Thailand Protests Harm Economy

Protesters cancelled a march on the main financial district of Thailand after policemen set up barricades and troops and threatened to use force against those who approached. The recent protests  highlight its economic inconsistencies and the pressures which have caused the country’s economic prospects to dwindle.

The symbolism of a government that wishes to preserve its financial center and yet is threatened by the discontent of those that reap very little of the developing infrastructure highlights the concern of emerging economies throughout the world. While the Thai government has been visibly reluctant to subdue the protesters by force, perhaps due to the kind of international exposure the situation has been given, the instability has led to the adverse reaction of foreign investors, who have been less willing to sign deals and have marked the emerging economy as unstable. Tourism is a clear indicator of decline, as well, with hotel occupancy in Bangkok plummeting to 20 percent out of a normal 80.

The red shirt protesters have been demanding the current government to step down and hold new parliamentary elections. The red shirt faction is made up largely by the impoverished workers from the North, some of whom see the current government as incapable of upholding the social reforms installed by the interim government that was deposed militarily in 2006.

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