JC History Tuition Online - What does Daewoo do - Asian Tiger Notes

What does Daewoo do?

Paper 1: Understanding the Global Economy (1945-2000)
Section B: Essay Writing
Theme II Chapter 3: Rise of Asian Tigers from 1970s to 1990s [South Korea and Taiwan] 

Find out more about the fall of a formerly prominent business conglomerate in South Korea, Daewoo Group. [Video by Asianometry]

Background
Daewoo (대우) refers to the ‘Great Universe’. On 22 March 1967, the Daewoo Group was founded by Kim Woo-Choong. Kim was the son of a provincial governor. Notably, Kim’s father used to teach Park Chung-hee, who later became South Korea’s authoritarian leader.

In the late 1960s, Kim relied on government loans to develop export-driven industries. His access to government loans was made possible with the Second Five-Year Plan from 1967 to 1971, which targeted export-oriented production. Within this period, the South Korean economy experienced an average growth rate of 9.6%. Also, the share of manufacturing in exports rose from 60 to 70%.

Diversification
At the early stages, he focused on the production of clothing and textiles, given the country’s sizable and affordable labour supply. Before 1972, Daewoo focused on its core business by purchasing three businesses, two textile producers and one leather processor.

In the 1970s, Daewoo moved to new areas, such as the production of cars, ships and oil rigs, which aligned with General Park Chung-hee’s plan to promote heavy and chemical industrialisation under the third Five-Year Plan from 1972.

By mid-1970s, Daewoo catapulted to economic success. Barely eight years after the company was established, Daewoo’s exported exceeded $300 million, which was equivalent to more than 4% of South Korea’s combined exports. In 1975, Daewoo owned 23 companies, 30 overseas branches and employed 35,000 workers.

Daewoo was originally a textile firm but also ended up making electronic goods, cars, and ships, in accordance with subsequent government economic plans. In fact, Kim entered the shipbuilding business against his will – Park forced him to do it. Daewoo Shipbuilding & Marine Engineering Ltd. now generates annual revenues of well over U.S. $10 billion.

An excerpt taken from “Korea: The Impossible Country: South Korea’s Amazing Rise from the Ashes: The Inside Story of an Economic, Political and Cultural Phenomenon” by Daniel Tudor.

Case Study: Daewoo Electronics
It can be observed that the founder Kim embarked on diversification to expand his business plans. One such example is Daewoo Electronics, which was formed in 1971, which began its first step by assembling radios and amplifiers. Two years later, a large-scale plant was set up in Kumi, enabling its to make its mark in Korea as one of the key electronics producers.

Daewoo Electronics’ growth acquired several firms. It acquired Joo-Ahn Electronics in 1975 and Dae-Han Electronics in 1983; the former allowed Daewoo to become a major producer of radios, while the latter became a core of its consumer electronics production. […]

Later, it supplied amplifiers to Germany’s Telefunken and Zenith of the USA. By 1982, Daewoo diversified itself as a comprehensive consumer electronics maker, exporting televisions, VCRs, cassette recorders, car stereos, refrigerators and washers.

An excerpt taken from “Technology Transfer and International Production: The Development of the Electronic Industry in Korea” by Jin W. Cyhn.

Daewoo Electronics’ success could be traced to its strategy of focusing on Original Equipment Manufacturing (OEM). In 1981, the Japanese multinational company, also known as the Nippon Electric Company (NEC), approached Daewoo Electronics to iron out plans for an OEM arrangement. The Korean chaebol was identified as a viable organisation, given its capacity for large-scale production.

Daewoo Electronics benefited from its contract manufacturing role with Japan’s NEC in terms of technological learning. The NEC engineers facilitated the transfer of technology through various forms of interactions. For instance, Daewoo engineers were advised to used more accurate electronic measuring devices by their Japanese counterparts.

A crumbling empire?
However, Daewoo’s economic track record was blemished by financial mismanagement, which surfaced in the wake of the 1997 Asian Financial Crisis. By the end of 1997, the Korean conglomerate accumulated a debt that was five times its equity. By 1999, Daewoo racked up debts of about US$50 billion.

The fall of Daewoo will undoubtedly be seen as an important event in Korea’s postwar economic history. The government did not altogether avoid support for the firm, since debt was rolled over and some core firms were not liquidated. Moreover, in September and October, the government was forced to establish massive funds to support the investment trust companies, which were big purchasers of Daewoo bonds.

An excerpt taken from “Resolution of Financial Distress: An International Perspective on the Design of Bankruptcy Laws” by Simeon Djankov, Constantijn A. Claessens amd Ashoka Mody.

What can we learn from this article?
Consider the following question:
– Assess the view that the economic transformation of South Korea between 1970 and 1990 was exaggerated.

Join our JC History Tuition to learn more about the Global Economy and the Asian Tiger economies. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition and JC Chemistry Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What is the Triffin Dilemma - Global Economy Notes

What is the Triffin dilemma?

Topic of Study [For H2 History Students]: 
Paper 1: Understanding the Global Economy (1945-2000)
Section B: Essay Writing
Theme II Chapter 1: Problems of economic liberalisation

Learn more about the Triffin Dilemma that explains the development of the global economy in the 1960s. [Video by George Gammon]

Historical background: An international creditor
In the post-WWII phase, the USA provided substantial financial aid to facilitate post-war economic reconstruction. One key example is the Marshall Plan, which amounted to about $13.2 billion (1948-1952) that benefited Western Europe.

