David Hundt

A Legitimate Paradox: Neo-liberal Reform and the Return of the State in Korea

This article examines the neo-liberal reforms that the Kim government implemented in post-crisis Korea. It argues that by embracing the reforms, the state, paradoxically, re-legitimised itself in the national political economy. The process of enacting the reforms completed the power shift from a collusive state-chaebol alliance towards a new alliance based on a more populist social contract - but one that nonetheless generally conformed to the tenets of neo-liberalism. Kim and his closest associates identified the malpractices of the chaebols as the main cause of the crisis, so reforming the chaebols would be the key to economic recovery. Combining populism and neo-liberalism, they drew on support from both domestic and international sources to rein in, rather than nurture, the chaebols.

Economic crisis in Korea and the degraded developmental state

This article analyses the Korean developmental state since the late 1990s, and argues that the state has continued to play a weighty role in the economy. The state guided industrial and financial restructuring after the Asian economic crisis, and intervened to stimulate the economy during the 2008 global financial crisis. In doing so, state elites have displayed a distinctive form of economic leadership that is largely consistent with the developmental state. Rather than focusing predominantly on performance-related indicators of state strength such as growth rates, this article analyses the deeper aspects of the developmental state, specifically its internal functions and its collaboration with business. The article brings politics back into analysis of the developmental state by questioning the assumption that strong economic performance is necessary for the maintenance of close ties between the state and chaebol. Instead, economic performance is better understood as a predictor of patterns of conflict and cooperation. Long-standing ties between the state and big business have endured two significant economic crises, even if the performance of the developmental state has been degraded compared to earlier decades.

Middle Powers and the Building of Regional Order: Australia and South Korea Compared

The expert contributors – both Asian and Western – illustrate that as G20 members, many Asian countries are now able to showcase their increasing powers and influence on global issues. Within this context, and via multidisciplinary economic and political science perspectives, the book deals with various issues such as World System analysis, the debate between the Washington Consensus and the Beijing Consensus, roles within the G20, and the contribution of ‘middle’ powers such as Korea and Australia. The application of European experiences to Asia is also considered, as are perspectives from the US. The book concludes that the key to resolving the current global economic crisis lies in how quickly a new global governance and monitoring system can be constructed, and that there are multiple roles for Asian countries to play in its development.

Corporatism, crisis and contention in Sweden and Korea during the 1990s

Debate has long surrounded corporatism’s depictions of power and the state, and the rise of neoliberalism has raised even more doubts about corporatism as an analytical construct. Faltering growth and rising unemployment in Sweden and Korea after financial crises in the 1990s seemed to confirm neoliberal expectations that all varieties of corporatism (state/authoritarian and societal/democratic) are doomed to decline, and that corporatism will converge on liberalism. Closer examination of the 1990s crises suggests that Swedish and Korean institutions have transformed rather than collapsed. Corporatist institutions have been transformed by ideas about networks and governance, interaction between national and international institutions and shifting alliances among export-oriented and competition-shielded employers, private and public sector unions and citizen networks. This article argues that the ‘dynamics of contention’ can explain how these new ideas and alliances transformed regimes in Sweden and Korea and as such constitute an alternative to corporatism as an analytical construct.

Competing notions of regionalism in South Korean politics

In the past decade, ASEAN has been the primary driver of East Asian regionalism, and Korea has been an active supporter of ASEAN plus Three. Korea has explored the idea of an East Asian Community, and has been relatively open to notions of Asia–Pacific regionalism. The ROK has involved itself comparatively heavily in regional projects as both an initiator and a participant, but its notion of ‘region’ has oscillated between more and less inclusive forms of regionalism. This article examines how competing conceptions of region have influenced Koreas pursuit of regional initiatives. By revisiting historical understandings of Koreas regional identity, we explore the normative bases and material interests which motivate Korean regional initiatives, and assess the impact of its proposals.

Korea — squandering a mandate for change?

