Teaching Comparative

Economic policy 8

The global economic and financial crisis offers an opportunity to look at policy making in various political systems. We can ask questions about how the policy making process works; about what ideas are most influential; about which people and groups vie for influence in making policies; and about who seem to be the winners and the losers in the process.

Then we can put our comparative hats on and make some

• generalizations about economic policy making
• comparisons of the policy making process and the policies and
• evaluations of the effectiveness of the policies

The 8th example comes from China.

China to focus investment on five major sectors in 2009

"China will put the bulk of its investment on the development of agriculture, low-cost housing project, infrastructure, energy conservation and social welfare next year, People's Daily, the mouthpiece of the Communist Party of China, reports on Sunday..."

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After 30 Years, Economic Perils on China’s Path

"The ruling Communist Party threw itself a big party on Thursday. The country’s leadership marked the 30th anniversary of the reform era that transformed China into a global economic power and, in doing so, changed the world.

"At a triumphant ceremony at the Great Hall of the People in Beijing, President Hu Jintao invoked Deng Xiaoping, who consolidated power in 1978 and began 'reform and opening.' Mr. Hu emphasized the party’s unwavering focus on economic development. 'Only development makes sense,' said Mr. Hu, quoting Deng.

"But beyond the oratory, Mr. Hu and other Chinese leaders are now facing a new era in which Deng’s export-led economic model, as well as his iron-fisted political control, face unprecedented challenges...

"[L]eaders are restoring tax breaks for exporters and pushing down the value of China’s currency to encourage exports. At the same time, they are casting about for ways to spur domestic demand and wean China’s economy off its dependence on foreign markets swept up in the global financial crisis..."

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Labels: China, economics, policy, politics

posted by Ken Wedding @ 8:27 AM