Published as part of the "America's Alliances with Japan and Korea in a Changing Northeast Asia" Research Project.

This collection of papers stems from a recent World Bank project focused upon the contentious issue of whether government has played any positive role in the success of the so-called "high-performing" Asian economies. It goes beyond the influential World Bank volume The East Asian Miracle to chart a middle ground that recognizes diversity among the different East Asian economies, as well as the evolutionary nature of government intervention.

Published as part of the "America's Alliances with Japan and Korea in a Changing Northeast Asia" Research Project.

Published as part of the "America's Alliances with Japan and Korea in a Changing Northeast Asia" Research Project.

Zouping offers important general lessons for the study of China's rural transformation. The authors in this volume, all participants in a unique field research project undertaken from 1988 to 1992, address questions that are far from simple and about which there is some controversy.

The questions are grouped around two issues. The first is the role of local governments as economic actors. What is this role, how have they played it, and how can we explain their behavior? Have they dominated rural economies through public ownership of industry and local planning, or has the role of local governments diminished with the rise of market transactions and private ownership? The second issue is market reform and inequality. Have rural cadres enjoyed income advantages in the new market environment? Has the provision of such collective services as education and health care declined, leading to new forms of inequality?

The chapters on the role of local government all point to a single conclusion: one cannot explain the rapid development of Zouping without reference to the role of local governments and of local government officials as economic actors. Scholarly writings about the "transitional economies" have often ignored or distorted this aspect of China's reform experience. On the second issue, changes in inequality owing to market reform, the authors present mixed findings but contribute rich new data to the research on this issue.

The Korean-American alliance has kept the peace on the Korean peninsula for forty-five years since its inception in 1953. Now that a gradual process for Korean unification has gotten under way as indicated by the beginning of the Four-Party Talks and North-South dialogues, it is important to reexamine the origins and evolution of this alliance in order that its future challenges in the changing strategic environment in the Asia Pacific region can be met.

In addressing this issue, we must examine the alliance’s origins in the Cold War and the Korean War, for the alliance was established to deter another war after the Korean War was halted in an armistice. In tracing its evolution, we must explain how the shifting strategic environment and the allies’ responses have affected its transformation by analyzing the impact of such important events as the Vietnam War, the Sino-Soviet dispute and the Nixon Doctrine, the Reagan and Bush years, the end of the Cold War and North Korea’s nuclear challenge, the prospects for unification, and regional rivalry between major powers. Finally, we should speculate on the future of the Korean-American alliance after the unification of Korea. It is difficult to ascertain the Korean perspective on these questions. Hence it should be made clear at the outset that what follows is only one Korean perspective as I see it in light of the available material.

Published as part of the "America's Alliances with Japan and Korea in a Changing Northeast Asia" Research Project.

Published as part of the "America's Alliances with Japan and Korea in a Changing Northeast Asia" Research Project.

Published as part of the "America's Alliances with Japan and Korea in a Changing Northeast Asia" Research Project.

Just like many other crises, the Korean currency crisis came suddenly. In mid-November 1997, headlines in the Korean press consisted mostly of presidential election stories. At that time the presidential race was very close; the Grand National Party candidate, Lee HoiChang, was making a dramatic comeback, while the National Congress for New Politics candidate, Kim Dae-jung, was making his best effort to maintain his narrow lead. Thus, when President Kim Young Sam announced on November 19 his decision to fire key economic policy-makers on the grounds of mismanaging the economy, most Koreans were surprised at the news and questioned the president’s motivation. Two days later they were completely shocked to learn that the Korean government was asking the International Monetary Fund (IMF) for emergency standby loans because the Korean foreign reserve level was very low at $7.3 billion and most foreign financial institutions were unwilling to roll over their short-term loans to Korea.