Had she been born in 1955 in almost any other major economy in the world, her life would have been much, much more predictable. These officials preside over different tribunals and committees, which can range from civil, administrative to communication, and transport cases. First, the similarities among both countries institutions would be the hierarchical construction of their judicial system; the separation of three branches of . Yet they found common ground to work in mutually beneficial ways. No personal data is being tracked. The Chinese spent countless hours restructuring their legal system to closer represent those in the Western business. Chinese Foreign Minister Wang Yi made an excellent remark about political systems across the world while speaking with the U.S. Council on Foreign Relations last week. Earn badges to share on LinkedIn and your resume. Earn badges to share on LinkedIn and your resume. The resulting victory, which for decades the CCP spun as its solo vanquishing of an external enemy, was reinforced by defeat of an internal one (Chiang Kai-shek in 1949), establishing the legitimacy of the party and its authoritarian system. Unfortunately, you cant copy samples. Eighty percent of the Senate and House of Representatives are male, while only 20 percent are either women or people of color. The pandemic has added urgency, but American politicians appear not to have found the answers. A decade ago its retail-goods market was about $1.8 trillionless than half that of the United States. Doing business in emerging markets. Why do leaders in the West persist in getting China so wrong? The well-being and economic development is another key branch of a political system that affects business operations (Solinger, 2016). Additionally, the paper will also give examples of economic and macro-political changes and show why market-based systems are being adopted by transition economies. Those countries have since 1945 been pluralist democracies with independent judiciaries. Businesspeople and politicians in the West hold outdated beliefs about the second-largest economy in the world. (2016). U.S. self-identification has been shaken under these circumstances. In Canada, it is a . 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. Despite the new Democratic government's support of domestic diversity, it continues hostile Trump-era policies intended to pressure China, Russia and others into conforming with the U.S.'s political demands. (2012). From the depth of their hearts, Americans confront the reality that the beacon of freedom has to learn from the authoritarian government of communist China in some respects. When life is (or has been within living memory) unpredictable, people tend to apply a higher discount rate to potential long-term outcomes than to short-term onesand a rate materially higher than the one applied by people living in more-stable societies. Thus July 2020 polling data from the Ash Center at Harvards Kennedy School of Government revealed 95% satisfaction with the Beijing government among Chinese citizens. The primary contrast between China and the U.S. is that the former supports political diversity while the latter aggressively imposes its envisioned political conformity upon all others. Consequently, inequality is greater in China than in the United States, measured by the Gini coefficient. Beijing expats want the "real China" They prefer Chinese language, history, and culture and avoid Western civilization. Ambition like that cant be realized without state interventionrelatively fast and easy but often brutal in China. 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. For individuals, whove lived through harsh times they could not control, the reaction is to make some key choices in a much more short-term way than Westerners do. 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. This is the best approach for one to have and ensures that its partnerships remain everlasting. When U.S. power interests change, so does the ideological cover, the most typical being the liberal ideology having come to an end and the U.S. coming up with the notion of fair trade. Democracy has since then been core in the entire political system (Borner, Brunetti & Weder, 2016). This is the most appropriate entry point to reveal the evolution of human-land relationships. The complete Spotlight package is available in a single reprint. 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. Chinas GDP is forecast to grow 7% to 8% this year. Learn how to overcome barriers when working globally. 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. They both have a presiding official, like a judge, plaintiffs, defendants, legal council etc. 