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Rising China and its future: planned or liberal economy?


jamessuh 3 / 4  
Feb 6, 2011   #1
Plese check if I made any logic lapses/ if I jump to some irrelevent conclusions, thanks!

Prompt: Which system will work for China: planned, or liberal economy?

The size of the government, or the capacity of its intervention defines a country's overall economic policies. Among the economic systems, a controversy between a planned economy and a liberal economy was outlined in history since the 1800s. Theories supporting one system challenged another, and the transition between the two policies has frequently taken place. Taking the former system, the Chinese economy is lead mainly by the Chinese government. Many industries are nationalized, and economic development is predominantly achieved by the government. This system that China has taken has proven to be effective. It is evident in the society that the benefits are threefold: planned economic system enables a rapid growth, livable environment, and extensive welfare.

First and foremost, China's rapid growth owes itself to the government-lead development programs. Because the government is very influential to the economy of China, it was able to focus its investment on certain critical industries. Unlike liberal economies, where multiple industries sprang up spontaneously, the Chinese economy was developed through stages, focusing its development on the industries that would make the greatest profit under the situations at the time, in accordance to the economic development stages. For instance, China first focused on lightweight manufacturing based on its abundant labor supply, which would be the optimal industry in the initial stages of development. After some time, it diverted its focus to heavy industries, which was backed up by the financial infrastructure developed in the former stage. A decent example of the planned economy is shown in a nearby country, South Korea. The miraculous economic development of South Korea heavily relied on the role of the government, which also approached the task of economic development by differentiating development stages and the invested industries to go with them.

Second, a planned economy provides a better living environment. In a liberal economy, cities grow by themselves, but in a planned economy, the cities' development is strictly planned by the government. This enables the government to prevent the city problems liberal economies face. The government is able to regulate excessive immigration of citizens so as not to make it crowded. It is also able to plan the transportation system to prevent traffic problems. When it comes to having a greener environment, planned economies are the best at it; a city plan is able to incorporate more nature, like streams, trees and parks, which many liberal economies find doing it difficult due to over-crowdedness. If you compare the demographics of a planned city and an unplanned one, the difference becomes self-evident. The roads and the transportation system in Chongqing, a planned city, are comparatively conveniently placed, in relative to those of Seoul.

Finally, a big government is able to provide extensive welfare. Welfare programs require a large amount of national budget. Therefore it is the planned economic governments that are more capable of securing a great amount of national treasury, thus having more money to provide its citizens with increased health care, education, pension, etc. The welfare programs in Nordic countries, which are renown welfare states, is enabled by the government's size and the economic system it has chosen. The increasing gap of the rich and the poor can be dissolved if the government is able to provide effective subsidies to the poor. The US, on the other hand, which is currently striving to come up with an extensive health care plan, is hindered by the liberalist economic policies it has traditionally clung on.

Some people state that planned economies have stronger intervention by the government. Put in different words, however, the citizens are 'protected' rather than 'interfered' by the government's comparatively bigger role. As has been made clear, planned economies display many benefits, of having a fast development, sustainable development, and increased welfare.

LisaTheKidd 2 / 7  
Feb 7, 2011   #2
I'm a bit short on time, but I thought this definitely merited a detailed response, so I'll try to quickly discuss the essay.

I thought this was an excellent case-study type of an argument, with great, specific examples.
There were a few things I wasn't thrilled about, however. The prompt says "which system will work for china," and you've answered "which system has worked for China." It seems almost evident that what has worked will work, but I think you need to mention how the planned economy will endure through new challenges, such as increased globalization and instant worldwide communication.

Another thing that struck me is that what will work for China, for me, means what will work for the people of China. This essay uses language like "the government is able to," which doesn't immediately lend itself to the people's welfare. With such a powerful government, how are the people's liberties protected?

Also, The first sentence isn't as powerful as it could be.
The size of the government, or the capacity of its intervention, defines a country's overall economic policies.
I'm not an economic expert, so I'm not sure what "the capacity of its intervention" means. What I think is being said here is that a country's ability to intervene in the economic activities of its citizens is determined by its size. What I would expect there is a sentence stating that liberal policy and planned policy are at odds, preferably by stating the main goal of each.
EF_Susan - / 2,365 12  
Feb 13, 2011   #3
The size of the government, or the capacity of its intervention defines a country's overall economic policies.
or you can say:
The country's overall economic policy determines the size of the government and the capacity of its intervention. Among the economic...

Because the government is very influential to over the economy of China, it was able to focus its investment on certain critical industries. Unlike liberal economies, where multiple industries sprang spring up spontaneously, the Chinese economy was developed through stages, focusing its...

The US, on the other hand, which is currently striving to come up with an extensive health care plan, is hindered by the liberalist economic policies to which it has traditionally clung. on .

Great job!! This is an interesting essay. You can make it much better if you "refute the counter-argument." That means you can use a whole paragraph to explain the argument that would be made by someone who disagrees with you, and then try to show that your argument is more sensible. :-)


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