There is obvious tension between ethnicity and nationalism in nation-states that seek to modernize rapidly. Nation-building can, however, be assisted where the tensions are resolved by negotiation and consensus. The state would reflect the wishes of its dominant ethnic majority but, in seeking economic development, pushes the process forward gradually and behaves moderately. Countries in the past have succeeded in solving national problems of progress and prosperity in this way. But contradictory trends are to be found today. New nation-states are tempted towards unity, while globalization encourages cross-border linkages that enhance ethnicity. The new Asia Pacific Economic Forum (APEC) represents at least four kinds of societies in which ethnic minorities project their various hopes for the future. Respect for history, especially the history of these minorities, would help member countries to avoid making mistakes that have destroyed communities elsewhere in the world.