In addition, the USA supported the establishment of the Bretton Woods System (BWS). By pegging the US dollar (USD) to gold, the USA helped to set up a system of fixed exchange rates, in which one ounce of gold was equivalent to USD35. Both foreign governments and central banks could exchange dollars for gold. Given that the USD was ‘as good as gold’, the monetary system enabled international transactions denominated in the greenback.

The Dollar Glut & The Gold Pool
With the globalisation of the Cold War by the late 1950s, the USA stepped up its efforts to form alliances with other countries, exerting its economic might to convince foreign leaders to join its ideological cause. However, the outflow of USD to foreign economies eventually exceeded the amount of gold that backed the monetary system.

For instance, the central banks of Western European nations and Japan had accumulated USD, building up their currency reserves. Central banks in turn could exchange these dollars for gold, threatening the stability of the system.

Monetary gold and dollar holdings - IMF, US Congress, Barry Eichengreen
Learn more about the changes to monetary gold stock held by the UA and other monetary authorities. [Source: Global Imbalances and the Lessons of Bretton Woods by Barry Eichengreen]

But as these ratios began to shift, confidence began to erode in the credibility of the American commitment to dollar convertibility and thus in the structure of the Bretton Woods system. By the end of 1959, the United States’ money gold stock had been surpassed in value by foreign-held external dollar liabilities. By 1965, America’s stock of gold reserves had been surpassed by the external dollar liabilities held by foreign monetary authorities. Foreign investors, both official and private, had growing grounds for questioning the ability of the United States to continue honoring its commitment to convert these liabilities into gold at a fixed price.

An excerpt taken from “Global Imbalances and the Lessons of Bretton Woods” by Barry Eichengreen.

On 1 November 1961, the central banks of the USA and seven other European nations (Germany, United Kingdom, Switzerland, Netherlands, Belgium, Italy and France) created the London Gold Pool. By doing so, the fixed exchange rate system under the Bretton Woods could be maintained by keeping the price of gold stable.

However, the Gold Pool eventually collapsed in March 1968 as the pegged price of gold remained low such that France withdrew from the collaboration.

The Dilemma
Belgian-American economist Robert Triffin revealed a flaw in the international monetary system.

If the USA stopped running its balance of payment deficits, the global economy would face a liquidity crunch. This would then plunge the economy into a contractionary spiral.

If the USA continued to run its balance of payment deficits, the global economy would continue to grow. However, the dollar glut problem would gradually erode confidence in the US dollar. Over time, the view of the US as a reliable reserve currency would fade, thus causing the gold-dollar fixed exchange rate system to collapse.

One the one hand, US spending in the rest of the world was viewed as a positive thing as it provided a pool of dollars outside the US which could be used to finance trade and fuel economic growth the world over; the dollar was the world’s key currency and uniquely acceptable everywhere.

However, on the other hand, the size of the dollar pool raised questions about the currency’s convertibility into gold and suggested a growing confidence problem for the dollar that could only be eased if US spending overseas was dramatically reduced. Thus there was a dollar confidence crisis looming if US spending overseas continued, and a world liquidity crisis likely if US spending was curtailed: a dilemma indeed.

An excerpt taken from “The Euro Its Origins, Development and Prospects” by Chris Mulhearn and Howard R. Vane.

True enough, the fears of an impending collapse of the international monetary system were realised on 15 August 1971.

What can we learn from this article?
Consider the following question:
– How far do you agree that the USA was a driving force in shaping the development of the global economy in the 20th century?

Join our JC History Tuition to learn more about the Global Economy. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition and JC Chemistry Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online- What is the 1991 Strategic Economic Plan - Economic Development Notes

What is the 1991 Strategic Economic Plan?

Topic of Study [For H2 History Students]:
Paper 2: Economic Development after Independence
Section B: Essay Writing
Theme II Chapter 1: Paths to Economic Development

Historical Context: Role of the Ministry of Trade and Industry
The Ministry of Trade and Industry (MTI) was established in March 1979 to oversee economic planning, manpower planning, industrial policies and investment promotion. Overall, the MTI served to maintain the economic progress for Singapore.

In 1980, the MTI came up with the second strategic plan, known as ‘Singapore’s Economic Development Plan for the Eighties’. The plan sought to raise productivity levels and ease labour shortage.

Like Taiwan and other successful Asian economies, the governments at the onset understood the acute importance of rapid industrialisation and the development of a productive manufacturing sector. […] The Economic Development Plan for the Eighties which was published in the 1980s was the beginning of the effort to make public the Singapore’s development. The government’s interventionist approach was carried out mostly with policy directives and therefore carried more influence than indicative planning. What the government also did was to provide the requisite infrastructure as well as skilled but cheap and well-ordered labour force.

An excerpt taken from “Economic Development in the Twenty-first Century Lessons for Africa Throughout History” by Matthew Kofi Ocran.

The 1985 Recession
However, the MTI’s plan was soon put to the test. In 1985, Singapore experienced its first recession since independence, ending its continuous Gross Domestic Product (GDP) growth of 8.5% per year. By the second quarter of 1985, Singapore’s growth rate fell to -1.4%, shocking observers and businesses.

Recession figures - Department of Statistics - Ministry of Trade and Industry - Business Times
Examine the figures that showed Singapore’s economic situation during past recessions, from 1985 to 2020. [Accessed from The Business Times]

One of the contributing factors for the recession was the policy changes by neighbouring countries. For instance, Indonesia, the Philippines and Thailand imposed exit taxes. This meant that their citizens were taxed each time they travelled outside their country, which limited the movement of labour. In addition, Singapore experienced a fall in export demand due to the economic slowdown in Western industrialised nations, especially the USA.

