Based on the history of the Earth Kingdom I conclude that Wu's idea is well meaning but ultimately naive. During the Hundred Years War, the lack of central authority in the Earth Kingdom greatly aided the Fire Nation's conquest. Furthermore, the Earth Kingdom states were independent for three years after Earth Queen Hou-Ting was murdered, and they weren't able to stand by themselves (which is why kuvira managed to gain control over them). It is apparent that most of these states don't possess the necessary infrastructure to maintain self-reliance while independent. Therefore, I believe the best form of government for them would be an Earth Federation akin to the United States or Russia in our world. That way, state and national government would be balanced in power. Furthermore, it would provide a way for the diverse peoples of their nation to work together in a way that would help them find solutions to their massive problems.
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Based on the history of the Earth Kingdom I conclude that Wu's idea is well meaning but ultimately naive. During the Hundred Years War, the lack of central authority in the Earth Kingdom greatly aided the Fire Nation's conquest. Furthermore, the Earth Kingdom states were independent for three years after Earth Queen Hou-Ting was murdered, and they weren't able to stand by themselves (which is why kuvira managed to gain control over them). It is apparent that most of these states don't possess the necessary infrastructure to maintain self-reliance while independent. Therefore, I believe the best form of government for them would be an Earth Federation akin to the United States or Russia in our world. That way, state and national government would be balanced in power. Furthermore, it would provide a way for the diverse peoples of their nation to work together in a way that would help them find solutions to their massive problems.