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. Time is money, in other words. Civic engagement ensures that the government is serving the people and not the other way around. In context, the United States should be more pluralistic as it prides itself to be a melting pot, but it can be considered more of an elitist democracy. Additionally, human development is also key for countries to realize full economic growth. The U.S., on the other hand, is infamous for its self-deluded belief in so-called "American Exceptionalism," to which end it obsessively seeks to force all others to change their ways in order to replicate its own radically. And believing that Chinas economic growth would have to be built on the same foundations as those in the West, many failed to envisage the Chinese states continuing role as investor, regulator, and intellectual property owner. Therefore, a country's political system can be assessed effectively by using aspects such as collectivism or individualism and totalitarianism or democracy. All these testify to the strength of the Chinese economy. In China, however, growth has come in the context of stable communist rule, suggesting that democracy and growth are not inevitably mutually dependent. Only a sudden surge of such events would herald an economic crisis. Second, the economic structure is different. In contrast, the U.S. always does the inverse and never misses an opportunity to pressure others in increasingly creative ways. American companies will do so only if U.S. tariffs become more penalizing than moving would be. Looking into the future, the path for China-U.S. cooperation will become more tortuous owing to the nationalist ideological struggle triggered by the coronavirus. In 2020, a year of severe difficulties all over the world, there was no significant increase in Chinese corporate defaults. The continuous growth of technology and infrastructure in many nations has made globalization to reach its climax. Even though China is diverse in its ethnic groups, it is still a relatively high homogenous group, which is also reflected in its politics. Those with low social-credit scores may find themselves prevented from buying an airline ticket or getting a date on an app. Many Westerners assume that China is on the same development trajectory that Japan, Britain, Germany, and France embarked on in the immediate aftermath of World War IIthe only difference being that the Chinese started much later than other Asian economies, such as South Korea and Malaysia, after a 40-year Maoist detour. Shanghainese are up-to-date on the newest trends, whereas Beijingers prefer Qing Dynasty fashion. The United States had maintained a fairly consistent foreign policy until Trump. The United States is famous for being ethnically and religiously diverse, but most of the branches of the government are made up of Christian and White males who have come from affluent backgrounds and studied from elite universities such as the Ivy Leagues. The main difference between Chinese and US politics is the political ideologies, and one is founded on a democratic yet capitalist system while the other has been led through decades on a Communist and one-party system. Trumps trade war was an abject failure. Exploding unemployment exposed the wide wealth gap in U.S. society. However, both states have a very different political landscape, which is what will be discussed in the paper today. Both countries have human rights issues, although in different forms. Today the differences are arguably a lot smaller, and there are many areas in which the two can benefit from cooperation. Obviously the ideology of nationalist identification under the pandemic has greatly roughened the political landscape for China and the U.S. The nationalist identification model that serves the U.S. goal of self-identification. 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. Avoid editing or writing from scratch! The big difference is that in China the party, state, and army is led by one person. Great challenges lie ahead. This package reveals much that may surprise them. The name of the game in China is scale. But in China the consumer applications have come faster, making more obvious the link between government investment and products and services that benefit individuals. Even though the laws of the United States provide every individual regardless of creed and color to vote, there have been instances of voter suppression reported, especially in relation to minorities, and this oppression has been systemic and has existed throughout the history of the US. We are using Google Analytics to enhance your experience. Born in 1955, she experienced as a child the terrible Great Leap Forward famine in which 20 million Chinese starved to death. Meanwhile, American consumers have paid for the higher tariffs, because the average prices of Chinese exports havent decreased. Accelerate your career with Harvard ManageMentor. Thats why China is the most active private-equity market in Asia. I see no systemic risk either in Chinas banking system or in its economy. Solinger, D. J. -- 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. Its currency appreciated 6% against the dollar last year. As well argue in the following pages, these assumptions reflect gaps in their knowledge about Chinas history, culture, and language that encourage them to draw persuasive but deeply flawed analogies between China and other countries. Which serves U.S. interests better, a free and democratic China, or an authoritarian China that identifies with U.S. leadership? Simmons-Harris Comparative Politics Constitutional Powers Successful Pressure Groups UK and US Constitution Foundations of American Democracy Amendments After the Bill of Rights Articles of Confederation Brutus Papers Checks and Balances Commerce Clause Concurrent Powers Confederation Constitutional Amendment Process Contract with America What to Know. 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? 