...Economic Reforms in Asia: The Indian Case Study The Asian economy has seen a rapid rise over the past decade with countries such as China, India and South Korea making major headways. China, being the leader of the group, has been largely tipped by many economists to overtake the US as the world’s superpower by 2025. Asian GDP Performance (1997-2005) Source: http://www.treasury.gov.au The success of these nations came on the back of major economic reforms which transformed these sleeping giants into what it is today. China went through a major economic reform in 1979 and soon thereafter success followed. India, followed the same path, but much later than China, and it was not until the turn on the 1990s that India went on the path of economic liberalisation. This paper will focus on the economic reforms that took place in India and its impact on the country in terms of trade and macroeconomics growth and the birth of new economy. A section of this paper will also be comparing the growth of India in comparison to its Chinese counterparts as well as discuss reasoning behind critics who believe liberalisation was not the main contributor to the growth India is achieving today. Pre-Reform Period Post independence, India saw the need to move from an agrarian economy to an industrial one and as such building its competency in crucial sectors of the economy was important. The role of government therefore included economic management...
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...The Republic of China has had lot of reforms in its development in the last several decades. The nation boasts very unique and varied forms of reforms throughout its practices which are quite different from whatever other countries have followed in the past. Being a country holding nearly 20% of the population, they could not have managed to be one of the fastest growing and healthily developing countries of the world. Having said that, it is easy to believe that the reforms that China has been implementing have been greatly useful in the development at every stage. The economy of China was based on a centrally planned system in the recent past. But with the reforms, China managed to move from an economy that was centrally planned to an economy that is driven by the market. Such a reform was distinctive because it transformed the economic eco-system from a government-centric economy to a more privatized economy. People started entering into the market competing among others, hence bringing about a great change in privatization. China also took up a reform which was completely focused in creating and generating a value that was surplus. The main reason for such a reform was that they could help in financing the transformation and modernization of China. China has also been immensely successful in not only making reform policies but also breaking them down in a way so that people and other institutions can adapt and follow it. Such an ease in their policy was brought about by...
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...Running Header : UZBEKISTAN ECONOMIC REFORMS OF UZBEKISTAN Aditya N. Syafruddin Abraham Ayii Mike Latham Loraynne Wilmer WILMINGTON UNIVERSITY OVERVIEW Located in the heart of Central Asia, Uzbekistan is poised to become an economic hub connecting Europe, Western Chine, the Middle East, South and Southeast Asia. It is a major producer and exporter of natural gas and has sizable reserves of petroleum, coal, and various metallic ores. It is a leading grower of cotton and also produces fruits and vegetables and karkul sheep. Uzbekistan is bordered by Kazakhstan on the northwest and north, Kyrgyzstan and Tajikistan on the east and southeast, Afghanistan on the south, and Turkmenistan on the southwest. CURRENCY In Uzbekistan the form of currency is known as Uzbek Sum and is abbreviated UZS. In Turkish Uzbek means “pure” and Sum means “gold” so the true root of the word means pure gold (What is the Uzbekistan som (UZS?). UZS are available in both coin and notes the denominations are as follows: Coin is offered in 50, 20, 10, 5, 3, and 1 and notes are obtainable in 1000, 500, 200, 100, 50, 25, 10, 5, 3, and 1. The UZS like many other currencies can be exchanged for other world currencies. Compared to a few of the major currencies the UZS is very weak. For 1 US Dollar you would receive 1,273 UZS, 1 AUD is equal to 1,071 UZS, 1 GBP equals 2,555 UZS, 1 JPY would equate to approximately 11 UZS, and for 1 EUR you would receive 1,767 UZS (Uzbekistan Currency). ...
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...national security is based on the level of economic prosperity and well-being of the population of any country. This is especially so for developing countries like India. The attainment of sustained high economic growth is a necessary condition for improving the national security and the quality of life of the people throughout the country Many developing countries in the Asia-Pacific region, including China and India where nearly one third of the world’s population live, are currently going through economic transitions. India launched its market-oriented economic reforms in 1991. China launched similar reforms from 1978 and is now well ahead of India in integrating its national economy with the global economy. However, India is slowly but surely catching up in this race. The contrast in the experiences of these two countries with economic reforms under radically different political systems is remarkable. In India, post-1991 economic reforms have been evolutionary and incremental in nature. There have been delays and reverses in some areas due to the interplay of democratic politics, coalition governments, and pressure groups with vested interests. However, each of the five successive governments that have held office in India since 1991 have carried on these economic reforms, which have been based on market liberalization and a larger role for private enterprise. REFORMS IN INDIA SINCE 1991 India’s economic reforms began in 1991 when a newly elected Congress...
