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Anek Laothamatas - Business Associations and the New Political Economy of Thailand: From Bureaucratic Polity to Liberal Corporatism

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Business Associations and the New Political Economy of Thailand: From Bureaucratic Polity to Liberal Corporatism
Author:
Anek Laothamatas
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Routledge
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Books / Politics
Year:
2019
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Business Associations and the New Political Economy of Thailand

Published in cooperation with the East Asian Institute, Columbia University

The East Asian Institute is Columbia Universitys center for research, publication, and teaching on modern East Asia. The Studies of the East Asian Institute were inaugurated in 1962 to bring to a wider public the results of significant new research on modern and contemporary East Asia.

First published 1992 by Westview Press

Published 2018 by Routledge

52 Vanderbilt Avenue, New York, NY 10017

2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN

Routledge is an imprint of the Taylor & Francis Group, an informa business

All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers.

Notice:

Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe.

Library of Congress Cataloging-in-Publication Data

Anek Laothamatas.

Business associations and the new political economy of Thailand :

from bureaucratic polity to liberal corporatism / Anek Laothamatas.

p. cm.

Includes bibliographical references and index.

ISBN 0-8133-8285-8. ISBN 0-8133-8528-8 (pbk.)

1. Boards of tradeThailand. 2. ThailandEconomic policy

Decision making. I. Title

HF331.T5A53 1992

338.9593dc20

91-24169
CIP

Singapore Library Cataloging-in-Publication Data

ISBN 981-3016-05-1 (Hard cover. ISEAS, Singapore)

ISBN 981-3016-04-3 (Soft cover. ISEAS, Singapore)

ISBN 13: 978-0-367-01634-0 (hbk)

Contents

Guide

Tables

Chart

Monetary values in this study are expressed in US dollar terms. To convert the bahts into dollars, the following rates are used:

-for the period 19491979, 20 bahts = 1 dollar,
-for the period 19801981, 22 bahts = 1 dollar,
-for the period 19821984, 23 bahts = 1 dollar,
-for the period 19851986, 27 bahts = 1 dollar,
-for the period 19871991, 25 bahts = 1 dollar.

The search for a bourgeois or business class capable of taking national leadership or imposing political control on the state has a noble origin in the works of both Marx and Weber. One major approach to this search is to look for a large number of political officers who have a business background. Another is to look for a business class which has gained a strong socio-economic foothold, and which, as a result, is able to force its demands on the state. I believe that the first approach does not necessarily establish the strength of business as a class or a collective entity; it may just tell us about individuals of this class. The second approach may tell us that the state is working for the capitalists, but it is not necessarily run by the capitalists, and this makes a big difference.

I have long been intrigued by business associations in Thailand which have been active in public policy-making since the early 1980s, for their story highlights well the two dimensions missed by the approaches mentioned above. They are thus indispensable if we are to detect the political rise of the bourgeois class. I place the study of these associations in two theoretical contexts: the debate on the passage of the bureaucratic polity in Thailand, and, to a lesser extent, the discussion of the East Asian statist model of economic development.

To Marx and Weber, the political importance of the bourgeoisie lay in their challenge to a pre-established societal force, the feudal or agrarian aristocratic elite. However, I view recent Thai politics as being mainly the struggle between the military-bureaucratic elite and the extra-bureaucratic forces. My major thesis is that organized business, a major societal group, has become strong enough to break the monopoly of the military- bureaucratic elite with regard to the economic policy-making of the state. This being so, it is no longer correct to conceptualize politics in Thailand as being a bureaucratic polity, as had been the case until the early 1970s. Please note that I use the term bureaucratic polity in the strict Riggsian sense, that is, the virtual monopoly of political power in the hands of a military-bureaucratic elite, not as a shorthand for the strong role of the military in politics.

My point is that the bureaucratic polity model is no longer useful because business has a substantial share in political power, not because the military is no longer a significant factor in politics. In other words, Thailand has entered a significant phase beyond that of bureaucratic polity in that business and military-bureaucratic forces, instead of the latter alone, have come to dominate the political landscape.

Unhappy with most works on Thailand in the past which have tended to shy away from putting the country in comparative perspective, I have also set this study against the backdrop of the East Asian statist model of development. Briefly, the East Asian model presupposes that the government is both enlightened in setting economic goals and efficient in their implementation. Yet, it views societal actors (including business) as short-sighted, self-serving, and obstructive to the making of good policies. Their exclusion from public policy-making is thus held to be both necessary and justifiable. By contrast, the emerging Thai model of government-business relations neither idolizes the government nor belittles business in terms of policy-making. If the power equation between the government and organized business is in clear favor of the former in the East Asian model, it has a more balanced relationship in the Thai model.

In the course of writing this book, a labor of love, I have been assisted by several people and institutions. To begin with, James Morley and Philip Oldenburg effectively supervised the dissertation version of it at Columbia University. Funding for the field work which has informed the book was provided by the Pacific Basin Studies Program of that university and by the Asia Foundation. As the reader will realize, my work has greatly benefited from the scholarship of two eminent Thai scholars, Montri Chenvidyakarn and Chai-anan Samudavanija. Montris dissertation on trade associations in the 1970s was the forerunner of, and source of inspiration for, this book. My accounts of modern Thai politics in the book have been built largely on the excellent scholarship of Chai-anan. Of equal importance, I am indebted to the following distinguished Western scholars of Thai and Southeast Asian studies for their helpful advice: James Guyot, Clark Neher, Ansil Ramsay, Jamie Mackie, John Girling, and Benedict Anderson.

I am grateful to all interviewees, but particularly to Snoh Unakul, Amorn Wongsurawat, Preecha Tanprasert, Chakramont Pasukwanij, Pratuan Ngam-kham, and Nikorn Wattanapanom. Without the help of the following friends and colleagues, my research and writing would have been much more time consuming: John Bresnan, Pitak Thawatchainant, Chaiwat Satha-Anand, Surachart Bamrungsuk, S. and S. Paleewong, Sanpet Guyot, Komkrit Sertnuansaeng, and Sri-Aporn Kerdtieng. The East Asian Institute of Columbia University and the Thai Khadi Research Institute of Thammasat University provided me with a stimulating and friendly working environment. Finally, my deepest love and gratitude go to my wife, Jiraporn, and my three little children, Katerut, Kemarut, and Indira, who were an unfailing source of comfort and encouragement throughout this long intellectual sojourn of mine.

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