Download Government: Asia - Effingham County Schools

Economy: Asia
China, India,
Japan, North
Korea
China
• Calls itself a socialist market
economy
• Was a command economy
moving to a mixed market
economy
–A. China’s economy has grown in
the last 25 years
China Human Capital
• Has improved education system, number
of college students has grown, getting
engineering degrees
• Studies show engineering degrees = a
growing economy
• China has also invested in technical
schools to train workers
China’s Capital Investment
• Money has been used to help with
manufacturing
• Manufacturing is half of China’s GDP
• Government helps fund small business
• Private business is the fastest growing
part of economy
China Natural Resources
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Coal
Iron Ore
Petroleum
Natural Gas
Land for industry
Rivers for industry
Not much farmland
North Korea
Command Economy
– Government controls all the resources and
decides what is to be produced
– Farmers work on cooperatives - up to 300
families share the work
Economy is not growing
– Government is making reforms
– Massive food aid from other countries has
been needed to avoid starvation
Japan
Mixed Market Economy
– One of the strongest in the world
– Has built their economy around manufacturing
• Manufactures ships, cars, and electronics.
Government owns few businesses
– DOES own TV network
– Does oversee banking and trade
Japan Human Capital
• Education is important
• Students take entrance test to get into
high schools and universities
• Entrepreneurship is seen as “risky” and
discouraged in Japan
• Japanese companies offer a “job for life” to
its employees
Japan Capital
• Country has a history of investing in new
technology
• Tax breaks are given to individuals and
corporations who have had high rates of
savings
• Savings have been used for new factories
and machinery
Japan Natural Resources
• Very little farmland and natural resources
• Imports raw materials needed for industry
• Fishing industry is large in Japan
• Country uses its educated workforce and
capital investment to overcome lack of
natural resources
India
1947 - Set up a command economy
– Government controlled industries and
production
1991 - becoming more of a mixed economy
– Reforms have been good for economy, but
millions still live in extreme poverty
India Human Capital
• Number of schools has grown
• Overall literacy rate is 60%, but 95% for children
10-14 years old
• India’s government supports new business
owners
• People work in information technology
• Government provides training and facilities
India Capital Investment
• Neglected to invest in country’s
infrastructure
• Terrible road construction
• Frequent power outages
• Airports, railways, and power plants have
suffered
India Natural Resources
• Has very fertile land
• Good water supply
• Important crops – rice and wheat
• Forests
• Coal Reserves