In view of the recession, the MTI announced the creation of an Economic Committee in March 1985 to assess the economic situation and chart new pathways for growth. In 1986, a report was published, known as ‘The Singapore Economy: New Directions’, which proposed economic reforms to guide Singapore in the post-recession phase.

1991 Economic Plan
In order for Singapore to keep up with the stiff competition, the government came up with a document to envision the next phase of Singapore’s growth in the 1990s. In 1991, the MTI launched the ‘Strategic Economic Plan: Towards a Developed Nation’. This Plan aimed to turn Singapore into a ‘first league’ developed country in the next three decades.

The Business Times Infographic - Singapore's Economic Development
An illustration to summarise Singapore’s economic development from 1965 to 2015. [Assess from The Business Times]

The National Science and Technology Board (NSTB), which is now more commonly known as the Agency for Science, Technology and Research (A*STAR), was formed in 1991 to focus on applied research. The NSTB supported the development of 13 industrial clusters, such as shipping, commodity trading, shipping, petroleum and petrochemicals, finance and information technology.

Thirteen industrial clusters were identified as areas where Singapore could sustain a competitive advantage in world markets and these were to be the priority areas for development. However, in order to sustain economic growth and reduce vulnerability, it was also considered necessary for Singaporean companies to move out of Singapore into the Asia Pacific region and to form an ‘external economy’ (known as ‘regionalisation’). This would enable Singapore not only to take advantage of cheaper labour in the less developed countries in the region, but also to place Singapore in the centre of the region’s drive for economic growth.

An excerpt taken from “Explaining the Economic Success of Singapore: The Developmental Worker as the Missing Link” by Johnny Sung.

To support the 1991 Plan, the Singapore government referenced education systems in Germany and Japan to develop a skill-intensive economy. As such, the Ministry of Education introduced reforms, mandating all young individuals to acquire at least ten years of general education, so that they can develop the rigour of learning and skill upgrading at an early age.

In 1992, the Vocational and Industrial Training Board (VITB) was renamed the Institute of Technical Education (ITE), which highlighted the Ministry’s commitment towards higher standards of technical education. The ITE offered higher skill content courses that charted pathways for students to advance to polytechnics and universities.

In line with the national aspiration of moving towards a developed country status as articulated in “The Strategic Economic Plan (1991)”, the goal was to upgrade the educational and skill profile of the workforce.

An excerpt taken from “Breakthrough In Vocational And Technical Education, A: The Singapore Story” by Song Seng Law.

What can we learn from this article?
Consider the following question:
– How far do you agree that that expertise was most crucial in determining the economic development of Southeast Asian states after independence?

Join our JC History Tuition to learn more about the Paths to Economic Development. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition and JC Chemistry Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What was the Brahimi Report - United Nations Notes

What was the Brahimi Report?

Topic of Study [For H1/H2 History Students]:
Paper 1: Safeguarding International Peace and Security 
Section B: Essay Writing
Theme III Chapter 3: UN Reforms

Find out more about the processes of peacekeeping. [Video by the United Nations]

Historical Context: The Report
Following the disasters in Bosnia and Rwanda, the United Nations Secretary-General Kofi Annan appointed the Panel on United Nations Peace Operations. He tasked the Panel to review the challenges faced by ongoing peace operations and make specific recommendations. The Panel was chaired by the UN Under-Secretary-General Lakhdar Brahimi.

On 21 August 2000, the Report of the Panel on United Nations Peace Operations (also known as the “Brahimi Report” in short) was published, offering a comprehensive assessment of peacekeeping operations as well as specific recommendations to finetune the processes.

The recommendations focus, to a large degree, on structural and management problems, but the Panel also commented on the doctrine on which peace operations should be conducted. Although the Panel states that the ‘consent of the local parties, impartiality and the use of force only in self-defence should remain the bedrock principles of peacekeeping’ (Brahimi Report, para. 48), the Report calls for more robust mandates that are also clear, credible and achievable, and does not only question, but also modifies, the traditional approach to peacekeeping concerning the consent of the parties, the principle of impartiality and the non-use of force.

An excerpt taken from “International Peacekeeping” by Boris Kondoch.

Let’s take a look at some of the points raised in the Report:

1. The need for clear, credible and achievable UN mandates
The Brahimi Report advised the UN Secretariat to highlight the key requirements for peace operations in dangerous environments. Also, the Secretariat should inform the UN Security Council (UNSC) when a possible operation goes beyond its capacity. By doing so, the UNSC can hold consultations with troop contributing member states when making risk assessments before deployment.

2. Requirements for effective peacebuilding
The Panel recognised the essential role that peacekeepers play in the post-conflict phase. It urged the UN to ensure that there is adequate budget allocated for disarmament, demobilisation and reintegration (DDR). Delays in funding may risk the resurgence of violence in mission areas.

3. Enhancements to the recruitment and deployment of troops
While the United Nations Stand-by Arrangement System (UNSAS) was already established in the early 1990s under the former Secretary-General’s “An Agenda for Peace” report, the Brahimi Report made recommendations to improve on it.

In particular, the Panel requested the re-organisation of the UNSAS, with the inclusion of four levels of commitment, a new “Rapid Deployment Level” for troop resources available within 30 or 90 days of a Security Council mandate. In addition, the Department for Peacekeeping Operations (DPKO) will create a “Military On-Call List”. This List will facilitate timely deployment of military headquarter staffs of new missions.

