Every country in the world has an economic system that would probably help them to fulfill the needs of their citizens. An economic system is the structure of production, allocation of economic inputs, distribution of economic outputs, and consumption of goods and services in an economy. Actually, there are many types of economic systems that were spread out throughout the world. It depends upon a country to which economic system that is appropriate for their economic status.
The intriguing question is this: what could be the best economic system that most country should have? Can one type economic system helps all the countries in the world? Or is it better to have different economic systems to choose from? To further answer these questions, I have examines different economic systems for three countries. These countries are China, United States of America and the Philippines. China’s economic system is a type of market economy which can be called as an open economy.
This is an economy in which there are economic activities between domestic community and outside including businesses, can trade in goods and services with other people and businesses in the international community, and flow of funds as investment and across the border. United State’s economic system is just like the system of China which is the market economy. However, US have a market economy in which individual producers and consumers determine the kinds of goods and services produced and the prices of those products.
The Philippine economic system is different from the two because it is a mixed economic system. It is an economy that includes a variety of private and government control, that is, a mixture of capitalism and socialism. In this type, private institutions and government can be an individual group or company. They can cooperate with one another in order to have a good and productive economic system. Economic systems determine the economic growth of one country. It depends upon the situation either it is better for a country to have an economic system like this or like that.
It depends also on how businesses, private institutions, government, and consumers correlate with each other. As I’ve seen to the countries I had observed, the economic system that they have had been greatly imparted assistance for the economic growth of these countries. In China, it really helps the businesses there because they are free to have trade with other countries and even only for domestic areas in their country. If they are free to do this, they can easily gain money and have a brighter economic status for their country.
In USA, just like China, it has a market economy. This kind of economic system helps USA’s large country, mostly the businesses, to be more aggressive because they are freely to do whatever they wanted to do for the benefits of the industry. While in the Philippines, the economic status depends upon the people and the government. It is better to have a mixed system for a country like this because they can cooperate with each other, and a fact is that the Philippines is a democratic country so the people can do whatever they wanted to do.
But it has a limit because the government has rules and regulations for business institutions. I therefore conclude that it depends upon the things that the country has to fully meet its standards for the kind of economic systems they wanted to have. It is important to know what would the government, especially do to obtain the needs of the people. And it is also need that people who has businesses should cooperate with the kind of government they have. If these two cooperates, there is a great possibility that a country can have a better economic status to give the citizens needs.