While the market and international system offer important (and perhaps even necessary) preconditions for economic success, the state and the political arrangements it defends also play their part. This is so not only because the state and politics influence economic policy, thereby affecting patterns of economic growth, but also because the state shapes the scene and scope of market and external transactions. These components of national power – market forces, the state, networks, and the international system – are not static but variable, and their shifting momentum generates profound impacts on economic performance
That upheaval in the capital markets ultimately required the International Monetary Fund to bail out several Asian countries and their ailing economies (among them, South Korea), and is best accounted for looking into the dynamic interplay of these variables over time.