...Asian Economic Miracle: The Wisely Chosen Economic Policies and The Economic Trend of 20th Century Van Nguyen Keystone College Abstract: Asian economic miracle refers to three groups of East Asian countries making miracle in transforming their economies from the third world to the first world ranking. There are three generations of Asian miracle. Starting with Japan, the first generation of what called Asian miracle, following with the second generation including South Korea, Hong Kong, Singapore, and Taiwan, and final generation consists of some Southeast Asian countries such as Thailand, Malaysia. This paper is going to talk about the second generation of Asian economic miracle. By showing their economic achievement, illustrating their economic policies, and analyzing how the economic trend of 20th century reflected on those policies, this paper will argue that Asian miracle was the result of the wise choices of how to manage an economy. Furthermore, developing countries should learn the lessons of how to choose the right economic policies to make economic miracle. Asian Economic Miracle: The Wisely Chosen Economic Policies and The Economic Trend of 20th Century Introduction According to the East Asian Miracle (EAM, World Bank, 1993), “East Asia has a remarkable record of high and sustained economic growth. From 1965 to 1990 the twenty-three economies of East Asia grew faster...
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...RETHINKING THE EAST ASIAN MIRACLE JOSEPH E. STIGLITZ AND SHAHID YUSUF Editors RETHINKING THE EAST ASIA MIRACLE JOSEPH E. STIGLITZ AND SHAHID YUSUF Editors A copublication of the World Bank and Oxford University Press i Oxford University Press Oxford • New York • Athens • Auckland • Bangkok • Bogotá • Buenos Aires • Calcutta • Cape Town • Chennai • Dar es Salaam • Delhi • Florence • Hong Kong • Istanbul • Karachi • Kuala Lumpur • Madrid • Melbourne • Mexico City • Mumbai • Nairobi • Paris • São Paulo • Singapore • Taipei • Tokyo • Toronto • Warsaw and associated companies in Berlin • Ibadan © 2001 The International Bank for Reconstruction and Development / The World Bank 1818 H Street, N.W., Washington, D.C. 20433, USA Published by Oxford University Press, Inc. 198 Madison Avenue, New York, N.Y. 10016 Oxford is a registered trademark of Oxford University Press. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior permission of Oxford University Press. Cover design and interior design by Naylor Design, Washington, D.C. Manufactured in the United States of America First printing June 2001 1 2 3 4 04 03 02 01 The findings, interpretations, and conclusions expressed in this study are entirely those of the authors and should not be attributed in any manner to the World Bank, to its affiliated organizations...
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...ABSTRACT: Asian economies went through significant transformation during the 2000s. They became part of global supply chains, major global commodity consumers and large capital exporters, and were also deeply involved in regional co-operation initiatives. These factors contributed to global disinflation in manufactured goods prices, abundant global liquidity and strong growth in commodity-exporting economies including Australia. (maybe because of 1997-1998 Asian financial crisis) In the coming decade, Asian economies are likely to continue their ascendancy, albeit at a slower pace, which should eventually decouple Asia from the advanced economies. With increasing domestic cost pressures, Asia may also become a new source of global inflation. Asia’s exports of capital to advanced economies may shrink as the region rebalances and outflows should focus more on portfolio investment and foreign direct investment (FDI). In the coming decade, a potential crisis in a major Asian economy such as China could trigger the next global recession. SUMMARY: History: more than 1000 years before the industrial revolution, the combined share of China and India in the world economy was routinely greater than 50% (but whether they will assert influences on the world economy depends on assumption of sustainability) 1993: the East Asian miracle, HPAEs (world bank 1993), no China India 1997-1998 Asian financial crisis (triggered by the withdrawal of foreign capital from the region, however...
