11.2 The Mainland Countries

Figure 11.4 Man Hauling Cut Wood on a Bicycle Cart (Pedicab) by the Perfume River Near the City of Hue, Vietnam

The Lao Kingdom coalesced in the 1500s and was eventually absorbed by the Kingdom of Siam, which thrived during the eighteenth and nineteenth centuries. France muscled in during the colonial era and created a French Indochina. Laos gained independence from France in 1949. Laos is a rural country with about 80 percent of the population working in agriculture. Globalization has not yet been established in this country and infrastructure is less developed. Electricity is not available on a consistent basis and transportation systems are quite basic. There are no railroads and few paved roads. Clean water for human consumption is not always available. The economy is based on agriculture, with some outside investments in mining and natural resources.

Two-thirds of the people in Laos are Buddhists. Animist traditions and spirit worship have the next highest percentage of followers. Muslims and Christians make up a small percentage of the population. The Lao ethnic group makes up 70 percent of the population and is the largest ethnic group. Other ethnicities include the Hmong and mountain tribal groups, which can be found in various remote regions of the country. The remoteness and rural heritage of the many tribal people have started to attract tourism. Tourism has increased in recent years, partially due to the Chinese government allowing its citizens to travel outside their borders from China into Laos. Laos has two UNESCO World Heritage Sites: the historic town of Luang Prabang, and the southern site of Wat Phou (Vat Phu), which is an ancient Hindu temple complex.

Laos is a poor country. It has fewer employment opportunities for its citizens than other developing countries. The one-party Communist political system of the Cold War has been decentralizing control and working to encourage entrepreneurial activities. Foreign investments are increasing in the areas of mining, hydroelectric production, and major construction projects. The World Bank and other agencies have supported efforts to improve infrastructure and provide opportunities for the people of Laos. China has been partnering with the Laotian government to help build rail transport in the country. These efforts have assisted in reducing poverty and increasing the economic and physical health of the country.

Cambodia has been attempting to build a sustainable economy. The textile industry is the number one source of national wealth. Sweatshops and low-tech manufacturing have begun to take root in the expanding capital city of Phnom Penh. Tourism is another sector that has experienced rapid growth. Though nonexistent in earlier decades, tourism has taken off. Cambodian tourism provides travelers with an experience that is more pristine and less commercialized. Tourism has been rated as the second-largest sector of the economy. One of the main sites that attract many visitors is the extraordinary ancient site of Angkor Wat (Angkor means “city” and Wat “temple”). This site is one of the best-preserved showcases of Khmer architecture from its early empire years. Angkor Wat is being developed as a major tourist attraction. The twelfth-century complex was first a Hindu site dedicated to Vishnu, and then it was converted to a Buddhist site. Angkor Wat has become an international tourist destination. It is one of the largest temple complexes in existence in the world and is a UNESCO World Heritage Site. The city of Angkor has been estimated to have been the largest city in the world at its peak. As many as a thousand other temples and ancient structures have been recovered in the same area in recent years.

Cambodia has pressing environmental problems. The country has the notorious designation by the UN as the nation with the third-highest number of land mines on Earth. Since 1970, more than sixty thousand people have been killed, and many more injured or maimed because of unexploded landmines in rural areas. The growing population, attempting to recover from decades of devastation, has cut down the rain forest at one of the highest rates in the world. In 1970, rain forests covered about 70 percent of the country. Today there is only about 3 percent of the rain forest left. A rise in the need for resources, along with illegal timber activities, has devastated the forests, resulting in a high level of soil erosion and loss of habitat for indigenous species. The loss of natural resources is likely to hinder the country’s economic growth.

Thailand has an excellent record of economic growth and has been one of Southeast Asia’s best performers in the past couple of decades. Thailand is developing its infrastructure and has established measures to attract foreign investments and support free-enterprise economic activities. The recent slowdown in the global economy and internal political problems have caused a sharp downturn in Thailand’s economic growth. Nevertheless, Thailand remains a strong economic force and one of the best economies in the region. The positive indicators include a strong focus on infrastructure, industrial exports, and tourism.

