Financial Liberalization and the Asian Crisis

1. Front Matter

   Pages i-xi

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2. Introduction

   • Ha-Joon Chang, Gabriel Palma, D. Hugh Whittaker

   Pages 1-7

3. Economic Crisis in East Asia: The Clash of Capitalisms

   • Chalmers Johnson

   Pages 8-20

4. Capital Market Crises: Liberalization, Fixed Exchange Rates and Market-Driven Destabilization

   • Lance Taylor

   Pages 21-39

5. Derivatives and Global Capital Flows: Applications to Asia

   • J. A. Kregel

   Pages 40-62

6. From ‘Miracle’ to ‘Cronyism’: Explaining the Great Asian Slump

   • Robert Wade

   Pages 63-81

7. Thailand’s Crisis: Neo-Liberal Agenda and Local Reaction

   • Pasuk Phongpaichit, Chris Baker

   Pages 82-101

8. Malaysian Débâcle: Whose Fault?

   • K. S. Jomo

   Pages 102-123

9. Indonesia: From Showcase to Basket Case

   • Jonathan Pincus, Rizal Ramli

   Pages 124-139

10. Interpreting the Korean Crisis: Financial Liberalization, Industrial Policy and Corporate Governance

    • Ha-Joon Chang, Hong-Jae Park, Chul Gyue Yoo

    Pages 140-155

11. Fashioning a New Korean Model out of the Crisis: The Rebuilding of Institutional Capabilities

    • John A. Mathews

    Pages 156-174

12. Japan’s Crisis: Evolution and Implications

    • D. Hugh Whittaker, Yoshitaka Kurosawa

    Pages 175-189

13. Responses to the Crisis: Constraints to Rapid Trade Adjustment in East Asia’s Electronics Industry

    • Dieter Ernst

    Pages 190-214

14. Asian Crisis and the Future of the Japanese Model

    • Ronald Dore

    Pages 215-236

15. The Economic Impact of the Asian Crisis on India and China

    • A. S. Bhalla, D. M. Nachane

    Pages 237-253

16. Three-and-a-half Cycles of ‘Mania, Panic, and [Asymmetric] Crash’: East Asia and Latin America Compared

    • Gabriel Palma

    Pages 254-286

17. Back Matter

    Pages 287-294

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The financial crisis that hit a number of 'miracle' economies of Asia in 1997 shocked the world. Financial Liberalization and the Asian Crisis rejects conventional explanations of the crisis as the outcome primarily of inefficient and corrupt economics systems in the countries concerned. It argues that the crisis was the result of premature and overly rapid financial liberalization in a world of increasing financial liquidity and volatility, and calls for a more cautious approach to financial liberalization, and a reform of the international financial architecture.

• Asia
• capital
• capital market
• capitalism
• China
• East Asia
• economics
• electronics
• exchange rates
• financial architecture
• financial crisis
• liberalization
• liquidity
• trade
• volatility

• Faculty of Economics and Politics, University of Cambridge, UK

  Ha-Joon Chang, Gabriel Palma

• University of Cambridge, UK

  D. Hugh Whittaker

CHRIS BAKER Freelance Researcher and Writer, Bangkok A. S. BHALLA David Thompson Senior Research Fellow, Sidney Sussex College, Cambridge RONALD DORE Centre for Economic Performance, London School of Economics DIETER ERNST East-West Center, University of Hawaii CHALMERS JOHNSON Japan Policy Research Institute, Cardiff CA K.S. JOMO Department of Economics, University of Malaya LANCE TAYLOR New School for Social Research, New York J.A. KREGEL University of Bologna JOHN A. MATHERS Macquarie Graduate School of Management, Sydney D. M. NACHANE University of Mumbai, India HONG-JAE PARK School of Oriental and African Studies, University of London PASUK PHONGPAICHIT Faculty of Economics, Chulalongkorn University, Bangkok JONATHAN PINCUS School of Oriental and African Studies, University of London RIZAL RAMLI Economic Advisory Group, Jakarta ROBERT WADE Brown University, USA CHUL GYUE YOO Korea Long-term Credit Bank Economic Research Institute, Korea YOSHITAKA KUROSAWA Nihon University, Japan

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