The Evolution of the World Economy

The Evolution of the World Economy

The ‘Flying-Geese’ Theory of Multinational Corporations and Structural Transformation

New Horizons in International Business series

Terutomo Ozawa

The world economy is near a critical crossroads, as a rising China, the greatest-ever beneficiary of US-led capitalism, ironically dreams big to replace America's supremacy as a new hegemonic power with a non-liberal world order. This third volume of the trilogy on ‘flying-geese’ theory reformulation explains how capitalism has changed industrial structures across the world. Using structural development economics and political economy analytics the unfolding changes in the global industrial landscape are examined in depth. Will the ‘flying-geese’ formation survive the formation that has produced the East Asian miracle and is hoped to spread to Africa?

Chapter 7: Prospects for the future of FG-style growth

Terutomo Ozawa

Subjects: asian studies, asian business, asian economics, business and management, asia business, international business, economics and finance, asian economics, industrial economics, international economics


East Asian catch-up industrialization owes a lot to the leadership of US in providing a growth-conducive global ecosystem. Japan, the newly industrializing economy and the Association of Southeast Asian Nations (ASEAN)-4 (though to a lesser degree) have economically caught up with the advanced West, learning about not just industry and technology, but more importantly also Western values of a free press, human rights, individual freedom, and electoral democracy, and contributing to the maintenance of the Western-built world order. China’s meteoric rise itself would have been impossible without such a world order. Yet, China is now hell-bent on challenging and replacing American leadership as the next hegemonic power with a different (illiberal) world order. Will the flying-geese formation survive, a formation that produced the East Asian miracle (including China’s miracle) and is hoped to spread to Africa?

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information