INNOVATION IN EAST-ASIA - DIVERSITY AND DEVELOPMENT

Following Japan, the four 'tigers' or newly industrialising countries (NICs) of East Asia (South Korea, Taiwan, Hong Kong and Singapore) hav e made remarkable strides in terms of economic growth, per capita inco mes and technological progress. Some observers attribute the growth of the NICs and other neighbouring East Asian economies (e.g. China, Mal aysia, Thailand and Indonesia) mainly to Japan. This view is expressed in the so-called flying geese' model of East Asian development. This paper argues that although Japan is undeniably important, the flying g eese model fails to capture the diversity of development paths in the region. The four NICs are an important and distinct source of East Asi an technological progress, competitiveness and regional investment. Th e flying geese model also underplays the significance of the US econom y, both as a market and as a source of technology and investment. The paper argues that there is a case for a new model of East Asian develo pment; one which accepts the importance of Japan, but also recognises and explores the other significant factors in the region's development .