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...Since the end of the second world war, many East Asian economies have seen a “miraculous” growth. And with so many other nations still in poverty, economists and leaders are turning their eyes towards the “East Asian tigers” to see if they can replicate their results. When looking at the facts it is obvious that the the circumstances facing the East Asian nations were quite different than the ones that nations face today. But outside of these differences a loose model of the East Asian miracle can be utilized in Third World nations today and, considering the high success rate of so many of the East Asian economies, would most likely see positive results. The secret to success of East Asian economies is the hand that the government has had in industrial affairs. Starting in the 1950s nations like china began taking steps towards centralized government through reform. One example of this would be the Chinese land reform of the 50s under the new Mao Zedong's communist regime (Blecher, 2010:p.27). This land reform took away the oligarchic control of the landlords, changing the feudalistic policy of landlordism over to a more capitalistic form of socialism in which the government has the control. This is clearly a very vital part of the industrialization process as many nations that have failed with the agrarian reform continue to find themselves struggling to get out of poverty. A modern example of this would be Brazil, where the rural landlords have stalled any sort of reform that...
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...illiteracy, income disparity, gap between haves and have-nots; etc. This study explores demographic dividend in case of India by studying issues and challenges, the policies to be implemented and lessons to be learned from countries like Japan, Ireland and Thailand. By 2025, India will have over 65% population under working class. This is a unique window of opportunity for deploying resources. This study explores the benefits to be realized and the policies to be implemented; now India is well poised for becoming a super economic power. As all developed nations will have older population by 2026, as their population is aging. It means if India can take the advantage of this situation, by proper deployment of resources, by converting the human potential in to engine of economic growth. This period of demographic dividend is an opportunity for overall growth; it’s not the guarantee for improving the standard of living. This window of opportunity demands from youth, the right skills and aptitude for employability. Developing nations like India goes through a transition phase, in which the economy shifts from agrarian to industrial production and growth of services sector. Industrial countries have largely completed what is called the "demographic transition"—the transition from a largely rural agrarian society with high fertility...
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...have been founded on empirical observations on the economic conditions of a set of cases and are, as Robert Cox posits, critical of the circumstances from which certain politico-economic configurations emerge[1]. A contemporary theory that has surfaced in the last few decades is the developmental state theory which sought to explain the precipitous economic progress of East Asian states after the Second World War. Although the initial outcome of adopting developmental strategies among East Asian states have shown the theory’s potency as a basis for economic development policies, subsequent events especially the results of Southeast Asian attempts to pattern itself after developmental strategies have put into question the developmental state’s efficacy as a long-term arrangement. Specifically, the Philippines’ status as an “anti-developmental” state[2] serves as a channel for criticism of the developmental state theory through other IPE theories not only in terms of strategies and policies, but also in the deeper level of societal conflict and political structures. The origins of the Developmental State and its basic premises The literature on developmental state theory attributes its conception to Chalmers Johnson who argued in his book MITI and the Japanese Miracle, that “Japan’s road to capitalism differed from that of the West, with the central role played by...
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...Haley Hart September 29, 2013 Discuss Pentecostalism as a religious movement from the late 19th century to the present. Pentecostalism’s “spiritual baptism” was founded out of the holiness and healing movements of the late nineteenth century, but the beginning of the Pentecostal movement began at Azusa Street Church in Los Angeles, California in 1906. The speaking of tongues that the Azusa church members practiced was interpreted as a sign that the Holy Spirit not only existed in their community but also “baptized” the spirits of the people who were speaking in tongues. The Pentecostals wanted a return to “primitive” Christian religion, in which they sought no historical church baggage or differences that would drive people apart. They also attributed the success of the primitive church back to Pentecost-an event where the Holy Spirit descended upon the people with “gifts” (healing, prophecy, miracles, and glossolalia or speaking in tongues). As time passed and things changed, Pentecostalism also transformed. This was largely due to the fact that the movement addressed religion in an open, positive, and cheerful manner. Their meetings had always been diverse and attracted whites, blacks, Mexicans, Native Americans, Asians, and Eastern Europeans. They embraced popular culture and utilized it to minister to large audiences. During the second half of the twentieth century, many Pentecostals created a parallel to the mostly-secularized pop culture. They used pamphlets, diet...
