Authoritarian and Democratic Regimes

Democratic and authoritarian are two very totally different and contradicting forms of political regimes. They differ in the greatest way a rustic or a state is managed. In trying to determine and discuss the differences between the 2 regimes, we should always think what implications do the 2 regimes have on the political system. How are they totally different in phrases of the institutions they inherent? How are rulers elected and which one supplies the more complete representation? How does the legislation making process differ, what implications do they have on the judiciary and civil rights? Is the distribution of power different within the two regimes? And finally which one is more affluent economically and in offering a steady political system.

I begin off by making an attempt to define the overall traits of the 2 regimes.

Authoritarian regime is a political rule forced upon its citizens without their consent. In other phrases, there is no conception of free and truthful elections and rulers rule in their own interest over the mass.

Rulers do not face the specter of ‘exit’ or ‘questioning’ and thus are not accountable to anybody. Organisations which may be critical of the regime and try to discuss potential alternatives are either banned or severely punished. Freedom of speech and the existence of unbiased media are inconceivable. Inflow of data is either manipulated or not allowed as it might develop a possible risk to the regime. Some examples of states with these characteristics are Iraq, North Korea, Egypt, and UAE.

Singe party states, dictatorships and military regimes are forms of authoritarian rule.

The first two of these are similar to one another. Single get together states allow just one political celebration to compete in elections and rule over the state and dictatorships come up when the chief of the only get together accumulates power and forces it upon the residents. The third form of non-democratic rule is called a ‘military regime’. In such a regime the ruler, mostly the commander in chief of the military accumulates army energy and takes over an elected government. In all three kinds of authoritarian rule described above, the rulers rule of their interest, with out the consent or approval of the individuals.

In contrast, a democratic system of government in concept sways into the path of representative rule. Leaders are immediately or not directly elected. Such a system allows free and aggressive elections without any restriction on the variety of political events, an absent feature in authoritarian rule. The capability of unbiased organisations to operate without any restrictions, the existence of curiosity teams and the accountability of the government is vested in such a political system. Some examples of such states are the US, UK, Australia and France.

In democratic states, all citizens have the proper to cast their vote and nobody is disadvantaged of this right regardless to their race, standing or background. Candidates are chosen for each state or county and these candidates collectively type the legislative i.e. Congress within the US and Parliament in the UK. Presidents or Prime Ministers are indirectly elected by the inhabitants and are topic to a 4-year time period, after which they have to struggle again to be elected. This means, individuals from all over the country can choose their own MP or Senator to characterize them in the legislative authority. If as an example candidates fail to fulfill those who have elected them, they won’t be elected in the subsequent election and free their in style status and place.

In a democratic nation the sovereignty lies with the people. Elections in authoritarianism are non-democratic. Rulers may come into energy by overthrowing a civilian authorities by the use of navy drive. Such was the case in Pakistan in October 1999. Single party states provide no realistic choice to the folks i.e. there is solely one candidate for each post. Suffrage may not be given to everyone, as some might not have the best to even solid their votes. Hence elections in such a state of affairs are more or less organised or pre-planned.

As talked about above, democratic regimes permit the existence of organisations that will or might not deliver out the mistakes of the federal government in energy. They might exist as curiosity teams, media teams, commerce unions or even environmental groups, all with various interests. The elected authorities has to try and fulfill all these pursuits to one of the best of its capability in order stay popular. This will inevitably result in fair play with authorities officers being answerable to the people. Corruption and mismanagement is much less more probably to be the case on this context.

“So, whereas democratic nations aren’t resistant to corruption, democratic establishments definitely make it more difficult for corruption to go unnoticed” (Sullivan, date unknown)

In authoritarian regimes these establishments aren’t out there, but when they do exist, the government controls them. Russia has lengthy had the custom of being a ‘one party state’ and the non-existence of more than one political get together fails to provide the checks and balances with otherwise would have been the case. In Britain, the existence of the left wing, right wing and the middle permits representations of wide selection, somewhat than one party implementing its personal ideology.

