JC History Tuition Online - What is the Look East policy - Economic Development Notes

What is the Look East Policy of Malaysia?

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

Learn more about the Look East Policy that impacted Japanese-Malaysian relations as well as economic development of Malaysia. [Video by Free Malaysia Today]

Historical context: Learning from the best
Six months after Dr. Mahathir assumed the role as the Prime Minister of Malaysia, his administration launched the ‘Look East Policy‘ in February 1982, which called upon Malaysians to emulate the Japanese work ethic and business management techniques. By doing so, the government aims to acquire Japanese expertise and capital through bilateral trade and investment.

To Mahathir, the definition of ‘East’ consisted of Japan and South Korea. Interesting, Taiwan and Singapore were not being raised as case study references.

Mahathir also mentioned two features which Malaysia proposed to adopt from the Japanese model. One was the concept of Malaysia Incorporated, intended to encourage business owners and workers in the public and private sectors to work together. Another was to create large companies based on the Japanese sogo shoshas (the large trading companies), although in Malaysia these were not developed as rapidly as the Prime Minister would have wished.

An excerpt from “Malaysian Politics Under Mahathir” by Diane K. Mauzy and R. S. Milne.

Two-pronged approach
The ‘Look East Policy’ had two parts. First, Malaysians studied at the Japanese universities. Second, trainees worked at Japanese industries. The program was mainly financed by the Malaysian government, while the Japanese counterpart deployed Japanese trainers and covered part of the expenditure.

No one can dispute that Japan achieved a miracle when it rebuilt itself after the war. How did it do it? It did it by not being advised by other people. It did it in its own way. The only advice it accepted was to produce high quality goods, goods of world standards, so as to be accepted by the world markets. The rest was entirely Japanese.

[…] Japan has been censured for the close cooperation between the government and the corporations. Japan incorporated was regarded as some kind of cronyism involving the government and the private sector. Malaysia sees nothing wrong in the close collaboration between government and the private sector. The government should help the private sector to succeed because a large chunk of the profits made by the private sector belongs to the government. In helping the private sector the government is actually helping itself.

An excerpt from a speech by Dato’ Seri Dr. Mahathir bin Mohamad, Prime Minister of Malaysia, on “Look East Policy – The Challenges for Japan in a Globalized World“, in 2002, marking the 20th anniversary of the ‘Look East Policy’.

Dr. Mahathir held a firm belief that the ‘Look East Policy’ was vital in realising his Vision 2020, an aim to transform Malaysia into fully developed nation by doubling the Gross Domestic Product (GDP) every decade between 1990 and 2020. Japan was identified as a integral role to fulfil this national aim.

A pipedream in the making?
However, government efforts to emulate the successful Japanese model were obstructed by several factors. One such problem was the cultural differences. For instance, the Japanese employees have adapted to long working hours, but there was resistance from the Malaysians.

Another issue was related to the differences in economic development. While Japan was a pro-Capitalist developed nation, Malaysia was still in the process of transforming from a developing nation to a newly-industrialised economy.

The application of the ‘Look East Policy’ can be traced to the establishment of the Heavy Industry Corporation of Malaysia (HICOM) in 1980, which was also key feature in Mahathir’s policymaking in the 1980s. With the help of a team of United Nations development experts, HICOM formed companies, such as the Proton Saga national car project (Perusahaan Otomobil Nasional) and the Perwaja Terengganu steel mill.

While still Minister of Trade and Industry, Mahathir contacted Mitsubishi, apparently without sounding out any other possible Japanese partners, and reached agreement with Mitsubishi.

[…] There seems to have been reluctance to make use of knowledgeable Chinese in the Proton project. However, on marketing and selling, the government relied on existing Chinese firms. There was some truth in comments that the Proton was not really a Malaysian car, but a Japanese car with a Malaysian “chop” (name). In 1994 Mahathir accepted this, admitting that Malaysia would not have the know-how to produce a fully fledged car for ten to fifteen years.

An excerpt from “Malaysian Politics Under Mahathir” by Diane K. Mauzy and R. S. Milne.

What can we learn from this article?
Consider the following question:
– How far do you agree that external actors were more important than domestic actors in promoting economic development of Southeast Asian states?

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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What is the Coalition Government of Democratic Kampuchea

What is the Coalition Government of Democratic Kampuchea?

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)

Historical context: Third Indochina War
In December 1978, Vietnamese forces entered Cambodian territory and toppled the Khmer Rouge regime. Subsequently, the pro-Vietnamese People’s Republic of Kampuchea (PRK) was formed, led by Cambodian politician Heng Samrin.