Urbanization rates are increasing; at least one-third of the population lives in cities. Family size has fallen to lower than two children per family, while education rates have increased. The country has also tapped into its natural resources for export profits as the world’s third-largest exporter of tin and the second-largest exporter of tungsten. Light manufacturing has taken off and become a major component of the economy, accounting for about 45 percent of the gross domestic product (GDP). The country is a major manufacturer of textiles, footwear, jewelry, auto parts, and electrical components. Thailand has been the major exporter of rice in the world and has a strong agricultural base.

Thailand is a newly industrialized country and has all its bases covered to build national wealth: a balance of agriculture, extractive activities, manufacturing, and postindustrial activities (tourism). Thailand is considered the third-largest manufacturer of motor vehicles in Asia, after Japan and Korea. Vehicle producers from the United States and Asia are manufacturing large numbers of cars and trucks in Thailand. Toyota dominates the market in both truck and auto production. Truck production is augmented by Mitsubishi, Nissan, Chevrolet, Ford, and Mazda. Honda, from Japan, and the Tata Motor Corporation, from India, are expanding their operations in Thailand. Thailand is in a good position to advance its economy and shift the whole country into the next stage of development to become a major participant in the global economic marketplace.

The tourism industry has grown immensely in Thailand over the past few decades. Green and lush tropical mountain landscapes, the exquisite architecture of ancient Buddhist temples, and beautiful golden beaches along warm tropical coastlines make for an excellent tourism market. Some of the best world-class tropical beach resorts are located along the sandy and sunny shores of Thailand. The country is open to outsiders and has welcomed tourism as part of its economic equation. The relatively stable country provides a safe and exciting tourism agenda that has a global clientele. The downside of the thriving tourism industry is the sex trade. Relaxed laws on sexual activity have made Thailand a destination for people from around the world seeking “sex tours” and erotic experiences. Not surprisingly, a sharp increase in the number of individuals infected with sexually transmitted diseases has been documented. Approximately one million people in Thailand tested HIV positive in the mid-1990s. The sex industry has been big business for Thailand and at the same time has created an unfortunate negative stereotype for the overall tourism situation. There is much more to the tourism industry in Thailand than the sex trade.

The country of Thailand has the potential to recover from the global economic downturn and once again claim its role as an economic tiger of Southeast Asia. If political stability serves to enhance economic investments, the country will continue to experience economic growth. The low population growth is a model for other countries in the region. Thailand provides a good example of the theory that as a country goes through urbanization and industrialization stages, family size will usually go down. Thailand is also moving forward in the index of economic development. It is in stage 3, where there is a strong rural-to-urban shift in the population. The capital city of Bangkok has stage 4 development patterns and is an economic core area for the country and the region. As large as New York City, Bangkok has developed into the political, cultural, and economic center of Southeast Asia. Often referred to as the “Venice of the East” because of its city canals, Bangkok has become a global city with a population of more than eight million people officially and more than fifteen million unofficially.

There are differences in the physical landscape between the north and south. The northernmost area is mountainous with evergreen forests. Cool temperatures are found in the north and warmer annual temperatures are found in the south. To the west of the Irrawaddy River and north of Mandalay, the land cover is mainly deciduous forests. The eastern region from Mandalay to the Laos border is scrub forests and grasslands. This area is considered the dry zone, with an annual rainfall of about forty inches. The more tropical south and coastal areas can receive higher levels of precipitation. The area around the core city of Mandalay was a major focus of agricultural development before British colonialism. Dryland crops were most common. During the colonial era, the British looked to the rich farmlands of the southern Irrawaddy delta and emphasized Rangoon as the center of their exploitations. Wetland rice is a major crop of the southern Irrawaddy basin. The southwest and the southern protrusion are mainly tropical evergreen forests. There has been oil exploration along the coastal regions of the Bay of Bengal and along the Andaman Sea.

Figure 11.9. Burma (Myanmar): The Irrawaddy River and the North/South Layout

The country was colonized by the British and was once a part of Great Britain’s empire in South Asia as a province of India. Burma was one of the most prosperous colonies of Britain until World War II, when the Japanese invaded and war devastated the region. Democratic rule existed from 1948 until 1962, when an authoritarian military dictatorship took over the country. A revolutionary council ruled the country between 1962 and 1974. This government nationalized most of the businesses, factories, and media outlets. The overall operating principle of the council was a concept called the Burmese Way of Socialism. This concept was based on central planning and Communist principles mixed with Buddhist beliefs.