Given that prevention is better than cure, one possible option for the UN would be to engage in the kind of preventive deployment that appeared to have worked in Macedonia. Deployment of peacekeepers in ‘unstable areas’ would appear to provide the possibility of helping to provide an environment in which problems could be nipped in the bud, or at least controlled. […]

However, the option of preventive diplomacy faces several problems. […] Such political will seems to have been lacking in some instances and at best the UN Security Council has been reactive to events rather than taking a more pro-active stance. Secretary-General Annan has highlighted the root causes of conflict arising out of the Brahmi Report, but it requires political action to support his efforts to address such problems. Moreover, states may be offended by being named as sites for potential armed conflict; particularly intense conflict and recourse to this option would raise serious sovereignty issues.

An excerpt taken from “United Nations Peacekeeping in the Post-Cold War Era” by John Terence O’Neill and Nick Rees.

What can we learn from this article?
Consider the following question:
– Assess the view that the Brahimi Report showcased the relevance of the United Nations in maintaining international peace and security.

Join our JC History Tuition to learn more about the United Nations. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition and JC Chemistry Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What happened in South West Africa - United Nations Notes

What happened in South West Africa?

Topic of Study [For H1/H2 History Students]:
Paper 1: Safeguarding International Peace and Security 
Section B: Essay Writing
Theme III Chapter 2: International Court of Justice: ensuring adherence to international law; arbitration and advisory opinion

Find out how the International Court of Justice plays a part in ensuring adherence to international law, particularly the provision of advisory opinions. [Video by Leiden Learning & Innovation Centre]

Historical Background: Mandate Territory and Trust Territory
After the end of World War One, the German colony South West Africa was declared a League of Nations (LON) Mandate Territory. Under the Treaty of Versailles, South West Africa was considered a British protectorate with the Union of South Africa handling its administration. When World War Two came to an end, the LON Mandates were moved to the United Nations (UN) Trusteeship system, thus South West Africa was expected to become a UN Trust Territory.

However, the South African government opposed the process of South West Africa becoming a UN Trust Territory. Its Prime Minister Field Marshal Jan Christian Smuts supported policies of racial segregation in South Africa, sparking controversy among member nations in the UN General Assembly (UNGA).

First key response by the Court
On 11 July 1950, the International Court of Justice (ICJ) gave its Advisory Opinion at the request of the UNGA. With regards to the legal status of the territory in South West Africa, the ICJ asserted that the UN was “legally qualified to discharge the supervisory functions formerly exercised by the League of Nations”. Also, South Africa “had no competence to modify the international status of South West Africa unilaterally”.

If the reason for the South African government’s refusal to cooperate or negotiate with the United Nations about the status and administration of South West Africa was the fear that its racial policy would be discussed in the world forum, its tactics were a complete failure. On December 6, 1955, the General Assembly adopted a resolution which emphasized racial policy in the territory as the chief issue. It reminded the Union government “of the faith it had re-affirmed in signing the Charter, in fundamental human rights and in the dignity and worth of the human person,” and called on it to observe Article 56 of the Charter.

An excerpt taken from “South Africa and the World: The Foreign Policy of Apartheid” by Amry Vandenbosch.

Even so, South Africa did not relent with its repressive policies towards South West Africa. With mounting pressure from the member states in the Sub-Saharan region in the UNGA, the UN Security Council (UNSC) passed resolutions in 1969 and 1970, denouncing South Africa’s occupation of South West Africa.

On 12 June 1968, under UNGA Resolution 2372 (XXII), South West Africa was renamed as Namibia.

The second key response by the Court
On 29 July 1970, the UNSC requested the ICJ to give an Advisory Opinion on the legal consequences for states of the continued presence of South Africa Namibia. On 21 June 1971, the Court declared that South Africa’s presence in Namibia was illegal, thus the former should withdraw its administration. At the same time, the Court stated that all member states of the UN had to recognise the “illegality of South Africa’s presence in Namibia and the invalidity of its acts on behalf of or concerning Namibia”.

In the Namibia Opinion, the ICJ drew another set of limits, this time in the context of treaty law, to the responses that states may legitimately adopt, even where this concerned an obligation erga omnes (towards all), the breach of which was invoked by, and the reaction to the breach authorized by, collective bodies. The ICJ held that the obligations of states flowing from a Security Council resolution (in this case, Resolution 276 (1970)) not to enter into treaty relations with South Africa could not “be applied to certain general conventions such as those of a humanitarian character, the non-performance of which may adversely affect the people of Namibia”, a holding reminiscent of Article 60(5) of the 1969 Vienna Convention.

An excerpt taken from “The International Court of Justice: Its Future Role After Fifty Years” by J. M. Thurnszky Sam Muller and A. S. Muller.

This time, the UNSC passed Resolution 418, imposed a mandatory arms embargo against South Africa to put sufficient pressure on the latter to comply with the Court’s Opinion. On 22 December 1988, the Tripartite Accord was signed by Angola, Cuba and South Africa, granting independence to Namibia from South Africa.

What can we learn from this article?
Consider the following question:
– Assess the view that the International Court of Justice was effective in managing the legal dispute over South West Africa.

Join our JC History Tuition to learn more about the United Nations. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition and JC Chemistry Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - How did decolonisation affect the United Nations - United Nations Notes

How did decolonisation affect the United Nations?

Topic of Study [For H1/H2 History Students]:
Paper 1: Safeguarding International Peace and Security 
Section B: Essay Writing
Theme III Chapter 2: Political Effectiveness of the UN in maintaining international peace and security

Historical context
On 14 December 1960, the United Nations General Assembly adopted the “Declaration on the Granting of Independence to Colonial Countries and Peoples”. In essence, the Declaration advocated the right to self-determination, thereby bringing an end to colonial rule.