An ASEAN-backed solution: Enter the Coalition
In 1980, ASEAN and China urged the Khmer Rouge and the royalists to join forces and form a coalition group to prevent the legitimisation of the PRK government. Norodom Sihanouk had set some conditions before returning to politics, such as disarmament to prevent another round of atrocities committed by the Khmer Rouge as well as the deployment of peacekeepers after the Vietnamese withdrawal.

Notably, Sihanouk also requested that the country’s official name be changed from Democratic Kampuchea to Cambodia.

Leaders of the political factions Sihanouk, Son Sann and Khieu Samphan attended a summit hosted by Singapore in September 1981. Eventually, a ‘four-points’ agreement was made, which included the formation of a Coalition Government of Democratic Kampuchea (CGDK).

With the CGDK being formed, the factions can garner foreign military support for the other two factions besides the Khmer Rouge, particuarly the Khmer People’s National Liberation Front (KPNLF) and National United Front for an Independent, Neutral, Peaceful and Cooperative Cambodia (FUNCINPEC).

On 22 June 1982, the three leaders signed an agreement to officiate the establishment of the CGDK in Kuala Lumpur. The June agreement stated that the CGDK’s aim was to “mobilize all efforts in the common struggle to liberate Kampuchea from the Vietnamese aggressors”.

More importantly, the three political factions in the coalition group would share power equally and make decisions through consensus.

On June 22, 1982, the three coalition leaders met in Kuala Lumpur to sign an agreement establishing a Coalition Government of Democratic Kampuchea (CGDK), on the basis of four principles. Prince Norodom Sihanouk was president, with Son Sann the premier and Khieu Samphan the vice president, in charge of foreign affairs. […] and the new president launched an appeal to all friendly countries to bring aid and support for the “sacred cause”, the restoration of peace in Kampuchea and stability and security in that part of the world.

An excerpt from “Cambodia Confounds the Peacemakers, 1979-1998” by Macalister Brown and Joseph Jermiah Zasloff.

What can we learn from this article?
Consider the following question:
– How far do you agree that ASEAN played a crucial role in the resolution of the Cambodian Crisis?

Join our JC History Tuition to learn more about the Regional Conflicts and Cooperation. 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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - Why Did the USA Get Involved in the Korean War - Cold War Notes

Why did the USA get involved in the Korean War?

Topic of Study [For H2 and H1 History Students]: 
Paper 1: Understanding the Cold War (1945-1991)
Section A: Source-based Case Study
Theme I Chapter 2: A World Divided by the Cold War – Manifestations of the global Cold War: The Korean War (1950)

Learn more about the causes of the Korean War [Video by The Infographics Show]

Historical context: A Divided Korea
After the Japanese surrendered in 2 September 1945, the superpowers (USA and the USSR) agreed to divided the Korean peninsula at the 38th parallel. From 1945 to 1948, the superpowers oversaw the development of the two Koreas.

In 1948, the USA put forth the idea of a vote for all Koreans to decide their futures. After the North refused, the Democratic People’s Republic of Korea (DPRK) was formed, helmed by Kim II-Sung. In contrast, the South formed the Republic of Korea (ROK) under the leadership of President Syngman Rhee.

Having blamed the United States for killing Korean reunification and setting up its own satellite state in southern Korea, the USSR then proceeded to approve the establishment of a separate North Korean state only after the South Korean state had been founded on August 15, 1948. Accordingly, elections were held in northern Korea on August 25, and the Democratic People’s Republic of Korea (DPRK) was proclaimed on September 9, with its capital in Pyongyang.

An excerpt from “The Partition of Korea After World War II: A Global History” by Jongsoo James Lee.

Preparation for War
In 1949 and 1950, Kim visited Stalin in Moscow, seeking the Soviet leader’s support to launch an invasion in Korea. With the help of the Soviets and the Chinese, the North Korean troops crossed the 38th parallel and invaded South Korea on 25 June 1950.

Before the Truman administration took the initiative to lead the United Nations Command (UNC) and repel the invasion, the American President received a document named the National Security Council Paper Number 68 (NSC-68). The document advised Truman to build up the defense industry to counter the danger of global communism.

According to the authors, the Soviet Union was an inherently expansionistic and militaristic power “animated by a new fanatic faith” – communism – that “seeks to impose its absolute authority over the rest of the world.

