East Asia in Crisis: The Rest 1997 - 1998

Question 1

In spite of Japan’s problems, what did the 1990’s witness?

Answer 1

A worldwide fascination with the EA MOdel

Question 2

in 1993, the World Bank publishes….

Answer 2

The East Asian Miracle

Question 3

What do we see in 1996?

Answer 3

A slowdown in both export and GDP growth across Asia

Question 4

What fuels capital outflow throughout 1996?

Answer 4

rumors of thai devaluation

Question 5

July 1997, what does Thailand do?

Answer 5

Devalues the Baht

INdonesia, phillipines, malyasia and SK quickly follow

Stock markets fall across Asia

International monetary fund steps in
China holds the line

Question 6

Recovery turns out to be quick but…

Answer 6

it pointed to weaknesses in economic org, especially in Korea

Question 7

So what?

Answer 7

This was not Koreas first problem – they had been struggling to control the chaebol for decades

like Japan, banks extend credit to favored borrowers, often at government direction