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Implications of Financial Crisis for East Asian Trend Growth

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Author Info
Crafts, Nicholas

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Abstract

The article sets the Asian financial crisis in the context of the developmental state model of Asian development and sees it as, in part, the downside risk of a financial liberalization that was badly handled but nevertheless appropriate as a stimulus to better productivity performance. The East Asian economies are shown still to have a large labour productivity gap with the leading OECD countries and substantial scope for further rapid catch-up growth. Historical experience suggests that the policy response to the crisis is fundamental not only to immediate recovery prospects but also to realizing this remaining fast growth potential. Copyright 1999 by Oxford University Press.

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Publisher Info
Article provided by Oxford University Press in its journal Oxford Review of Economic Policy.

Volume (Year): 15 (1999)
Issue (Month): 3 (Autumn)
Pages: 110-31
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Handle: RePEc:oup:oxford:v:15:y:1999:i:3:p:110-31

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  1. Marta Aloi & Laurence Lasselle, 2007. " Growth and Welfare Effects of Stabilizing Innovation Cycles," CDMA Working Paper Series 0705, Centre for Dynamic Macroeconomic Analysis. [Downloadable!]
    Other versions:
  2. Leandro Prados de la Escosura & Joan R. Rosés, 2008. "Proximate causes of economic growth in Spain, 1850-2000," Working Papers in Economic History wp08-12, Universidad Carlos III, Departamento de Historia Económica e Instituciones. [Downloadable!]
  3. Marta Aloi & Laurence Lasselle, 2001. "Growing through Subsidies," Discussion Paper Series, Department of Economics 0109, Department of Economics, University of St. Andrews. [Downloadable!]
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