[…] “With the development of increasingly terrifying weapons of mass destruction,” the authors of NSC 68 wrote, “every individual faces the ever-present possibility of annihilation should the conflict enter the phase of total war.” “The issues that face us are momentous,” the authors admonished, “involving the fulfillment or destruction not only of this Republic but of civilization itself.”

An excerpt from “NSC 68 and the Political Economy of the Early Cold War” by Curt Cardwell.

On 27 June 1950, Truman gave a speech, ordering the deployment of American forces to South Korea to counter the North Korea’s attacks. Interestingly, the US intervention was not treated as formal declaration of war against North Korea, but rather a ‘police action’.

American historians have consistently revised their views on the Korean War: called a “police action” in the 1950s, it became the “limited war” in the 1960s, a civil war or “forgotten war” or “unknown war” in the 1970s and ’80s, and in the 1990s new archives in Moscow were used to argue that it was exactly the war Truman said it was at the time: Kremlin aggression, which he rightly resisted.

An excerpt from “The Korean War: A History” by Bruce Cumings.

What can we learn from this article?
Consider the following question:
– To what extent do you agree that the Korean War was a civil conflict?

Join our JC History Tuition to learn more about the Korean War and other case studies related to A World Divided by the Cold War. 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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - When was the Sovietisation of Eastern Europe - Cold War Notes

When was the Sovietisation of Eastern Europe?

Topic of Study [For H2 and H1 History Students]: 
Paper 1: Understanding the Cold War (1945-1991)
Section A: Source-based Case Study
Theme I Chapter 1: Emergence of Bipolarity after the Second World War

Learn more about the Sovietisation of Eastern Europe and its impacts on the outbreak of the Cold War in the 1940s. [Video by The Cold War]

Historical context: Dividing the spoils
As the curtains of the Second World War close, the Allied Powers led by the ‘Big Three’ (USA, Soviet Union and Great Britain) gathered in several meetings to discuss the future of post-war Europe, particularly the Yalta (February 1945) and Potsdam (August 1945). In October 1944, Soviet Premier Josef Stalin and British Prime Minister Winston Churchill met to sign a secret informal agreement, known as the ‘Percentages agreement’. This agreement gave Stalin control over the Eastern European nations.

The moment was apt for business, so I said [to Stalin], ‘Let us settle about our affairs in the Balkans. Your armies are in Romania and Bulgaria. We have interests, missions, and agents there. Don’t let us get at cross-purposes in small ways. So far as Britain and Russia are concerned, how would it do for you to have ninety percent predominance in Romania, for us to have ninety per cent of the say in Greece, and go fifty-fifty about Yugoslavia?

An excerpt from “Stalin’s Wars: From World War to Cold War, 1939-1953” by Geoffrey Roberts.

Strategic considerations: Stalin’s ruminations
During the Second World War, Stalin believed that territorial occupation enables the government to establish its own ‘social system’. Furthermore, the Soviet Premier had anticipated a clash with the capitalist world in the near future, thus necessitating the creation of a pro-Soviet bloc in Eastern Europe.

The Litvinov document was prepared in association with the Yalta Conference and explored the possibility of establishing an agreement about three spheres of influence on the continent. Linked to the Soviet Union would be a zone in the east and north, including Finland, Sweden, Poland, Hungary, Czechoslovakia, Romania, Yugoslavia, Bulgaria, and Turkey. A second zone would be dominated by Britain and would include the Netherlands, Belgium, France, Spain, Portugal, and Greece.

An excerpt from “The Cambridge History of the Cold War (Volume 1)” by Melvyn P. Leffler and Odd Arne Westad.

Start of the Sovietisation: Poland
In late July 1944, the Polish National Liberation Committee (PKWN) accompanied Soviet troops into Poland. A pro-Communist Polish national government was formed in Lublin. At the same time, the Soviet forces obliterated resistance linked to the Polish government-in-exile based in London.

Aside from the regular military authorities, Serov proceeded to divide Poland into districts, each of which was overseen by NKVD units whose job it was to destroy the opponents of the Soviet Union. He himself led the effort to infiltrate AK units, arrest those members who refused to leave the underground and turn over their weapons, and torture and brutalize those captured, ferreting out information about other resistance members and their units. According to Soviet figures, by the end of the war, some twenty-five thousand Poles, mostly AK fighters, were in NKVD camps; thousands more had been killed in a series of coordinated “actions” or in outright battles between the Soviet police units and the AK.

An excerpt from “Stalin and the Fate of Europe: The Postwar Struggle for Sovereignty” by Norman M. Naimark.