The distribution of energy is concentrated in authoritarian regimes; whether or not they’re single party states or dictatorships. Leaders of such states are also the chiefs of the armed forces, secretary general of the get together and head of states. This implies that they are not accountable to anybody and there can be no one to query their authority. The dictator controls legislative, govt and judicial powers (see below). Some good examples could presumably be in Germany when Hitler assumed these powers or Saddam Hussain who at present is the leader of the Ba’ath celebration in Iraq and controls these powers.

Civil rights are recognised in a unique way in the two regimes. A democratic state provides its topics with substantial authorized rights. If for example any part of the manager has violated the individual right of a citizen, he is entitled to struggle for his proper within the courtroom of legislation. He can strategy the media to assist him appeal to attention of the country and even the world if he has been considerably deprived of his rights or if he has experienced substantial loss because of the actions of the executive. In contrast, in a dictatorship similar to Iraq, the person can be deprived of his fundamental legal rights. The judiciary isn’t independent and access to media groups is restricted.

He often has no legal defence, there aren’t any public hearings and the choice against the person is ultimate, with no recourse to appeal. (Arabicnews.com, 2003) In single get together states those elated to greater offices which may be near the authoritarian ruler are very unlikely to turn into a sufferer of any legal litigation. In democratic countries this is not the case, courts might convict MP’s, senators or any individual regardless to their standing or place. In Australia “Andrew Theophanous, a former senior Labor parliamentarian of practically 20 years standing who once served as a cabinet secretary to Prime Minister Paul Keating, was this month sentenced to a complete of six years jail on 4 expenses of migration fraud” (Rees, 2002).

Due to the structure of the federal government, laws could be very much managed by the authoritarian authorities. In single get together states individuals are not given the opportunity to decide on between different events and therefore haven’t any option but to determine on the legislation handed by party. It is difficult to envisage laws being debated in or scrutinised when the same celebration appoints all members of the legislative council. Its even worse in dictatorships when the leaders controls legislation powers, and passes laws which are never debated by any opposition. In democratic states like the US, laws must be approved by a majority in the Congress. Many laws are heavily scrutinised and many do not even pass the process.

Democratic countries are usually economically liberal and achieve sooner financial growth as in comparability with authoritarian regimes. Just like a monopoly might occupy the bulk market share of a product, authoritarian states own most enterprises and are topic to the inefficiency, and low productiveness associated with some monopolies.

“This is the foundation cause of the various flaws of PRC state-owned enterprises, which are affected by poor effectivity, outdated management and too many idle employees”

(Kao, 1999)

The cause for the totally different pace in financial growth is because of the construction underneath which the economy operates. When all resources are owned by the state and the decisions are centrally deliberate, there’s little incentive given to employees to work tougher, or be more productive since the state plans and distributes the wages. This isn’t the case underneath democratic regimes. Enterprises are given the incentives that permit them to spend cash on human capital, which outcomes in greater productivity and economic development. Firms can actively try to make earnings, and in pursuit deliver greater efficiency and better productiveness the place as within the different case the objective is to provide items and providers which are shared equally. Equality, not efficiency is the overriding goal in authoritarian states.

The variations mentioned above between the two regimes would intuitively lead us to believe that the democratic possibility is the more broadly preferred technique of government. In truth for my part it ought to be the adopted strategy. Evidence has proven that it is the leading kind in most international locations today, and many nations previously under authoritarian rule have switched to the liberal type of government. Which one of the two is a better type in apply is a unique problem. Are the tools used in democracy as efficient as they’re described in theory? Are authoritarian states nonetheless the more undesirable possibility contemplating USSR was economically very profitable in the past? This no doubt throws a question that can be heavily debated!

Bibliography

1. ArabicNews.com – The US and Iraq: democracy and authoritarianism Iraq-USA, Analysis, 2/3/2003.

2. World Socialist Website – Rees, Margaret – Australian MP appeals against conviction for migration fraud 27.7.02.

3. Potter, David – Democratisation – Open University 1997.

4. Sullivan John, Director, Centre for International Private Enterprise, World Bank Corruption Takes a Toll on Everyone

5. Kao, Charng – China within the 21st Century- International Conference Nov 6-7 1999.

Political regimes between China and India

When people are seeking new opportunities in other countries, China and India is popular choices for investor as the two most populous on the Earth. Both are emerging economies that have illustrated average GDP growth greater than 7 percent over the few years*. Noticeably, both India and China are largest avoided by the global economics crisis in 2010,maintaining above GDP growth when western countries are suffering economics contraction.

