The Asian Economy with one common Asian Money will be a frontier topic for a study in supranational macroeconomics. If the Europeanization of Europe has become a historic reality, the Asianization of Asia cannot be far behind. The paradigm of the European Union (EU) has become a learning model for other continents, especially Asia. In Asia, the process was initiated following the Asian financial crisis of 1997-98, when several newly industrialized Asian economies suffered negative rates of growth of gross domestic product (GDP). The three (Japan, China, and Korea) plus five (Singapore, Malaysia, Thailand, Indonesia, and the Philippines) came together to became the core members of a new regional group. Their annual meetings became an institutional feature of Asian economic cooperation and regional economic integration. In 2003, the group expanded to become the four (Japan, China, Korea, and India) plus 10 model (the original five plus Myanmar, Cambodia, Laos, Brunei Darussalam, and Viet Nam). Be it noted that the Western Asian countries from Turkey to Afghanistan have never been included in studies of Asian economies and the present study shall follow the same format. However, several South Asian countries in the Indian sub-continent and Mongolia in Central Asia will be included in the proposed study (see Chapters 2, 3, and 6).
The 4 plus 10 model has recently made two important commitments. First, at a recent annual summit, their preference for an Asian Free Trade Area (FTA), based on the model of the European Union FTA, has been noted. Second, in 2006, the leaders of China, Japan, and Korea made a public announcement for the need for a common Asian Money. Differences between the traditional FTAs and the EU-FTA will be reviewed. The EU is one integrated economy with total free flow of trade within the EU and a common trade policy vis-à-vis the rest of the world. The EU is one member in the World Trade Organization (WTO), with one vote. I s