East Asias Financial Stability: Is Another Crisis Looming

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East Asias Financial Stability Is Another
Crisis Looming?

• Wing Thye Woo
• Brookings Institution
• wwoo_at_brookings.edu
• Institute of Strategic and International Studies,
  5th East Asia Congress, Mapping the Second Decade
  of East Asian Community Building, Kuala Lumpur,
  Malaysia, 2-4 December 2007.

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Impact of Trade Deficit on US Labor?
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Greater Churning of Jobs in US
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Atmosphere is Ripe for Protectionism

• Size of adjustment 100 pct labor market shock
• Speed of adjustment fast movement up value-added
  chain
• Globalization coincides with technological
  changes that (a) worsen income distribution and
  (b) broaden impact of trade on service sector
• Decline in US political tolerance toward trade
  adjustment in post-Cold War
• Unraveling of intellectual consensus in USA?
  Paul Samuelsons Alan Blinder's apostasy
• Post-September 11 syndrome insecure people dont
  make the best decisions, KORUS FTA

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Atmosphere is also Ripe for a Coming Clash over
the Global Commons?
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Looming Water Crisis in Asia