Recognizing that the peoples of the world ardently desire the end of colonialism in all its manifestations, […]

2. All peoples have the right to self-determination; by virtue of that right they freely determine their political status and freely pursue their economic, social and cultural development.

An excerpt taken from the United Nations General Assembly Resolution 1514 (XV), 947th plenary meeting, 14 December 1960.

A commitment to decolonisation: C-24
To oversee the decolonisation process, a Special Committee was established in 1961 in accordance to the General Assembly resolution 1654 (XVI). The Committee of Twenty-four, also known as C-24, carries out activities, such as examining the political and economic developments of non-self-governing territories (NSGTs).

JC History Tuition Online - Special Committee on Decolonisation - United Nations General Assembly
Infographic on the Special Committee on Decolonization. [Source: United Nations]

By resolution 1603 (XV) of 20 April 1961, a Sub-Committee on the Situation in Angola was created. Angola was both a colonial issue involving a commencement case, as well as a complex political situation characterized by armed conflict. In 1962 this Sub-Committee was absorbed by what was becoming the main U.N. instrumentality for decolonization, namely the Special Committee of Twenty-Four.

With a view to centralizing the U.N. action in the area of decolonization, and to concentrate it in the hands of the Special Committee of Twenty-Four, the pattern of absorption was repeated with regard to the Committee on South West Africa which was dissolved in 1961.

An excerpt taken from “The United Nations and Decolonization: The Role of Afro-Asia” byy Yassin El-Ayouty.

Branching out to security matters
In the early 1960s, the newly-formed C-24 tried to garner support from the United Nations Security Council. It called on the Council to address the issue in South West Africa, citing security concerns. Likewise, a similar matter was raised in Southern Rhodesia two years later. In 1965, the Committee expressed concerns in the Aden territory, labelling it as a ‘dangerous situation’.

Yet, the Security Council’s responses were not identical. For instance, the Council recognised the threats in South West Africa, but not so in Aden.

It is doubtful if in practice the Committee of Twenty-four had much influence on the policies which the colonial powers pursued in the territories for which they were responsible. Its pronouncements were for them an extremely marginal factor among all the considerations which had to be taken into account (including often a nationalistic home opinion holding diametrically opposite views). They were a factor which, if considered at all, were more important in the eyes of their foreign offices than of their colonial departments which had the main responsibility for policy concerning their colonial territories.

An excerpt taken from “A History of the United Nations: Volume 2: The Age of Decolonization, 1955–1965” by Evan Luard.

What can we learn from this article?
Consider the following question:
– How far do you agree that decolonisation created problems for the United Nations General Assembly?

Join our JC History Tuition to learn more about the United Nations. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition and JC Chemistry Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What did ASEAN do in the Cambodian conflict - ASEAN Notes

What did ASEAN do in the Cambodian conflict?

Topic of Study [For H2 History Students]:
Paper 2: Regional Conflicts and Co-operation
Source Based Case Study
Theme III Chapter 2: ASEAN (Growth and Development of ASEAN: Building regional peace and security – relations between ASEAN and external powers)

Topic of Study [For H1 History Students]:
Essay Questions
Theme II Chapter 2: The Cold War and Southeast Asia (1945-1991): ASEAN and the Cold War (ASEAN’s responses to Cold War bipolarity)

On a sidenote, learn more about the former Khmer Rouge leader Pol Pot [Video by The Infographics Show]

Let’s recap: The trigger to the 13-year war
On 25 December 1978, Vietnamese forces crossed the Cambodian border. In 15 days, the Khmer Rouge regime was replaced by a Vietnam-backed puppet government, which was later known as the People’s Republic of Kampuchea (PRK).

On 9 January 1979, ASEAN issued a statement, deploring the invasion, citing both the principles of the United Nations (UN) Charter and the Bandung Conference. Three days later, the Foreign Minister of Singapore S. Rajaratnam called for a closed-door meeting in Bangkok involving all ASEAN members to discuss the ongoing crisis in Cambodia.

Tan Seng Chye described it as a “very significant meeting” as it was during this meeting that ASEAN decided how it would respond to the Vietnamese occupation. There was uncertainty in Thailand whether or not to come to terms with the Vietnamese. Rajaratnam rallied his ASEAN colleagues. The Thais thus valued the support of Singapore in encouraging international support and rallying all ASEAN members to stay on course to oppose the Vietnamese. The reason for Singapore’s strong stand against the Vietnamese was because it had an “affinity of feelings” for Cambodia as “Cambodia’s problems could become Singapore’s problems in the future”.

An excerpt taken from “Singapore, ASEAN and the Cambodian Conflict, 1978-1991” by Ang Cheng Guan.

However, ASEAN was delayed by the Philippines’ indecision on the details of the joint statement. Foreign Minister Carlos P. Romulo was unable to attend the meeting, so his deputy Tolentino stood in. Eventually, Tolentino gained Romulo’s approval by call and the joint statement was issued.

In summary, the statement condemned the invasion and demanded Vietnam to withdraw its forces from the Kampuchean territory immediately. Also, ASEAN called for the UN Security Council (UNSC) to consider the situation. Yet, Cold War politics were in the way, as a UNSC draft resolution tabled by China was vetoed by the Soviet Union.

