From the beginning of the foundation of the American constitution, the United States has embraced the democratic federal structure, allowing the people to voice their opinions and elect chosen representatives to reflect their beliefs on local, state, and national levels. The American health care system is outspoken when compared to the vast majority of industrialized nations, as there is no uniform structure and no universal coverage provided. Unlike many other countries, the education system in the United States requires private funding to progress into the university level whether the funding is a result of scholarships, out-of-pocket spending, or the most common option which includes student loans. Unlike the United States, China is a socialist republic that is operated by one unified group known as the Communist Party of China which utilizes Internal Reference to monitor and manage disagreements within the population. Close to 100 percent of the population holds basic health care coverage, yet public insurance typically covers less than half of all medical expenses.
Generally speaking, there are three specific classifications that are identified in financial systems. These include command, traditional, and market economies. Within the first, a national government will decide everything related to the means of production, including what goods and services will be made, in what way, and who the base of consumers will be (eNotes, 2009). This is the most uncommon, as it is often indicative of a totalitarian structure. Consequently, such economies are typically observed in communist countries including but not limited to China and North Korea. Conversely, in a market economy, the base of consumers are the determinants of means of production through their own individual decisions with respect to purchasing various goods and services (eNotes, 2009).
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Finally, a traditional economy follows generations of old, continuing to produce what has always been made in the exact same manner in which it has always been made (eNotes, 2009). Given the limitations of this particular structure, it is difficult to ascertain any particular nation whose economy fully embraces such a system. Therefore, the closest connection could be made to nations which share little connection to the economy on a global scale, such as Bhutan or Afghanistan. This paper will attempt to compare and contrast the economic structures of the two largest financial superpowers in the world (the United States and China) in addition to analyzing their own strengths and weaknesses.
From the beginning of the foundation of the American constitution, the United States has embraced the democratic federal structure, allowing the people to voice their opinions and elect chosen representatives to reflect their beliefs on local, state, and national levels (Bureau of Economic Analysis, 2018). Despite how well the system has prevented uprisings and civil entanglements over the past 2 centuries when compared to outside nations, the country has fallen privy to significant internal corruption due to its capitalistic structure; a system which allows private ownership and control over virtually all goods, services, and events that take place (Bureau of Economic Analysis, 2018). Those of sufficient monetary resources are often culprits of a behavior known as lobbying, the act of influencing decisions on the federal level with the use of massive funding; typically in the multi-billion dollar spectrum. The national flag symbolizes the successful union of the 50 states which represent the territory, and the 13 stripes are indicative of the original 13 colonies which collaborated in the declaration of independence from Great Britain during the Revolutionary War (Colonial Flag, n.d.). Colors have their own purpose in a similar way, as the red symbolizes valor and hardiness, the blue signifies justice and vigilance, and the white symbolizes purity (Colonial Flag, n.d.).
The American health care system is outspoken when compared to the vast majority of industrialized nations, as there is no uniform structure and no universal coverage provided. Instead of existing strictly as a single payer, multi payer, or national service, the American system is considered a hybrid of the three. More than 50 percent of all health care spending is a direct result of private funding (Bureau of Economic Analysis, 2018). Within this 50 percent, approximately 20 comes from private business and close to 30 from household income (Bureau of Economic Analysis, 2018). The rest of the spending, though much smaller, is a byproduct of local, state, and federal government spending.
Prior to the option of higher education services, American students are required to attend both primary and secondary school for a combined time period of 12 years which span grades 1 through 12. Near the age of 6, the average child living in the United States begins attendance of elementary school and soon attends middle school close to 6 years later. Upon completion of high school, the student is either granted a Diploma through conventional means or through the completion of examinations necessary to acquire General Education Development (GED) (Bureau of Economic Analysis, 2018). Unlike many other countries, the education system in the United States requires private funding to progress into the university level whether the funding is a result of scholarships, out-of-pocket spending, or the most common option which includes student loans (Bureau of Economic Analysis, 2018). Those who achieve a bachelor’s degree or higher are met with the lowest rates of unemployment and the highest rates of median annual income while those with an education below such threshold experiences higher unemployment and lower annual earnings probabilities.
Unlike the United States, China is a socialist republic that is operated by one unified group known as the Communist Party of China which utilizes Internal Reference to monitor and manage disagreements within the population (Thyne, n.d.). Post 1949, corruption in China is primarily attributed to the ruling party’s involution and its failure to adapt to changes instantiated by market liberalization reform (Thyne, n.d.). The red flag is symbolic of the people’s traditional color and the communist revolution which dominates the national infrastructure (World Atlas, n.d.). Of the 5 yellow stars, the largest represents the government while the four smaller ones are indicative of the population’s various social classes (World Atlas, n.d.). Close to 100 percent of the population holds basic health care coverage, yet public insurance typically covers less than half of all medical expenses. Despite this, the nation is beginning to implement requirements that state insurance will cover the vast majority of costs and plans to offer affordable care to all citizens by 2020 (Thyne, n.d.). Furthermore, the nation boasts the largest education system on the planet with more than 9 million students participating in the National Higher Education Entrance. Investment into this field also accounts for nearly 4 percent of the country’s GDP (Thyne, n.d.).
