and North Korea. Each type of economy has its own advantages and disadvantages as well as its differences about resources and government involvement.

​The People’s Republic of China is under a command economy which is an economic system where the government makes decisions on what goods and services should be produced, how should these goods and services be produced, and who consumes these goods and services. Although they are under a command economy, the People’s Republic of China has started to create free enterprise zones with free markets. Free enterprise zones are zones where businesses are offered to receive incentives, like tax relief, from the government in order to help economic growth.

Present day China is not a purely Communist country according to the teachings of classical/neo-Marxism or orthodox Communism. Rather it’s more of political Stalinism infused with market-oriented economic reform. Resulting from Deng Xiaoping’s attempt to save the country from Mao Zedong’s failing social and economics in the early 1970’s. This is important to note as this dissertation focuses not on hypothetical political ideological viewpoints, but rather on the real world implementation of said political ideologies.

For many nations, it is essential to choose a system of organization that successfully and thoroughly meets the needs of all the people. While some countries have supported the idea of communism and strong government intervention in the economy, others have limited the role and power of their governing body in the marketplace. For instance, in the United States, the government has a small role in the planning and monitoring of their economy. Individuals compete heavily against one another to receive the maximum profit for themselves in an sufficient manner. The former USSR, on the other hand, used large amounts of government control to restrict competition and control the output and distribution of the goods