IDEAS home Printed from https://ideas.repec.org/p/bth/wpaper/2011-04.html

Dealing with Structural Change: A Diagnosis of the Thai Economy

Author

Listed:
  • Kiatipong Ariyapruchya

    (Bank of Thailand)

  • Sukonpat Chantapant

    (Bank of Thailand)

  • Tosapol Apaitan

    (Bank of Thailand)

Abstract

The entry of China into the global economy and regional economic integration is ushering in a new global production structure. Thailand will have to find her place in this new global order by embracing internal structural change. The paper finds that Thailand will have to confront sizeable structural change due to global developments. And depending on how global and domestic developments play out, there are wide-ranging possibilities on how Thailand may transform structurally. Nevertheless, no matter what possibility materializes, the Thai economy’s smooth transformation rests on its adaptability and resiliency. We focus on adaptability in terms of physical mobility and resiliency in terms of firm resiliency to shocks. Thailand’s physical capital mobility is adequate by international standards, but rigidities exist in sectors that lack competition or financial access. At the firm level, the overall picture is that of resiliency to shocks, but there are firms in non-competitive sectors that appear particularly vulnerable. On overall, the Thai economy is adaptable and resilient but will be challenged by imminent and substantial structural change; the Thai economy must build adaptability and resiliency from within. For example, policymakers can facilitate resource allocation by fostering competition and sustaining financial sector liberalization. Firms should enhance productivity, seek out opportunities in new markets, prepare for regional competition and manage financial risk more carefully.

Suggested Citation

  • Kiatipong Ariyapruchya & Sukonpat Chantapant & Tosapol Apaitan, 2011. "Dealing with Structural Change: A Diagnosis of the Thai Economy," Working Papers 2011-04, Monetary Policy Group, Bank of Thailand.
    • Handle: RePEc:bth:wpaper:2011-04
    as

