There are, in simple terms, three principal kinds of capital that come necessarily into play when a society is evolving towards improving the lives, livelihoods, and qualities of life of its people. The first form of capital is financial – this normally includes physical forms of invested money in plant, buildings, and infrastructure. The second form of capital is human – seen simply as the level and range of skills and capabilities that are available for use in the society. When people are literate, numerate, skilled, experienced, informed, cooperative, and inquisitive, they and their societies can do much more. The third form of capital is social. Here cooperativeness shows its effects, and the rules of how that works vary greatly between societies. It is the second of these elements, human capital, that is the main focus of this book, but it overlaps with social capital extensively in these accounts and can only be understood in terms of its connections into the wider societal system. The varying patterns of its workings and influence in different Asian contexts are explained against the background of a theory of societal progress. This book was originally published as a special issue of the Asia Pacific Business Review.

"Easily the most informed and comprehensive analysis to date on how and why East Asian countries have achieved sustained high economic growth rates, this book] substantially advances our understanding of the key interactions between the governors and governed in the development process. Students and practitioners alike will be referring to Campos and Root's series of excellent case studies for years to come." Richard L. Wilson, The Asia Foundation Eight countries in East Asia--Japan, South Korea, Taiwan, Hong Kong, Singapore, Thailand, Malaysia, and Indonesia--have become known as the "East Asian miracle" because of their economies' dramatic growth. In these eight countries real per capita GDP rose twice as fast as in any other regional grouping between 1965 and 1990. Even more impressive is their simultaneous significant reduction in poverty and income inequality. Their success is frequently attributed to economic policies, but the authors of this book argue that those economic policies would not have worked unless the leaders of the countries made them credible to their business communities and citizens. Jose Edgardo Campos and Hilton Root challenge the popular belief that East Asia's high performers grew rapidly because they were ruled by authoritarian leaders. They show that these leaders had to collaborate with various sectors of their population to create an environment that was conducive to sustained growth. This required them to persuade the business community that their investments would not be expropriated and to convince the broader population that their short-term sacrifices would be rewarded in the future. Many of the countries achieved business cooperation by creating consultative groups, which the authors call deliberation councils, to enhance accountability and stability. They also obtained popular support through a variety of wealth-sharing measures such as land reform, worker cooperatives, and wider access to education. Finally, to inhibit favoritism and corruption that would benefit narrow interest groups at the expense of broad-based development, these countries' leaders constructed a competent bureaucracy that balanced autonomy with accountability to serve all interests, including the poor. This important book provides useful lessons about how developing and newly industrialized countries can build institutions to implement growth-promoting policies.

While Asia’s growth record in recent decades is remarkable, it has been marred by rising inequalities. This book looks at recent trends of income and non-income inequalities in developing Asian countries, discusses their underlying driving forces, and examines key policy issues that need to be addressed to ensure that the benefits of growth will be more equitably shared in Asia. The book also presents a set of country studies that provide rich information on growth, poverty and inequality dynamics and the policy challenges that arise in marching toward inclusive growth.

It is well known that Taiwan and South Korea, both former Japanese colonies, achieved rapid growth and industrialization after 1960. The performance of former European and American colonies (Malaysia, Singapore, Burma, Vietnam, Laos, Cambodia, Indonesia, and the Philippines) has been less impressive. Some scholars have attributed the difference to better infrastructure and greater access to education in Japan’s colonies. Anne Booth examines and critiques such arguments in this ambitious comparative study of economic development in East and Southeast Asia from the beginning of the twentieth century until the 1960s. Booth takes an in-depth look at the nature and consequences of colonial policies for a wide range of factors, including the growth of export-oriented agriculture and the development of manufacturing industry. She evaluates the impact of colonial policies on the growth and diversification of the market economy and on the welfare of indigenous populations. Indicators such as educational enrollments, infant mortality rates, and crude death rates are used to compare living standards across East and Southeast Asia in the 1930s. Her analysis of the impact that Japan’s Greater Asian Co-Prosperity Sphere and later invasion and conquest had on the region and the living standards of its people leads to a discussion of the painful and protracted transition to independence following Japan’s defeat. Throughout Booth emphasizes the great variety of economic and social policies pursued by the various colonial governments and the diversity of outcomes. Lucidly and accessibly written, Colonial Legacies offers a balanced and elegantly nuanced exploration of a complex historical reality. It will be a lasting contribution to scholarship on the modern economic history of East and Southeast Asia and of special interest to those concerned with the dynamics of development and the history of colonial regimes.

Economic growth, inflation, and interest rates have declined in Asia, just as they have in the United States and Europe. This volume explores the relevance to several Asian economies of the diagnosis known as “secular stagnation.” Leading experts on the region discuss the fiscal and monetary policy challenges of reviving growth without generating domestic financial imbalances. The essays on innovation, demographics, spillovers, and various policy proposals are accompanied by case studies focusing on Japan, South Korea, China, India, and Indonesia.

"Over the last four decades, Asian countries have experienced a substantial increase in their global competitiveness. While some of this is due to their economic activity, politics are also a contributing factor. Technological advances, particularly concerning the internet and social media, have also contributed, as have many other factors. We expect information and communication technology led by the development of the internet to make the transformation of knowledge easier and more efficient, thus contributing to faster economic growth worldwide. Sound macroeconomic policy and political conditions facilitate this process. Many Asian countries have learned from the experience of the Asian Crisis of 1987 when the Thai baht lost its value due to a shortage of reserves by the Central bank of Thailand, and capital outflow spread throughout the region. Asian countries now know that to avoid such a run on foreign currencies, they must hold enough reserves to support their own currency. Sound fiscal and monetary policies, as well as an exchange rate policy combined with an efficient banking system, are required to enhance the reserve policy. Another requirement for the effectiveness of macroeconomic policies is desirable political conditions to enhance international confidence in these countries. Strong political stability requires sound rules, laws, and democratic institutions that must be transparent. Granting excessive power to any one ruler has proved to lead to corruption which is an impediment to growth. This book addresses the issues above by providing theoretical and empirical evidence using data from some countries in Asia"--

An East Asian Renaissance, by a World Bank team led by Chief Economist for East Asia & Pacific, Dr Homi Kharas and Economic Adviser, Dr Indermit Gill is the first comprehensive analysis of the new forces and challenges at play in the region since the Bank's seminal report of 1993, The East Asian Miracle. The report argues that regional flows of goods, finance and technology are helping even smaller East Asian countries reap the benefits of economies of scale and that this regional integration must be encouraged. But it also points out that these measures have to be supported by actions at the domestic level to ease the stresses and strains that rapid economic growth leaves in its wake. East Asia must now turn to the urgent domestic challenges of inequality, social cohesion, corruption and environmental degradation arising from its economic success.