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THE REGIONAL ECONOMY: Looking Forward by Looking Back

The year 2007 was a year of anniversaries for Southeast Asia. The two most significant were the fortieth anniversary of the founding of the Association of Southeast Asian Nations (ASEAN) and, more fretfully, the tenth anniversary of the Asian (not Southeast Asian) financial crisis. What these two anniversaries tell us about the future of Southeast Asia's economy(ies) will serve as the basis for this chapter.

The economic issues raised by the Asian financial crisis and, counterintuitively, by the development of ASEAN are both important to understanding where Southeast Asia stands today economically and what are some of the major challenges facing the region and its national economies in 2008 ...

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