In winning the presidential and legislative elections of 2007–8, the Grand National Party and its leader Lee Myung-bak have attained a potentially unique opportunity to influence South Koreas political, economic and diplomatic trajectory. This paper reviews Koreas ‘once in a generation’ election and prospects for change under President Lee. Despite the political capital accrued from his partys landslide victories, Lee appears set to replicate previous incumbents of the presidency, each of whom has been overwhelmed by the high expectations of the public on the one hand, and the harsh constraints imposed by Koreas geopolitical position on the other.

Neoliberalism, the Developmental State and Civil Society in Korea

Abstract Following the Asian economic crisis of the late 1990s, some scholars predicted that the introduction of neoliberal ideas and policies would result in the definitive passing of the Korean developmental state. Despite these predictions, Korean state elites have retained their influential position as economic managers by, for instance, practicing a revised form of industrial policy. Neoliberal reform has, however, had significant social implications. Rather than neoliberalism acting as a democratising force that curtails the power of the state, this article illustrates that the Korean state has used the reform agenda to justify an expansion of its powers. The state presented itself as an agent capable of resolving long-standing economic problems, and of defending law and order. By doing so, the state reduced the political space available to non-state actors. The article concludes that for some states, neoliberalism is a means of retaining economic and political influence, and that former developmental states may be particularly adept at co-opting elements of civil society into governing alliances.

Popular consent and foreign policy choices : war against the Philippines and covert action in Chile

It is usually assumed that US policy makers need to generate popular consent in order to undertake regime change against another state. This article explores the ways in which contextual factors such as the joint democracy effect, popular values and public moods influenced efforts by elites in the United States to generate popular consent for regime change in the Philippines and Chile. Against the backdrop of the Vietnam War, the United States undertook covert action in Chile due to public recognition of the target states democratic credentials and a public mood opposed to further military ventures. In contrast, the absence of a strong joint democracy effect, a national mood infused with romantic nationalism qua militarism and social Darwinism facilitated efforts by US elites to generate consent for the invasion and occupation of the Philippines. Subsequently, this article contributes to understandings of the domestic-level factors that influence foreign policy decisions.

Democracy, Governance and Political Parties in India: An Introduction:

The party political domain of India is replete with a large number of parties representing the tapestry of the Indian society. Many of them are based in specific regions and states, built around social and linguistic identities. While this enhanced the representative character of the parties, it also contributed to varied patterns of political competition and unstable governments. The two major national parties—the Congress and the Bharatiya Janata Party—becoming ready and willing to form coalitions heralded an era of coalition governments both at the centre and states, enabling parties to increase their power and their pay-offs. Parties across the political spectrum have tended to converge on macroeconomic policy, but continue to diverge on social policies and larger issues that confront India, such as nation building and secularism. Chronic lack of internal democracy coupled with the rise of political corruption and clientelist practices are matters of serious concern. A broader view of governance, resisting temptations to concentrate power and pursue personal enrichment would enable parties to deliver policies for a better, more just society.

China’s ‘Two Koreas’ Policy: Achievements and Contradictions

China has long maintained a keen interest in events on the Korean peninsula, which Beijing considers to fall within the Sinic sphere of interest. The PRC has maintained a decades-long alliance with North Korea, and also achieved a rapprochement with South Korea, with whom China enjoys a burgeoning economic relationship. The PRC’s pursuit of a ‘two Koreas’ policy has tested Beijing’s diplomatic mettle during the past decade. In and of itself, the maintenance of strong ties to both Koreas represents a significant achievement. By reviewing recent developments in Chinese diplomacy towards the peninsula, this article highlights both the achievements and contradictions inherent in Beijing’s two-Korea policy. North Korea has risked China’s wrath by pursuing a nuclear deterrent, and by refusing to enact market reforms. In the case of the South, the government of Lee Myung-bak has strengthened its alliance with the United States and also sought to compensate for its growing economic interdependence with China by seeking free trade agreements with other states, including the US. The sinking of the Cheonan in March 2010 presents an opportunity to reflect on China’s efforts to balance its ties with both Koreas.