The Business/Government Relationship– a Comparison of the Key Features in China and Australia-

The GDP is the total market value of goods and services in an economy over a period of time. China’s GDP is significantly larger than Australia’s, measuring 9.24 trillion $USD as of 2013, while Australia’s GDP was 1.56 trillion $USD the same year. Before the change to a socialist market, the economic policy at the time didn’t allow for the benefits of a market economy, such as increased efficiency because of competition and motivation and more innovation.

When comparing the communist nation of China with the democratic nation of Australia many differences are apparent. The application of the legislative (law making and modifying function), executive (administrative function) and judiciary (law enforcing and dispute resolving function) is vastly different between the two nations as can see when we compare and contrast the underlying principles of each system of government. Firstly, both nations claim to uphold the concept of the rule of law, although due to corruptive forces surrounding the Chinese court system, this concept is often thwarted and equality before the law is not upheld. Within the constitutions of both nations the basic principles of separation of powers have been applied;

Australia is run by a democratic system at all 3 levels of government (Federal, State and Local). Democracy means in Greek "rule by the governed". A democrary has key fundermentals that sustains that type of leadership.

The Commonwealth of Australia is both a representative democracy and a constitutional monarchy with Queen Elizabeth II as Australia 's head of state. (How government works, 2016). Since the 1990s globalization has gained widespread currency in Australia on a social, economic, political and cultural level. (Holmes, 2012, p. 340) Laws and politics have an influence on Australia’s economic system, which is capitalism and socialism. (Political Economy, n.d.) Analysis of political and economic approaches by government can add insight into the flow on effects on a community and its individual.

A private sector business is a business that is part of the economy that is not state controlled. It is run by individuals and companies who are mainly for profit. These businesses are not owned or operated by government. An example of a private sector business would be ASDA. Asda Stores limited is an American owned, British founded supermarket retailer. The company has been a subsidiary of the American retail company Wal-Mart since July 1999, and is now the second-largest supermarket chain by market share (Corporate Watch 1996-2014).  The company provides normal goods for the public. They offer service to the public and strive for excellence business. I chose this example because ASDA is a large company that is aiming for profit and it is a private sector business.

In the 21st century the unemployed or sole parent households become reliant on income support and non wage benefits L. Kirkwood et al: 2006). In 2002, 8.6 per cent of GDP was spent on social assistance benefits in cash to Australian residents L. Kirkwood et al: 2006). Total welfare expenditure in 2005-06 was $90.2 billion, of which $61.3 billion (68%) was cash benefits and $28.9 billion (32%) benefits-in-kind (welfare services). Spending on welfare services in 2005-06 was 3.0% of GDP or $1,404 per person (Welfare, 2011).

When you think of the “land down under” you don’t really think of the kind of government they have. I chose to write about the Australian government because I really don’t hear much about Australia. It currently has a pretty interesting story to tell when it comes to their government. I became a bit interested in Australian politics when I saw a political animated cartoon on the internet that depicted Kevin Rudd, the last Prime Minister, on a news television show and it was quite humorous. I am going to give a quick history lesson on Australia then go into how the government formed and came to be. Then I will talk about the Australian constitution, the Australian arms of government, their federal system, political parties and Australia’s

It is this that has sparked China’s vulnerability to external shocks. In 2011, China’s exports amassed almost $2 trillion, however in Feb 2012, China recorded a $31.5 billion trade deficit as a result of the European sovereign debt crisis in which China’s main trading partners plunged into recession. China’s severe BOGS decrease is an attempt to control growth and a sustained level of 7.5%. Investment policies are also critical for China to achieve economic growth and development. Foreign Direct Investment (FDI) in China is being sought primarily in the redesign of State Owned Enterprises (SOE’s) and in the development of interior provinces. Between 75-80% of World Bank loans to China in 2008 were directed to the central and western regions, the most economically disadvantaged. This promotes increased wealth within China, leading to higher levels of development due to a more positive Human Development Index (HDI), which currently sits at 0.687, up from 0.677 in 2010. Thus, trade and investment are critical factors in ensuring that China’s growth remains sustained at 7.5% whilst still encouraging increases in development.

Australia and China adopt very different economic systems in order to cater the best for their society. However, Australia's economic system is more successful than China's and, due to the writer's right-wing value system, will be measured in terms of environmental efficiency, labour and entrepreneurial resource efficiency and the standard of living.

In handling bilateral relationships, the Government often claims to have adopted an integrated approach taking into account the totality of Australian interests. But, a closer analyses of this claim reveals it would be almost impossible to meet the totality of Australia’s interests in any bilateral relationship and this is especially true of China which has such a different socio-political system. This close relationship continues to raise political questions for Australia to grapple with, such as her relations with Taiwan, Tibet and Chinese human rights issues. In some instances Australias interests will be confined mainly to trade and investment; in the more substantial bilateral relationships, the Government will implement comprehensive strategies

The Australian Government participated in the reduction of trade barriers as part of the General Agreement on Tariffs & Trade (GATT). As a result there have been pressures on the above mentioned industries that were previously protected. They have effectively become, or are becoming, casualties of what is termed ‘a race to the bottom’ between national governments as they attempt to attract investment by undercutting competition.[vi] The industries without protection are inefficient and thus profit is affected forcing firms to shift elsewhere or outsource in search of improving efficiencies.

The second key national interest of Australia is the economy. Australia’s capital, jobs, standards of living, technological innovations and social advances rely substantially on exports and commodity values within Southeast Asia and the Pacific (Department of Foreign Affairs and Trade 2016a). The stability of South East Asia and the Oceania

The economist states that it is harder for an economy with large size keep growing at a fast speed. Several research states the China’s GDP growth at an average 10 % per year for the previous three decades. So that there is a significant rise in the amount of labor, capital and the level of productivity. However, they all slowdown in recent year ("Why China's economy is slowing", 2015). In this essay, three components are included. In the first part of the article, the reason for the china’s decline in the economy will be discussed. In particular, the author focus on the income inequality and the effect of the real estates to the economic growth. The effect on the Australian economy and the United States will include in the second part and

Since the mid of 1990s, accompanied with the deepening of economy reform of China, most social and economic relationships have been undergoing formidable transformation and the social and

When we examine public sector versus private sector, plenty of differences come to mind. In defining each, we learn a private sector in an economy consist of all businesses and firms owned by ordinary members of the general public. It also consists of all the private households in which people live. The public sector in an economy is owned and controlled by a government. It consist of government businesses and firms and goods and services provided by the government such as the national health service, state