Financial liberalization or state capitalism? The developmental state and the special purpose bond market in South Korea
Bibliographic Data
| ID | 6050256 |
|---|---|
| Authors | Yaechan Lee (0000-0003-0379-5745, Ritsumeikan Asia Pacific University, corresponding author) |
| Year | 2025 |
| Volume | 31 |
| Issue | 3 |
| Pages | 375-394 |
| Publication date | 2025-05-27 |
| Peer Reviewed | Yes |
| Open Access | No |
| Type | ARTICLE |
| Venue | Contemporary Politics (JOURNAL) |
| Journal identifiers | ISSN: 1356-9775 • E-ISSN: 1469-3631 |
| Publisher | Informa UK Limited (PUBLISHER • GB) |
| DOI | 10.1080/13569775.2024.2384206 |
| OpenAlex | W4401067760 |
| Language | EN |
| Citations received | 2 |
| References cited | 36 |
South Korea's state-guaranteed bond market was nearly half the size of its sovereign bond market in 2022, and in the early 2000s, it was nearly twice the size of the latter. What explains the overwhelming prominence of this fixed-income market? This paper finds that the prominence of this market is a path-dependent consequence of developmental legacies and the Asian Financial Crisis. State-guaranteed bonds allowed the state to circumvent conditionalities that limited the state's ability to access domestic savings for policy objectives and helped shield the newly established sovereign bond market from premature supply pressure. This finding demonstrates that the state not only supports or creates markets but also uses markets to maintain its influence against external pressure. It also explains how the South Korean state was able to maintain its developmental policies after market liberalisation by tracking the post-crisis flow of domestic savings
Bond · Bond market · Capitalism · Developmental state · Economics · Financial crisis · Financial market · Financial system · International economics · Liberalization · Macroeconomics · Market economy · Political science · Politics · State (computer science · State capitalism · Asian Industrial and Economic Development · Global Financial Crisis and Policies · State Capitalism and Financial Governance · Finance
Miti and the Japanese Miracle
The Political Economy of the New Asian Industrialism
Reform of the Developmental Welfare State in Korea
Transforming the Developmental Welfare State in East Asia
Governing Finance
State Actors, Market Games
Beyond institutional fetishism
Developmental State or Economic Statecraft? Where, Why and How the Difference Matters
Manifesting the embedded developmental state
Democratization, globalization, and institutional adaptation
Learning from past pandemic governance
Of miracles and models
Bringing the developmental state back in
The demise of “Korea, Inc.”
Beyond Neo-liberalism
Institutions and Economic Policy
Tussle for space
The politics of climate change in a neo-developmental state
Capital Mobility and State Autonomy
Special issue introduction
Governing the Market
The Transformation of the Developmental State and Economic Reform in Korea
DJnomicsand the transformation of the developmental state
The Developmental State
Sovereign wealth funds
Economic Backwardness in Historical Perspective
| Unique citing works | 2 |
|---|---|
| Citations per year | 2 |
| Citation span | 2026 - 2026 (1) |
| Citation velocity | current |
| Highly cited | No |
| Citation types | Neutral: 2 |