Is capitalism in Southeast Asia 'real' or a 'chimera', that is, some Southeast Asian derivative of capitalism that ultimately will not be sustainable? Malaysia, where an intimate relationship has been forged between the state and business in an effort to create Malay capitalists, presents an interesting and illuminating case in the debate. In this work Peter Searle identifies the complex interaction between the state, the dominant political party (UMNO) and business as the source of dynamism or defeat in the development of Malay capitalists. He also challenges a common view that Chinese business groups are completely different from Malay business groups. Overall this study argues against drawing sharp contrasts between dependency and self-reliance, between state and capital, and between rent-seekers and true 'productive' capitalists. For it is from that amalgam of categories and groups the study concludes that a form of capitalism is emerging in Malaysia which is nonetheless remarkably dynamic and resilient, despite its unorthodox origins.

Mahathir Mohamad turned Malaysia into one of the developing world's most successful economies. He adopted pragmatic economic policies alongside repressive political measures and showed that Islam was compatible with representative government and modernization. He emerged as a Third World champion and Islamic spokesman by standing up to the West.

This book applies and develops the concept of “ersatz capitalism” in the analysis of industrial policy blockades to economic development in Malaysia and Indonesia. Drawing on insights from international political economy, development studies, industrial and innovation policy, and new institutionalism to refer to a specific type of capitalism, the book analyzes different paths and institutions of economic development within the entire East Asian region. Comprehensive theoretical insights are complemented by empirical case studies that relate to country and sectoral studies – the automotive and ICT industries – in Malaysia and Indonesia. Applying contemporary research on international political economy to refer to a specific type of capitalism, the author examines how conflicts of interest between factions of state apparatus, associations, and companies contribute to the failure of developmental policies. The unique combination of theory formation and empirical analysis provides a novel approach to international comparative research on capitalism. The book will be of interest to researchers in the fields of international political economy, development studies, new institutionalism, East Asian and Southeast Asian studies, and industrial and innovation policy.

Current inquiries into the political economy of financial policymaking in Malaysia tend to focus on the high-level drama of crisis politics or simply point to the limited impact of post-crisis financial reforms, given that politico-business relations have remained close. In so doing, pundits ignore a number of intriguing questions: what is the relationship between financial development and financialisation and how has it played out in the Malaysian context? And more generally: how can a country like Malaysia become significantly more financially developed, yet fail to emancipate the financial system from political control; a core element of the financial development discourse? To unravel the complexities of this puzzle, this book subjects the history and contemporary practices of financial policymaking in Malaysia to scrutiny. It argues that to understand financial development in Malaysia, its progress and reversals, it is important to conceptualise it as a political, rather than a merely technical process. In so doing, the book echoes a more profound concern in the political economy literature, namely the evolving relationship between states and markets, and the supposed retreat or reassertion of the state at a time of increasing (financial) globalisation. The book can generate further insights into the evolving role of the state with regard to broader processes of development and marketisation, as they relate specifically to finance.

The Routledge Handbook of Contemporary Malaysia offers a broad, analytical survey of Malaysia. It provides a comprehensive survey of significant topics in Malaysian politics, economy, and society today, focussing on issues, institutions, and trends. It is divided into four thematic sections, which are all introduced by the editor: • Domestic politics • Economics • Social policy and social development • International relations and security. The volume brings together an international team of experts: an interdisciplinary mix of forty contributors from Malaysia and elsewhere, including many of the leading specialists on Malaysian affairs. The chapters included in the volume form an accessible and fascinating window onto contemporary Malaysia. They each introduce a different aspect of the Malaysian polity, economy, or society, offering both historical perspective and a current assessment or investigation. Designed for general readers and specialists alike, chapters may be read individually -- each stands on its own -- or conjointly. Up-to-date, interdisciplinary, and academically rigorous, the Handbook will be of interest to students, academics, policymakers, and others in search of reliable information on Malaysian politics, economics, and society.

Recent discussions of the 'Chinese economic development model', the emergence of an alternative 'Muslim model' over the past quarter century and the faltering globalisation of the 'Washington Consensus' all point to the need to investigate more systematically the nature of these models and their competitive attractions. This is especially the case in the Muslim world which both spans different economic and geographic categories and is itself the progenitor of a development model. The 'Chinese model' has attracted the greatest attention in step with that country's phenomenal growth and therefore provides the primary focus for this book. This volume examines the characteristics of this model and its reception in two major regions of the world - Africa and Latin America. It also investigates the current competition over development models across Muslim contexts. The question of which model or models, if any, will guide development in Muslim majority countries is vital not only for them, but for the world as a whole. This is the first political economy study to address this vital question as well as the closely related issue of the centrality of governance to development.