The gross national income nearly equals that of the United States due to the big population of China compared to the population of the United States.
Inflation rates
The inflation rate of Nigeria was at 8.10 percent by October 2014. The figure has increased at the moment to about 8.3 percent. However, this is not the highest inflation rate in Nigeria. An inflation rate of about 47.56 percent was recorded in the January 1996. It has also had the lowest inflation rates in the in 2000 when the inflation rate was -2.49(Nigerian Bureau of Statistics, 2014)
Interest rates
The interest rate in Nigeria is at 13 percent. This is the figure as at November 2014. Nigeria has shown some level of stability in terms of interest rates. From the year 2007 to 2014 interest rate was on average 9.66 percent. In 2006, the interest rate was 6 percent. This indicates a rapid increase in the interest rates in Nigeria.
Economy system
Nigeria is a mixed system economy and is within the middle income status. It is ranked number 60 by the World Bank.
Exchange rates
The exchange rate of Nigeria is about 167 naira for one dollar buying. The selling rate is about 168 against the dollar. The central exchange rate is about 167.5 naira for a dollar. This is the figures as at the 5/12/2014. The Nigerian naira has been weakening against the dollar. This is because on 27/11/2014 the buying rate was 164. In a span of 8 days the buying rate shot to 167 naira against the dollar.
South Africa
Inflation rates
The inflation rate of South Africa was at 5.90 in the October 2014. The inflation rate had averaged 9.4 percent until 2014. This indicates an improvement in the Economy of South Africa.
Interest rates
The interest rate of South Africa stands at 5.75 percent. In 2012 it was at 5 percent. Form the year 1988 to 2014 it averaged13 percent. The interest rates of South Africa has stabled at about 5 percent (South Africa Reserve Bank, 2014)
Exchange rates
The exchange rate is at 11.36. A dollar is about 11.36 South African Rand. This indicates that the South African Economy is strong.
Economy system
South Africa is a mixed economy where capitalism and socialism co-exist. The private sector is not blocked from participating in the economy (Laurence Harris, pg 33).
Japan
Inflation rate
The inflation rate of Japan stood at 2.90 percent this year. From the 1958 to 2014 the rate averaged 3.16. This indicates the stability and growth of the economy.
Interest rate
The interest rate of Japan stands at 0 percent. This shows the strength of the economy of Japan. From 1972 to 2014 it averaged at 3.11 percent.
Exchange rate
1 Japanese Yen equals 0.0082 US dollars.
Economy system
Japan is currently leaning towards a mixed economy. This is because there has been increase in private ownership of businesses. The government though is socialist. The private ownership has increased the growth of Japan. It is therefore mixed by it generally a market economy. Individuals have the factors of production. This is similar to the situation in the United States
India
Inflation rate
The inflation rate of India stands at 5.52. From 2012 to 2014 the rate averaged 9.23. This indicates economic improvement.
Interest rate
The interest rate of India currently stands at 8 percent. It had averaged 6.67 percent between the years 2000 to 2014.
Exchange rate
The Indian rupee changes at the rate of 61.94 against the dollar.
United States
Inflation rate
The inflation rate stands at 1.7 percent (Bureau of Labor Statistics, 2014)
Interest rates
The interest rate of United States stood at 1.7 percent in 2013(World Bank, 2014)
Part Three
All the counties are a mixed economy. This therefore means that the States does not fully control factors of production. Expansion to a socialist State would be a bit difficult. This is because countries that do not operate under a market economy control business. Countries that put the factors of production on the state aim at preventing foreign domination.
All the four countries except Nigeria have stable inflation rates. The inflation rates of India and South Africa is around 5 percent.
Reference
Laurence Harris, (1990).The mixed economy of a democratic South Africa, investment analyst journal
“Economic systems” Retrieved from http://www.ssag.sk/files/Economic-Systems.pdf
R. Radhakrishna and Manoj (2006) Panda Macroeconomics of Poverty Reduction: India Case Study
