PPA - Developmental States and Industrialisation Flashcards
What is a developmental state, and what are they concerned with?
a state with high levels of autonomy and embeddness in society, economic growth and transformation
What are the other types of state according to Evans?
Intermediate and Predatory
what is the neo-liberal paradigm?
that state intervention is ineffective and leads to rent-seeking and ultimately corruption, economy works better independent of the state
What is the political statist argument?
sate intervention works depending on nature of state and its capacity through institutions
How did Japanese colonialism affect development?
Japanese were looking to incorporate states rather than exploit, Meiji Restoration, impact of institutions and bureaucracy
which other factors affected the states?
scarcity of resources and external threats
What threats did South Korea, Taiwan and Singapore face?
South Korea - North Korea, Taiwan - Chiana, Singapore - Isolation
how does state control of the banking sector facilitate business?
use of monetary incentives to guide business and promote exports
what are the big companies in each country called?
Keiretsu in Japan, Chaebol in Korea, State owned enterprises in Taiwan
Where does the money come from?
Japan- savings (Japan Post) goes to Developmental bank goes to Keiretsu, Korea - FDI goes to Chaebols, Taiwan - invest in joint ventures and sub-contracts with foreign business
Why is the bureaucracy important?
facilitate collective action in overcoming market failures.
What are the bureaucratic institutions in each country?
MITI (Ministry of International Trade and Industry) in Japan, Economic Planning Board in Korea, Economic Stabilisation Board in Taiwan
What is Pempel’s explanation for rent-seeking staying at supportable levels?
that balance between LDP, bureaucracy and business
What is Mutual Hostage?
Kang’s idea that two groups balanced each other out to prevent rent-seeking spiralling out of control
How does MH apply to South Korea?
State thought it was better to have fewer. bigger companies (less risk. less monitoring) Business reliant on state for money, but also too big to fail
