The authors are grateful to the referee and the editors for helpful comments on an earlier draft of this article.
Strategic Factors in Economic Development: East Asian Industrialization 1950–2003
Article first published online: 6 DEC 2005
©Institute of Social Studies, 2005
Development and Change
Volume 36, Issue 6, pages 1059–1094, November 2005
How to Cite
Storm, S. and Naastepad, C. W. M. (2005), Strategic Factors in Economic Development: East Asian Industrialization 1950–2003. Development and Change, 36: 1059–1094. doi: 10.1111/j.0012-155X.2005.00450.x
- Issue published online: 6 DEC 2005
- Article first published online: 6 DEC 2005
East Asia's newly industrializing economies are the paragon of successful industrialization. This article investigates what lies behind this success by identifying seven ‘stylized facts’, which concern the contributions to industrialization and growth of structural change and technological change; and the role played by investment, savings and exports. Based on these stylized facts, the authors offer a new formulation of East Asian growth in terms of a cumulative-causation growth model. They discuss the impact on industrial diversification and upgrading of industrial and trade policies (including import substitution), and labour-market policies in the context of East Asia's authoritarian political regimes. Important specific factors are highlighted and the particular kinds of policies and institutions used in East Asia to finance accumulation are reviewed, before briefly considering the transferability of the East Asian growth regime.