1. Appreciation of Yen Cheap Thai Labour High Return in Thailand
Japanese FDI Cheap Thai Labour
OVER-HEATING
OF THAILAND
ECONOMY
Over-building Rise in Indiscriminate Lending Weak Financial
of Industries Labour cost by fund flush banks system
Inflation Real Estate Bubble
Cheap Chinese Weak Financial
Exports Suffer Imports Rise
Exports System
Large Current Account Deficit
Panic
Run on Baht Reserves fall , $ 33 to $ Depreciation
16 billion (May- August 1997) of Baht