From the American and British perspectives, the Sovietisation of Eastern Europe was a worrying development. For the former, the Truman administration had derived a response to counter the expansionist policies, also known as the Truman Doctrine.

What can we learn from this article?
Consider the following question:
– How far do you agree that the Sovietisation of Eastern Europe was the main cause of the outbreak of the Cold War?

Join our JC History Tuition to learn more about the Emergence of Bipolarity. 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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What was the 1997 coup in Cambodia about

What was the 1997 coup in Cambodia about?

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)

Historical context: End of a 16-year long war
At the end of the Third Indochina War, the Paris Peace Accords of 1991 were signed. With the help of the United Nations Transitional Authority in Cambodia (UNTAC) led by Secretary-General Special Representative Yasushi Akashi and Lieutenant General John Sanderson, free elections were held in 1993.

The elections concluded with the formation of a Cambodian coalition government led by two political parties, Prince Norodom Ranariddh’s royalist FUNCINPEC (National United Front for an Independent, Neutral, Peaceful and Cooperative Cambodia) Party and the Cambodian People’s Party (CPP) led by Hun Sen. The CPP held dominant control of the Royal Cambodian Armed Forces.

It was agreed that Prince Ranariddh would assume the leadership position of Prime Minister first, then Hun Sen as the Second Prime Minister.

The coup and its impacts
On 5 July 1997, the CPP led the military in a coup against the Cambodian government, ousting Prince Ranariddh and his royalist faction.

Foreign investment nosedived. Some governments suspended aid. Cambodia’s seat at the UN was vacated under American pressure and the country’s long- awaited admission into ASEAN was postponed.

[…] These critics in Congress combined the democratic triumphalism of the post-Cold War years with a hangover from the US humiliation in Vietnam. Hun Sen, in their view, was a dictator and a war criminal. Not only had he been installed by communists, but he had been installed by Vietnamese communists. Rohrabacher later dubbed him “a new Pol Pot.

An excerpt from “Hun Sen’s Cambodia” by Sebastian Strangio.

More importantly, ASEAN had initially contemplated on extending an invitation to Cambodia to join as a member. In 1994, Cambodia was granted ‘observer’ status’, preparing it for the attainment of full membership. Following the coup, ASEAN announced its decision to postpone Cambodia’s membership admission.

Even so, ASEAN remained optimistic in offering a peaceful solution to the crisis in Cambodia. Three foreign ministers (Ali Alatas of Indonesia, Prachuab Chaiyasan of Thailand, and Domingo Siazon of the Philippines) formed an ‘ASEAN Troika‘ that offered to mediate the matter in Phnom Penh on 19 July 1997. However, the talks failed.

The Western donors and the ASEAN Regional Forum (ARF) endorsed ASEAN’s lead role in resolving the Cambodian crisis. US Secretary of State Madeleine Albright emphasised that foreign aid was now conditional upon ASEAN intervention, stating that ‘cooperation with ASEAN mediation… is essential if Cambodia is to fully rejoin the international community’

[…] The ASEAN Troika’s first proposal, issued on 19 July, was for Ranariddh to be reinstated and for both co-prime ministers to appoint representatives to run a ‘caretaker government’ until the May 1998 elections. Hun Sen rejected this.

An excerpt from “ASEAN, Sovereignty and Intervention in Southeast Asia” by Lee Jones.

Hun Sen criticised ASEAN for not adhering to its non-interference principle. Sen claimed that the political turmoil in Cambodia was its own domestic matter, thus ASEAN had no jurisdiction. Fortunately, the talks finally bore fruit as Sen agreed to join ASEAN on 30 April 1999.

When ASEAN decided to postpone Cambodia’s membership, [Hun Sen] threatened to withdraw Cambodia’s application: “I am afraid of joining ASEAN because of ASEAN interference in internal affairs.” However, in the end, Hun Sen accepted ASEAN as a mediator on the condition that it refrained from interfering in Cambodia’s internal affairs and respected its role of strict neutrality.

An excerpt from “The Changing Global Order: Challenges and Prospects” by Madeleine O. Hosli and Joren Selleslaghs.

What can we learn from this article?
Consider the following question:
– How far do you agree that governments were responsible for the economic instability in independent Southeast Asia?

Join our JC History Tuition to learn more about ASEAN as well as Regional Conflicts and Cooperation. 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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - How did the 1970s oil crises affect Southeast Asia

How did the 1970s oil crises affect Southeast Asia?

