Miracle or Design?: Lessons from the East Asian Experience by Professor Albert Fishlow, Professor Catherine Gwin,

By Professor Albert Fishlow, Professor Catherine Gwin, Professor Stephan Haggard, Professor Dani Rodrik

Certain merchandise information Product Identifiers ISBN-10 1565170156 ISBN-13 9781565170155 Key info writer Albert Fishlow, Catherine Gwin, Dani Rodrik, Stephan Haggard variety of Pages 128 pages sequence abroad improvement Council Ser. layout Paperback book Date 1996-05-15 Language English writer Johns Hopkins collage Press

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12 They may continue to produce for Japanese firms on part of the story, particularly since the massive currency realignments an OEM basis in the new plants, obtaining their capital equipment and initiated by the Plaza Agreement in 1985. The southern-tier countries their high-value-added components from Japan, while themselves supply­ received a great wave of direct investment, first from Japan and then from ing the management and lower-value-added components. The host econ­ Taiwan and Korea, as firms from the northern tier, facing appreciating omy provides only the labor, land, energy, and the right to pollute the currencies and rising labor costs at home, and rising protection in their environment.

Sinus, March 1990, pp. 52-53. � Wall Street Jaurn4l, January I, 1994, p. AS. s Far EaI$tern Eccrnomic Review, August 5, 1993, pp. 18-19. , [ntJmuztimutl Management, Europe edition, September 1985, p. 113. � Fortune, Fall l989! pp. 117-122. 6-1 Andrei Shleifer and Robert W. Vishny, "Corruption," Quarterly Journal of Economics, Vol. 108, 1993, pp. 59�18. Dollar, op. cit. , p. 526. Some of the tenninology later in the paper is less sensible. Dollar combines his measure of exchange-rate distortion with a measure of the variability in it to generate what he calls a measure of "outward orientation," Trus is unfortunate terminology for many reasons.

By World Bank principles. They have also been doing less to improve the economy's general level oftechnological capacity-they have invested less The foreign subsidiaries rely heavily on imported inputs. They in higher education and in R&D facilities, for example. This comparison is thus constitute export enclaves, with only weak backward or forward admittedly impressionistic. No sustained comparison of industrialization OVERSEAS D £ v t L O P ld E N T 88 COUNCIL POLICY ESSA Y 67 NO. II policy between the Northeast and Southeast Asian countries appears to in question.

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