International lobbying: ASEAN’s response to the June 1980 incident
On 23 June 1980, Vietnamese troops entered the Thai territory to pursue anti-Vietnamese Khmer resistance forces. The attacks of Ban Non Mak Moon village convinced ASEAN that Vietnam posed a serious security threat to Thailand and the rest of Southeast Asia.

The Foreign Ministers agreed that any incursion of foreign forces into Thailand directly affects the security of the ASEAN member states and endangers peace and security in the whole region. In this regard, they expressed ASEAN’s firm support and solidarity with the government and people of Thailand in the preservation of Thai independence, sovereignty, and territorial integrity.

An excerpt taken from the “Joint Statement on the Situation of the Thai-Kampuchean Border” issued at the ASEAN Ministerial Meeting at Kuala Lumpur, 25 June 1980.

This matter was raised during the 13th ASEAN Ministerial Meeting (AMM) in Kuala Lumpur on 25-26 June 1980. ASEAN continued to support the ousted Democratic Kampuchea (DK) as the legitimate government rather than PRK. True enough, ASEAN was successful in garnering international support for DK, as seen by the responses in the UN General Assembly (UNGA).

In November 1979, the UN General Assembly adopted an ASEAN draft resolution by an overwhelming vote of ninety-one to twenty-one. The Vietnam-sponsored PRK government was denied Cambodia’s UN seat still held by Democratic Kampuchea. In 1980, by a vote of ninety-seven to twenty-three, the UNGA called for a special conference on Cambodia. Over the ferocious objections and boycott by the communist bloc, the United Nations International Conference on Kampuchea (ICK) was held in July 1981. The ICK’s final declaration internationally legitimized the ASEAN formula for the settlement of the Cambodian crisis.

An excerpt taken fromInternational Relations in Southeast Asia: The Struggle for Autonomy” by Donald E. Weatherbee.

What can we learn from this article?
Consider the following question:
– Assess the view that ASEAN played a vital role in the resolution of the Cambodian Crisis (1978-1991).

Join our JC History Tuition to learn more about ASEAN. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What is POSCO in South Korea - Asian Tiger Notes

What is POSCO in South Korea?

Paper 1: Understanding the Global Economy (1945-2000)
Section B: Essay Writing
Theme II Chapter 3: Rise of Asian Tigers from 1970s to 1990s [South Korea and Taiwan] 

Learn more about the world-renowned steelmaker POSCO [Video by Arirang News]

The steel industry in South Korea: A historical background
In the 1960s, the steel industry in South Korea was largely absent. Three decades later, Korea became the world’s sixth-largest steel producing country. This development can be explained by General Park Chung-hee’s aim for Korea to be self-sufficient in steel production.

Steel has been commonly known as the ‘staple of industry‘, in which this versatile metal is highly applicable in many basic industries, such as shipbuilding, construction, machinery and automotive. Hence, its complementary nature further underpinned South Korea’s economic success.

Enter Park Tae-Joon
In 1967, the Korean government picked Pohang as the location for the construction of the first integrated steelworks. The Korea Tungsten Company was selected as the end-user of the integrated steelworks. The president of the Korea Tungsten Company was Park Tae-Joon.

Park Tae-Jun was known for prioritizing “speedy operations.” Under his direction, the construction of POSCO in the early years were completed well ahead of schedule which not only saved time but millions of dollars (Seo 2011). This was even more extraordinary considering that the construction site was formerly a barren sand field that lacked any related and supporting infrastructure.

[…] CEO Park was also well known for his diligence and dedication. Park believed that the best way to lift his employees’ total commitment to work was for him to set a good example. Park spent most of his time on site with the workers while the first steel plant was being completed. He promptly abandoned all leisure activities and hobbies to focus on the plant construction. Park’s diligence had a marked impact on all of POSCO employees, who were motivated to follow the footsteps of their CEO.

An excerpt taken from “Strategy for Korea’s Economic Success” by Hwy-Chang Moon.

Park Tae-Joon was then appointed to helm the newly-formed Pohang Iron and Steel Company (POSCO) on 1 April 1968. However, POSCO’s developments were not entirely smooth-sailing from the start.

Although the Korean President Park Chung-hee engaged foreign steel companies to form the Korea International Steel Associates (KISA) in 1966, the POSCO leader received confirmation that the securing of loans from KISA was not possible. In response, Park Tae-Joon capitalised on his extensive networks in Japan to find a solution.

In December 1969, the “Korea-Japan Framework Agreement” was signed, granting POSCO the right to sign a technology service contract with Japan Group. Japan Group comprised of three companies (Yawata Steel Works, Nippon-Kokan KK and Fuji Steel Corporation) that offered their technological expertise to facilitate the construction and operation of integrated steelworks in South Korea.

Korea’s economic rise in the 1970s
On 1 April 1970, POSCO launched Phase 1 of its comprehensive construction of the Pohang steelworks at Yeongilman Bay. POSCO’s objectives were aligned with the Korean government’s, in which General Park later put forth the Heavy and Chemical Industrialisation (HCI) Plan in 1973.

Creating domestic capabilities for steel production was a vital step for sustainable economic development, given the changes to American foreign policy in Asia by the early 1970s. The diminished American military presence in Indochina and parts of East Asia made General Park Chung-hee more certain that the formulation of a HCI Plan was the right step to take.

The deteriorating condition of military security put the HCI drive on a qualitatively different plane as well. With President Nixon’s visit to China in 1972, the U.S. Seventh Infantry Division’s withdrawal from South Korea in 1971, and the U.S. military disengagement from South Vietnam in 1972, Park’s urgency in developing the steel industry as part of South Korea’s modern defense industries rose dramatically.

