Thailand

THAILAND IS THE MOST economically well-devel-oped country in mainland southeast Asia, and an important regional leader in the struggle against poverty. It has a tropical climate that provides comparative advantages in various forms of agriculture and has also historically housed important trade centers that linked Mediterranean traders with those of India, Persia, China, and Japan. During the period of European colonization, successive kings of Thailand (named Siam until 1939) used diplomacy to avoid being overrun and, uniquely for southeast Asia, remained independent throughout history.

The revolution that ended the absolute monarchy in 1932 has been followed by decades of slow progress toward democratization, regularly punctuated with episodes of military dictatorship. This has been associated with gradually increasing industrialization, increased wealth, and gradually reduced levels of poverty. The kingdom now has a population of approximately 63 million. Most business and government activities are clustered in the capital city of Krungthep (Bangkok). There is some regional inequality between the capital and the regions, most of which rely upon agriculture, with the poorest region being the northeastern region of Isaan, which is the home to 20 million ethnic Lao people.

Historically, Thai society has been based on a form of feudalism that featured land and resource ownership by the king and control of the nation by various officials and members of the nobility. Ordinary people were liable to provide corvée labor for the state, either through military service or on civil engineering projects, up to as long as six months per year. Different classifications of slavery were also important features of the economy. Nevertheless, the fertility of the river valleys and the produce of the jungle meant that most people were able to enjoy a comparatively healthy standard of living. However, occasional problems with flooding and drought could upset this pattern, leading to widespread hunger, especially in the Isaan region, much of which is set on a huge saltpan, which significantly reduces the fertility of the land.

The 1997 financial crisis and the tsunami of 2004 both revealed the continued vulnerability of the country to external shocks. Both events led, in addition to the human misery involved, to serious economic results, particularly in specifically affected regions. In the case of the financial crisis, many people who had lost their jobs were able to return to their family homes in the provinces to switch to part-time or underemployment and hence the overall effects were limited. In the case of the tsunami, those Thais affected were mostly those who earned their living from the sea or from tourist-related activities.

While some were internal migrants had the option to return home, many lost all of their possessions. Recent government policies have focused on regional development and the attempt to mitigate the possibility of sudden onset of poverty. The 30 baht ($.75) healthcare program, for example, aims to provide a wide range of health services available throughout Thailand at low cost and this has successfully reduced the prevalence of illness-led poverty. It is intended to increase the range of services to include medication for those infected by HIV/AIDS. Thailand was a pioneer in reducing infection rates for HIV/AIDS through promotion of the use of condoms.

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