If there is one place that has grown most rapidly since the end of World War II, it is Asia.
There are many countries in Asia, including India, the Philippines, Vietnam, Indonesia, and Malaysia, which have large populations and receive a lot of aid. However, these countries have significantly lower growth rates than Japan, Korea, Taiwan, and China.
Is this simply because of the corruption of politicians, national character, etc. that we know? How did Asian countries function and how did they grow explosively in modern times?
The book explains that East Asian countries (Korea, Japan, China, and Taiwan) achieved economic development through four key elements: land reform, export-oriented industrialization, and financial system reform and government intervention.
🏞️ Land reform: Distributed farmland to farmers to promote economic independence.
🌍 Export-oriented industrialization: Created jobs and entered international markets through factory industrialization.
💼 Technology Acquisition: We have acquired technology from foreign companies to achieve independent technological development and long-term growth.
💰 Financial reform and government intervention: Controlled the capital market and effectively utilized the financial system for national development.
On the other hand, countries with relatively low growth rates either do not implement policies due to various vested interests intervening at each stage, or they skip the secondary industry from the primary industry and go straight to the tertiary industry, which breaks the job supply cycle and causes an imbalance in the cycle, and as a result, they end up stuck in a swamp of low growth for a long time.
Personally, I read it with great interest because it answered the questions I had. The paperback is out of print in Korea, but you can buy it in the original or as an e-book. You can think of it as an Asian version of Guns, Germs, and Steel, starting in the 1930s. I think it would be good for those who are interested to read it.
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