[…] The launching of HCI profoundly strengthened the status of the steel industry within the hierarchy of the national agendas. Park looked at the steel industry as the engine of deepening industrial development. This change of perception within the inner policy circles led to the announcement in July 1973 of plans to construct a second integrated steel mill upon the completion of POSCO. To support the simultaneous development of the shipbuilding, electronics, machinery, and nonmetal materials industries, Park called for increasing the South Korean steel production capacity from one million tons in 1973 to ten million by 1980.

An excerpt taken from “The Park Chung Hee Era: The Transformation of South Korea” by Byung-Kook Kim and Ezra F. Vogel.

What can we learn from this article?
Consider the following question:
– How far do you agree that the economic transformation of South Korea between 1970 and 1990 was the result of business conglomerates?

Join our JC History Tuition to learn more about the Global Economy and the Asian Tiger economies. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - How did South Korea grow so fast - Asian Tigers Notes

How did South Korea grow so fast?

Paper 1: Understanding the Global Economy (1945-2000)
Section B: Essay Writing
Theme II Chapter 3: Rise of Asian Tigers from 1970s to 1990s [South Korea and Taiwan] 

Find out more about the railway development in South Korea. [Video by Railways Explained]

Historical background
Before South Korea transformed to an advanced economy, it was in a desolate and backward state. Between the 1950s and 1960s, South Korea was largely dependent on agriculture. Unfortunately, the Korean War further set the nation back as the destruction wrought by conflict left much of its infrastructure in ruins.

Under the regime of President Syngman Rhee (이승만), South Korea relied on foreign aid and assistance, which mainly came from its Cold War ally, the USA. Even so, South Korea experienced high unemployment and widespread poverty, thus the aim of economic transformation seemed improbable at that time.

[…] Korea’s GDP per capita in 1950 was $156, lagging against Ghana and the Philippines. In many ways, it was the poster child of an underdeveloped and fragile state among the lowest income group of nations, according to the World Bank. Income levels were lower than that of most Asian countries, similar or lower than that of most African countries in those days, and much lower than many South American countries such as Brazil and Argentina.

An excerpt taken from “The Economic Development of South Korea” by Seung-hun Chun.

Phases of Economic Development
In summary, the economy of South Korea went through three key phases:

  1. 1954-1960: Import-substitution industrialisation
  2. 1961-1979: Export-oriented industrialisation
  3. 1980-1990: Stabilisation and diversification

On 16 May 1961, General Park Chung-hee (박정희) launched a military coup d’état, replacing President Yun Po-sun (윤보선) with himself at the apex of the political structure. Afterwards, Park declared martial law, which lasted for 29 months until October 1963. The military government pursued two key aims: poverty elimination and political stabilisation.

State-guided industrialisation under Park
The Park regime then introduced its very first Five-Year Economic Development Plan (1962-1966) to transform South Korea. As a result, the Economic Planning Board (EPB) was established. The EPB, which was initially known as the Ministry of Construction, was tasked with planning, budgeting and the attraction of foreign capital. In essence, the EPB focused on policy coordination through budget allocation.

In addition, two think-tanks were set up to support the government’s economic policies in the late 1960s, such as the Korea Institute of Science and Technology (KIST). Formed in 1966, the KIST’s main role was to undergo research and development (R&D) to support national efforts to achieve economic growth. This institute helped with the process of industrial modernisation, as seen by technological breakthroughs like the development of Korea’s first colour television in the early 1970s.

KIST made important contributions to growth of the shipbuilding, steel, chemical and electronic industries in Korea. The success of KIST led the Korean government to set up subsequent state-funded research institutes dedicated to research relevant to specific knowledge-intensive industries, including the Korea Institute of Machinery and Materials, the Korea Institute of Chemical Technology, and the Electronics and Telecommunications Research Institutes. In 1970, these state-funded institutes accounted for 58.51% of total nation R&D expenditures.

An excerpt taken from “Routledge Handbook of Science, Technology, and Society” by Daniel Lee Kleinman and Kelly Moore.

An exemplary model: Enter POSCO
The Park administration realised the self-sufficiency in steel was vital to kickstart economic development in the 1960s. As such, the Pohang Iron and Steel Company Limited (POSCO) was formed in 1968 with Park Tae-Joon (박태준) at the helm. In 1973, POSCO began production. Notably, the state-owned PSCO was ranked the world’s six-largest steel producer in 1986, commanding an annual output of 11.3 million tonnes. With technical support from Nippon Steel, POSCO became one of South Korea’s most profitable enterprise.

The Korean steel industry became the catalyst and linchpin for a number of industries, such as automobiles, shipbuilding, containers, railroads, construction, and appliances, which complemented one another in a virtuous vicious circle of economic growth over the last three decades. POSCO and importance of the state development in economic development as one of the good and significant examples.

An excerpt taken from “Designing Public Procurement Policy in Developing Countries: How to Foster Technology Transfer and Industrialization in the Global Economy” by Murat A. Yülek and Travis K. Taylor.

Likewise, other private businesses contributed to the economic transformation of South Korea, such as Hyundai. These chaebols defined the economic development of South Korea.

What can we learn from this article?
Consider the following question:
– How far do you agree that the economic miracle in South Korea was result of Park Chung-hee’s leadership?

Join our JC History Tuition to learn more about the Global Economy and the Asian Tiger economies. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - Why did Nixon end the Bretton Woods system - Global Economy Notes

Why did Nixon end the Bretton Woods system?