Between 1974 and 1988, the sole political party of the country was the Burma Socialist Program Party, which was controlled by the same military general and his comrades who had been in control for decades. During this time, the rest of the world was advancing in technology and economic development and moving forward with advancements in health care and education. Burma remained an impoverished and isolated nation. A number of countries, including the United States, have trade restrictions with Burma. For decades, the authoritarian regime in Burma has been accused of serious human rights violations, which have largely been ignored by the outside world.

Protests against the military rule have always existed in Burma but have been suppressed by the armed forces and the authoritarian government. In 1962, the government cracked down on demonstrations at Rangoon University, resulting in fifteen students being killed and many others in need of medical attention. The military government has taken serious action against any antigovernment activities. By 1988, the people of Burma were taking to the streets with widespread demonstrations and protests against the government over claims of oppression, mismanagement, and lack of democratic reforms. A total crackdown on the people was implemented, with thousands of protesters killed. A new council led by a military general created the State Law and Order Restoration Council a year later. Martial law was imposed and even harsher policies were imposed on anyone opposing the government. This is when the name of Myanmar was first used for the country.

The name change and the military rule have not been universally accepted. The United States still refers to the capital city as Rangoon, not as Yangon. In 2006, military rulers moved the capital north to the city of Naypyidaw. The purpose of the move was to establish a forward capital and shift development and political energy more toward the center of the country, rather than along the coast. World nations are divided on the issues of how to deal with the changes and the military regime in Burma. The governments of some countries believe more sanctions should be implemented to force the leadership into compliance. Other countries believe sanctions are not effective against the government; that is, sanctions harm the people and do not affect the military leadership. Countries on this side of the equation believe that open trade is the best policy.

Figure 11.10. Demonstrators Marching to Express Discontent with the Government of Rangoon (Yangon), 2007.

The banner, written in Burmese, refers to a national movement to promote nonviolence. A Buddhist monk is in the foreground, and the Shwedagon Pagoda is in the background.

Antigovernment protests erupted in 2007 when the military-ruled government allowed prices of fuel and energy to double and triple in price. Protesters were quickly and violently dealt with, and many were arrested and jailed. Later that year, thousands of Buddhist monks led a peaceful protest to gain the government’s attention to make democratic changes. The demonstration ended in a renewed government crackdown. Another voice in the anti-government demonstrations has been that of opposition leader Aung San Suu Kyi, a UN worker in the early 1960s and a Nobel Peace Prize winner in 1991. Her opposition to the military rule has led to imprisonment and house arrest for decades. She has been a symbol of the opposition and hope for democratic reforms. In 2010, Aung San Suu Kyi was at long last released from house arrest and allowed more freedom of movement under government restrictions.  Her subsequent trajectory has been complicated, rising to political power, then drawing international criticism for defending her country’s persecution of the minority Rohingya group, and returning to prison following another military coup in 2021.

Myanmar has been placed in the same category as North Korea and Somalia in terms of authoritarian rule, lack of human rights, and stagnant economy. Economic conditions are poor. The military rulers have gained control of the main income-generating enterprises in the country, including the lucrative drug trade from the prime opium-growing region of the northern Golden Triangle, where Burma borders Laos and Thailand. All factors seem to indicate an increase in opium production in recent years. Precious gemstones such as rubies, sapphires, and jade are abundant in Burma. Rubies bring the highest incomes. Burma produces about 90 percent of the world’s supply, with superb quality. The Valley of Rubies in the north is noted for quality gem production of both rubies and sapphires. Most of the gems are sold to buyers in Thailand. All the profits go to Burma’s military rulers in the government, and since there is a high level of corruption and mismanagement within the government and business, the income from the gems produces limited economic development for the main population and discourages foreign investment in the country. Burma has become one of the poorest countries in Southeast Asia. China has emerged as the main trading partner with Burma. China supplies the regime with arms, constructs many of the infrastructure projects, and supplies natural gas to the country.

Burma is ethnically diverse. Though it is difficult to verify, the government of Burma recognizes one hundred thirty-five distinct ethnic groups within its borders. It is estimated that there are over a hundred different ethnolinguistic groups in Burma. About 90 percent of the population is Buddhist. This high level of diversity can allow for strong centrifugal forces that are not generally conducive to unity and nationalism. The heavy emphasis on the national military is one of the only centripetal forces within the population, even though the military leadership is also looked at with disdain by those desiring more openness and democratic conditions.