The Theory of the Flying Geese Pattern of Development and Its Interpretations

Abstract

An interpretation is made of Akamatsu Kaname's theory of the flying geese pattern of development, launched in Japan during the 1930s. This theory explains how an undeveloped country can become developed relatively quickly. The undeveloped country adopts suitable labour-intensive industries from more developed countries. It produces first for the home market, but starts to export as soon as the industries have grown strong enough. Initially, products are simple, crude and cheap, but gradually the level of quality is elevated. The procedure is repeated over and over again, leading to a rapid process of national economic development. In Japanese postwar industrial policy, certain industries were designated as `sunrise' industries: these were imported from more advanced countries, and received state support. Older industries which were losing their comparative advantage were designated as `sunset' industries; state support was withdrawn, and they moved to less developed Asian countries. During the 1950s and 1960s there emerged the idea that Japan should use the phenomenon to support the other Asian countries in their development. In 1965 came the proposal for a Pacific Free Trade Area (PAFTA), as a nucleus for enhancing Asian Pacific trade, development, and economic integration. PAFTA never materialized, but various discussion fora, such as the Pacific Economic Cooperation Conferences (PECC) and the Asian Pacific Economic Cooperation (APEC) conferences, were later formed on the basis of the proposal.