ASIAN REGIONALISM

Globalized Asia
 Learning Outcomes
1. Differentiate between regionalism and
globalization
2. Identify the factors that led to a greater
integration of the Asian region
 SOURCES
1. Chapter 13 of textbook:” Globalization and the
Asia Pacific and South Asia” by Ehito Kimura
2. Shiraishi, Takashi 2006 “The Third Wave:
Southeast Asia and Middle Class Formation in
the Making of a Region” in Beyond Japan: The
Dynamics of East Asian Regionalism, ed Peter
Katzenstein and Takashi Shiraishi. Ithaca. NY:
Cornell University Press, pp. 237-71
 Regionalism and Regionalization
• Region: a group of countries in the same geographically specified
area
• Regionalization: is the “societal integration and the often
undirected process of social and economic interaction
• regionalism which is “the formal process of intergovernmental
collaboration between two or more states
• regionalism is the set of conscious activities carried out by states
within a region to cooperate while regionalization is a less
conscious process which is the outcome of these states policies.
• Globalization: A term used to explain, justify and anticipate the
rapid expansion and intensification of social relations across world
time and space (Steger, 2013)
• On globalisation and regionalisation the latter is part of the former.
ASIA
 Framework

Globalization

1 2 3 the
region as an
externalist generative
alternative to
view view
globalization
7
 A term used to explain, justify and
Globalization anticipate the rapid expansion and
intensification of social relations across
world time and space (Steger, 2013)

• Core claims
– Deregulation of markets
– Liberalization of trade
– Privatization of state owned enterprises
• #1: Liberalization and Global Integration of Markets
(reduction of government interference)
• #2: Globalization is inevitable and irreversible
• #3: Nobody is in charge of globalization
• #4: globalization benefits everyone (in the long run)
 The Region’s
Strength
• Asia Pacific & South Asia: Northeast Asia, SEA, Pacific Islands, South Asia
• Diversity: most progressive: South K, Japan, Singapore;
• Most poor: Cambodia, Laos, Nepal;
• Most populated: China and India and
• World’s smallest: Bhutan and Maldives
• As a region:
– 1/3 of the world’s land mass
– 2/3 of the global population
– Largest share of global GDP (35%); USA 23%; Europe 28%
– Over 1/3 of world’s exports
– Prevalence of poverty, HIV/AIDS, gender inequality and other socio econ problems
• US strategy: Pacific Pivot – committing more resources and attention to the region
 1 The Region as an Object
externalist
view Impacted by Globalization
1. Colonial rule and dominance
• Advantages and disadvantages of colonial rule
• Colonized Asian countries
• Non colonized Asian countries
– Case of Japan
– Case of Thailand
• 19th & 20th century: movements for nationalism
and independence emerged
 1 The Region as an Object
externalist
view Impacted by Globalization
2. World War II
– Influenced by external forces
– Case of Japan and US
3. Adoption of export oriented growth
– Japan, Korea and Taiwan (1980s and 1990s)
– Malaysia, Singapore and Vietnam (late 1980s and 1990s)
– SEA tigers: reliance on infusion of foreign capital
4. IMF and WB (Bretton Wood System)
– The cornerstone of economic liberalization and globalization in post war global
economy
– Case of Indonesia: Suharto regime and its story
– Case of Thailand: export oriented growth
– Case of Philippines: cozy relationship with F. Marcos
 1 The Region as an Object
externalist
view Impacted by Globalization
5. Asian Financial Crisis
– Root cause: Poor policies, weak government, corruption, poor
institutions; inadequate liberalization
– Globalization played a role in the 1997 crisis
– Showed how deeply integrated the economy was in the global
financial system
6. Membership to WTO
7. Liberalization of Economy
– Rise of China: Deng Xiaoping 1970s: economic reform – liberalization
of the economy: Experienced high level of growth and became more
integrated into the global economy
– Rise of India: Liberalized their economy in 19901; increased trades
and FDI in textile and service sector
 1 Effects on Employment
externalist Practices
view

