Globalization is in Crisis.
That is the most profound meaning of the ongoing Asian financial meltdown. The Asian meltdown was caused in large part by South Korea, Thailand, the Philippines, Malaysia and Indonesia's heavy reliance on short-term foreign loans. When it became apparent that private enterprises in those nations would not be able to meet their payment obligations, international currency markets panicked. With the same herd-like mentality that led them to blindly commit to the Asian economies, currency traders rushed to sell their won, baht, pesos, ruppiah or ringgit. This is the immediate story.