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... The East Asia’ Regional Economic Integration In the past twenty years, the East Asian economies realized the freedom of foreign trade and direct investment (FDI) because of the influence of GATT/WTO and APEC and as a result, it further promotes the economic growth of East Asia. The mutual economic dependence of each countries has increased a lot and therefore, close economic cooperation among Asian countries is necessary for healthy economic development. Many countries try to deepen their cooperation by establishing agreement and carrying out negotiation or discussion (Kawai 2004). Besides, the East Asian countries want to have their own institutions where they have vital voice in decision making after the financial crisis. As a consequence, the regional economic integration become an inevitable trend. The structure of this essay is organized as follows. The first part of this essay will discuss the driving forces of East Asia’s regional economic integration, including the failure of the WTO and APEC, and the financial crisis. The second part will illustrate how regional organizations of East Asia are developed in aspect of trade cooperation and financial cooperation and then followed by the difficulties in creating a regional economic union, such as the resistance from the United States and the great...
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...the “Southeast Asian Miracle,” Thailand’s economy was among the fastest growing in the world in the latter 20th century. Gross domestic product (GDP) averaged 7.6% during the 1960s and 1970s, dropping to 5.5% during the early 1980s, and then rose to 9% during 1985-1995 (Doner 26). Having undergone dramatic transformation from an agrarian economy into a Newly Industrializing Economy (NIE) in just three decades, the IMF and the World Bank were touting Thailand as a successful example of market-based development (K.S. et. al 56-57). However, critical examination of Thailand’s progress beyond GDP growth finds the extent of its economic achievements was similarly matched by its widening inequality and lagging development indicators, begging the question of whether standard measures of economic progress, such as GDP, are sufficient in assessing national development. Thailand’s Government and the Development of a Modern Economy Following the end of absolute monarchical rule in 1932, Thailand became a constitutional monarchy with a parliamentary democratic political system. The head of state is King Bhumibol Adulyadej, who has reigned since 1946. Its partially elected national legislature selects a prime minister, who appoints a cabinet of ministry heads (Economist Intelligence Unit). While the kingdom is divided into four geographical regions – North, Northeast, Central, and South, Thailand is a centralized unitary state whose powers of administration emanate from Bangkok (Keuleers...
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...------------------------------------------------- Post–World War II economic expansion From Wikipedia, the free encyclopedia "Golden Age of capitalism" redirects here. Other periods this term may refer to are Gilded Age and Belle Époque. In the United States and several other countries, the boom was manifested insuburban development and urban sprawl, aided by automobile ownership. Many Western governments funded large infrastructure projects during this period. Here the redevelopment of Norrmalm and theStockholm Metro, Sweden. The post–World War II economic expansion, also known as the postwar economic boom, the long boom, and the Golden Age of Capitalism, was a period of economic prosperity in the mid-20th century which occurred, following the end of World War II in 1945, and lasted until the early 1970s. It ended with the collapse of the Bretton Woods system in 1971, the 1973 oil crisis, and the 1973–1974 stock market crash, which led to the 1970s recession. Narrowly defined, the period spanned from 1945 to 1952, with overall growth lasting well until 1971, though there are some debates on dating the period, and booms in individual countries differed, some starting as early as 1945, and overlapping the rise of the East Asian economies into the 1980s or 1990s. During this time there was high worldwide economic growth; Western European and East Asian countries in particular experienced unusually high and sustained growth, together with full employment. Contrary to early...
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...One of the most sought-after goals in the world of marketing is a high degree of consumer satisfaction. But in the world of education, satisfaction by itself should not be the criterion for success. If both satisfaction and performance are high, we have cause for celebration. If satisfaction is high and performance is low, as is currently the case in the United States, we have cause for serious alarm. According to Stevenson and Stigler in "The Learning Gap", American parents whose children generally score below Asian children on tests of academic achievement, gave the most positive evaluations when asked about their children's schools and how their children were performing. If the children are doing well, such high levels of satisfaction would be justified. Experiential learning theory draws on the work of many 20th century scholars who have given experience a central role in their theories of human learning and development- notably John Dewey, Kurt Lewin, Jean Piaget, Williams James, Carl Jung, Paulo Freire, Carl Rogers and other- to develop a holistic model of the experiential learning process and a multi- linear model ( Kolb 1984). Maintaining high levels of satisfaction with poor performance creates a huge obstacle to the improvement of education. Before you can solve a problem, you have to admit that you have a problem. Why should children study hard if their parents already express high levels of satisfaction? Why should schools pursue reform with enthusiasm and resolve...
