Essay on Disciplined Pluralism

1520 WordsDec 24, 20137 Pages
The idea of disciplined pluralism is the difference between centralized and decentralized decision-making as it pertains to the economy (i.e. the government). To put in another way, communist and socialist country’s economies exist under monoism where the government dictates the terms and conditions of markets. In United States and other market economies, the market largely determines what is good for the market by exploring possibilities and cultivating innovation with profit motive. This may seem counterintuitive, the idea that markets operate at their optimal efficiency when left alone and evolve naturally, but it is the essential requirement of a market economy. In a market economy, a process of perpetual experimentation by…show more content…
Clearly, China’s Great Leap Forward was a catastrophic failure, both economically, but socially. There are several fundamental economic reasons for this. In a market economy, “everyone interacts voluntarily, motivated by self-interest” (Kasper, 2008), while under Mao Zedong, the people of China were directed to produce steel with no intended purpose or customer (other than the state itself). This action caused many commodities such as pots, bed frames, and even tools to be used for a purpose that was of lesser value than their current state, or other more valuable uses. Another reason for this catastrophe was the intentional manipulation of information at all levels of the communist party. Free flowing, accurate information is a critical component of a successful economy. Information helps determine prices, create customers, and cultivate innovation. By inflating reports of the grain yields, the lower-level leaders of the party provided misinformation to the higher-level leaders, causing the communes to have to give up their entire harvests each year. By prohibiting news coverage of the famine, China’s leaders kept others from discovering the issue, and possibly providing some sort of solution. In a free market, everyone is dependant upon one another for survival. This is due to the limited expertise each person possesses. For example, not everyone can effectively farm, or build a house, or manufacture a car, or set up a PayPal account. It
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