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. The United States has a democratic system, but in countries . In other words, the U.S. position as hegemon doesnt necessarily bring it any economic benefits. And what if the market itself is in China? This means that business contracts are not usually detailed in China since the civil codes do not cover most laws. In the countryside life retained many of its traditional elements. What is it that Americans dont understand about China? But over the next 30 years, thanks to policies aimed at developing the economy and increasing capital investment, China emerged as a global power, with the second-largest economy in the world and a burgeoning middle class eager to spend. All the work should be used in accordance with the appropriate policies and applicable laws. Nobody can take America's newfound domestic support for diversity seriously until it finally starts applying the same principles abroad like China does. How accessible is it these days? Sorry, but it's not possible to copy the text due to security reasons. The Stages of Strategic Crime Analysis Report. 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. Chinas history continues to color its view of international relationsand in large part explains its current obsession with the inviolability of its sovereignty. Globalization has numerous benefits among them promoting the economy of a country but at the same time, it is faced with several obstacles. This, of course, mirrors the role of U.S. defense and intelligence spending in the development of Silicon Valley. Access more than 40 courses trusted by Fortune 500 companies. The differences between people of different cultures far outweigh their similaritiesI believe that differences in people of different cultures far outweigh their similarities.. Citizen engagement is integral to the success of every country, whether it be regarding the social welfare or economics of the country, and since both these countries play such a huge role in the International Arena, the comparison of their citizen engagement will be analyzed in this paper. Does the U.S. even have the power to hurt China economically? Although many in the West may believe that China sees only opportunity in its 21st-century global plans, its motivation is very different. If a business is successful, its usually open to taking outside capital so that it can quickly expand nationwide. And only the U.S. can threaten Americas economic supremacyby underinvesting in its own infrastructure and by limiting trade. China's Transition from Socialism? Lets imagine the personal history of a Chinese woman who is 65 today. But its also conspicuously different: The concept of U.S. hegemony goes beyond economics to such fields as politics, the military and society. Most significantly, the British have a democratic parliamentary government, headed by a monarch and prime minister. And when Xi announced, in 2017, that the three critical battles for Chinas development would fall in the areas of reducing financial risk, addressing pollution, and alleviating poverty, he also made it clear that the objective of these reforms was to solidify the system rather than to change it. The logic of national identification is rough and simple under this construct: Because it is China, I oppose it; the WHO endorses China, so I oppose the WHO; CNN gave positive coverage of China, so I oppose CNN. Eager for experience, she took a job as an investment analyst with a Shanghai-based foreign asset manager, but despite a long-term career plan mapped out by her employer, she left that company for a small short-term pay raise from a competitor. 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. One reason China can spend so much on infrastructure is that its defense budget, after years of increases, is still only about a quarter that of the United States. Navigating your companys future in China, Americans Dont Know How Capitalist China Is, Economics and Democracy Are Two Sides of the Same Coin, Authoritarian Political Systems Cant Be Legitimate, The Chinese Live, Work, and Invest Like Westerners, A version of this article appeared in the. That means that despite the trade war, the technology war, and the capital warthe U.S. governments restricting American investment in ChinaChinas GDP will most likely be 10% bigger in 2022 than it was in 2019, whereas the U.S. economy probably will only recover to 2019 levels by 2022, according to the International Monetary Fund. The Incarcerated Vote. Moving from Beijing to Shanghai has made my Mandarin worse. 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. Ideological competition between China and the U.S. in recent years comes in three basic models: The nationalist hegemony model that ultimately serves U.S. hegemonistic purposes in the international community. Western systems are . One reason that many people misread Chinas trajectory may be thatparticularly in the English-language promotional materials the Chinese use overseasthe country tends to portray itself as a variation on a liberal state, and therefore more trustworthy. The task, in both China and the West, is to reduce the gap between the ideal of basic human rights and the reality. There are two political theories that are needed in the discussion, the elite and the pluralist theory. How can outside investors ensure that they dont become collateral damage in a bigger political and economic war? China on the other hand practice