Topic of Study [For H2 History Students]: 
Paper 1: Understanding the Global Economy (1945-2000)
Section B: Essay Writing
Theme II Chapter 1: Problems of economic liberalisation

Learn more about the historical significance of the Gold Standard [Video by Economics Explained].

Historical background
In 1944, an international monetary agreement was signed in 1944 at the Bretton Woods Conference. Under this agreement, foreign currencies were defined in terms of the US dollar (USD). A new system was established in the post-WWII period to replace the Gold Standard that ended in 1993 following the Great Depression.

Under this system, a fixed exchange rate was established, in which one ounce of gold is equivalent to 35 USD.

When nations participate in a pegged exchange-rate system, they agree to fix the value of their currencies relative to another currency rather than to a commodity such as gold. The US dollar was chosen as the base currency and all the countries agreed to keep the value of their currency within plus or minus 1 percent of a specific value of the dollar. […] In contrast to all other nations, the US currency maintained a relationship with gold fixed at $35/ounce. Thus, because the US dollar remained fixed to gold, this was an indirect gold standard, but nations used US dollars rather than gold to settle international transactions.

An excerpt taken from “International Business: Strategy and the Multinational Company” by K. Praveen Parboteeah and John B. Cullen.

With support from the International Monetary Fund (IMF), an automatic adjustment helped nations to avoid the onset of deflation, thereby maintaining stable exchange rates. By the late 1950s, key trading nations loosened exchange restrictions to accept the international gold standard.

Dollar shortage & the Gold Pool
Following the Second World War, governments in Western Europe imported US-made machinery and merchandise. Consequently, there was a surge in demand for USD, given that more nations underwent post-war economic reconstruction. During the Presidential polls in August 1960, US Senator John F. Kennedy declared his plan to “get America moving again“, giving rise to a ‘gold rush’.

As a result, the increase in market price of gold in London to $40 sparked fears of an unstable USD-gold parity. As such, a “Gold Pool” was created in November 1961, in which eight central banks agreed to buy and sell gold only at the official price of $35. Seven other central banks agreed to provide half of the gold supply to keep the market price of gold stable.

The spike in the London market price sparked fears that governments, seeing the writing on the wall, might demand wholesale conversion of their dollars into gold. In response, the US Treasury provided the Bank of England with gold to be used to bring the price of gold on the London gold market, where the metal was bought and sold by private investors (some would say “speculators”), back down to $35, and the governments of principal industrial countries agreed to refrain from buying gold at a higher price.

[…] What the left hand gave, the right hand taketh away, in other words, in a classic instance of a collective-action problem. As a result, the Gold Pool did little to resolve the internal contradictions of what was now referred to as the Bretton Woods gold-dollar system.

An excerpt taken from “The Bretton Woods Agreements: Together with Scholarly Commentaries and Essential Historical Documents” by Naomi Lamoreaux and Ian Shapiro.

Overvaluation of the USD: A currency crisis and a gold glut
However, the USA faced problems with the system. In the early 1960s, the USA experienced rising inflation. As a result of inflation, the increase in silver prices made it difficult for the USA to ensure adequate circulation of coins and silver certificates. In response, the Congress repealed the Silver Purchase Act in 1963 and enabled the Federal Reserve to produce notes in $1 and $2 denominations. At the same time, silver certificates were gradually retired, thus freeing up the silver holdings for use as coins.

Yet, inflation persisted. In 1968, the Congress repealed the requirement to hold gold reserves against Federal Reserve notes. This led to the collapse of the “Gold Pool”.

By the late 1960s, the inflationary condition exacerbated by the large spending to finance the ‘Great Society’ and the Vietnam War strained the international monetary system. Although a two-tier gold market was created in March 1968, foreign governments viewed it with much skepticism. Central banks were unwilling to accept USD in settlement.

The Bretton Woods was based on gold, but the global gold stock could not meet the world’s demand for international reserves, without which pegged exchange rates were impossible. Consequently, the United States provided dollar reserves by running a persistent balance of payments deficit and promised to redeem those dollars for gold at $35 per ounce. By 1961, however, the amount of dollar claims outstanding began to exceed the US government’s stock of gold. The deficit of gold implied that the United States might not be able to keep its pledge to convert dollars for gold at the official price.

[…] The prospect of a dollar devaluation created strong incentives to exchange dollars for US gold. The US Treasury and the Federal Reserve tried to keep this from happening through stop-gap measures, but they could not solve the underlying paradox: Without additional dollar reserves, the system was unworkable; with additional dollar reserves, the system was unstable.

An excerpt taken from “Currency Stability and a Country’s Prosperity: “Does a Mandatory Currency Stability Law Determine the Stability and or Prosperity of a Country?” by John E. Baiden.

As a result, US President Richard Nixon ‘closed the gold window‘ in August 1971, thereby disallowing foreign central banks from exchanging USD for the US Treasury’s gold. Notably, Nixon blamed other countries for their reluctance to share the military burden of the Cold War, which in turn contributed to the persistent balance of payments deficit.

What can we learn from this article?
Consider the following question:
– How far do you agree that the problems of the Crisis Decades were the result of American economic policies?

Join our JC History Tuition to learn more about the Global Economy. The H2 and H1 History Tuition feature online discussion and writing practices to enhance your knowledge application skills. Get useful study notes and clarify your doubts on the subject with the tutor. You can also follow our Telegram Channel to get useful updates.

We have other JC tuition classes, such as JC Math Tuition. For Secondary Tuition, we provide Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition, Social Studies Tuition, Geography, History Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English, Math and Science Tuition. Call 9658 5789 to find out more.