asia; political economy of asia; asia economy; east asia; southeast asia; brister

GFIR 360 Political Economy of Asia

University of Virginia (Summer 2001)

Instructor: Thomas Brister

MTWRF 8:00-10:15 (Bryan 332)

Office Hours: 10:15 - 11:15 after class (Alderman Coffee Shop 4th floor) and by appointment; R & F afternoons TBA

Toolkit Webpage Address: http://toolkit.virginia.edu:80/cgi-local/tk/UVa_CLAS_2001_Summer_GFIR360-1

 COURSE OVERV IEW

 Ten years ago books with titles like Pacific Destiny echoed a growing conventional wisdom that the 21st century would be an "Asian Century". Some observers credited countries like Japan and South Korea with having forged a distinctive brand of "Asian capitalism". Asian social harmony was likewise attributed to "Asian values" derived from the ancient wisdom of Confucius. Implicit in much of this was a view that it was now time for America and Europe to learn from Asia in order to correct their perceived decline. Alarmists in the West - as reflected in popular movies like Rising Sun - foresaw a juggernaut Japan bent on dominating the world.

A decade later we have seen a startling reversal in the conventional wisdom. America's "new economy" with its epicenter in the dot.com mecca of Silicon Valley has been heralded as the wave of the new century. Japan's economy has remained stagnant for a decade, and the Asian financial crisis of 1997-98 has led many to doubt the efficacy of what is now commonly derided as "crony capitalism". These days, alarmists warn of a disastrous Japanese economic collapse that could drag down the world economy with it. Ironically, it is now Japan's economic weakness which is viewed as one of the greatest threats to global prosperity!

What happened to the Asian miracle?

This course aims to answer this question. In order to do this, we need to understand the history and politics of the region and the way that it has evolved in relation to the global economy. We will begin with the European "encounter" with Asia in the 1500s and trace the history of colonial rule and post-colonial independence. After a brief overview of economic terms and theories of development, we will examine the main features of the so-called "Asian model". This will also involve taking a look at each major country and at the Asian "region" as a whole. We will then trace the evolution of the Asian financial and economic crisis in the context of economic globalization and assess how each country responded to the crisis. We will discuss the causes of the crisis with a focus on the role of international finance and domestic economic factors. The course will conclude with debates about the importance of Asian values and culture, geopolitics, and the future of Asian regionalism.

At the beginning of the course students will "adopt" a country and complete a country study by the end of course. By following current events and acquiring a more in-depth knowledge of specific countries students can then share this knowledge and understanding with each other so that we gain a valuable comparative perspective on the political economy of Asia as a whole. By studying the region from a longer-term historical and wider global perspective we should also be able to distinguish the "sense" from the nonsense in the ever-changing (and often mistaken) "conventional wisdom" of our ubiquitous media age.

READINGS

Mark Borthwick, Pacific Century , Westview, 1998. (PC)

T. J. Pempel, ed. Politics of the Asian Economic Crisis , 1999 (Pempel)

Nicholas D. Kristof & Sheryl WuDunn, Thunder From the East , Alfred A. Knopf, 2000. (Kristoff)

*On reserve or available through electronic toolkit ("materials" section on toolkit home page)

Statistical Study Charts: Economic Development; Social Development; Political Development

Outline Essays for Class Topics:

SOME FURTHER AND ADDITIONAL READING:

George Soros, "The Capitalist Threat", The Atlantic Monthly, February 1997; and "Toward a Global Open Society", February 1998.

Joseph Quinlan and Marc Chandler, "Why the Trade Deficit Doesn't Matter", Foreign Affairs, May/June 2001, pp. 87-97.

Jeffrey E. Garten, "Lessons for the Next Financial Crisis", Foreign Affairs, March/April 1999, pp. 76-92.

Martin Feldstein, "A Self-Help Guide for Emerging Markets", Foreign Affairs, March/April 1999, pp. 93-109.

Hilton L. Root, "Asia's Bad Old Ways", Foreign Affairs, March/April 2001, pp. 9-14.

 ASSIGNMENTS AND EVALUATION:

1. Participation (15%)
2. Country study (due by 8/8 12 noon Cabell 232) (30%)
3. Quizzes (for mastery of objective and factual content) (30%)

4. Short Essay (25%)

FOLLOWING POLITICS IN ASIA

Yahoo Full Coverage World News

Washington Post Full Asia Coverage

Human Development Report 2000 (United Nations)
The human development report CD-ROM (1990-1999) is available at Government Documents 3rd Floor Alderman Library. Ask the librarian at the information desk for assistance in using this and other sources of statistical information. A paper copy of the most recent 2000 report should be available at UNDP 1/H 88 in the reference section on the third floor.

World Development Indicators 2001 (World Bank)
Alderman Library government documents has this on CD-Rom up to the 2000 Edition. Use the latest edition available at the library. The link provides information about this for those interested in this resource (but it is expensive so use the library!)