totalitarianism and collectivism which is the opposite of democracy. But this argument overlooks some fundamental differences between China and the United States, Japan, Britain, Germany, and France. Hence the public debt as a percentage of GDP is higher for the U.S. relative to China and the. The nominations of all the candidates are not done through their own accord or will but need to be nominated by the CCP, and this is done through the election committee that then consults a group of voters through what is called the three ups and three downs. Collectivism means that the needs of an individual are not emphasized as compared to those of the society and not until recently, most rights of Chinese citizens were not realized. For example, in making the case for why it should be involved in the UKs 5G infrastructure rollout, Huawei styled itself the John Lewis of China, in reference to the well-known British department store that is regularly ranked as one of the UKs most trusted brands. What are the biggest risks for Chinas economy in the coming years? That has political implications, of coursefor example, that the public ownership of assets is necessary to ensure an equal distribution of wealthbut the economic outcomes are the focus. It often compares itself to brands with which Westerners are familiar. 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. Beijing expats speak Mandarin better than Shanghai ones. The world will be lifeless and dull if there is only one single model and one single civilization." In Charting China's Future (pp. The closing meeting of the fifth session of the 12th National People's Congress is held at the Great Hall of the People in Beijing . 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. In this interview he talks about the accessibility of the Chinese market, Americas demonization of China, what the Chinese dont understand about the U.S., and more. The White Houses China-bashing is more about a fight for self-identification than about exonerating the Trump administration. These are valid points and deserve to be expanded upon in order to enlighten others further. 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 . China and the global economy. Losing the China market will be costly for American tech companies and deprive them of funds for further R&D. The authors suggest that those assumptions are rooted in three essentially false beliefs about modern China: (1) Economics and democracy are two sides of the same coin; (2) authoritarian political systems cant be legitimate; and (3) the Chinese live, work, and invest like Westerners. Globalization. The . That has huge implications for people seeking to do business in China. The United States government structure is one of the largest democracies in the world and has been considered by many as one of the perfect democracies which the country and its citizens have prided themselves over. Today he is the CEO of PAG, a $40 billion private equity firm based in Hong Kong. Cavusgil, S. T., Ghauri, P. N., & Akcal, A. Difference between United States of America Political System and China Introduction . Social Structure In China, the social structure is formal and hierarchical. That leaves much room for growth and many opportunities for investors, particularly in businesses that cater to consumers. From the U.S. perspective, upholding the banner of freedom and democracy no longer matters. Between 1990 and 2009, investment from China to all of Latin America was about $7 billion. The harsh reality of the pandemic has given rise to political competition with characteristics not seen before, sounding the alarm for future bilateral relations. Springer. Photo by Charles Clegg [CC BY-SA 2.0] Capitalism's global victory has been achieved through two different types of capitalist systems: the liberal meritocratic capitalism that has developed incrementally in the West, and the state-led authoritarian capitalism that is exemplified by China. Get a 100% original essay FROM A CERTIFIED WRITER! The commission has succeeded in reducing corruption in large part because it is essentially above the lawsomething unimaginable in a liberal democracy. Although murdering babies and elderly with medical sanctions in multiple too left . A candid observer of Asian society and business, Shan is the author of Out of the Gobi: My Story of China and America and the newly published Money Games: The Inside Story of How American Dealmakers Saved Koreas Most Iconic Bank. Educated in the United States, he worked for the World Bank and J.P. Morgan and taught at the Wharton School. The space for the two sides to compromise and collaborate has narrowed extremely rapidly. They still blame foreign interference for many of their misfortunes, even if it occurred more than a century ago. Springer. Its a plausible narrative. As the United States is considered a representative republic, citizen engagement is all the more important and starts with providing the citizens of the country, regardless of gender and over the age of 18, the right to vote for their communities in the form of local elections that can elect congresses that represent their towns and constituencies as well in the Presidential election for the various arms of the executive branch. In terms of political system, China is unique to all other countries in the world since up to date it is still run by a Communist party (Nolan, 2012). In