In this episode of China Money Podcast, guest Curtis Chin, former U.S. Ambassador to the Asian Development Bank, talks with our host Nina Xiang in New York about the recent social unrest in Thailand and why it hasn't happened in China; how should emerging economies in Asia deal with the little "BRIC"; and what should Chinese companies do to improve their corporate governance.
Read an excerpt below, but be sure to listen to the full interview in audio above.
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Q: You are based in Bangkok, Thailand, at the Asian Institute of Technology. Why do you think the kind of social unrest that's happening in Thailand hasn't happened in China during the past 25 years?
A: Some would say there has been social unrest in China. It's just not as reported as it should be. It has certainly happened in 1989, even though that might not be the role model for other countries on how to handle this type of issue.
What's interesting about countries in Asia is that there is no single one right way. No one can tell China or Thailand what's the best way forward. Every country moves forward in their own pace based on their own characteristics.
Q: What kind of odds would you put on a recurrence of 1989 in China?
A: I'd say 10%. I don't see the Chinese government allowing that kind of gathering any time soon. What I do see happening is that the Chinese people continue to express concerns on corruption and the divide of the rich and the poor.
Thailand's Gini coefficient, which is a measure of income inequality, is at the top of the list (in Asia). Hong Kong is also on the top. So this is the key issue facing China. Is the Chinese government getting a handle on the social inequalities?
Q: You have rich experience in government relations and corporate governance. What do you think Chinese companies need to improve in these aspects, aside from strengthening their accounting practices?
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