Although this argument has some appeal, it does not stand up under close scrutiny.
Almost no one believed that Asia was headed for any kind of collapse, even as late as early 1997.
With the exception of some growing concerns about Thailand starting in mid-1996, investment
bank reports were all glowing in their praise, ratings agencies continued to give positive outlooks,
and the IMF and World Bank regularly lauded these countries with only a few modest suggestions
for reform. There simply were very few voices that argued that Asia was heading for any kind of
collapse. Scarcely a negative voice was heard until it was too late.6 The overriding sentiment
across Asia after the Mexican crisis was not Athe IMF will bail us out too,@ but rather Ait can=t
happen here.@
Although this argument has some appeal, it does not stand up under close scrutiny.Almost no one believed that Asia was headed for any kind of collapse, even as late as early 1997.With the exception of some growing concerns about Thailand starting in mid-1996, investmentbank reports were all glowing in their praise, ratings agencies continued to give positive outlooks,and the IMF and World Bank regularly lauded these countries with only a few modest suggestionsfor reform. There simply were very few voices that argued that Asia was heading for any kind ofcollapse. Scarcely a negative voice was heard until it was too late.6 The overriding sentimentacross Asia after the Mexican crisis was not Athe IMF will bail us out too,@ but rather Ait can=thappen here.@
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