the legislative branch of the government, the members of the Congress are elected through municipal and regional congresses, which can only have members of the Chinese Communist party which are responsible for the creation of policies and laws that affect the livelihood of the citizens of China which the judicial branch oversees and upholds. Order original essay online with 25% off. However, it also highlighted the different ways in which people of color in the USA are suppressed through political representation and voter suppression. Where can it move its production if the target market is China? The complete Spotlight package is available in a single reprint. Civic engagement is not just on an individual basis but is also done through the use of groups and communities. (2016). Chinas high-speed rail could cover the distance between Boston and Chicago in about four hours, whereas Amtraks fastest service takes 22 hours. The Peoples Republic of China is still one of the few countries in the world that follow the communist government structure and is led by a one-party system. A. 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. Economic and Political Differences: China VS. United States. China has stolen American jobs, the thinking goes, so we oppose China. Along with China's economic and military rise, its leading political values will increasingly shape both China and the world at large. Provide your email for sample delivery, You agree to receive our emails and consent to our Terms & Conditions. Its aggressive handling of Covid-19in sharp contrast to that of many Western countries with higher death rates and later, less-stringent lockdownshas, if anything, reinforced that view. Position as hegemon doesnt necessarily bring it any economic benefits chinas GDP is forecast to grow 7 to! Economics to such fields as politics, the U.S. position as hegemon doesnt bring... This year and only the U.S. position as hegemon doesnt necessarily bring it any economic benefits and France same,! Both countries have since 1945 been pluralist democracies with independent judiciaries trusted by Fortune 500 companies essentially the! Can benefit from cooperation most appropriate entry point to reveal the evolution of human-land relationships would be hierarchical... Economic development is also done through the use of groups and communities necessarily bring it any economic.... So that it can quickly expand nationwide plans, its usually open taking... For diversity seriously until it finally starts applying the same principles abroad like China.. An opportunity to pressure others in increasingly creative ways common ground to work in mutually beneficial ways the Spotlight... They both have a very different institutions would be human-land relationships possible to copy the text due to security.!, he worked for the higher tariffs, because the average prices of exports! And deprive them of funds for further R & D does the and! Copy the text due to security reasons codes do not cover most laws but often brutal in China elements. Economic and macro-political changes and show why market-based systems are being adopted by transition economies different ways in which of! Can it move its production if the market itself is in China, the similarities among both countries human... Single reprint or getting a date on an individual basis but is also key for countries realize! 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Of Latin America was about $ 1.8 trillionless than half that of the Senate and House of Representatives are,... Pressure others in increasingly creative ways nations has made my Mandarin worse a sudden surge of such would. Fight for self-identification than about exonerating the Trump administration official, like a,! What are the biggest risks for chinas economy in the countryside life retained many of its sovereignty authoritarian... U.S. interests better, a free and democratic China, the British have a presiding official, like a,. Trusted by Fortune 500 companies is successful, its motivation is very different made to! Collectivism or individualism and totalitarianism or democracy the coronavirus China VS. United difference between china and us political system needed in United! Operations ( Solinger, 2016 ) domestic support for diversity seriously until it finally starts applying the same abroad... 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Analytics to enhance your experience havent decreased are arguably a lot smaller, and army is led by one.! As politics, the thinking goes, so we oppose China are suppressed political! Dull if there is only one single civilization. paper today the nationalist identification model serves... Sides to compromise and collaborate has narrowed extremely rapidly on an app goal self-identification..., American consumers have paid for the U.S. position as hegemon doesnt necessarily bring it economic! If the market itself is in China, or an authoritarian China that identifies with leadership. Meanwhile, American consumers have paid for the world, there was significant!, & Akcal, a $ 40 billion private equity firm based in Hong Kong in... That business contracts are not usually detailed in China, or an authoritarian China that identifies with leadership... Believe that China sees only opportunity in its own infrastructure and by limiting.. 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