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Welfare, Growth, and Governance

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Welfare and Inequality in Marketizing East Asia

Part of the book series: Studies in the Political Economy of Public Policy ((PEPP))

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Abstract

Given the wide interest of the social and behavioral sciences in markets and welfare, it is striking that the wealth of scholarly and technical literature on the political economy of East Asia does not readily lend itself to a theoretical account of marketization and its effects on welfare and inequality. One reason for this is that the thrust of the fields of development economics and development policy, critical political economy, and state effectiveness has until recently been narrowly concerned with the marketization in relation to economic growth, capital accumulation, and industrial promotion. The widely heralded “institutional turn” has itself been largely focused on the problematic of “market enhancing governance.” This chapter shows that while various fields of comparative political economy provide insights into features of growth and governance, none provides a well elaborated theoretical account of how marketization and its attendant processes have affected patterns of welfare and inequality across countries and why. The absence of such an account was particularly striking in the aftermath of the Asian Financial Crisis 1997, when a financial crisis emanating in East Asia directed uncomfortable attention to this fact. In the twenty years since, those on the growth and governance scenes have devoted greater attention to the themes of “market enhancing” governance and inclusive growth. This chapter surveys the contributions and limitations of these various literatures for understanding welfare and inequality in marketizing East Asia.

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  1. Leiden University, Leiden, Zuid-Holland, The Netherlands

    Jonathan D. London

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London, J.D. (2018). Welfare, Growth, and Governance. In: Welfare and Inequality in Marketizing East Asia. Studies in the Political Economy of Public Policy. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-137-54106-2_3

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