The Neo-liberal Economic Development In East Asia

The East Asian countries have been suffering heavy losses from the 1997 Financial Crisis."What should be blamed for the Financial Crisis?"To find the answer to the question.Firstly, the dissertation makes a literature review of neo-liberalism and criticizes that its major doctrines of"laissez-faire"and"anti-interventionism"do not have universal applicability.In 1970s, neo-liberalism replaced Keynesianism to become the mainstream economic theory of the developed countries. In 1990s, the main international economical institutions and many developed countries reached the"Washington Consensus"and consider neo-liberalism as a universal"developing model".Since then, a number of countries started the neo-liberal Financial reform.An assessment upon this wave of neo-liberal reforms all around the world, especially those in East Asian countries, found that neo-liberalism does not work anywhere. The neo-liberal financial reforms undertaken in Thailand,Indonesia and the Republic of Korea in 1990s are the major reason of the 1997's East Asian Financial Crisis.After the Financial Crisis,these countries began to seek a road for economic recovery. There were two main choices in their face. One was proposed by IMF, which asked the East Asian countries to carry out a complete neo-liberal reform. The other was proposed by themselves, which asked to take regional cooperation to defend international risks and to resume economic growth. Which road is a better way?Finally, the dissertation made a simple comparison between the results of neo-liberal reform and regional cooperation in East Asia, and concludes that the regional cooperation is a better solution.