The Agony of Reform 6th Hour

| Chapter 12: transmittance Engulfs Asia [7:13]| | | | | | | LAURA TYSON: Thailand is a truly small parsimoniousness. It didnt close in a lot of links, and its not exactly in your backyard. So in any event, the U.S. chose not to intervene in Thailand, notion it was not going to spill over. Why would it? The contagion put were not apparent to anybody, not just the administration. LEE HSIEN LOONG: I think they misjudged the situation. They misjudged the situation, probably because it was seen too much as a financial issue rather than an overall strategic issue. narrator: Global markets worried that other Asian countries might return similar hidden flaws. Like a classic take away on the bank, money began to pull out of the entire region. They called it contagion. Onscreen beget: $116 billion flowed out of Southeast Asian markets. DANIEL YERGIN: And at individually stage, the crisis turned out to swallow a virulence that became discern as contagio n, much greater than anticipated. And what that really reflected was indeed planetaryization, was the mien these economies had become locked together and investors looked at emerging markets. They said at that place was a line of work in Thailand; well, because theres a problem in these other countries. And so separately step of the crisis created these wound waves that carried on into the next.

Onscreen supply: Kuala Lumpur, Malaysia, July 1997 NARRATOR: Contagion spread to Thailands neighbors. Malaysias economy had seemed stable. Suddenly, it, too, was facing relentless pressure from global markets. MAHATHIR BIN MOHAMAD: We have the currency going pop and down and dow n, and we have the extend market doing the ! same. The index kept on going down, no matter what we do. And we felt totally helpless. We felt that there was no way we could recover. So, I mean, the feeling was very bad, very frightening. Onscreen caption: Jakarta, Indonesia NARRATOR: Contagion next stumble Indonesia, the most thickly settled country in the region. Its government...If you indispensability to get a salutary essay, order it on our website: OrderEssay.net

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