Book contents
- The Connections World
- The Connections World
- Copyright page
- Dedication
- Contents
- Figures
- Colour Plates
- Tables
- Acknowledgements
- Abbreviations
- 1 The Strengths and Fallibilities of Asian Capitalism
- 2 To the Foothills of Everest
- 3 The Power of Networks of Connections
- 4 Networks, Connections and Business Organisation
- 5 What Scope for Innovation?
- 6 Employment in the Connections World
- 7 Whither Asia?
- References
- Index
7 - Whither Asia?
Prospects and Policy Challenges
Published online by Cambridge University Press: 11 October 2022
- The Connections World
- The Connections World
- Copyright page
- Dedication
- Contents
- Figures
- Colour Plates
- Tables
- Acknowledgements
- Abbreviations
- 1 The Strengths and Fallibilities of Asian Capitalism
- 2 To the Foothills of Everest
- 3 The Power of Networks of Connections
- 4 Networks, Connections and Business Organisation
- 5 What Scope for Innovation?
- 6 Employment in the Connections World
- 7 Whither Asia?
- References
- Index
Summary
We conclude with an analysis of the constraints that the connections world imposes on Asia’s growth prospects, and the policy options for relaxing them. One is the ability of powerful businesses and families to entrench themselves by virtue of their connections to government and/or politicians. Both parties gain so there is no incentive to change. Because marginal changes are unlikely to be credible, we propose a series of interrelated radical measures to disrupt and refashion the connections world including prohibitions on cross-holdings and inheritance taxation, as well as boosting competition policy and improving political transparency. We also outline some of the main pressure points in Asia going forward. These include the ability to innovate and construct effective entrepreneurial ecosystems and the pressure to create sufficient jobs. There is also the ballooning inequality of income and wealth. High inequality is associated with economic under-performance and susceptibility to political turmoil. Progressive taxes can mollify inequality, but permanent solutions rest in targeting their source: the connections world.
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- The Connections WorldThe Future of Asian Capitalism, pp. 246 - 284Publisher: Cambridge University PressPrint publication year: 2022