Lesson 7: ASIAN REGIONALISM

1. Differentiate between regionalization and globalization

2. Discuss the different features of globalization and Asian

regionalism using the three views

3. Analyze how the different Asian states confront the challenges

of regionalization and globalization

Introduction

“Regionalism is an approach to study behavior that emphasizes the geographical region as the unit of
analysis, stressing the relationship between man and his immediate physical environment

Economic social and cultural organization are analyzed in terms of their interrelationship and function
with geographic region”

-W.P Scott

Since the Asia Pacific Economic Cooperation (APEC) forum began in 1989 as a regional institution for
economic cooperation, momentum for regionalism in Asia has gradually developed and led to
institutionalized regional progress. Regionalism may be defined as the construction and utilization of
multilateral intergovernmental institutions to share information; to develop, endorse, and enforce common
rules and regulations; and to settle disputes. Membership is normally based on shared geographic space

What is regionalism

o defined as a political ideology that favors a specific region over a greater area. It usually results
due to political separations, religions geography, cultural boundaries, linguistic regions, and
managerial divisions.

DIFFERENCE BETWEEN regionalization and globalization

Regionalization
 a process of dividing an area into smaller segments called regions
Globalization
 a process by which the people of the world are unified into a single society and function
together
DIFFERENCE BETWEEN Regionalism and regionalization

Regionalism
  is the theory or practice of regional rather than central systems of administration or
economic culturalbor political affiliation
Regionalization
 division of a nation into states or provinces

Why countries form regional organization?

 They form regional organization as a way of coping with the challenges of globalization

Regionalism Characteristics
1. Local Identity
a. One of the main characteristics of regionalism is its strong local identity and a loyalty to
the region. Regionalist politicians and many residents feel pride in the local culture and
its people. Politicians try to exploit that identity to gain supporters for their proposals.
The regionalist agendas often claim that the regional interest should always come before
the national interest.
b. The political discourse of regionalists usually emphasizes local development and well-
being, at times without considering other regions. Supporters commonly argue that their
region suffers unfair or discriminatory treatments from the national government and that,
by focusing on local issues, the region will do better, economically and socially.
According to them, if all regions do the same, the nation will benefit as a whole.
2. Autonomy
a. The search of greater autonomy is usually a priority of regionalism. It can be economic,
in the form of more power to administer economic resources and modify fiscal policies; it
can also be political, with stronger local institutions and the ability to pass laws and
enforce local policies. A regional political party, however, is not automatically a form of
regionalism. One group that only exists in a certain region might promote local agendas
without looking for greater regional autonomy.
b. Some regionalist governments have tried to prevent people from other regions (although
still nationals of the same country) from benefiting from local programs. The scope of
some of their policies includes only local residents and tends to restrict access to other
individuals.

ASIAN REGIONALISM

Product of economic interaction between Asian countries

EVOLUTION OF ASIAN REGIONALISM

In August 8, 1967, the ASEAN was born with five original members:
Indonesia, the Philippines, Malaysia, Thailand, and Singapore
ASEAN - Association of
Southeast Asian Nations

ASEAN

ASEAN’s first summit meeting was held in 1976

 Regional economic forum established with the United States’ strong
support
APEC - Asia-Pacific Economic
Cooperation

In 1997, the ASEAN plus Three (Japan, South Korea, and China) was instituted.

In 2000s, Japan and China competed over how to adapt to the relentless tide of globalization via the
politics of membership

East Asian Summit

o a regional forum held annually by leaders of 16 countries in the East Asian, Southeast Asian and
South Asian regions
In 2010, the East Asian Summit decided to add two more members, the United States and Russia

THREE PROPOSITIONS OF ASIAN REGIONALISM

1. Geographical Asia is too diverse for cultural Asia

 Cultural homogeneity is not a guarantee for regionalist community formation.
2. Geographical Asia is too small for globalizing Asia
 It is ironical to say that Asia is too small for Asia.
3. Geographical Asia is too conflictual internally for strategic Asia
 action tends to be taken without explicitly distinguishing foes from friends

TOWARDS ASIAN REGIONALIZATION

The center of gravity of the global economy is shifting to Asia. The region’s economy is already similar
in size to those of Europe and North America, and its influence in the world continues to increase.

In many Asian countries, the cycle of poverty has been broken; in others, this historic aim is within sight.
Asia’s extraordinary success has brought new challenges—while rapid economic growth remains a
priority, citizens demand that it also be sustainable and more inclusive.

