please read file and answer week 4 ,5 and 6also assign writer 62982 to this task
Untitled Blair Macquarie University 2020 ECON3098 The Asian Economies Session 2 2020 Tutorial Schedule to the end of Session You will find below a guide to the tutorials to the end of Session. All of these articles are helpful for the Final Exam; the Final Exam Guide will help you focus on some in particular, but all of them are useful for our purposes. Where to find these articles? Almost all are available through Google Scholar, or through the Library using the Multisearch tool. Using Google Scholar and the Library toolset to get academic sources is great practice for your essays and for academic life in general. You will find a path to Google Scholar via the hyperlink on the Macquarie Library homepage. Note that based on current University policy (as of July 2020) the early tutorials in this Unit will be offered remotely via Zoom, along with a dedicated forum on the website. At the time of enrolment certain tutorials in the schedule will also be offered for face to face delivery in the classroom. These tutorials also may later transition to online delivery via Zoom and the website. In the first week of tutorials, Week 2, we will make sure everyone can use Zoom technology and participate via our tutorial forums, with all tutorials fully online for that week only. Week 2 – Introductory tutorial In this first tutorial, we will go through some basics of administration, and we will also test our tutorial technique. For this week only all the tutes will be run via Zoom, even the ones designated for face-to-face delivery. We will practice logging on to the class via Zoom – note that you will not need a password for this, but you will need to access the tutorial via your Macquarie student account. And we will have some basic questions, announced on the day, with answers to be provided in discussion via Zoom, or in a forum on the website. No preparation will be needed for this one, but make sure you can access this Guide at your remote location, and that you are familiar with the basics of Zoom (I think most of you will be, but don’t be shy to ask). Week 3 – Reading for the tutorial – Note that from this week onwards, some tutorials will be face-to-face in the classroom, some will be conducted entirely via Zoom and a forum on the website, until we are otherwise notified by the University. Our first reading is from noted economist Paul Krugman, a prominent commentator on US economic affairs, but also on East Asia whenever interesting and important issues arise in the region. This is not to say that noted economists can’t make mistakes – and you can approach this article on the assumption that there is much in what Krugman says that is unconvincing or questionable. You will be able to find this reading through Google Scholar. The article is not technically difficult, which makes it a good first reading early in Session, and, as noted, it is also easy to criticize (this may be partly explained by the audience for DEPARTMENT OF ECONOMICS Macquarie Business School Blair Macquarie University 2020 whom Krugman is writing, which you can judge from the journal title itself). Come to tutorial armed with criticisms, and praise where you think it is justified. Krugman, Paul (1994) “The Myth of Asia’s Miracle”, Foreign Affairs, Volume 73, Issue 6, 62-78. Some questions to consider: 1. What growth model does Krugman appear to be using? (You likely caught a glimpse of this in First Year, and perhaps in other units. Growth theory will be a significant topic also in this Unit). 2. Explain the statement (p.69) that “[B]ecause input-driven growth is an inherently limited process, Soviet growth was virtually certain to slow down”. (It is explained in the previous pages, and also follows from the predictions of that growth model). 3. Which Asian economy does Krugman use as his example? What exactly caused the growth of this economy? To what extent does this have implications for understanding the growth of the Asian economies? 4. Explain the metaphor involving “Olympus” and “Thessaly” (p.72). This is more a general knowledge than an economics question!! 5. Extrapolating earlier growth rates yielded a prediction (p.74) that Japan’s total output would exceed that of the US in 2047. This is likely impossible, based on simple economic theory – why? (Ignore here the effects of Japan’s Heisei Recession, in other words ignore any lack of aggregate demand, just focus on supply). 6. To what extent have the predictions come true as to the relative size of the Chinese economy, compared to the United States (p.76)? 7. “[T]he remarkable record of East Asian growth has been matched by input growth so rapid that Asian economic growth, incredibly, ceases to be a mystery” [Krugman, 1994, 76]. What economy is used in the article as an example to support this case? How convincingly does Krugman make this case for Japan (be prepared to be quite critical here)? Week 4 - Reading for the tutorial This Session we will have more than one article from both Alice Amsden and Anne Krueger. They reflect very different, in fact almost diametrically opposed, approaches to East Asian industrialisation, and to economic development in general, so as we go through them, be able to compare and contrast the arguments they are presenting to us. Again, you will find the article readily available through Google Scholar. Krueger, A. O. (1990). Asian trade and growth lessons. The American Economic Review, 80 (2), 108 - 112. Note that for some of these questions you will need to go outside the article; Krueger may refer to certain concepts without explaining them. To some extent this is true of all academic journal articles, but it is particularly true of this one, and also, you will find, very true of an article by Krugman that we will consider later in the Session. For this Krueger article and Blair Macquarie University 2020 later for Krugman, lectures will be helpful at certain points, and other details can be filled in from your general knowledge of economics, and in the tutorial itself. 1. Krueger argues that East Asian success followed a shift in government policy. What was the nature of this shift (the lecture on the policy choices facing developing economies will be useful here)? 2. What countries does Krueger identify as being part of the East Asian ‘Miracle’? In other words, compare the set of countries that Krueger includes in the analysis, with those emphasised by Amsden. 3. What was the role of comparative advantage in explaining East Asian success, according to Krueger? Again, contrast this with Amsden’s view. What is meant by the phrase ‘an open economy’? 4. Use a simple growth model to explain the importance of the sharp fall in the capital- output ratio (use one of the models covered in the economic growth lecture). 5. What was the role of the labour market in East Asia’s rapid economic growth? What details does Krueger give of the nature of East Asian labour markets? What was the role of the financial markets? Again, what details are given as to the nature of East Asian financial markets? What was the role of the heavy and chemical industries? What is the role of, and the critical time for, infrastructure investment? 6. Overall, how does Krueger explain East Asia’s rapid industrialisation and economic success? Week 5 - Reading for tutorial The author of our next academic article to be discussed is one of the pair of very differently minded economists when it comes to East Asia – last week it was Krueger, this week it’s Amsden: Amsden, A. (1991). Diffusion of Development: The Late-Industrializing Model and Greater East Asia. The American Economic Review, 81 (2), 282-286. A short article, but one with economic concepts that will be important to us. Again you will be able to access it through Google Scholar. 1. Make sure you know any potentially unfamiliar phrases used in the article. One to check might be Bretton Woods; another is the reference to “Schumpeterian gales of technological change” [Amsden, 1991: 285]. 2. What business structures in South Korea and Japan is she referring to in the phrase “widely diversified business group” [Amsden, 1991: 285]? (Note that during the Session two of our Modules will cover the crucial business institutions of Japan China and South Korea). 3. Why does Amsden exclude Hong Kong and Singapore from consideration? She also suggests that “in many respects, Japan is unique.” [Amsden, 1991: 283]. In what Blair Macquarie University 2020 ways would you suggest Japan might be considered unique amongst late industrialisers? 4. What is the role of social and political conflict in explaining different rates of economic success? To your knowledge, to what extent have the successful East Asian economies suffered bouts of social and political upheaval in their ‘Miracle’ periods after the Second World War? 5. What is meant by the statement that factor proportions are the pillar of price theory? Why are economies of scale a “phenomenon that sits uneasily in the market model” [Amsden, 1991: 283]? What is the role of comparative advantage in explaining the success of late industrialisers? To what extent are currency devaluations effective in helping late industrialisers? How might currency devaluations reduce real wages? What would be expected to happen to the exchange rate of a resource-rich developing country such as Indonesia? 6. According to Amsden, what explains East Asian economic success relative to other underdeveloped economies facing the need for late industrialisation? What