But because this is also a Leninist system, those issues are of critical importance to Chinese leaders, who wont change their minds about them, however effective or helpful their foreign partners are economically. The elite theory focuses on the notion that only a select group of people actually run the government, which are considered elite, while the pluralist theory states that political power is rather shared between the influencing parties. In the China-U.S. ideological competition during the pandemic, what the U.S. seeks is not all about U.S. leadership in the international community nor U.S. economic benefits but rather coping with its identity crisis. Decisionsby both individuals and the stateabout how to invest all serve one purpose: to provide security and stability in an unpredictable world. There are major differences in the political views of people from different nations.. eligion is another topic that creates differences among cultures.. In a speech in 2000 former U.S. President Bill Clinton declared, By joining the WTO, China is not simply agreeing to import more of our products, it is agreeing to import one of democracys most cherished values: economic freedom. Today the differences are arguably a lot smaller, and there are many areas in which the two can benefit from cooperation. Civic engagement is not just on an individual basis but is also done through the use of groups and communities. Each branch of the government plays an important role in providing for the countrys citizens by creating laws and policies that are meant to make the living standards of the citizens better and provide them with safety and rights. World economies keep on changing and countries are also made to change for them to remain competitive. 13 Cultural Differences Between the U.S. and China Social Structure Confrontation/Conflict Self Face/Reputation Business Relations Morals Recognition of the Dead Humility Time Sensitivity Respect Multiculturalism Lack of Personal Space Respect for Elders 1. Some real differences between the two countries do exist, but they have historically managed them without escalating tensions. Even though China is diverse in its ethnic groups, it is still a relatively high homogenous group, which is also reflected in its politics. Springer. In Canada, it is a . Great challenges lie ahead. Meanwhile, American consumers have paid for the higher tariffs, because the average prices of Chinese exports havent decreased. The basic structures of both legal system are extremely similar. Majority of China's production companies are owned and managed by the government. The country will need to continue to reform and privatize its state-owned firmsand shift from investment to private consumptionor it will not be able to sustain its growth. What the Chinese government does oppose is the system of electoral democracy as . Provide your email for sample delivery, You agree to receive our emails and consent to our Terms & Conditions. They dont know how socialist it is, with its Social Security system and its policies to tax the rich by collecting capital gains taxes. As Western attention focused on the deepening ties between China and Russia and the potential transfer of Chinese military aid to Moscow, Belarusian ruler Alyaksandr Lukashenka embarked on a three . In such a system innovation is limited since people do don feel motivated to come up with brilliant business ideas because undesirable laws keep on blocking them. For example, a 2015 survey found that 81% of them trade at least once a month, even though frequent trading is invariably a way to destroy rather than create long-term fund value. GM sells more cars in China than in the U.S., Canada, and Mexico combined. For example, the British role in the Opium Wars of the 1840s kicked off a 100-year period that the Chinese still refer to as the Century of Humiliation. This clear disconnect is attributable to the so-called "culture war" that's spiraled out of control over the past year and has led to profound changes in American society since then. How can outside investors ensure that they dont become collateral damage in a bigger political and economic war? Educated in the United States, he worked for the World Bank and J.P. Morgan and taught at the Wharton School. Even though both countries are different in every way, they are still recognized as each others competition in the International Arena. Chinas Good War: How World War II Is Shaping a New Nationalism. Consequently, inequality is greater in China than in the United States, measured by the Gini coefficient. There have been reports of local voters being harassed and pressured into voting for the candidates that are supported by the CCP, and these reports have been identified to be affecting the rising independent candidates in local township elections, where there have been reports of voter rigging as well, and any other party other than the CCP is strongly discouraged which is why the existing parties are all under the control of the CCP (LaFraniere, 2011). What's most ironic about this observation is that domestic American politics are nowadays focusing on the merits of diversity, yet its foreign policy is exclusively predicated on conformity. Advantages and Disadvantages of Bellwether Cases, The Conundrum of Non-Criminalization of Marital Rape in India, Examination of School Shootings and Student Safety from Public Administration Viewpoint. Retrieved from https://proessays.net/essays/economic-and-political-differences-china-vs-united-states. Demonstrators shout "Don't shoot" at the police after curfew as they protest the death of Daunte Wright who was shot and killed by a police officer in Brooklyn Center, Minnesota, April 12, 2021. Half of the representatives in Congress are millionaires with their median net worth reported to be more than a million. There are several major differences: China's system is based on the governance of one political party only (China has 8 other parties that serve in a consultative role). Its GDP dropped 6.8% in the first quarter of 2020, but resumed growth from the second quarter onward. Most ordinary people we meet dont feel that the authoritarian state is solely oppressive, although it can be that; for them it also provides opportunity. And what is it that the Chinese dont understand about the United States? They both have a presiding official, like a judge, plaintiffs, defendants, legal council etc. Its monetary policy is reasonably tight, with the yield on government bonds about 3.5 