Economic Systems of the USA, China and South Africa - Essay Example

College: Capstone Paper Economic system is a well structured forum through which a apportions its resources to all parts of the country for the well being of its people. On the other hand, political system is a legal institution that is set to govern a state. Currently, every other country on the world has its own political and economical system. However, all these systems are structured towards the well being of their citizens. Therefore, good governance is influenced by good political system, the same case with strong economic systems. This paper will focus on comparing the political and economic systems of USA to that of China and South Africa. Political systems In most cases, a political system of any society is structured in a constitution. Unites States of America constitution has been in existence since 1789, 200 years down the line. It is known to be the most stable of all constitutions in the world since it has been amended for only 27 times. It divides the government into three independent bodies which are: the legislative, executive and judiciary. The legislative power is manifested by the congress that comprises of 100 senates and 435 members of the house representatives. The congress is a law making body, as well as, the state finance managing body. The senate serves for six years while the house representative serves for two years. The president of the United States of America, his vice president and the ministers forms the executive arm of government. The president is the head of the executive arm of government while his vice chairs the senate. The president is also responsible of proposing bill to the congress, enforcement of the laws, appointing ministers, controlling foreign policies and the commander in chief of the Armed forces (LaRouche 2-3). The third arm of the government is the judiciary that is comprises of federal district coasts, 11 federal courts and Supreme Courts. The federal courts are responsible for cases involving federal law and conflicts among citizens in the state. The Supreme Court, on the other hand, validates laws and interprets the constitution. The three arms of government, therefore, maintain a balance in power and authority in running the country. Under these arms of government there are other principals that work hand in hand in governing the state. They include the Department of State, Interior, Defense, Education, and Labor. It is also important to note that the United States of America is a democratic country and the state leadership is determined by the people. There are two main political parties through which any qualified candidate can contest for leadership. The two parties are the Republican Party and Democratic Party. South Africa has an incredibly vibrant political system that consists of 13 parties all in the National Assembly. However, the country is also a constitutional democracy with a constitution that defines the government structure. In South Africa there are three government systems and an independent judiciary. These government systems include the local, provincial and national government each with a legislative and executive body. The constitution defines them as distinctive, interrelated and interdependent under the guidance of the South Africa traditional leaders. The parliament makes the legislation with the involvement of two houses, that is, the National Council of Provinces, and the National Assembly. The National Assembly has about 350 to 400 members who are chosen by the electorate every five years. The seats acquired by every partisan political party depend on the general election (Jacobs n.pg). Chinese political system is made up government structure, state law, and regulations put in place to control power and the government itself. The government is divided into two main parts, the ministerial system and the geographic system. The ministerial system comprises of different ministries and their activities. It also consist other special agencies and commissions, such as, the State Education Commission, the China Welfare Fund for the Handicapped, and the Hong Kong and Macao Affairs Office. On the other hand, the other arm is made of provincial, municipal, county, village and town government layers (DeLisle, 12-15). The constitution of china rates the State Council as the highest administrative body in the state headed by the Premier. It consists the Premier, Vice Premier, and State Councilors, the State Council’s, the Ministers in charge of ministries and commissions, Auditor General of the National Audit Office ,Secretary General, the Governor of the, Peoples Bank of China. However, since the council is very large to run day to day government assignments, a committee consisting the Premier and his four vice premiers, the state council secretary general and five state councilors, is assigned to run government operations. The national people’s congress, though not the only sole legislative body in the government, plays a very important role in legislature. It has approximately 3,000 deputies that meet for 15 days in a year to come up with government polices and leadership. The president is the head of the state and also the head of the Central Military Commission (CMC) (Karen, 18-21). Economic system The economic system in USA can be generally referred to as capitalism, where most businesses are privately owned. Completion and profit oriented motivation are the order of the day for most of the businesses. Forces of supply and demand greatly influences decisions made in this sort of economy. Buyers and sellers interact in a common market place making it possible for price negotiation and more goods to pick from. In this type of economy the businesses dictate what to manufacture, the production processes, the places that warrant extra attention, and aspects that need to be changed. The government has with time taken up this role by making sure there is reasonable competition and no black markets. Chinese economy has also grown tremendously for the last two centauries and it is now the third largest economy in the world. However, per capita income of Chinese producers is still relatively low compared to those of developed countries. It had been a socialist economy but with time it has became a market driven economy. This is where production of goods is motivated by the availability market or future market. For instance, most of the product produced in china is exported, unlike in USA, were most of products are consumed locally. The government aims at growing the economy to the levels of developed countries by decentralizing the market control and changing economic policies to attract investors. South Africa economic system is similar to that of USA where part of it is regulated and the other is not. It is also driven by competition and free market forces. However, it has managed to remain the largest economy in Africa and ranked upper middle income country by the World Bank. The economy is driven by the abundant natural resources, developed research facilities, developed regulatory system and established manufacturing base. The tremendous growth has been driven by an increase in the domestic consumption, although relatively slow compared to developed country. The government expenditures also increased to 1.1 trillion dollars since 2002. However, to maintain this, the government established measures to strength the efficiency of public spending by fighting corruption. The South African Reserve Bank has also implemented policies targeting inflation which over the year brought stability in prices (Mutolo 13-16). Effects of political and economical systems There are several factors that affect every society’s way of life and judging from the preceding section, political and economical systems consist of these particularly influential elements. Despite the differences in the three countries’ political and economic systems, it is evident that they all promote stability. The political system maintains constancy in power while economic system ensures equality in allotment of resources. Further, both political and economic systems affect the per capita income of every individual in a country. It is imperative to note that this income can be influenced negatively by a political system when the legislative body passes unfriendly polices, and by an economic system if it is centralized. The third potential effect is in regard to job creation, innovations and business establishment in a country. Relaxed and friendly policies will definitely attract more investors and hence more jobs opportunities. For example, lucrative business opportunities in urban areas have driven more people to the cities. Lastly, these systems influence the status of a country. For instance, among the three countries in this paper USA is a super power, China is a developed country while South Africa is a developing country. All these designations are derivatives of the perceived nature of the countries’ political and economic systems. In conclusion, this paper clearly shows the differences and similarities in political and economical systems in USA, China, and South Africa. It also shows the weaknesses and the strengths in each country’s system. However, despite their differences these systems are clearly in place to safeguard the well being of the respective nations’ citizens. Works Cited DeLisle, Jacques. Politics and Governance in the People’s Republic of China. Harmonious Society, 16.7(2011), 1-30. Jacobs, David. Political and Economic Stability in South Africa: An Overview. A Journal of Foreign Policy Issues. Web. 20 March 2014. Karen, Halverson. Chinas WTO Accession: Economic, Legal, and Political Implications. Boston College International and Comparative Law Review, 27.2(2004): 12-30. LaRouche, Lyndon. The American System of Political-Economy. Executive Intelligence Review, 29.41(2002): 2-6. Mutolo, Melissa. The Influence of Social, Political, and Economic Factors on the Development and Form of Zulu Religious Activity in the 19th and 20th Centuries. The International Student Journal, 3.7(2011), 4-25. Read More