Chaebols, Financial Liberalization, and Economic Crisis: Transformation of Quasi-Internal Organization in Korea

Lee, Chung H and Lee, Keun and Lee, Kangkook (2002): Chaebols, Financial Liberalization, and Economic Crisis: Transformation of Quasi-Internal Organization in Korea. Published in: Asian Economic Journal , Vol. 16, No. 1 (2002): pp. 17-35.

Abstract

This paper argues that the course and outcome of the post-1993 financial reform in Korea were largely influenced by the interest politics of the most powerful interest group in Korea, chaebols, and thus an examination of their influence is essential to understanding the cause of Korea’s financial crisis of 1997-98. The paper concludes that a financial reform undertaken in a haphazard manner, manipulated by a few dominant players in the economy runs into the danger of producing an outcome worse than before.

• Item Type: MPRA Paper
• Language: English
• Keywords: financial liberalization, Asian crisis, Chaebols, political economy.
• Subjects: E - Macroeconomics and Monetary Economics > E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook; F - International Economics > F3 - International Finance; F - International Economics > F6 - Economic Impacts of Globalization; L - Industrial Organization > L1 - Market Structure, Firm Strategy, and Market Performance

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