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...The Cost of Preventive Care Veronica Lee Regis College HP-622-01-11FA, Economics of Health Care December 4, 2011 Is There a Real Cost Savings with Preventive Care? Introduction: On March 23, 2010, President Obama signed the Patient Protection and Affordable Care Act (PPACA) into law, which creates health insurance reforms that will transform healthcare over the next four years. The PPACA will ensure that all Americans have access to quality, affordable health care and will create the transformation with the health care system necessary to contain costs (The Patient Protection). One of those health insurance reforms started on September 23, 2010, which will provide free preventive care. The PPACA will eliminate co-pays and deductibles for recommended preventive care, including preventive care for women, provide individuals with the information they need to make healthy decisions, improve education on disease prevention and public health, and invest in a national prevention and public health strategy (The Patient Protection). There are some exceptions to the law for grandfathered insurance plans. This preventive services provision applies only to people enrolled in job-related health plans or individual health insurance policies created after March 23, 2010 (Preventive Care). This law is supposed to improve quality healthcare and lower costs for patients. This paper will discuss what effect the new law may have on the United States healthcare system. What is Preventive...
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...First of all I will discuss China’s historical background and its need for reform and also how economic reform started out in 1978. Then I will go on to cover the four major economic institutions that needed to be reformed in order for China to become a market economy. These four major economic institutions will then be discussed in detail. This paper will then go briefly into China joining the WTO and will conclude with China’s economic situation at present. Chinese economic policies and institution have undergone a number of extreme changes since the establishment of the Communist regime in 1949. After the Communist Party took national power in 1949, the disorder caused by the imperialist invasions and domestic wars were put to an end and China began to strive for development by following Russia’s example in pursuing Leninist and Marxist doctrine. By following this doctrine they would replace free market and private ownership with socialist planning and public ownership. In order for this to become a reality China had to pursue radical revolutionary domestic and foreign policies to overcome the resistance to the Chinese Communist movements. After closing its doors to western concepts of capitalism and free market economy it seemed like China was doing well but it was soon evident that the rigid planning and the command market economy was becoming inefficient. In contrast to the western economies China was indeed falling behind. Even China’s neighbors such as Taiwan, Singapore...
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...Economic Reforms in India since 1991: Has Gradualism Worked? India was a latecomer to economic reforms, embarking on the process in earnest only in 1991, in the wake of an exceptionally severe balance of payments crisis. The need for a policy shift had become evident much earlier, as many countries in east Asia achieved high growth and poverty reduction through policies which emphasized greater export orientation and encouragement of the private sector. India took some steps in this direction in the 1980s, but it was not until 1991 that the government signaled a systemic shift to a more open economy with greater reliance upon market forces, a larger role for the private sector including foreign investment, and a restructuring of the role of government. India’s economic performance in the post-reforms period has many positive features. The average growth rate in the ten year period from 1992-93 to 2001-02 was around 6.0 percent, as shown in Table 1, which puts India among the fastest growing developing countries in the 1990s. This growth record is only slightly better than the annual average of 5.7 percent in the 1980s, but it can be argued that the 1980s growth was unsustainable, fuelled by a buildup of external debt which culminated in the crisis of 1991. In sharp contrast, growth in the 1990s was accompanied by remarkable external stability despite the east Asian crisis. Poverty also declined significantly in the post-reform period, and at a faster rate than in the 1980s...
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...Economic Reforms in India since 1991: Has Gradualism Worked? by Montek S. Ahluwalia* India was a latecomer to economic reforms, embarking on the process in earnest only in 1991, in the wake of an exceptionally severe balance of payments crisis. The need for a policy shift had become evident much earlier, as many countries in east Asia achieved high growth and poverty reduction through policies which emphasized greater export orientation and encouragement of the private sector. India took some steps in this direction in the 1980s, but it was not until 1991 that the government signaled a systemic shift to a more open economy with greater reliance upon market forces, a larger role for the private sector including foreign investment, and a restructuring of the role of government. India’s economic performance in the post-reforms period has many positive features. The average growth rate in the ten year period from 1992-93 to 2001-02 was around 6.0 percent, as shown in Table 1, which puts India among the fastest growing developing countries in the 1990s. This growth record is only slightly better than the annual average of 5.7 percent in the 1980s, but it can be argued that the 1980s growth was unsustainable, fuelled by a buildup of external debt which culminated in the crisis of 1991. In sharp contrast, growth in the 1990s was accompanied by remarkable external stability despite the east Asian crisis. Poverty also declined significantly in the post-reform period, and at a faster...
