The Vietnam Economic Development Essay Example | Topics and Well Written Essays - 1500 words

The Vietnam Economic Development - Essay Example In this paper, I am to delineate this similarities and how it can be used to forecast the economic growth of Vietnam. To do this, I examine not only the economic but also the social and political similarity between the two countries. I then proceed in discussing the implications of this similarity in the future developments in Vietnam's economy. Vietnam, with the official name of Socialist Republic of Vietnam, is located in the South East Asia and constitutes a land rich in history and culture. It is bordered by China to the north, Laos to the northwest, and Cambodia to the southwest. On the country's east coast lies the South China Sea. With a population of over 87 million, Vietnam is the 13th most populous country in the world. Vietnam was formerly a Chinese territory but as with most Asian nations, the country fell under the yoke of colonial powers particularly that of France. The clamor for independence soon became powerful so as to initiate armed resistance. After years of guerrilla warfare leading to the 1953-1954 take over of the French fortified a base at Dien Bien Phu, the French government agreed to negotiations to end the war. However, the country was divided at t the 17th parallel, with the Vietminh in the North and the French and their Vietnamese supporters in the South. In 1963, the deteriorating political situation and the fear of the spread of Communism by the Americans resulted to the Vietnam War which pitted South Vietnam supported by the United States of America against North Vietnam which ultimately saw the victory for Communist North Vietnam and the unification of the Vietnam people. Upon taking control, the Vietnamese communists banned all other political parties, arrested public servants and military personnel of the Republic of Vietnam and sent them to reeducation camps. The government also embarked on a mass campaign of collectivization of farms and factories. Reconstruction of the war-ravaged country was slow, and serious humanitarian and economic problems confronted the communist regime. In a historic shift in 1986, the Communist Party of Vietnam implemented free-market reforms known as Doi Moi. With the authority of the state remaining unchallenged, private ownership of farms and companies, deregulation and foreign investment were encouraged. The economy of Vietnam has achieved rapid growth in agricultural and industrial production, construction and housing, exports, and foreign investment. It is now one of the fastest growing economies in the world. (Sullivan, 2006) 3.0 Social Similarity between Vietnam and South Korea In the Asia Pacific Region, one can find another country besides from Vietnam having experienced rapid economic development in the world since the 1960s. South Korea, which has the 3rd largest economy in Asia and the 11th largest economy in the world, has been defined as a High Income Nation by the World Bank and is listed by the United Nations as a prosperous nation. In terms of social beliefs and culture, the Vietnamese and the South Koreans are heavily influenced by Confucianism. At the heart of Confucianism are two fundamental principles, the necessity of correct behaviour and the importance of loyalty and obedience. Confucianism was firmly implanted in Vietnam during the thousand years of its occupation by China