And Asia is now so important to the world economy that it must also play a larger role in global
economic leadership.
Regional economic cooperation is essential for addressing these challenges. Asia’s economic rise is
unprecedented.

Regionalism is a relatively new aspect of Asia’s rise. Asia’s economies are increasingly connected
through trade, financial transactions, direct investment, technology, labor and tourist flows, and other
economic relationships

The stakes could not be higher. A dynamic and outward-looking Asian regionalism could bring huge
benefits not just to Asia, but to the world. It could help sustain the region’s growth, underpin its stability,
and—with the right policies—reduce inequality. And it could help marshal a common response to major
new challenges that often arise suddenly and unexpectedly.

HOW CAN REGIONALISM BENEFIT ASIA?

  link the competitive strengths of its diverse economies in order to
boost their productivity and sustain the region’s exceptional
growth;
 connect the region’s capital markets to enhance financial stability,
reduce the cost of capital, and improve opportunities for sharing
risks;
 cooperate in setting exchange rate and macroeconomic policies in
order to minimize the effects of global and regional shocks and to
facilitate the resolution of global imbalances;
 pool the region’s foreign exchange reserves to make more resources available for investment and
development;
 exercise leadership in global decision making to sustain the open global trade and financial
systems that have supported a half century of unparalleled economic development;
 build connected infrastructure and collaborate on inclusive development to reduce inequalities
within and across economies and thus to strengthen support for pro-growth policies;
 create regional mechanisms to manage cross-border health, safety, and environmental issues
better.

HOW CAN ASIAN REGIONALISM BENEFIT THE WORLD

o generate productivity gains, new ideas, and competition that boost

economic growth and raise incomes across the world;
o contribute to the efficiency and stability of global financial markets
by making Asian capital markets stronger and safer, and by
maximizing the productive use of Asian savings;
o diversify sources of global demand, helping to stabilize the world
economy and diminish the risks posed by global imbalances and
downturns in other major economies
o provide leadership to help sustain open global trade and financial
systems; and
o create regional mechanisms to manage health, safety, and
environmental issues better, and thus contribute to more effective
global solutions of these problems.
o While Asian regionalism is primarily motivated by the desire to
advance welfare in the region, it would not do so by detracting from development elsewhere.
o On the contrary, Asian regionalism can help to sustain global economic progress at a time when
other major regions are reaching economic maturity

THE ECONOMICS OF ASIAN REGIONALISM

The economics of regionalism have a complex and troubled history. In the 1930s, countries
created preferential trade blocs in an attempt to shelter their economies from the Great
Depression. Several countries established discriminatory currency blocs with strict exchange
controls against outsidersMany economists and policy makers remain skeptical about regionalism
because of its potentially negative impact on the multilateral trade and financial system. The case
for regionalism therefore has to be carefully formulated.

Regionalism must not lead to protectionist blocs—a “fortress Asia” is no more desirable than a
“fortress Europe” or a “fortress North America” would be. But the open, outward-oriented
regionalism that is emerging in Asia can avoid posing such a threat.
 Just as the absence of barriers to commerce within national economies—that is, among the states
and provinces of countries such as the People’s Republic of China (PRC), India, Germany, and
the United States (US)—is generally beneficial, so too is the creation of a market spanning
several national economies. Much of the evidence assembled in this report suggests that Asia has
—and will continue to have—a fundamental stake in both regional and global integration.

Asia comprises several powerful countries and centers of economic activity, with many shared
economic priorities, but also some diverging ones. At times, these differences are amplified by
history and politics. The price of cooperation is the loss of some national sovereignty and the
narrowing of policy options for pursuing purely national objectives.
Learning Activities

Name: ____________________________________ Date __________

Course : ______________ Score: _________

Regional Matrix

I. Directions: Fill in the table below to show how regional organization was formed

Name of Asian
Organization/Associatio
n

Important
People (Founder)

Membership

Functions

II. How are globalization and regionalism confronted by Asian Countries?

III. ESSAY
Write an easy consisting of 150-300 words in a submission on specified date. The titles is “ I
am for ( Localization, Regionalization, Globalization-select ) in this contemporary World”
References

https://www.academia.edu/42118946/ASIAN_REGIONALISM

Ariola, Mariano M. (2018). The Contemporary World. Unlimited Books Library Services and
Publishing Inc.

Claudio, Lisandro E. & Abinales, Patricio N. (2018). The Contemporary World. C & E Publishing,
Inc.

Mendoza, Cheryl C. et al. (2019). Worktext in The Contemporary World. Nieme Publishing House.
Co. Ltd.

Aldama, P (2018) The Contemporary World, Rex Book Store