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

Learn more about the 1973 oil crisis that impacted many economies, including the USA. [Video by ThamesTV]

Historical context: The 1970s oil shocks
In the early 1970s, petrostates in the Arab world agreed to boycott Western nations, such as the USA and UK, for their provision of support to Israel during the Yom Kippur War against Egypt. As a result, crude oil prices quadrupled from $3 per barrel to $12 per barrel by 1974.

The second oil shock took place between 1978-1979, in which the Iranian Revolution concluded with the fall of the Shah’s regime. At that time, Iran was the world’s second-largest oil exporter. With the temporary halt in oil production in Iran, the political turmoil had further devastated the world oil markets, causing oil prices to surge to nearly $30 per barrel by early 1980.

A windfall in Indonesia: Surge of petrodollars
In Southeast Asia, oil exporting nations like Indonesia benefited from this unprecedented development, given their membership in the Organisation of Petroleum Exporting Countries (OPEC). The oil price in Indonesia increased from $1.67 per barrel in 1970 to $35 in 1981.

With large inflows of revenues from oil exports, the Indonesian government used these surpluses to correct its balance of payment deficits. Furthermore, the New Order government used the oil revenues to expand the manufacturing sector, particularly through import purchases of raw materials and capital goods. More importantly, President Suharto embarked on ambitious large-scale development programs in different parts of Indonesia, including Java.

Due to the higher oil revenues, the Indonesian government was able to undertake substantial public investments and expand and improve the efficiency of the public administration sector (for instance by raising the salaries of public servants) which, in turn, contributed to economic growth.

[…] After the early 1970s first foreign aid and then oil revenues were spent on rehabilitating and expanding the long-neglected physical infrastructure (particularly in rural areas) and transport infrastructure. This rapid expansion and improvement of the physical and transport infrastructure involved roads, railways, bridges, harbours, airports and communications.

An excerpt from “Emergence of a National Economy: An Economic History of Indonesia, 1800-2000” by Howard Dick, Vincent J. H. Houben, J. Thomas Lindblad and Kian Wie Thee.

A temporary setback: For oil-importing nations in Southeast Asia
In contrast to Indonesia and Malaysia, oil-importing nations like Thailand, Malaysia, Singapore and the Philippines were adversely affected by the rise in oil prices. Higher oil prices meant a decline of the terms of trade as well as their balance of payment positions.

Thailand was hit harder by the second oil crisis and the subsequent world-wide recession because the country had become more dependent on external trade, and the external terms of trade were no longer favourable. […] The rate of inflation as measured by the consumer price index, which was 7 to 10 percent during the period 1977-1979, accelerated to 19.7 percent in 1980. Economic growth slowed somewhat to an annual growth rate of 7 percent in the 1970s, with the manufacturing sector growing at a higher-than-average rate of around 10 percent per annum.

An excerpt from “Economic Development in East and Southeast Asia: Essays in Honor of Professor Shinichi Ichimura” by Seiji Naya and Akira Takayama.

What can we learn from this article?
Consider the following question:
– How far do you agree that governments were responsible for the economic instability in independent Southeast Asia?

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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What affected the economic development of Indonesia under Suharto

What affected the economic development of Indonesia under Suharto?

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

Challenges that surfaced during the ‘New Order
After Suharto took over Sukarno as the Indonesian President in the late 1960s, the new leader had begun efforts to recover the Indonesian economy. Agendas were set in the new Five-Year Plan, also known as Repelita I (Rencana Pembagunan Lima Tahun I).

A crisis in the agricultural sector: Rice
In the early 1970s, a serious drought had hit Indonesia. It adversely affected rice producers, leading to a fall in production. As a result, the price of rice surged, impacting the poor. If left unchecked, this economic problem may spill over to the political sphere.

In 1973, Suharto formed the Badan Urusan Logistik (BULOG), a national rice agency. It was established to build and maintain a buffer stock of rice, managing distribution of rice across Indonesia. Also, it helped to maintain rice price stability to protect the welfare of rice farmers.

In addition, the Indonesian government aimed to create a national buffer stock of rice to pre-empt shortages, should there be unforeseen circumstances like a serious drought. By 1979, an integrated network of modern warehouses was built. This network had the capacity to store one million tons of rice across the nation.

From 1975 to 1983 BULOG implemented the government’s floor and ceiling price policy and delivered monthly rations to the Budget Groups without a hitch. […] Supporting the floor price received top priority as a way of stimulating domestic rice production, a crucial task because of the perceived unreliability of the world rice market. From 1974 to 1978, persistent problems with disease and pests associated with the new rice varieties kept upward pressure on rural prices, so maintaining the floor price was relatively easy at the prices actually set, which merely kept pace with inflation.

