2002 Reports

Pax-Americana-led macro-clustering and flying-geese-style catch-up in East Asia: Mechanisms of regionalized endogenous growth

Ozawa, Terutomo

Rapid growth in East Asia (despite the 1997-98 crises) has been unique as it is clustered so intensively only in that particular region. The flying-geese model of industrial upgrading is applied to the emergence of Pax-Americana-led growth clustering. The high propensity of the U.S. to transplant manufacturing overseas, Japan's roles of structural intermediator and capacity augmenter, and catching-up economies' public policies are the key co-determinants of regionalized endogenous growth in East Asia.