• Globalization initiated significant changes in

employment practices
• Characteristics
– Temporary and part time employment
– Informal employment: self employment, family workers,
informal enterprise workers
– Underemployment: Philippines 18% of work force;
Indonesia = 25% of work force
– No legal contracts
– Poor working conditions and safety issues at factories that
manufacture goods for Western companies
 1 Effects on Politics
externalist
view

• There was a substantial fall in authoritarian

regime; rise in democratic regime
• Due to:
• Rising middle classes
• More globally connected world
• End of Cold War
• Fall of Suharto in May 1998.
 1 Influence on Culture
externalist
view

• Globalization is a form of cultural

westernization called McWorld
• Globalization is leading to
cultural homogenization and
destruction of cultural diversity
– Increase in number of McDonald
stores in Asia
– Rise of domestic fast food chains
– Rapid expansion of
supermarkets
 1 Influence on Diets
externalist
view

• Asia have been increasingly westernized

• Wheat replaced rice as staple food
• McDonaldization
• MTV-ization
• Hollywoodization
 2 Generating Globalization: Asia
generative
view as a Springboard
1. Spice trade
2. Early modern world economy: central was Asia
3. Colonialism: influenced the colonizers as well
4. Rise of Japan on procurement of raw materials
5. Rise of China: producer and consumer
6. Rise of India
– on IT / software development
– Global service provider: outsourcing and offshoring
7. International migrant labor
8. Remittance from migrant workers (Ph = 11% of the Ph
economy)
 2 Generating Globalization: Asia as
Generative
View
a Springboard

8. Rise of regional free trade arrangements

9. Open regionalism
10.Asian Products in Global Market
 Generating Globalization: Asia as
2 a Springboard
Generative
View
 3 The anti global impulse:
the region as Regional alternatives to
an alternative
to globalization
globalization
1. Japan’s colonialization of the region in 1930s and 40s – East Asian
Co-Prosperity Sphere
2. Asian way
• to reach consensus on national goals with the democratic
framework to take the middle path to exercise tolerance and
sensitivity towards others
• Contrast to Western values: every individual can do what he likes,
free from any restraint by government;
• Asians respects hard work, thrift, authority; community over the
individual
• Operates based on Harmony and consensus rather than on majority
rule
 The anti global impulse: Regional
alternatives to globalization
• Regional arrangements
• East Asian Economic Caucus (an APEC without western states)
• ASEAN +3 – China, South Korea and Japan
• Asian Monetary Fund (no USA); act autonomously from IMF; was a
failure
• Regional terror network (JI – Jemaah Islamiyah (an alternative ision
of political and social oranization in the region, one that clashes
directly with globalization paradigm)
• Local movements that emerged
• Santi Suk in Thailand: created its own currency
• Japan: Community Supported Agriculture an Seikatsu Club
(encouraged to buy locally and ehtically)

•
 3 The anti global impulse:
the region as Regional alternatives to
an alternative
to globalization
globalization

3. Regional arrangements
4. Asian Monetary Fund (no USA)
5. Regional terror network (JI – Jemaah Islamiyah
6. Local movements that emerged
– Santi Suk in Thailand: created its own currency
– Japan: Community Supported Agriculture an Seikatsu
Club (encouraged to buy locally and ehtically)
 Framework

Globalization

1 2 3 the
region as an
externalist generative
alternative to
view view
globalization
23
 Middle Class Formation in SE Asia
• What is their importance to regionalism?
• Who / what created them?
• What is their profile?
The Making of the Middle Class in
Southeast Asia
2nd wave
1st wave
1960s – 1980s
1950s – 1970s
South Korea, Taiwan,
Japan
Hongkong, Singapore

3rd wave
4th Wave
1980s – 1990s
Urban Centers in
Thailand, Malaysia, China
Indonesia, Philippines
HQs of Multinational Corporations
Country Cases
 Topic Choices for Breakout Sessions
(3 groups per topic)
• Three perspectives in understanding
relationship of globalization and Asia Pacific
and East Asia
• The middle class formation and its role in
making the region – hybridization of Asia
• Effects on globalization on Asian employment
and culture