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Abstract

A fundamental challenge facing Asian emerging
economies is reconciling the policy requirements of long-
term structural transformation, with sustainable liberal
democracy. This is made more complicated in a world of
shifting globalization and new disruptive technologies.
Policy stability is needed for essential if uncertain
economic change; but a political system that is able to
maintain on-going societal consensus for change is needed
for policy stability. This is of particular relevance to
Southeast Asian economies experiencing stalled growth
and the middle-income trap, as well as political challenges
in various forms. The Thai case provides an illustration of
the nature and complexity of the issue. The challenge is
further complicated in a turbulent global environment
characterized by economic uncertainty and an increasing
loss of confidence in democracy as a political system for
delivering continued economic progress.

Introduction

A fundamental challenge facing Asian emerging
economies involves reconciling the requirements of
long-term structural economic transformation with
sustainable liberal democracy. Discussions of the
relationship between economics and politics tend to focus,
for example, on whether economic reform, primarily the
marketization of an economy, is likely to lead to political
2
reform, the democratization of the political system.
2 See for example Larry Jay Diamond and Marc F. Plattner
(eds.), 1995. Economic Reform and Democracy, Johns Hopkins
University Press, Baltimore, Md.. For an alternative perspective on this
issue and a suggested approach see Abonyi, G., 1986. “Techniques,
Experts, and Planning”. University of Ottawa Quarterly, Vol. 56, No.
4, December.