Despite of successful changes, we still need to consider further elements for our investment. It includes regimes, laws, economy environment and population.

However, if I want to do a mobile game company, I will choose China. In this essay, I will discuss above elements in China and India and also describe why China is better to do a mobile game company.

At first, the regime background and regulation are two basically part to decide investment. Over the past 30 years, China has witnesses a continuing transition a capitalist political economy with a highlighting on market competition, international economic integrations and capital accumulation. In other words, It has opened its door to the direction of liberalization. Therefore, China requires to join the WTO for the demand to open its markets in anticipation, which is a new program of legal reform motivated. Thus, Chinese government is reducing to control business whose ownership is government-dominated or state-owned enterprise (SOES) but consolidate SOEs in some sectors to be global leader in their areas. As a result, foreign company can enter these fields but difficult compete. On the other hand, China is encouraging foreign direct investment (FDI) in almost sector, especially germinated industry. It is a great opportunity for e-business. However, in this stage, of approximately 130.000 SOEs four thousands are privatized per year.

For regulation, while destination of investment will strictly limited or altogether closed, the law allows foreign inventors to decide a diversity of investment entities in China. Chinese regulatory agencies have divide business actions and sector in three categories: encouraged, prohibited, and restricted. It also sets out that sector or industries fall in to the encouraged, restricted and prohibited sectors. It is not only determining how much and through what legal entity the investment can take place, but also foreign investment is allowed (Sweeney, 2010). A further point is that if we specify these polices in e-business, we will find that e-business is easy to enter and also be encouraged by Chinese government. In addition, in e-business this sector, the tax remains vague, generally lower than other nations, because China has developed their e-business later than others and is immature. Yet it also means more intellectual property issues.

Similarly, a process of market liberalization is also building in India. Some have claimed that (Vollmer, and Sabine, 2013) that, prior to 1991, FDI was extremely regulated and was banned in almost sectors by Indian government. Yet a second wave of reforms has forced the liberalization process from 1991. It has opened the India economy for foreign investment in almost categories. A variety of measures were taken by India government, such as current account convertibility, allowing foreign institutions to invest in securities and shares of India companies.

However, foreign investment in some sectors of economy was restricted by India. The Foreign Exchange Management Act (FEMA) Regulations, which is most import law for foreign invertors, has banned some sector like atomic energy and banking. In other sectors, such as mining, telecommunications, and pharmaceutical, the proportion of investment in a company is covered by the FEMA regulations. Lately, many FDI has required Foreign Investment Promotion Board (FIPB) approval. Obviously, industries are requiring a license to operate, and to need for approval for restricted industries.

A of critical goals for government is that to increase the FDI approvals to actual percentage. According to survey evidence (Bajpai and Jeffrey, 2000), FDI approvals were of the order of $54,268 million from April 1991 to September 1998, while actual FDI during the same time was a mere $11,806 million. Thus, actual FDI as a proportion of FDI approved was only 21.7 percent the same ratio is much higher in China.

Furthermore, in India, FDI approval is base on the national level. Therefore, licensing requirements, registration, and mandated. Investors have to control separate negotiations at the local level should like approvals be required because approval are not managed through national level offices. So, if we do business in India, we cannot avoid a complex of approval and also face some corruption from government. As a result, a mere $3.2 billion was settled by India while China succeeded actual FDI inflows of around $45.3 billion in 1997.

Second, we also consider another a significant element that tariff, when we decide to do business in a country. For tariff, since 1990 a dual corporate income tariff regime has maintained by China: one regime for Chinese Delivered Ex Ship (Des) and another regime for Foreign-Invested Enterprises (FIEs). According to An (2012), to compare with Des, FIEs receive preferential tariff treatments provided by the Chinese government, base on dual corporate income tariff. Many Foreign investments were enticed into China because of the dual corporate income tariff.

