‘This is a very good piece of research. As a book, it is important because it focuses on important conceptual and empirical issues, namely the role of government and industrial policy in promoting rapid economic growth; and particularly the case of Taiwan as an exemplar of rapid industrial development. The author convincingly refutes the view that sector-specific industrial policy was an important source of Taiwan’s rapid industrial growth in the 1980s.’
– Hugh T. Patrick, Columbia University, US
‘Dr Smith takes Taiwan and Korea as case studies to address fundamental questions concerning the rapid growth and subsequent financial crisis in East Asia:
• were the Taiwan and Korean governments interventionist in the 1980s?
• did industry policy play a role in the financial crisis of 1997–1998?
Heather Smith has put together a comprehensive discussion of strategic industry policy. She analyses at length the fascinating connection between the growth of the chaebol in Korea, its links to the government and to the financial sector, and the unravelling of the financial crisis in Korea. Her analysis throws light on the fundamental strength that Taiwan has shown throughout the crisis. These are fascinating and important questions vital to the economics profession and of interest to the enormous contingent of economic commentators following the East Asian crisis.’
– Ron Duncan, Australian National University, Australia