times that on U.S. Treasuries. All these testify to the strength of the Chinese economy. China's Transition from Socialism? The United States had maintained a fairly consistent foreign policy until Trump. As to the orientation of a new era, however, the Trump administration has yet to offer any answers or insights. This paper will compare two great countries the United States and China by looking in details how and why their legal and political systems differ, explain what determines the level of economic development in each country. Unfortunately, you cant copy samples. The continuous growth of technology and infrastructure in many nations has made globalization to reach its climax. Ambition like that cant be realized without state interventionrelatively fast and easy but often brutal in China. Many in the West accept the version of China that it has presented to the world: The period of reform and opening begun in 1978 by Deng Xiaoping, which stressed the need to avoid the radical and often violent politics of the Cultural Revolution, means that ideology in China no longer matters. For instance, a business that wants to invest in China from the US, it must be prepared for more restrictions and should not expect Chines courts to consider the condition that leads to a certain situation since their law does not permit this. The Trump administration, however, has focused on U.S. economic interests, putting the pursuit of hegemonistic benefits in a secondary position. Our firm, PAG, invests throughout Asia and occasionally beyond. Examination of School Shootings and Student Safety from International and Non-International Armed Conflict, Comparison Between Democracy Vs. However, the country does have branches of government that also include the executive, legislative and judicial branches of government. Recognizing that the authoritarian Marxist-Leninist system is accepted in China as not only legitimate but also effective is crucially important if Westerners are to make more-realistic long-term decisions about how to deal with or invest in the country. 10. Business in the United States moves at a different pace from China. Citizen engagement is a necessary facet of not just American politics but also a democratic state. In other words, the U.S. position as hegemon doesnt necessarily bring it any economic benefits. That means not that these people are unconcerned with long-term outcomes but, rather, that their risk aversion increases significantly as the time frame lengthens. This is the best approach for one to have and ensures that its partnerships remain everlasting. This review discusses recent efforts to systematically compare three leading values in China's philosophical traditionsmeritocracy, hierarchy, and harmony . In fact, the pandemic has made the world, Out of the Gobi: My Story of China and America, Money Games: The Inside Story of How American Dealmakers Saved Koreas Most Iconic Bank. The complete Spotlight package is available in a single reprint. These similarities are real, but they are manifestations of the wealth and personal aspirations of Chinas newly affluent middle class, and they in no way negate the very real differences between the political systems of China and the West. Weijian Shan understands the delicate U.S.-China dynamic as well as anyone. China is still in the process of building a social safety net that is largely undefined and underfunded, and it has no tax on personal capital gains. The United States and China are different in almost every way in their social norms, administrative policies, economic reforms, and the vastest difference in their political ideology. Even now Chinas private consumption represents only about 39% of its GDPway below the U.S. level of 68% and the world average of 63%. Some of these challenges are brought about by differences in legal, political and economic systems of different countries. Where can it move its production if the target market is China? In fact, the Chinese word for the resolution of a conflict (jiejue) can imply a result in which one side overcomes the other, rather than one in which both sides are content. Along with China's economic and military rise, its leading political values will increasingly shape both China and the world at large. for only $16.05 $11/page. Get a 100% original essay FROM A CERTIFIED WRITER! Businesspeople and politicians in the West hold outdated beliefs about the second-largest economy in the world. He wisely noted that "Democracy is not Coca-Cola, which, with the syrup produced by the United States, tastes the same across the world. Pundits tend to be alarmed by a default here and there. Borner, S., Brunetti, A., & Weder, B. In conclusion, it is not possible to have a unanimous decision on which political and economic practice is best for the entire universe. In November 2020 Chinas trade surplus with the U.S. was 70% greater than it had been in January 2017, when Donald Trump took office. The Leninist nature of politics is also evidenced by the language used to discuss it. Considering that China adopted the system of the dynamic market much later than other nations, it has done remarkably well to have such a positive impact on its economy. China is a great example of a country undergoing a transition as not many years ago it used to practice socialism but now it has transitioned to a dynamic market making it have a second largest economy in the entire world overtaking many great nations. That Canada has elected communists to office, I suggest is just about as important a disparity as the American gun insanity. In this view, Trump wont necessarily lose if he fails to bring the pandemic under control; but if he fails to save the U.S. economy, his fate is sealed. Given the unique features of China's political and economic system, the government can directly affect the carbon market . The Chinese political system is dominated by multiparty cooperation as well as political constitution under the direction of the Communist party of China (CPC), but the USA is governed by the western style of multiparty system. Chinas is the only major economy that requires no special approval for foreign direct investments, although some sectors, such as Lived Change media and the internet, are on a negative list that restricts them. Additionally, human development is also key for countries to realize full economic growth. Politicians and business leaders continue to misread Chinas strategy and politics. Even though China has a one-party state, it, however, has