Narrative Assignment - Asian Financial Crisis (1997)

Reflection

The interview that was conducted with My grandfather regarding the Asian financial crisis could be considered to have many links to the ECON110. One of the prominent links between the interview is that this topic was covered under public debt. In ECON110 the emphasis has been given towards the economy that it should have a stable level of the debt from the externals as well as the public. From the Interview, we have seen the impact of the Asian financial crisis and what led to such a situation it was basically a high level of debt in Thailand which was a major reason behind the Asian Financial Crisis. There is a clear association of High foreign debt in Thailand and the importance of maintaining the adequate level that we have learned in the lectures (ECON110). Lastly, we have also seen that a link between the interview where it has focused on the monetary policy. In ECON110, we have gained the insights about the role of RBA in loosening and tightening the monetary policies in order to achieve the objectives (economic), this same thing we have seen in the interview where the IMF played a crucial role at the time of Asian Crisis and stop the further depreciation of the currency, IMF has tightened the policies.