The global financial crisis of 2008–2009 tested the U.S. financial leadership, while at the same time it sent a beam of hope to many emerging countries in finding ways to shoulder the global financial leadership. The major idea behind this article is to demonstrate and critically assess the possibility of emerging economies reshaping the future financial system. I use Shanghai and Dubai to discern the meaning of a government-supported international financial center project. This article first assesses the challenge of the current financial turmoil in relation to financial globalization. Second, I illustrate the efforts of Shanghai and Dubai—both before and after the financial crisis—in the establishment of an international financial center with a view of the challenges facing the current financial system. Finally, I endeavor to draw some parallels/differences of the responses or measures taken by the countries that were affected by the financial crisis in Asia in 1997 to examine the possibility and shortcomings of government-backed financial policy in connection with the global financial architecture.
Cheung, G. C. (2010). The 2008-2009 Global Financial Fallout: Shanghai and Dubai as Emerging Financial Powerhouses?. Asian Politics & Policy, 2(1), 77-93. https://doi.org/10.1111/j.1943-0787.2009.01168.x