Financial Liberalisation Essay Example | Topics and Well Written Essays - 1750 words

Financial Liberalisation - Essay Example In the light of this irony, this paper intends to look at liberalization from the Asian perspective, specifically from the viewpoint of China and South Korea. The idea of liberalization holds at its core the notion that there be a total and complete opening of the market so that trade and capital can freely enter and move out without the burden of tax, tariffs and other forms of governmental control. Coupled with this is the idea of deregulation, which implies no governmental intervention or minimal governmental intervention in the dynamic movements of the market. This perception of liberalization has in fact has been carried over to all aspects and players of the market sparing nothing even financial institutions. The notion of financial liberalization connotes the idea that "financials markets are left to their own devices"(Soros, 2002,p 112). This inspite of the fact that financial market are basically different in nature from that of actual markets since the latter is working from known quantities (physical goods and services) whereas the former is technically working from unknowable quantities. Being such, the moment that financial m arkets are left on its own they are liable to go to extremes and breakdown. Thus, financial liberalization, though pinning for a free, level market playing field, is an oxymoron since financial institutions are basically not to be left at their own devices but must be supervised and to some extent managed by monetary authorities. Take the case of China. China's opening to international foreign trade is quite new. Considering the fact that China has just started opening her doors to foreign investors in the 60's. But despite this, the staggering improvements in financial markets in China is worth noting. On 1984, China has undertaken financial reforms and new monetary policies. Under the financial reforms, China has established its central bank known as People's Bank of China (PBOC) who has the direct say on matters pertinent to national financial institutions. While, four specialist's banks have also been established as the PBOC's arm in commercial banking functions. They are the "Industrial and Commercial Bank of China, which caters for urban enterprises an residents; the Agricultural Bank of China, which caters for rural enterprises and residents; the People's Construction of China, which mainly caters for construction enterprises; and the Bank of China which specializes in foreign exchange business" (EAAU, 2000, p 113). Further more, in 1994 three new banks have been established and these are: "State development Bank (lending for major infrastructure projects); China Import and Export Bank (providing finance for traders) and China Agricultural development Bank (providing funds f or agricultural crop purchasing)"(EAAU, 2000, p114). The latter have been established for the main purpose of removing policy-lending obligations from the four state-owned specialist's banks so that it can develop into "commercial entities" (EAAU, 2000, 114). These banks perform their specific functions over and above the normal banking transactions of accepting deposits and withdrawals, offering loans and guarantees, investments in Chinese treasury and government bonds. The most significant manifestation of financial liberal

Personal Reflection Paper Essay Example | Topics and Well Written Essays - 500 words

Personal Reflection Paper - Essay Example Life is more valuable than mountain climbing expedition. Therefore, leaving sadhu to die for the sake of accomplishing corporate goals is against the moral standards of the society. Moreover, human beings ought to learn to promote feelings for each other to be able to offer a helping hand in similar circumstances instead of letting our ambitions make us selfish. The parable of sadhu has revealed a lot about the character of the corporate. Firstly, the parable reveals how corporate members of society are self-centered, irresponsible and selfish. They refute the qualities that constitute a person who ought to share life with the rest as stated in your lecture. Secondly, it also shows how corporate members are ungrateful to the society that defines their existence. The mountain climbers such as McCoy have had great time learning about the cultural practices of the native people. When they find one of the natives on the verge of death on higher, frozen slopes of Himalayas, they pass responsibility, leaving the old sadhu to fight for his own life1. The parable also reveals irresponsibility of the corporate members to the society. Each corporate member views such individuals as sadhu as burden and cannot take initiative to care for them. The corporate values material things in place of moral values. The climbers emphasized that they indeed helped the sadhu with clothes and food and, therefore, did enough as far as helping a stranger is concerned2. They argued that Sadhu was a stranger and according to them, they did enough that they could. Firstly, I would revive the role of corporate to the society. The corporate has evaded their duties owed to the society in which they thrive. They exploit the society yet they do very little at sustaining it for the future. I would restore the responsibility that the corporate owe to the society. I would, according to the