An excerpt from “Indonesia’s Sustainable Development in a Decentralization Era” by Budy P. Resosudarmo, Armida S. Alisjahbana and Bambang P.S. Brodjonegoro.

Public demonstrations: Malari
In the same decade as the ‘rice crisis’, Indonesia grappled with protests in Jakarta and other parts of Indonesia, known as the Malari riots in short (Malapetaka Lima belas Januari). The origins of the riots can be traced to a visit by the Japanese Prime Minister Kakuei Tanaka. There were fears of growing Japanese influence in the commercial sectors of Indonesia.

In response to the demonstrations led by students, the New Order government mobilised the military to quell the unrest and restore order. Furthermore, public discussion of the Malari and its impacts was prohibited.

From the economic standpoint, Suharto revised the policies on attracting foreign investment, especially from Japan, to minimise the resurgence of socio-political instability.

The first was the so-called “Malari Affair” of January 1974, during which public anger about the rising tide of Japanese investment boiled over and called into question the continued dominance of energy extraction in Japanese-Indonesian relations. […] Malari forced a toning down of Japan’s conspicuous presence in Indonesia, as many analysts at the time identified it with Japan’s poor public image abroad.

An excerpt from “Engineering Asia: Technology, Colonial Development, and the Cold War Order” by Hiromi Mizuno, Aaron S. Moore and John DiMoia.

What can we learn from this article?
Consider the following question:
– How successful were governments in managing economic challenges in independent Southeast Asia?

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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - How did Giant become the biggest bicycle manufacturer in the world

How did Giant become the biggest bicycle manufacturer in the world?

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 Taiwanese bicycle manufacturer Giant [Video by Cycling Pulse]

Humble beginnings: A SME run by family and friends
In 1972, a 36 year-old engineer King Liu founded Giant with a group of associates, including Tony Lo, in Taichung (臺中). Lo was a business graduate from the National Taiwan University. Interestingly, Liu cycled to work at first to understand his product better.

In 1977, Liu secured a contract to produce bicycles for an overseas American company Schwinn, which was known for its 10-speed steel machines. Giant then functioned as an Original Equipment Manufacturer (OEM). Liu, who was fluent in Japanese, visited Japan to study the bicycle production process, replicating suitable work practices at Giant.

An unexpected turn of events: Turning setbacks into opportunities for success
In 1981, Giant set up its own bicycle brand as an Original Brand Manufacturer (OBM). It was a bold and unusual move as products that were manufactured in Taiwan were still viewed as low-quality and cheap.

Five years later, Giant brought its bicycles to the global market, starting with the Netherlands. Lo had identified Netherlands as a suitable European headquarters due to its geographical location, comprehensive infrastructure and integrated transport network. From there, Giant exported to other European markets. By the mid-1980s, Giant exported nearly 10 million bicycles a year.

The own-branding strategy was intensified when Schwinn shifted its OEM orders to its joint China’s company (China Bicycle Company) in 1985. Under this adverse condition, Liu steered the company into a new direction, through rapidly expanding its overseas branches around the world, in order to fill up the excess capacity generated by Schwinn’s withdrawal. The overseas branches were all targeted on pursuing entrepreneurial profit by promoting its own-brand Giant bicycles. Its overseas branch was established in Netherlands in 1986, the Us in 1987, Japan in 1989, Canada and Australia in 1991, and mainland China in 1992.

An excerpt from “Entrepreneurship and Taiwan’s Economic Dynamics” by Fu-Lai Tony Yu.

In the 1985, the US-based Schwinn switched to a Chinese supplier to keep production costs low. As a result, nearly three-quarters of Giant’s revenue had been affected. Yet, Giant did not relent. Instead, the company capitalised on the low production base in China, setting up two production plants in China, namely in Shanghai (上海) and Jiangsu (江苏).

Close collaboration with the government
In 1986, Giant launched a joint project with the government-funding Industrial Technology Research Institute (ITRI). They explored use of advanced materials to create carbon fiber bicycle frames. Giant also worked on other technology diffusion projects for aluminum welding with Chun Shan Institute of Science and Technology (CSIST).

Giant’s R&D efforts had paid off as tts revenue rose to over NT$ one billion.

In 1987, Giant pioneered the mass production of carbon bicycles, particularly the model called Cadex 980C. Lo dubbed it ‘Project 88’. Giant had applied computer-aided design and volume production techniques to manufacture these carbon fiber road bicycles. By 1991, Giant manufactured 20 thousand units of carbon bicycles.