World Bank and International Monetary Fund (IMF)

International Monetary Fund Documents
Read primary documents related to each country involved with the IMF. Go down the alphabetical list to your country. Very useful for those looking at IMF policies during the Asian crisis.

CIA World Factbook

State Department Country Studies
Online and in hard copy ( in government documents, third floor alderman). These are very good overviews with reliable information.

The Economist Country Briefings (subscription-based and somewhat expensive)

International Relations Resources on the Web

Asian Country Resources

Asian Crisis Homepage by Noriel Roubini
Links and information on almost any topic related to the Asian crisis, Asian economic recovery, and global economy.

Asia in Film

CALENDAR OF TOPICS

The following topics are provisional. We will make adjustments as we go along; thus, the assigned readings and topics are not dated. This will allow us to adjust for the short time of the summer session and to spend differing amounts of time on various topics depending on student interest, time available, (level of exhaustion!), etc. Many of the listed readings are optional for those who would like more information on a particular topic.

1. Introducing Pacific Asia

  • Read the "Introduction" in PC (1-11) and Kristof, "Why We speak English" (26-47)

2. Why Did Columbus Sail to the East?

  • Read PC (17-76) for an overview of the broad history of Pacific Asia up through the 19th century
  • PC (77-117) on the Western "encounter" with or "intrusion" into the Indian Ocean Economy. For more on the spice trade read the section on electronic reserve by Schivelbush, "Spices, or the Dawn of the Modern Age" (3-14)

 3. How Did the Renegade Samurais Save Japan from being colonized by Europeans?

  • Read PC (119-160) on the "Meiji Restoration". We will also watch and discuss a video clip on this topic in class.

 4. How Did Asia's Modern States win their Independence?

  • Read PC (161-212) for the history up to WWII;
  • PC (213-240) for WWII and decolonization

 5. What do we mean by "economic development"?

  • The following are sections from general international relations texts: *Karen Mingst, "International Political Economy" (195-229), WW Norton, 1999; Use these readings for review of basic IPE concepts or as an introduction to the topic if this is new for you.
  • *James Mittelman, "Rethinking the International Division of Labor", The Globalization Syndrome: Transformation and Resistance, Princeton, 2000, 33-57.
  • *Barbara Stallings and Wolfgang Streek, "Capitalisms in Conflict?" (67-99) in Stallings, Barbara, ed. Global Change, Regional Response: the New International Context of Development. Cambridge; New York: Cambridge University Press, 1995. This will introduce us to the concept of economic regionalism, which we will discuss in greater depth at the end of the course. (optional: read the chapter by Gary Gereffi, "Global Production Systems and Third World Development" (100-142) in the same book. I will give a basic overview of "commodity chains" which are discussed in more detail in this chapter).
  • The Triad

6. Japan and the "Flying Geese": Is there an "Asian Model"?

  • PC 241-270 Japan
  • PC 271-322 NICs
  • PC 323-363 Democratization (Additional Terms for Quiz Two)
  • Kristoff, 113-141
  • *Ravenhill, John and Mitchell Bernard. "Beyond Product Cycles and Flying Geese: Regionalization, Hierarchy, and the Industrialization of East Asia." World Politics 47 (January 1995): 171-209.
  • *T R Reid, "The Other Miracle" (3-27), Confucius Lives Next Door, Vintage/Random House, 2000.
  • *Giovanni Arrighi et al, "The Rise of East Asia in World Historical Perspective", unpublished paper, December 1996,http://fbc.binghamton.edu/arhamsel.htm (optional)
  • *Bruce Cumings, "Archaeology, Descent, Emergence: American Mythology and East Asian Reality", Parallax Visions: Making Sense of American-East Asian Relations at the End of the Century, Duke, 1999, 9-33. (optional)

7. Where does China fit in?

  • PC 403-456 China
  • *Berry, Nicholas. "China is Not an Imperialist Power." Strategic Review (Winter 2001): 4-10. (optional)
  • *Warren I. Cohen, "China's Strategic Culture", Atlantic Montly, March 1997, (http://www.theatlantic.com/issues/97mar/china/china.htm) (optional)

8. How did we Get From the Cold War to Globalization?

  • The Asian Crisis as a Financial Crisis (Financial Crises in Historical Perspective)
  • PC 365-402 (optional)
  • *Thomas Friedman, "The New System" (3-16) and "The Electronic Herd" (112-142), The Lexus and the Olive Tree, Anchor Books, 2000.
  • *Paul Bracken, "Introduction" (xi-xxix), Fire In the East, Harper Collins, 1999. (optional)
  • *Fallows, James. "Containing Japan." The Atlantic Monthly (May 1989): 40-54. (optional)
  • *Chalmers Johnson, "Blowback", in Blowback, pp. 3-33 (optional)

