Crisis and Innovation in Asian Technology by William W. Keller, Richard J. Samuels

By William W. Keller, Richard J. Samuels

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In doing so, however, they have preserved the status quo at home, thereby delaying needed reforms. The chapter proceeds in five steps. First, it defines “relationalism” more carefully. Second, it demonstrates how Japanese elites sought to extend the shelf life of this regime by regionalizing it. Third, it suggests that the Asian fiscal crisis of 1997–98 slowed but did not stop this process. Fourth, it asserts that the regionalization of relational networks reflects Japanese technonationalism, the quest for power or autonomy through control of strategic economic resources.

Of the seven countries analyzed in this study, China’s growth trajectory appears to have been least affected by the Asian crises. 0 percent for the years 1997 through 2000 respectively. In this volume, Barry Naughton and Adam Segal argue that while the crisis did cause some dislocation within China, it was not as great an economic factor as successive waves of domestic economic and political reform. Chinese leaders act on the assumption that China will once again attain greatpower status. This perception influences their choices of economic and technology acquisition policies in ways that set China apart from other Asian states.

The plan was designed to stimulate export-oriented manufacturing throughout Asia and to help Japanese firms upgrade their domestic operations by transferring labor-intensive production to new offshore facilities. MITI vowed to implement the program in three phases: collaboration with counterparts in host countries to identify specific industries that, with some nurturing, might become internationally competitive; the drafting of proposals to promote those targeted industries, usually relying on a mixture of “hard infrastructure” (such as roads and electrical transmission lines) and “soft infrastructure” (such as new Japanese-style organizations reflecting cooperation between government and business); and issuing yen loans and dispatching experts to implement these programs.

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