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...Corruption and China’s Economic Reform in the Early 21st Century by Gregory C. Chow, Princeton University CEPS Working Paper No. 116 October 2005 Acknowledgement: I would like to thank Steven Kou of Columbia University and Yan Shen of Peking University for helpful comments and the Center for Economic Policy Studies at Princeton University for financial support in the preparation of this paper. Abstract Past economic reform of the state sector in China consisted mainly of privatization, of agriculture and of small and medium-size state enterprises, leaving large state enterprises in the control of the state. Current reform consists of making state-owned enterprises and banks more efficient and functioning like private enterprises, and gradual privatization of some large state enterprises. Bureaucrats managing state assets and the selling of assets take advantage of such power to benefit themselves, including embezzlement of public funds and taking bribes from citizens needing their help, as can be found in state enterprises, state-owned commercial banks and in government projects. Reducing the size of the government sector is a basic solution to the corruption problem in China while attention should be paid in the privatization process which can involve corruption. Outline 1. Introduction 2. Review of Past Reform Measures and Current Problems 3. Enterprise Reform Hindered by Bureaucratic Behavior 4. Reform of Banking and Financial System Hindered by Corruption ...
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...The impact of financial liberalization reform on economic growth: an empirical survey on China Introduction: In the past few decades, financial liberalization would be a main driving force and trend on countries’ financial reform. It aims to eliminate restrictions on financial markets and financial institutions, both domestically and internationally (Financial Liberalization). Thus, as a benefit of financial liberalization, a surge of competition and innovation was awakened in the US and rapid spread to other advanced economies’ financial market between 1970s and 1980s. As a result, banks had become bigger and financial intermediation was cheaper (Anon. 2007). However, an excessive freedom could encourage financial institutions to take unnecessary risks on lending business which would lead to financial crisis. The current great economic recession was caused by a new financial instrument crisis, subprime crisis which started from developed economies which had high level of financial liberalization. Therefore, to some extent, financial liberalization is risky in the process of financial reform. China had conducted its financial reform for more than 30 years. It had benefited from financial liberalization to accelerate capital accumulation. Now, it has the world’s most valuable banks and has the largest foreign exchange reserve. But, in general, Huang et al. (2010) stated that China’s financial reform is still focus long on quantitative growth but short on qualitative growth in...
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...Khrushchev’s economic reforms failed because they were poorly thought through”. Assess the validity of this view (45 marks) “Khrushchev had grasped the nettle. He also exhibited a characteristic recklessness. The road ahead would be rockier than he expected, for he over estimated ordinary people’s gullibility. In a sense the whole of later Soviet history may be seen as a reaction to his revelations.” J. Keep. After emerging victorious in the power struggle following Stalin’s death, Khrushchev was in a very strong position, but not yet an unchallengeable leader. Khrushchev wanted to move away from the Stalinist era and was aware that there was a desire for change in the USSR. He had accepted some of the fundamentals of Stalinism, such as the dominance of the party, however he wanted to shift to blame for past errors onto Stalin. Khrushchev believed that economic reform was necessary and wanted to encourage initiative. He also wanted to avoid opposition and not give his rivals the opportunity to strike against him. He was an ambitious politician, and aimed convince the Soviet people that they no longer had to fear arbitrary terror, while preserving the basic structure and ideology of a socialist state. This was the background to his speech at the 20th The Party Congress in February 1956. Khrushchev's main reforms were to increase agriculture and make it more efficient and in industry he wanted to turn focus from heavy industry to consumer good, making the workers life better...
