BROWSE

Pacific Rim

What is 'Pacific Rim'

The Pacific Rim is a geographic area surrounding the edges of the Pacific Ocean. The Pacific Rim covers the western shores of North America and South America, in addition to Australia, eastern Asia and the islands of the Pacific.

Explaining 'Pacific Rim'

"Pacific Rim" is a description of a region, not a group or organization. The Pacific Ocean is the world's largest ocean, so a very large number of countries border it and can thus be considered part of the region. Among the largest and best-known Pacific Rim countries are China, Australia and South Korea. The United States, Canada and Mexico all have Pacific Ocean coastlines and can thus be considered part of the region.

Asian Tigers and Tiger Cubs

The Asian tigers are a group of developed economies that have all experienced high levels of economic growth since the 1960s due to their exports. Hong Kong, South Korea, Singapore and Taiwan are all free market economies and have had success with electronic and technology exports. Hong Kong and Singapore are also major financial centers. The four tigers are considered an inspiration for the tiger cubs, which are less advanced but rapidly growing economies. Indonesia, Malaysia, Philippines and Thailand are all moving from low-margin exports such as textiles and clothing to higher-margin electronics.

Asian Financial Market Crisis

The 1997 Asian financial market crisis was triggered by a devaluation of the Thai baht after the overheated economy collapsed, especially the highly speculative real estate market. The central bank devalued the currency on July 1, 1997 after repeatedly denying that it would do so. Lending into the region dried up, and investors rapidly withdrew their money. The devaluation coincided with United Kingdom's long-scheduled return of Hong Kong to Chinese rule after 155 years as part of the British Empire. The attendant uncertainty helped to fuel the crisis. The hardest-hit countries included Indonesia, the Philippines, Malaysia, South Korea and Hong Kong.

Trans-Pacific Partnership

The Trans-Pacific Partnership is a trade deal that was signed on Feb. 4, 2016 in Auckland, New Zealand among 23 Pacific Rim nations; it will take effect if all signatory nations ratify it within two years. The agreement reduces or eliminates a broad range of trade tariffs, and it is intended to provide a platform for broader regional integration. The 12 signatories are the United States, Canada, Mexico, Australia, Japan, Singapore, Chile, New Zealand, Peru, Vietnam, Malaysia and Brunei.


Further Reading


Human resource strategy and firm performance in Pacific Rim countries
www.tandfonline.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Financial links around the Pacific Rim: 1982-1992Financial links around the Pacific Rim: 1982-1992
ageconsearch.umn.edu [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Common stochastic trends in Pacific Rim stock marketsCommon stochastic trends in Pacific Rim stock markets
go.gale.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Who drives real interest rates around the Pacific Rim: the USA or Japan?Who drives real interest rates around the Pacific Rim: the USA or Japan?
www.sciencedirect.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

The move to preferential trade on the Western Pacific Rim: some initial conclusionsThe move to preferential trade on the Western Pacific Rim: some initial conclusions
www.tandfonline.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Economic policy uncertainty and stock market returns in PacificRim countries: Evidence based on a Bayesian panel VAR modelEconomic policy uncertainty and stock market returns in PacificRim countries: Evidence based on a Bayesian panel VAR model
www.sciencedirect.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Venture capital in Asia and the Pacific RimVenture capital in Asia and the Pacific Rim
www.tandfonline.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Regional issues in the Pacific RimRegional issues in the Pacific Rim
link.springer.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Fundamental and nonfundamental components in stock prices of Pacific-Rim countriesFundamental and nonfundamental components in stock prices of Pacific-Rim countries
www.sciencedirect.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …

Evidence of nonlinear speculative bubbles in Pacific-Rim stock marketsEvidence of nonlinear speculative bubbles in Pacific-Rim stock markets
www.sciencedirect.com [PDF]
… Although most of the region recovered much more rapidly than anticipated from the 1997 financial crisis, the recovery was viewed with caution … But there are structural, as well as cyclical, factors influencing long-term economic performance in these Pacific Rim countries, most …



Q&A About Pacific Rim


How did Singapore become an economic success story?

Singapore became an economic success story through its free market economy and its exports in technology and electronics.

Where did Indonesia's problems stem from in 1997?

Indonesia's problems stemmed from over speculation on real estate prices which caused their currency to devalue drastically when they finally decided to devalue it after denying for so long that they would do so at all. Lending into Indonesia dried up almost immediately after this happened which caused investors to pull out money rapidly as well. This coincided with Britain's long scheduled return of Hong Kong back to Chinese rule after 155 years as part of British Empire territory which also helped cause panic among investors who were worried about other countries doing something similar with their own assets causing them to lose value quickly if not immediately after returning them back into national control or ownership once again for good instead of just temporarily leasing them out like Britain had done with Hong Kong before giving it back

What do Asian tigers represent?

Asian tigers represent a group of developed economies that have all experienced high levels of economic growth since the 1960s due to their exports.

What does Hong Kong represent?

Hong Kong represents one of four major financial centers in Asia.

Who are some of the largest and best-known countries in the Pacific Rim?

China, Australia, South Korea, United States, Canada and Mexico all have Pacific Ocean coastlines and can thus be considered part of the region.

What is the Pacific Rim?

The Pacific Rim is a geographic area surrounding the edges of the Pacific Ocean.

Why did Malaysia experience rapid growth during this time period?

Malaysia experienced rapid growth during this time period because it was moving from low margin exports such as textiles to higher margin electronics.