    Download full text from publisher

    File URL: http://www.bot.or.th/Thai/EconomicConditions/Publication/DiscussionPaper/dp042011_eng.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Don Nakonthab & Krongkaeo Kritayakirana & Sukonpat Chantapant, 2007. "Are Thai Banks Vulnerable?: Structural Analysis of Bank Corporate Loan Portfolio and Implications," Working Papers 2007-03, Monetary Policy Group, Bank of Thailand.
    2. Fogel, Kathy & Morck, Randall & Yeung, Bernard, 2008. "Big business stability and economic growth: Is what's good for General Motors good for America?," Journal of Financial Economics, Elsevier, vol. 89(1), pages 83-108, July.
    3. Kiatipong Ariyapruchya & Cheerapan O-lanthanasate & Chatsurang Karnchanasai, 2006. "Strengthening the Competitiveness of Thai Firms: What Needs to be Done?," Working Papers 2006-03, Monetary Policy Group, Bank of Thailand.
    4. Thammarak Moenjak & Kengjai Watjanapukka & Oramone Chantapant & Teeravit Pobsukhirun, 2010. "New Globalization: Risks and Opportunities for Thailand in the Next Decade," Working Papers 2010-04, Monetary Policy Group, Bank of Thailand.
    5. Ashvin Ahuja & Thitima Chucherd & Kobsak Pootrakool, 2006. "Human Capital Policy: Building a Competitive Workforce for 21st Century Thailand," Working Papers 2006-04, Monetary Policy Group, Bank of Thailand.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dilaka Lathapipat & Thitima Chucherd, 2013. "Labour Market Functioning and Thailand's Competitiveness," Working Papers 2013-03, Monetary Policy Group, Bank of Thailand.
    2. Nakarin Amarase & Tosapol Apaitan & Kiatipong Ariyapruchya, 2013. "Thailand's Quest for Economic Growth: From Factor Accumulation to Creative Destruction," Working Papers 2013-02, Monetary Policy Group, Bank of Thailand.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chu, Baoju & Dong, Yizhe & Liu, Yaorong & Ma, Diandian & Wang, Tianju, 2024. "Does China's emission trading scheme affect corporate financial performance: Evidence from a quasi-natural experiment," Economic Modelling, Elsevier, vol. 132(C).
    2. Buck, Florian & Hildebrand, Nikolaus, 2014. "Elites and Bank-Based Finance: A political economy model on the emergence of financial systems," VfS Annual Conference 2014 (Hamburg): Evidence-based Economic Policy 100336, Verein für Socialpolitik / German Economic Association.
    3. Kathy Fogel & Randall Morck & Bernard Yeung, 2009. "Big Business Stability and Social Welfare," NBER Chapters, in: Financial Sector Development in the Pacific Rim, pages 349-370, National Bureau of Economic Research, Inc.
    4. Schlingemann, Frederik P. & Stulz, René M., 2022. "Have exchange-listed firms become less important for the economy?," Journal of Financial Economics, Elsevier, vol. 143(2), pages 927-958.
    5. Mitchell, Matt & Farren, Michael & Gonzalez, Olivia & Horpedahl, Jeremy, 2019. "The Economics of a Targeted Economic Development Subsidy," Annals of Computational Economics, George Mason University, Mercatus Center, November.
    6. Sun, Zixiong & Anderson, Hamish & Chi, Jing, 2023. "Managerial foreign experience and corporate risk-taking: Evidence from China," International Review of Financial Analysis, Elsevier, vol. 86(C).
    7. Oliver Falck, 2007. "Heavyweights – The Impact of Large Businesses on Productivity Growth," CESifo Working Paper Series 2135, CESifo.
    8. Loderer, Claudio F. & Stulz, Rene M. & Waelchli, Urs, 2013. "Limited Managerial Attention and Corporate Aging," Working Paper Series 2013-13, Ohio State University, Charles A. Dice Center for Research in Financial Economics.
    9. Joseph P. H. Fan & Randall Morck, 2012. "Capitalizing China," NBER Books, National Bureau of Economic Research, Inc, number morc10-1, January.
    10. Bartz, Wiebke & Winkler, Adalbert, 2016. "Flexible or fragile? The growth performance of small and young businesses during the global financial crisis — Evidence from Germany," Journal of Business Venturing, Elsevier, vol. 31(2), pages 196-215.
    11. Liang, H. & Renneboog, L.D.R., 2013. "The Foundations of Corporate Social Responsibility (replaced by CentER DP 2014-069)," Discussion Paper 2013-071, Tilburg University, Center for Economic Research.
    12. Lotte Schou-Zibell & Jose Ramon Albert & Lei Lei Song, 2010. "A Macroprudential Framework for Monitoring and Examining Financial Soundness," Working Papers on Regional Economic Integration 43, Asian Development Bank.
    13. Cao, Yue & Dong, Yizhe & Ma, Diandian & Sun, Li, 2021. "Customer concentration and corporate risk-taking," Journal of Financial Stability, Elsevier, vol. 54(C).
    14. Morck, Randall & Deniz Yavuz, M. & Yeung, Bernard, 2011. "Banking system control, capital allocation, and economy performance," Journal of Financial Economics, Elsevier, vol. 100(2), pages 264-283, May.
    15. Yu, Chin-Hsien & Wu, Xiuqin & Zhang, Dayong & Chen, Shi & Zhao, Jinsong, 2021. "Demand for green finance: Resolving financing constraints on green innovation in China," Energy Policy, Elsevier, vol. 153(C).
    16. David Audretsch & Ronnie J. Phillips, 2007. "Entrepreneurship, State Economic Development Policy, and the Entrepreneurial University," Papers on Entrepreneurship, Growth and Public Policy 2007-11, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
    17. Magnus Henrekson & Dan Johansson, 2010. "Gazelles as job creators: a survey and interpretation of the evidence," Small Business Economics, Springer, vol. 35(2), pages 227-244, September.
    18. Rosta, Miklós, 2015. "Introduction of soft budget constraint to analyze public administration reforms. Some evidence from the Hungarian public administration reform," MPRA Paper 68473, University Library of Munich, Germany.
    19. Ma, Pengcheng & Li, Chenyi & Jiang, Yiyou, 2024. "Remote hand: Cross-regional SASAC holdings and corporate investment efficiency: Evidence from China," Finance Research Letters, Elsevier, vol. 67(PB).
    20. Hyunbae Chun & Jung-Wook Kim & Randall Morck, 2016. "Productivity growth and stock returns: firm- and aggregate-level analyses," Applied Economics, Taylor & Francis Journals, vol. 48(38), pages 3644-3664, August.

    More about this item

    Keywords

    ;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bth:wpaper:2011-04. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Pornpinun Chantapacdepong The email address of this maintainer does not seem to be valid anymore. Please ask Pornpinun Chantapacdepong to update the entry or send us the correct address (email available below). General contact details of provider: https://edirc.repec.org/data/botgvth.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.