South and Southeast Asia Essay -- essays papers

South and Southeast Asia Introduction The region under scrutiny happens to be among the most impoverished countries in the world, though allowing for so much growth that is has made them among the fastest growing countries in the world. The region with all this potential is South and Southeast Asia, and the countries holding 40% of the world’s poor are Bangladesh, Thailand, Pakistan and India. How is it that South Asia has grown so much over the past decade with 35% of its men and 59% of its woman being illiterate? Or how is it that half a billion of the people in South Asia are living off less than a dollar a day? So much of the information I have found for this paper is hard to swallow, though I will try and tell it to you straight and in this sequence: 1. What is believed to be the beginning of the crisis that South Asia is faced with now? 2. Who is supporting growth and development in South Asia? 3. Through all this support, how much debt is being created? 4. What are individual weaknesses facing certain countries in South Asia? 5. Can these countries be of success in the long run? The beginning of the crisis Since July of 1997 Southeast Asia has been hit by an economic crisis of major proportion. The economic crisis was originally limited to Thailand’s financial sector, when the central bank of Thailand devalued its currency, the baht. Like so many other currencies the baht had been pegged to the all so valuable U.S. dollar to help ensure stability. Though because of the major success in the U.S. economy the dollar has been seen as strengthening, leading many investors to feel that the baht and many of the other currencies pegged to the dollar were overvalued. Because of this created concern many of the investors fearing an unstable currency chose to exchange it’s currency for dollars. As the confidence in the baht dwindled, companies operating in Southeast Asia scrambled to get rid of its currency as well. Thailand’s central bank was hoping that this devaluation would stop and eventually restore confidence in it’s currency, how would this happen of cours e? I would assume that Thailand was hoping for a lowering in the price of goods in dollar terms, which would make those products competitive in foreign markets. This in turn would attract new investments into the country. Though this did not happen, and a monsoon of loan def... ... from a larger standpoint while still keeping the topics small. I did this because currency is something that nearly every country has trouble controlling. Plus there are a lot of troubles that come with a collapsing currency, as far as market instability and fear of investing. This was just a few of the problems that effected every country used in this paper, every country that was spoken about was among the poorest countries in the world though still receiving recognition for being among the fastest growing countries in the world. That in it’s self is hard to explain; how would this happen to this specific region of the world. These are the types of questions that were attempted in this paper. The specific answers are not given in this paper however because I personally cannot answer them. But what it will take for these countries to succeed has been answered and the funding is there for them to do that. If the progress continues in the direction that all these countries are facing, it is possible for all these countries to survive and pull themselves out of poverty. Bibliography: www.worldbank.com www.state.gov/issues/economic/trade www.facts.com www.boi.go.th