China's leadership is likely to be more cautious over the short-term as it rethinks domestic priorities. Failure to manage reform of state-owned enterprises effectively could lead to massive unemployment and possible social unrest. The strength of Taiwan's economy offers Taipei a diplomatic opportunity. The crisis may raise Taiwan's profile and strengthen its political ties with the region. The collapse of Southeast Asia's currencies may lure Taiwanese investment away from mainland China.
Criticism is rampant regarding Japanese inability to lead the region during a time of crisis.
Japanese Ministry of Finance is also under fire for misinforming investors about the extent of its own bad debt problems. The crisis has weakened Japan's role in the region. Congressional attention to the Asian crisis will greatly increase in the next few months, as Congress has planned a series of oversight hearings to investigate and better understand the U.S. implications of the crisis in Asia. An important long term consequence of the crisis is Congress' disillusionment about Asia. Some experts believe Congress' positive attention to Asia in recent years was mainly driven by perceptions of the region's growing economic wealth.