SJS 5: Evidence and Insights from East Asia

Source: Furman, Jason. "Economic Crises: Evidence and Insights from East Asia." 

     Economic Activity 2 (1998): 1-135. Print.

Author Credentials: Jason Furman graduated from Harvard with a B.A. in social studies in 1992. He was appointed the position of chairman of the Council of Economic Advisers (CEA) in 2013 by Barack Obama. He has also served as deputy director of the National Economic Council which helped Barack Obama economically during the 2008 Presidential election. He also earned his M.A. and Ph.D. in economics at Harvard. 

Summary: This article explains the East Asian economic crisis in developing countries. Its shows many negative effects on these East Asian countries that are going through the economic crisis such as banking systems within the country having zero or no net worth. Many factors that contribute to economic instability are; failure to pay off debts, internal credit crunches, withdraw of foreign capital and overshooting exchange rates. Many economic instabilities have occurred after WWII as that war destabilized most of the world. Many countries effected by this economic crisis are Malaysia, Korea, Philippines, Indonesia and Thailand, and $100 billion being sent in as international rescue. 

Analysis: The economic crisis in East Asia effects many countries in primary and secondary aspects wether it be economy, resources, outsourcing and/or occupation/work. Many countries such as Thailand, Korea and Indonesia have felt the crisis first hand while other countries like Japan, China and the United States are effected second hand as offshoring, and resources are not as readily available with the crisis.