Now, Giant one of the top bicycle manufacturers in the world.

Giant thinks of itself as an innovator in the fields of production and design, as well as competitive strategy. Giant was one of the first to upgrade parts and begin exporting them when Taiwan’s market became too costly. Giant was also the first Taiwanese company to use chrome alloy steel in their frames and to produce single-piece graphite bicycle frames.

An excerpt from “Strategy, Structure, and Performance of MNCs in China” by Yadong Luo.

What can we learn from this article?
Consider the following question:
– How far do you agree that Giant’s successes in export promotion were the result of Confucian culture?

Join our JC History Tuition to learn more about the rise of Asian Tiger economies and 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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - What does United Microelectronics do - Asian Tigers Notes

What does United Microelectronics 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] 

Learn more about the Taiwanese semiconductor company, United Microelectronics Corporation (UMC) [Video by UMC Group (USA)]

Historical context: Silicon Valley of the East
On 22 May 1980, the United Microelectronics Corporation (UMC) was formed as the first-ever private integrated circuit (IC) company in Taiwan. The UMC was a product of the state-backed technology R&D institution, known as the Industrial Technology Research Institute (ITRI).

Under the leadership of President Chiang Ching-kuo (蔣經國), the government embarked on an ambitious project to encourage knowledge and skills acquisition in the private sector to intensify Taiwan’s industrial development.

The UMC occupied the Hsinchu Science Park (HSIP, 新竹科學園區), which was modelled after the Silicon Valley.

Located in Hsinchu County, approximately 80 km to the south of the capital city Taipei, HSIP had easy access to the international airport and harbours, a skilled labour force and abundant technological resources, including two national universities and the government-sponsored ITRI. Since its inception, HSIP has received over US$500 million from the government, earmarked for the acquisition and development of land and construction of housing and factories.

An excerpt from “The Silicon Dragon: High-Tech Industry in Taiwan” by Terence Tsai and Bor-Shiuan Cheng.

Enter the age of semiconductors
Under the astute leadership of Robert Tsao (曹興誠), who became president of UMC in 1982, the UMC became the first IC manufacturer in Taiwan to provide wafer foundry services.

In the late 1980s, the UMC broadened its scope of production, venturing into Dynamic Random Access Memory (DRAMs) and telecommunications circuitry. Tsao believed that specialisation in foundry services was the ideal model for the UMC to thrive.

The UMC turned out to be a successful spin-off from HSIP, as seen by its entry to the Taiwan Stock Exchange in 1985. From then on, the UMC went further to build increasingly advanced chips, such as Static Random Access Memory (SRAMs).

A similar venture: The TSMC
In 1987, the Taiwan Semiconductor Manufacturing Company (TSMC) was set up. It was the second spin-off from the HSIP after the UMC. The company was a joint development with the Dutch company Philipps and the Taiwanese government.

Interestingly, the Chiang government had invited Morris Chang, who later became founder of the TSMC, to lead the ITRI in the early 1980s. Chang had put forward the idea of creating a foundry industry in Taiwan.

Originally the ERSO sent a team to RCA in the US to learn integrated circuit (IC) manufacturing technology. After the team returned to Taiwan, the members spun off from ERSO to form UMC, which began chip manufacturing.

[…] Chang led a team spun off from ITRI to form TSMC in 1987. The new business model proved effective, and TSMC became the largest semiconductor foundry in the world with $5.3 billion of sales in 2000. TSMC was therefore mainly a Taiwanese creation with state participation in ownership (48 per cent in the beginning).

An excerpt from “The East Asian High-Tech Drive” by Yun-Peng Chu and Hal Hill.

Evidently, the successes of the UMC and TSMC were partly attributed to the joint efforts of the Taiwanese and American governments (Electronics Research and Service Organization, ERSO, the Radio Corporation of America, RCA). By giving their founders and core team members the opportunities to acquire the technical know-how, the aim of creating a semiconductor industry in Taiwan could finally materialise.

What can we learn from this article?
Consider the following question:
– Assess the view the the United Microelectronics Corporation was a crucial piece of the puzzle in explaining the remarkable growth of Taiwan in the 1980s.

Join our JC History Tuition to learn more about the rise of Asian Tiger economies and 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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

JC History Tuition Online - Why is Taiwan an Asian Tiger - Asian Tigers Notes

Why is Taiwan an Asian Tiger?

