Financial Crisis and Institutional Change in East Asia by Jikon Lai Palgrave Macmillan, Basingstoke, 2012 Pp. 240. ISBN 978 0 2303 60631

2014 ◽  
Vol 28 (1) ◽  
pp. 190-191
Author(s):  
Edmund Terence Gomez
Keyword(s):  
Financial Crisis ◽  
Institutional Change ◽  
East Asia

Institutional Change and Economic Growth in East Asia after the Asian Financial Crisis, 1997-98

2020 ◽  
Vol 35 (1) ◽  
pp. 29-51
Author(s):  
Kee Hoon Chung
Keyword(s):  
Economic Growth ◽  
Financial Crisis ◽  
Institutional Change ◽  
East Asia ◽  
Fixed Effects ◽  
Panel Data Analysis ◽  
Institutional Quality ◽  
Asian Financial Crisis ◽  
Fixed Effects Model ◽  
The World

Theories on institutional change assert that exogenous shocks are critical in transforming path-dependent institutions. There is not much empiric research, however, that has investigated whether that is indeed the case. To fill this gap, this study investigates the effects of institutional quality on economic growth with a focus on East Asia before and after the 1997-98 Asian financial crisis, which delivered a critical shock in economic activities and institutions in East Asia. Using panel data analysis from 1981 and 2007, I investigate whether the effect of institutional quality on economic growth differed in East Asia compared to rest of the world before the crisis and whether such relationship changed after the crisis. Using two-way fixed effects model, the estimation shows that the effect of institutional quality on economic growth was positive on average for the rest of the world after the crisis but negative for East Asia. The negative coefficient was particularly strong for the three countries—South Korea, Indonesia, and Thailand—that suffered the most during the crisis. However, in the long term, there was no significant change of this negative effect.

South East Asia in Conditions of World Financial and Econommic Crisis

2010 ◽  
pp. 38-46
Author(s):  
E. Kanaev ◽  
A. Kurilko
Keyword(s):  
Economic Growth ◽  
Financial Crisis ◽  
East Asia ◽  
South East Asia ◽  
Structural Reforms ◽  
Domestic Consumption ◽  
Communication Partners ◽  
Detailed Specification ◽  
Asean Countries

The 1997–1998 financial crisis brought the issue of necessity to implement deep structural reforms to the agenda in South-East Asia countries. Domestic consumption encouragement, increase of cooperation between different countries' real sectors of economy and strengthening the role of the ASEAN countries in both anti-crisis arrangements and arriving at consensus on interaction with communication partners became focus areas. The detailed specification of measures assumed by particular countries of the region to mitigate crisis effects, stabilize economy and formulate a strategy of economic growth is presented in the article.

How Taiwan Weathered the Asian Financial Crisis

2000 ◽  
Vol 03 (04) ◽  
pp. 491-518 ◽  
Author(s):  
Erh-Cheng Hwa
Keyword(s):  
Financial Crisis ◽  
East Asia ◽  
Industrial Policy ◽  
East Asian ◽  
Macroeconomic Policy ◽  
Industrial Sector ◽  
Asian Financial Crisis ◽  
Industrial Restructuring ◽  
Financial Policy ◽  
Underlying Factor

This paper attempts to explain why Taiwan was able to cope with the East Asian financial crisis more successfully than other economies in East Asia. It pinpoints Taiwan's competitive industrial sector as the most likely relevant underlying factor. It also shows that while sound macroeconomic policy and prudent financial policy all contributed to allowing Taiwan to avert the crisis, an effective industrial policy that fostered industrial restructuring, strengthened industrial competitiveness, as well as helped to restore macroeconomic equilibrium, was the most instrumental factor.

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