The political economy of ﬁnancial liberalization and the crisis in South Korea

The Political Economy of Financial Liberalization in South Korea: State, Big Business, and Foreign Investors

Asian Survey ◽

10.1525/as.2009.49.2.221 ◽

2009 ◽

Vol 49 (2) ◽

pp. 221-242 ◽

Cited By ~ 24

Author(s):

Thomas Kalinowski ◽

Hyekyung Cho

Keyword(s):

Political Economy ◽

South Korea ◽

Financial Liberalization ◽

State Intervention ◽

The Political ◽

Foreign Investors ◽

Big Business ◽

Korean Economy ◽

Shed Light ◽

Power Games

This paper studies the political economy of financial liberalization in Korea. We highlight the primary importance of state intervention in promoting financial liberalization. We shed light on "power games" of state, big business, and foreign investors emerging in state-led financial liberalization, and their impact on the Korean economy.

Download Full-text

The Political Economy of the Profitability Crisis in Britain

10.1093/oso/9780192897015.003.0003 ◽

2021 ◽

pp. 45-68

Author(s):

Jack Copley

Keyword(s):

Political Economy ◽

Currency Crises ◽

Financial Liberalization ◽

The Political ◽

Historical Overview ◽

Global Competitiveness ◽

High Inflation ◽

Current Account Imbalances ◽

Economic Boom ◽

Acute Crisis

This chapter provides a historical overview of the profitability crisis that undermined the postwar economic boom, gave rise to the phenomenon of stagflation, and ultimately drove the financial liberalizations explored in this book. This chapter puts forward a novel historical categorization of British stagflation, by identifying two distinct phases within Britain’s experience of the global profitability crisis. The first, from 1967 to 1977, was characterized by low rates of profit, rising inflation, and repeated current account imbalances that resulted in currency crises. The second, from 1977 to 1983, still saw low profitability and high inflation, but the rising price of sterling ensured that there were no sterling crises. The chapter then details how governments combined governing strategies of depoliticized discipline and palliation in different ways during these two periods of acute crisis in order to navigate the contradictory imperatives of global competitiveness and domestic legitimacy. Policies of financial liberalization constituted attempts to support these strategies.

Download Full-text