eight independent political parties that are controlled by the CCP (CIA, 2020). Why do leaders in the West persist in getting China so wrong? Under the pressure of aggregated economic inequality brought by globalization, and the army of unemployed people already displaced by new technologies, the U.S. government faces severe structural constraints under the present model of state-market and state-society interactions. China is also often at pains to suggest to foreign governments or investors that it is similar to the West in many aspectsconsumer lifestyles, leisure travel, and a high demand for tertiary education. But the technology war also hurts U.S. suppliers. If you are the original author of this essay and no longer wish to have it published on the Thats why ordinary Chinese people see Chinese companies such as Alibaba, Huawei, and TikTok as sources of national prideinternational vanguards of Chinese successrather than simply sources of jobs or GDP, as they might be viewed in the West. In 2020 China had more billionaires than the U.S. did, and it outpaces the U.S. three to one in minting them. The old imperial bureaucracy helps modern Chinese to make the government started on more efficient point to absorb interest than any other countries (King, F. J., The United States and China Fourth Edition, 1979, He was born in China, and his life was upended during the Cultural Revolution, when he was sent off to do farm labor in the Gobi Desert. A major turning point was the financial crisis of 2008, which in Chinese eyes revealed the hollowness of the Washington consensus that democratization and economic success were linked. Sometimes, in fact, it must sacrifice economic benefits for political or military ones. Obviously the ideology of nationalist identification under the pandemic has greatly roughened the political landscape for China and the U.S. If the U.S. abandons the one-China policy and supports Taiwans independence, conflict will be inevitable, with unimaginable consequences for the world market. Political credibility and economic development. Editor's note: Andrew Korybko is a Moscow-based American political analyst. Some manufacturing has been relocated away from China since the trade war with the U.S. began in 2018, but that hasnt made a dent in either Chinas exports or Americas trade deficit. The U.S., on the other hand, is a federal constitutional republic with three governmental branches sharing powers. Thus many Chinese consumers prefer the short-term gains of the stock market to locking their money away in long-term savings vehicles. Also, while its relatively easy to shift the sourcing of a low-value-added product from China to Vietnam or Mexico, how can you move an entire supply chain with many indigenous players? Eventually he came to the United States, where he earned a masters and a PhD at UC Berkeley, worked for the World Bank and J.P. Morgan, and taught at the Wharton School. And what if the market itself is in China? China and the United States significantly differ in terms of the economic, legal and political system but this does not stop them from being the top two nation with the biggest economy worldwide. The economic nationalism model that ultimately serves U.S. economic interests. Solinger, D. J. What has caused the frequent conflicts between the two countries? The highest court in China is the Supreme Peoples Court, which includes the Chief Justice and over 340 other judges, including 13 that are considered grand justices. She bought a flatthe first time anyone in her familys history had owned property. U.S. self-identification has been shaken under these circumstances. However, the beliefs and positions of political parties change over time, so . The paper also highlighted citizen engagement in both countries, either through direct elections in the USA or through the CCP controlled nominations in China. The benefits are both financial (for example, access to mortgage loans) and social (permission to buy a ticket on one of the new high-speed trains). It is also the duty of the representative republic to inform its citizens of their rights, and the candidacy for the elections needs to be transparent since city council members to local judges to mayors, and state legislators are all appointed through voting in the United States. One example is the reinvention in the late 2010s of the Central Commission for Discipline Inspection. Between 1990 and 2009, investment from China to all of Latin America was about $7 billion. 808 certified writers online. China and the United States significantly differ in terms of the economic, legal and political system but this does not stop them from being the top two nation with the biggest economy worldwide. It continues apace. These are the reforms China is makingand they need to be understood on their own terms, not simply as a distorted or deficient version of a liberal model. Its just not liberal reform. -- China's system of political parties is a system of multiparty cooperation and political consultation under the leadership of the Communist Party of China (CPC), not a Western-style multiparty system. Although there are key historical and political differences between China's relationship to Taiwan and Russia's relationship to Ukraine, there are parallels, too, especially in the present . What to Know. Chinas rapid economic growth is the result of its embrace of a market economy and private enterprise. This is the most appropriate entry point to reveal the evolution of human-land relationships. Nations without better access to such facilities depend on their agriculture and natural resources to enhance economic growth. For the Chinese, the key to those outcomes is respect for an appropriate hierarchy, itself a means of control. By 2020 she was intent on seeing her seven-year-old grandson and infant granddaughter (a second child had only recently become legal) do well. Until Western companies and politicians understand this and revise their views, they will continue to get China wrong. Solve your problem differently! After all, each is the others largest trading partner, and China has lent more than $1 trillion to the U.S. government by holding U.S. Treasury bills. The commission has succeeded in reducing corruption in large part because it is essentially above the lawsomething unimaginable in a liberal democracy. Land use is the most direct manifestation of human activities, accompanied by changes in land cover. 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