By Michael Backman (auth.)
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Additional info for Asia Future Shock: Business Crisis and Opportunity in the Coming Years
President Hu Jintao is the nominal head of the military forces. He is also chairman of the Central Military Commission. But in practice it is not clear how much power Hu wields over the military. At the same time as spending more on defense, China has been cutting the numbers of military personnel. It claims to have demobilized 200,000 personnel from 2003 to 2006. 3 million active personnel. The cuts don’t reﬂect a desire to be less militarized on the part of China. Rather they reflect China’s greater use of sophisticated defense technology.
Indian companies might even repeat the pattern of Japanese investment in the West in the 1980s, when Japanese companies overreached themselves by paying too much for too many US and European companies. Nationalism vs Rationalism The Indian media greeted each major acquisition abroad by an Indian company as a big win for Indian pride. India erupted with a wave of jubilation when Tata Group bought Corus in early 2007. India was striking back at the former colonialists suggested the headlines. Many in India saw this and other takeovers of Western companies as part of a satisfying reversal of fortune.
China and South Korea have been the North’s two main sources of food aid. Famine has had a devastating effect on the physical appearance of North Korean children. 5 Some economic reforms were introduced in 2002 – subsidies to stateowned enterprises were reduced, workers were to be paid according to what they produced, and private farmers’ markets that had been tolerated were legalized and allowed to expand the range of goods on offer. These measures helped to reduce some of the rigidities in the economy.
Asia Future Shock: Business Crisis and Opportunity in the Coming Years by Michael Backman (auth.)