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... || INDIA’S ECONOMIC REFORMS: AN APPRAISAL Montek S. Ahluwalia Printable Version 26.8.99 India’s economic reforms began in 1991 when a newly elected Congress government, facing an exceptionally severe balance of payments crisis, embarked on a programme of short term stabilisation combined with a longer term programme of comprehensive structural reforms. Rethinking on economic policy had begun earlier in the mid-eighties by when the limitations of a development strategy based on import substitution, public sector dominance and pervasive government control over the private sector had become evident, but the policy response at the time was limited to liberalising particular aspects of the control system without changing the system itself in any fundamental way. The reforms initiated in 1991 were different precisely because they recognised the need for a system change, involving liberalisation of government controls, a larger role for the private sector and greater integration with the world economy. The broad outline of the reforms was not very different from the reforms undertaken by many developing countries in the 1980s. Where India’s reforms differed was the much more gradualist pace at which they were implemented. The compulsions of democratic politics in a pluralist society made it necessary to evolve a sufficient consensus across disparate (and often very vocal) interests before policy changes could be implemented and this meant that the pace of reforms was often frustratingly...
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...Economic Reform in South Korea: An Unfinished Legacy by Marcus Noland, Peterson Institute for International Economics Paper prepared for the conference "Korea as a 21st Century Power" University of Cambridge April 3-6, 2002 © Peterson Institute for International Economics Introduction Since 1997 South Korea has been on an economic and political roller coaster. Between 1997 and 1998 forecasts of annual economic growth swung from +7 percent to -7 percent, and the country elected Kim Dae-jung, former dissident, future Nobel Peace Prize winner (and University of Cambridge honoree), and avowed economic reformer, president. However President Kim's weak electoral position—he was with only a plurality of support and forced to form a governing coalition with an ideologically dissimilar conservative party—and the continuing regional nature of South Korean politics have impeded the formation of a stable political coalition in favor of reform. Today, despite the enormous political power granted to the executive under the South Korea constitution, Kim is effectively a lame duck. Constitutionally limited to a single term, he confronts a hostile national assembly controlled by the political opposition, his personal popularity has fallen below 30 percent, and his party is trailing in public opinion polls in the run-up to December's presidential elections. Yet in spite of these challenges, a hundred other countries would envy the forecast of 5 percent growth and five percent unemployment...
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...In 1894, Kabo reforms were started by pro Japanese Korean officials (Eckert). Kabo reforms were a form of social reform program that was largely borrowed from Japan. This essay was going to analyze the Kabo reforms of Korea in 1894 and compared it with the customary constitution of 2013. After the implementation of Kabo reforms, the society was thoroughly transformed. Traditionally land used to belong to the king, although some definite land belonged to the families which were passed from one generation to the next and including communal land which was owned by clans. The Japanese conducted a land survey between 1910 and 1920 to place land ownership into the modern acreage. People who tilled their land for generally but could not legally prove that the land belonged to them had their land taken away from them. Those lands taken away came into control of the colonial government or into the hands of Japanese companies. So, some former landowners became landless or tenants in their previous land. The Japanese built, new roads, railways, schools, hospitals and established a modern system of government (John B. Duncan). All these developments were meant to link Korea and Japan. These projects provided the native Koreans with employment opportunities. The Koreans worked at the lower levels of these projects. A majority of Koreans suffered under the Japanese rule. Farmers were forced out of their farms, and Korean workers working in Japanese companies were treated like slaves. The...
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...intelligent well educated athletes. There are just as many athletically talented academics. Either/Or 3. Any change in healthcare will lead to socialism; we don’t want to live in a socialist country, so we can’t reform health care in any way. To say that reforming healthcare would completely change how society operates is a giant leap. There can be healthcare reform without creating a socialist United States. Slippery Slope 4. All teenagers’ text while they drive, therefore we should raise the driving age to 21. To say all teenagers is an inaccurate generalization. To raise the driving age to 21 would solve the problem of teen texting while driving is not logical. Hasty Generalization 5. If we don’t all drive hybrid cars, the world will end in the next decade of environmental damage. There is no evidence to support a claim that the world will end in 10 years if we do not all switch to hybrid vehicles. The statement goes straight to the most dramatic result conceivable however unlikely it is. Slippery Slope 6. Senator Range has been seen entering a strip club; therefore his economic reforms are not plausible Though perhaps immoral to some, such action has no bearing on the ability of the Senator to create plausible economic reform. One of these actions is part of personal life, the other is an action specific to professional life. Red Herring 7. Everyone else is getting rid of TV therefore we should too. The only argument presented is...
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