Topic of Study [For H2 History Students]: 
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 contributing factors that led to Taiwan’s economic miracle. [Video by Real World Economics]

Historical context: The Cold War
During the Korean War, the Truman administration committed its armed forces to defend the Republic of China (ROC) government under Chiang Kai-shek. President Truman announced on 27 June 1950 that the Seventh Fleet would be deployed to the Taiwan Strait. His intention was to protect Taiwan from any possible Chinese attack.

The US government switched its foreign policy stance towards Taiwan from a “hands-off” approach to increased military commitment. Its purpose was to contain a possible expansion of Communist influence in East Asia.

In retrospect, Truman’s new policy of 1950 disengaged the Chinese from their hot civil war while engaging them in the global Cold War.

[…] It had secured the ROC in Taiwan from a major military showdown with the PRC on the mainland in the 1950s, it had preserved the political unity and social stability of Taiwan through the 1960s, and it had provided an opportunity for the island’s economic growth in the 1970s.

An excerpt from “The History of Taiwan” by Xiaobing Li.

Export promotion and industrial restructuring
In the 1960s, Taiwan was one of the world’s primary exporter for consumers goods, such as umbrellas, toys and shoes. In 1966, Taiwan established Export Processing Zones (EPZs). The Chiang government sought to pursue an export-driven strategy as seen by the provision of tax incentives to spur businesses to engage in international trade.

In the 1970s, the government had realised that its reliance on the maturing light industry was not sustainable, given the rise of other developing countries that possessed cheap and abundant labour. As such, it embarked on heavy and chemical industrialisation (HCI), targeting steel and petrochemical production.

In 1973, the Industrial Technology Research Institute (ITRI) was formed to facilitate the conduct of research and development (R&D). A year later, the Electronics Research Service Organisation (ERSO) was also set up, focusing on areas like electronic packaging, semiconductors and display devices. Similarly, the Hsinchu Science Park was created in 1980 to intensify efforts to develop high-tech industries. The government’s attempts have paid off as seen from the rise of tech firms like the Taiwan Semiconductor Manufacturing Company (TSMC) and United Microelectronics Corporation (UMC).

In August 1974, Sun contacted Dr. Pan in the United States and invited him to Taiwan to produce a study of ways in which the government could upgrade local industry, with the electronics industry playing the leading role. […] Pan recommended that the electronics industry should focus on semiconductor technology and that the technology be acquired from abroad; that a two-part strategic planning team be formed, one part in the United States and one in Taiwan; and that an organizational capability for implementation within the state be set up. A U.S. partner was to be located for an agreement for technology transfer and training.

An excerpt from “The Role of the State in Taiwan’s Development” by Joel B. Aberdach.

The 1980s tech drive: OEM and ODM
In the 1980s, the government went through institutional reforms to integrate Taiwan into the global economy. It intensified its policies of trade liberalisation and financial deregulation, opening the economy gradually. Yet, it proved challenging following the opening of China in the late 1970s as part of Deng Xiaoping’s Four Modernisations (四個現代化). Many Taiwanese manufacturers shifted production to China in response to rising production costs.

In this decade, more Taiwanese manufacturers in the electronics and technology sectors adopted either of the following two models: Original Equipment Manufacturer (OEM) or Original Design Manufacturer (ODM). For OEM, the local companies manufactured products for transnational corporations that focused on product design and R&D. Over time, some of these firms transitioned to become ODMs, such as Acer.

While the ERSO projects were important for the PC industry, the two industry leaders, Acer and Mitac, were doing OEM for ITT since 1982 and Mitac was not part of two of the three big desktop computer projects run by ERSO. […] OEM manufacturing firms can leverage their relationships with outsourcing partners to upgrade. The experience of Mitac, Acer and other fims, such as the printed circuit board manufacturer, Compeq, confirms this theory of upgrading.

An excerpt from “Technology Transfer Between the US, China and Taiwan: Moving Knowledge” by Douglas B. Fuller and Murray A. Rubinstein.

What can we learn from this article?
Consider the following question:
– How far do you agree that state intervention was indispensable in contributing to the economic miracle of Taiwan.

Join our JC History Tuition to learn more about the rise of Asian Tiger economies, particularly Taiwan and South Korea. 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 GP TuitionEconomics Tuition, JC Chemistry Tuition, JC Math Tuition and China Studies in English Tuition. For Secondary Tuition, we provide Lower Secondary English Tuition, Secondary English Tuition, Secondary Math tuition, Secondary Chemistry Tuition and Secondary Economics Tuition. For Primary Tuition, we have Primary English Tuition. Call 9658 5789 to find out more.

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