GEOG 1001 Lecture Notes - Lecture 8: Cronyism, Hong Kong
Document Summary
From 1980-1997, these 7 nations accounted for 40% of all goods produced for ldcs. Obstacles to success in the 1950s and 1960s. Weak natural resource base (japan, korea, taiwan, hong kong) Reputation for shoddy goods (japan, taiwan, korea, hong kong) Geography: far from major markets in north america, europe. Belief in hierarchy (not upset if they are at the lower end - understand need to be in a specific role to improve collective good) Target and support certain industries (like high tech ones) Converted strong national economy into global dominance. Exports economic model and capital to other parts of asia (primarily asian tigers) Fdi into asian tigers stimulates their economic growth. South korea: gnp rises dramatically from 1960s to early 2000s. Banks lend $ to friends, not on merit. Short term loans taken out for long term projects. Us and europe pissed off; pressure japan for open markets in 80s and 90s. = japan"s exports down, so rise in inflation.
