TY - JOUR
T1 - Crisis management and the diversity of capitalism
T2 - fiscal stimulus packages and the East Asian (neo-)developmental state
AU - Kalinowski, Thomas
N1 - Publisher Copyright:
Copyright © 2015 Taylor & Francis.
PY - 2015/4/3
Y1 - 2015/4/3
N2 - Abstract: This paper contributes to the understanding of East Asian capitalism by investigating the political economy of crisis management in Japan, Korea and China during the global economic crisis. Reacting to the global shock of the economic crisis that began in 2008, East Asian capitalism has remained a distinct state-led model that differs substantially from the liberal, neo-corporatist or welfare state varieties of capitalism in the West. More specifically, this paper studies the fiscal stimulus packages implemented by East Asian countries to address the global financial crisis from 2008 to 2010. We find that East Asian fiscal stimulus packages were comparatively large and supply-side-oriented. Unlike in the West, where a (short-lived) revival of demand-side-oriented Keynesian strategies stimulating consumption could be observed, East Asian countries reinforced industrial policies and supported investment and international competitiveness. We argue that the East Asian variety of crisis management can largely be explained by a path-dependent transformation of the East Asian developmental state into a neo-developmental competition state.
AB - Abstract: This paper contributes to the understanding of East Asian capitalism by investigating the political economy of crisis management in Japan, Korea and China during the global economic crisis. Reacting to the global shock of the economic crisis that began in 2008, East Asian capitalism has remained a distinct state-led model that differs substantially from the liberal, neo-corporatist or welfare state varieties of capitalism in the West. More specifically, this paper studies the fiscal stimulus packages implemented by East Asian countries to address the global financial crisis from 2008 to 2010. We find that East Asian fiscal stimulus packages were comparatively large and supply-side-oriented. Unlike in the West, where a (short-lived) revival of demand-side-oriented Keynesian strategies stimulating consumption could be observed, East Asian countries reinforced industrial policies and supported investment and international competitiveness. We argue that the East Asian variety of crisis management can largely be explained by a path-dependent transformation of the East Asian developmental state into a neo-developmental competition state.
KW - East Asia
KW - comparative political economy
KW - developmental state
KW - fiscal policies
KW - international political economy
KW - varieties of capitalism
UR - http://www.scopus.com/inward/record.url?scp=84929655812&partnerID=8YFLogxK
U2 - 10.1080/03085147.2015.1013354
DO - 10.1080/03085147.2015.1013354
M3 - Article
AN - SCOPUS:84929655812
SN - 0308-5147
VL - 44
SP - 244
EP - 270
JO - Economy and Society
JF - Economy and Society
IS - 2
ER -