9. Dominos Falling in Asia....(?)

  • Pempel, 45-78; 79-97
  • Kristof & WuDunn, 3-23; 91-109; 143-161
  • *Wade, Robert and Frank Veneroso. "The Asian Crisis: The High Debt Model Versus the Wall Street-Treasury-IMF Complex." New Left Review 228 (March/April 1998): 3-23.
  • Chronology of the Asian Financial Crisis
  • Global Contagion and the Asian Crisis
  • The Role of the IMF in the Asian Crisis
  • *Krugman, Paul. "Dutch Tulips and Emerging Markets." Foreign Affairs (July-August 1995): 28-44. (optional)
  • *John Kenneth Galbraith, "The Speculative Episode", A Short History of Financial Euphoria, Whittle/Penguin, 1-11. (optional)
  • *Krugman, Paul. "The Myth of Asia's Miracle." Foreign Affairs (November/December 1994): 62-78. (optional)

10. Between Indonesia and Taiwan: What Explains the Differences?

11. Putting It All Together:

12. *What Would Confucius Say? The Question of "Asian Values": (if we have time)

  • Kristof, 163-191; 267-289
  • *TR Reid, "The Master Kung", (91-126), Confucius Lives Next Door, Vintage/Random House, 1999.
  • *Christopher Lingle, "Burdens of the Asian Model", (142-169), The Rise & Decline of the Asian Century, Asia 2000 Ltd, 1998.
  • *Mahbubani, "An Asian Perspective on Human Rights and Freedom of the Press" (57-80); "The Dangers of Decadence" (81-87), Can Asians Think?, Times Books, 1998
  • *Huntington, Samuel P. "The Clash of Civilizations?" Foreign Affairs (Summer 1993): 22-49.
  • *Hungtington, Samuel P. "The Global Politics of Civilizations", The Clash of Civilizations and the Remaking of World Order (207-245), Simon & Schuster, 1996. (optional)
  • *Francois Godemont, "Asian Values Minus the Debate", (96-123), The Downsizing of Asia, Routledge, 1999. (optional)
  • *Stephen Vines, "Asian Values and Confusion about Confucius", (75-91), The Years of Living Dangerously, Texere, 2000. (optional)

13. *Shadows of the Rising Sun? Environment and Geopolitics: (if we have time)

  • Kristof, 227-249; 251-265; 291-313
  • *Christopher Lingle, "Geopolitics and the 'Asian Century', 170-192, The Rise & Decline of the Asian Century, Asia 2000 Ltd, 1998.
  • *Yergin, Daniel, Dennis Eklkof, and Jefferson Edward. "Fueling Asia's Recovery." Foreign Affairs (March/April 1998): 34-50. (optional)
  • *Bracken, Paul. "The Second Nuclear Age." Foreign Affairs (January/February 2000): 146-156. (optional)
  • *Berry, Nicholas. "China is Not an Imperialist Power." Strategic Review (Winter 2001): 4-10. (optional)
  • *Warren I. Cohen, "China's Strategic Culture", Atlantic Montly, March 1997, (http://www.theatlantic.com/issues/97mar/china/china.htm) (optional)
  • *Michael T. Klare, "Oil Wars in the South China Sea", Resource Wars: The New Landscape of Global Conflict, Henry Holt/Metropolitan, 2001, pp. 109-137. (optional).

14. Asian Regionalism: Convergence or Divergence? One or Many Worlds?

  • *Bergsten, C. Fred. "America's Two-Front Economic Conflict." Foreign Affairs 80 (2 March/April 2001): 16-27 and Bergsten, Fred. "Towards a Tripartite World." The Economist (July 15, 2000): 23-26.
  • *Wade, Robert and Frank Veneroso. "The Resources Lie Within." The Economist (November 7, 1998): 19-21.
  • *Lim, Linda Y. C. "Whose 'Model' Failed? Implications of The Asian Economic Crisis." The Washington Quarterly 21 (3 Summer 1998): 25-36
  • *Mallaby, Sebastian. "In Asia's Mirror: From Commodore Perry to the IMF." The National Interest (Summer 1998): 13-26. (optional)
  • *Manning, Robert A. and Paula Stern. "The Myth of the Pacific Community." Foreign Affairs (November/December 1994): (optional)
  • *Mahbubani, Kishore. "The Pacific Way." Foreign Affairs (January/February 1995): (optional)
  • *Fallows, James. "What Is An Economy For?" The Atlantic Monthly (January 1994): 1-26 (http://www.theatlantic.com/politics/ecbig/whatecon.htm) (optional)
  • *Bruce Cumings, "East Asia and the United States: Double Vision and Hegemonic Emergence", Parallax Visions: Making Sense of American-East Asian Relations at the End of the Century, Duke, 1999, 205-226. (optional)
  • *Giovanni Arrighi and Beverly J. Silver, "Conclusion", in Chaos and Governance in the Modern World System, University of Minnesota, 1999, pp. 271-289 (optional)

15. Conclusion:"Re-Orientation" in the 21st Century?