Impact of Neoliberal Markets on China

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Impact of Neoliberal Markets on China

Introduction

The globalization process has promoted economic cooperation, political communication and cultural exchanges and integration on a global scale, including developed countries, developing countries and underdeveloped countries and regions (Steger, 2013). However, while globalization brings many opportunities, it also brings challenges to various countries. While promoting the economic development of all countries, it has also brought many negative effects to them (Harris, & Seid, 2000). With the integration of neoliberalism, this influence has become apprarently. When referring to neoliberalism, Martinez and Garcia mentioned that in 1976, Adam Smith first proposed free trade in the “World of the United Nations” as the best way to facilitate the country’s economic development. The government’s interference and participation is likely to slow down or even hinder the development of the national economy. Over the past 20 years, with the influence and spread of the capitalist economy on globalization, neoliberalism has also been involved in the development of countries around the world (Martinez & Garcia, 1997). According to Martinez and Garcia in 1997, the core feature of neoliberalism is economic driving, which supports complete market liberalization, including commodities, capital and services; at the same time weakens the role of the government, reduces or even eradicates the government’s original public services. Investment includes medical, educational, social welfare, etc., emphasizing the importance of personal obiligation in public service; in addition, privatization is one of the most striking features of neoliberalism. The government’s retreat and the strengthening of personal responsibilities have accelerated the privatization process. In fact, the development of neoliberalism under the globalization model has indeed achieved economic growth and income for all countries. However, it has also brought some negative effects to some countries, especially the third world countries. Just as Chomsky (1999) mentions that the gap between the first world countries and the third world countries in the 18th century is not as obvious today. This article will focus on the impact of neoliberalism on third world countries, with Syria and China as the main targets of analysis. At the same time, this article will also pay special attention to the impact of neoliberalism on the education of these two countries which is a category of public services.

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The idea of neoliberalism is to support the free movement of the market economy. It insists that the market is unconstrained, and even the government departments should reduce their influence and intervention on the market (Martinez & Garcia, 1997). However, china has different condition. On the one hand, the Chinese market has gradually emerged as a neoliberal feature: liberalization and marketization, and incorporates elements of the International Monetary Fund’s prevention and World Bank market model (Liew, 2005). On the other hand, state intervention still plays an important role in market development. The government is still the researcher and issuer of policies and rules, limiting the development of the market to a state-controlled ideology, so that while achieving economic goals, the government can achieve its political goals, maintain and stabilize its monopoly on political rights in the country (Liew, 2005). This is also known as “neoliberalism with Chinese characteristics” (Schmalz & Ebenau, 2012). While neoliberalism promotes economic growth for China, it also has a negative impact on the development of China’s economy, society, and education.

In fact, in China, neoliberalism is imperative in the late 1970s. On one hand, when Deng Xiaoping first proposed reform and opening up, his concept was marketization (Wu, 2008). Wu (2008) also mentioned that he encouraged economic development as the central task to shift national development from class struggle to economic development and promotion, thus driving other aspects of the country, including political, cultural and social development. On the other h