In order to compare with India, the tariff rates are approximately the highest in the world (Mohommed,2014). This limits its attractiveness as an export platform for labor-intensive manufacturing production. Nirupam and Jeffrey (2000) have found that, on quotas and tariffs, India out of 59 countries being ranked. India is ranked 52 on average tariff rate in 1999. Reductions of tariff rates (between 0 and 20 percent) required much greater openness to averages in East Asia. Most significantly, as many exporting countries of East Asia has been successful over past several decades, tax tariff on imported goods used for export and on imported inputs into export production should be duty free.

For instance, tariff in agriculture, An (2012) has argue that the average bound rate in other developing countries for agricultural imports such as China and Brazil is 16 percent and 35 percent respectively, whereas India is 113 percent and higher than its 37 percent average bound rate for non-agricultural products. Therefore, tariff will be a huge barrier for foreign investor to enter India market but China has not this major impediment to larger FDI inflows in.

Lastly, why I want to do business, especially mobile game in China? In above, we can find these reasons: (1) easy to create a company because of the regime, (2) e business is a support industry by Chinese government and (3) Lower tariff than India. In comparison, India has several main barriers to expand FDI into marker: (1) Restrictive FDI regime because of the approval (2) Lack of transparent sectorial polices for FDI (3) High tax rates by international standards (Sebastian, Rodney, Parameswaran, Ashvin and Yahya, Faizal 2010,8) .

These advantages and disadvantages just are creating an e-business, mobile game, company. When we enter a foreign market, we have to recognize such as buying power, consumption behavior, and labor cost. In these points, India has some unique strength. As we all know, IT industry is dramatically prosperous and has a huge population as well, which means e-business company use lower price to hire employees. In other words, we can get cheaper IT human resources in India than China. In order to compare the market, we have to recognize more about guanxi, which is controversial terms in China’s political economy. It is a complex consumption behavior.

However, the number of mobile phones has been growing at about 9 million monthly in India. India is making the second-largest mobile phone market after China because the total number is potentially to exceed 330 million by the end of 2008.It is most significant thing when we want to do a mobile game company, incredible market. Despite of some drawback in China, it is still a more reasonable choice for a mobile game company.

In conclusion, India and China have emerged impressive GDP growth rates over the past few decades. Both are largest population and market on this plane. For India, a new and free market, stable business environment, and lower labor cost are magnetically for settle business, yet some major barriers are still considerable. For China, while a comparatively complex market and a part of sectors, it is a better opportunity to do a mobile game company. Largest mobile phone market brings great platform for a mobile game. Numerous mobile phone users can experience. Fantastic GDP growth is promising these demands in a new entertainment industry. Low tariff is a important element for a foreign company more competitive. Therefore, at this time, we want to do a mobile company in both China and India, China is a worth choice.

Reference:
Sweeney, M. (2010) ‘Foreign Direct Investment in India and China: The Creation of a Balanced Regime in a Globalized Economy’, Cornell International Law Journal, 43(1), pp. 207-247. Sebastian, Rodney, Parameswaran, Ashvin and Yahya, Faizal. 2006. ‘Doing Business In India’. New Zealand Journal of Asian Studies. 8(1): 17-40.

An, Z.2012.’Taxation and Foreign Direct Investment (FDI): Empirical Evidence from a Quasi-experiment in China’. International Tax and Public Finance, 19(5), pp. 660-76 Vollmer, and Sabine.2013.’How to Do Business in India’. Journal of Accountancy.215(3):26-31.

Aggarwal,and Alok.2008.’ Emerging Markets: India’s Role in the Globalization of IT’. Communications of the ACM.51(7):17-19. Mohommed .2014.’A Comparative Sample Study on the Determinants of Foreign Direct Investment In the East, South and South East Asia’. Ritsumeikan Asia Pacific University Press. Joshi, A. (2011). Two Competing Asian Giants: Some Facts. China Report, 47(3), pp. 201–21. —- Nirupam, andJeffrey,D.2000. ‘Foreign Direct Investment in India: Issues and Problems’ .Development Discussion.3(1),pp .75-79.