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...and Manchester Universities. With all these professional credentials, Tudor is more than qualified to write about South Korea, the place he calls home. He has developed in this book an almost encyclopedic work that can not be missed by anyone interested in understanding South Korea, with all its deep historical and cultural roots. This is the Korea which caused a economic and political miracle when in a relatively short period of time became a wealthy and democratic nation surpassing all its limitations of an "impossible country" Also, South Korea is considered to be an "impossible country" because of the pressure to which its citizens are exposed to accomplish goals that many times are unrealistic to most humans (the author's premises lead to the title of his book). The book begins with a brief history of Korea from its prehistory to the modern era. In the first part of the book, the author approaches the primitive Korean shamanism and the Musok-in (a female Korean shaman) tradition; the deep influence of Buddhism in Korea; and the historical contribution of Confucianism for Asian countries and how this ideology still influences modern Korea. Tudor also talks about the...
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...Japan in Asia: A Hard Case for Soft Power by Thomas U. Berger Thomas Berger is an associate professor of International Relations at Boston University. he concept of ‘‘soft power’’—defined by Joe Nye as ‘‘the ability to get what you want through attraction rather than through coercion’’1— has proven a seductive one for Japan. Since the concept was popularized in the 1990s, Japanese scholars and policymakers have enthusiastically taken it up, eagerly exploring how Japan’s soft power resources could be exploited to burnish Japan’s image in the world and help reshape its environment in subtle but important ways. Some—perhaps encouraged by the new attention given to the popularity of Japanese anime and manga, and by the general buzz about ‘‘Cool Japan’’—have even described Japan as a ‘‘Soft Power Superpower.’’2 It sometimes seemed, in more overheated moments, that Pokemon and Sailor Moon would conquer the world, succeeding where the Imperial Army and Navy had failed.3 That soft power would prove attractive is unsurprising. Although Japan has considerable hard power resources, it has shown great reluctance to actually use them in the way that students of international relations would T 1 The idea was originally advanced by in Joseph Nye, Bound to Lead: The Changing Nature of American Power (New York: Basic Books, 1990). He has since expanded on the concept in Soft Power: The Means to Success in World Politics (New York: Public Affairs, 2004). 2 See the very useful volume by...
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...possess is as a result of their ability to assign their available resources (factor conditions) to specific productive areas to yield viable outcome. Rarely has the economic ascent of two still relatively poor nations been watched with such a mixture of awe, opportunism, and trepidation. The postwar era witnessed economic miracles in Japan and South Korea. But neither was populous enough to power worldwide growth or change the game in a complete spectrum of industries. China and India, by contrast, possess the weight and dynamism to transform the 21st century global economy. Never has the world seen the simultaneous, sustained takeoffs of two nations that together account for one-third of the planet’s population. For the past two decades, China has been growing at an astounding 9.5% a year, and India by 6%. Given their young populations, high savings, and the sheer amount of catching they still have to do, most economist figure China and India possess the fundamentals to keep growing in the 7% to 8% ranges for decades. (Cravens, 2013) Barring cataclysm, within three decades India should have vaulted over Germany as the world’s third-biggest economy. By mid-century, China should have overtaken the U.S as No. 1. By then, China and India could account for half of global output. What makes the two giants especially powerful is that they complement each other’s strength. An accelerating trend is that technical and managerial skills in both China and India are becoming more important than...
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...all nations. Across time, in pursuing this objective, varies economic hypothesis and strategies have been developed and applied within different countries. Among these strategies, exportled growth has gained its popular among economists and policy makers due to the success of this policy in many new developed countries in the late 20 th century, especially the miracle growth of the 4 Tigers of South East Asian and China. The idea that trade can be the engine of economic growth states that promotion of the export sector is the best way to achieve economic growth. This hypothesis is verified to be valid through many economic data thorough history and also there are many explanations as to why exports are a crucial way to obtain growth. Firstly, the economy of scale argument of the new trade theory is that domestic markets severely limit the scope for sales of a domestically produced product, and that by allowing exports, country could hugely increase the potential market for domestic goods. This expand in market size can lead to increasing returns if domestic industries could obtain optimal production scale. The bigger economies of scale achieved from exporting lead to increased capacity utilization, which results in greater product variety and productivity gains....
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