Which Capitalism ? Lessons from the East Asian Crisis
نویسنده
چکیده
Just a few years ago, it was fashionable to decry the short-sightedness of the American financial system, the tendency of U.S. financial markets to ignore longer-term corporate prospects while focusing heavily on quarterly earnings reports. There were repeated calls for the U.S. to adopt new laws that would permit financiers to take a longer view of their investments, and to move toward the more relationship-based investing model that prevailed in Japan. It is amazing what a banking crisis or two will do to popular fashion. Now the talk is all about the virtues of "the market," the importance of competition and disclosure, and the horrors of crony capitalism. Why did these relationship-based financial systems, which have been credited with fueling the miraculous growth of East Asia, suddenly implode? Is the current crisis a temporary setback to an otherwise successful system or does it herald its demise? Does the slow but steady ascendance of the public markets, even in Germany, suggest the eventual supremacy of the arm'slength, market-based, Anglo-Saxon system?
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