Flying Geese Paradigm
Encyclopedia
The Flying Geese Paradigm is a view of Japan
ese scholars upon the technological development in Southeast Asia
viewing Japan
as a leading power. It was developed in the 1930s, but gained wider popularity in the 1960s after its author Kaname Akamatsu published his ideas in the Journal of Developing economies.
Akamatsu’s third Flying Geese Paradigm is a model for international division of labor in East Asia
based on dynamic comparative advantage
. The paradigm postulated that Asia
n nations will catch up with the West as a part of a regional hierarchy where the production of commoditized
goods would continuously move from the more advanced countries to the less advanced ones. The underdeveloped nations in the region could be considered to be “aligned successively behind the advanced industrial nations in the order of their different stages of growth in a wild-geese-flying pattern”. The lead goose in this pattern is Japan
itself, the second-tier of nations consisted of the New Industrializing Economies (South Korea
, Taiwan
, Singapore
and Hong Kong
). After these two groups come the main ASEAN countries: Philippines
, Indonesia
, Thailand
and Malaysia. Finally the least developed major nations in the region: China
, Vietnam
etc. make up the rear guard in the formation.
The main driver in the model is the “leader’s imperative for internal restructuring” due to increasing labor costs. As the comparative advantages (on a global scale) of the ‘lead goose’ causes it to shift further and further away from labor-intensive production to more capital-intensive activities it sheds its low-productivity production to nations further down in the hierarchy in a pattern that then reproduces itself between the countries in the lower tiers. The impulse for development always comes from the top tier causing many to label the FGP a top-down model. The FGP has proved to be a useful tool when describing the regional production patterns in East Asia as industries such as the textile
industry has left not only Japan – the most advanced East Asian nation – but also, at a later point, South Korea and, Taiwan etc. These second tier nations have now firmly established themselves in for instance the automotive industry and are now beginning to shift to the even more advanced production of microcomputers and the like.
The vehicle for technology transfer
is where Akamatsu’s framework is least developed. He does however suggest that the demonstration effect of international trade plays an important part as well as the “animal spirit of the entrepreneurs” in developing countries. More recently, modified versions of the FGP – such as the one presented in Ozawa (1995) – stress the importance of transnational firms in this area.
Regarding the internal order of nations within the model, Akamatsu did not consider the relative positions to be permanently fixed but could rather be seen as inherently unstable. This idea is most likely connected to the memories of the Japanese development in the late 19th century when it catapulted itself from a technological backwater to a mature industrial powerhouse. Other scholars however, have emphasized the stability and harmony of the clustered growth envisaged in the FGP implying it would be difficult for a nation to shift from one tier to another.
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
ese scholars upon the technological development in Southeast Asia
Southeast Asia
Southeast Asia, South-East Asia, South East Asia or Southeastern Asia is a subregion of Asia, consisting of the countries that are geographically south of China, east of India, west of New Guinea and north of Australia. The region lies on the intersection of geological plates, with heavy seismic...
viewing Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
as a leading power. It was developed in the 1930s, but gained wider popularity in the 1960s after its author Kaname Akamatsu published his ideas in the Journal of Developing economies.
Akamatsu’s third Flying Geese Paradigm
East Asia
East Asia or Eastern Asia is a subregion of Asia that can be defined in either geographical or cultural terms...
based on dynamic comparative advantage
Comparative advantage
In economics, the law of comparative advantage says that two countries will both gain from trade if, in the absence of trade, they have different relative costs for producing the same goods...
. The paradigm postulated that Asia
Asia
Asia is the world's largest and most populous continent, located primarily in the eastern and northern hemispheres. It covers 8.7% of the Earth's total surface area and with approximately 3.879 billion people, it hosts 60% of the world's current human population...
n nations will catch up with the West as a part of a regional hierarchy where the production of commoditized
Commodification
Commodification is the transformation of goods, ideas, or other entities that may not normally be regarded as goods into a commodity....
goods would continuously move from the more advanced countries to the less advanced ones. The underdeveloped nations in the region could be considered to be “aligned successively behind the advanced industrial nations in the order of their different stages of growth in a wild-geese-flying pattern”. The lead goose in this pattern is Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
itself, the second-tier of nations consisted of the New Industrializing Economies (South Korea
South Korea
The Republic of Korea , , is a sovereign state in East Asia, located on the southern portion of the Korean Peninsula. It is neighbored by the People's Republic of China to the west, Japan to the east, North Korea to the north, and the East China Sea and Republic of China to the south...
, Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
, Singapore
Singapore
Singapore , officially the Republic of Singapore, is a Southeast Asian city-state off the southern tip of the Malay Peninsula, north of the equator. An island country made up of 63 islands, it is separated from Malaysia by the Straits of Johor to its north and from Indonesia's Riau Islands by the...
and Hong Kong
Hong Kong
Hong Kong is one of two Special Administrative Regions of the People's Republic of China , the other being Macau. A city-state situated on China's south coast and enclosed by the Pearl River Delta and South China Sea, it is renowned for its expansive skyline and deep natural harbour...
). After these two groups come the main ASEAN countries: Philippines
Philippines
The Philippines , officially known as the Republic of the Philippines , is a country in Southeast Asia in the western Pacific Ocean. To its north across the Luzon Strait lies Taiwan. West across the South China Sea sits Vietnam...
, Indonesia
Indonesia
Indonesia , officially the Republic of Indonesia , is a country in Southeast Asia and Oceania. Indonesia is an archipelago comprising approximately 13,000 islands. It has 33 provinces with over 238 million people, and is the world's fourth most populous country. Indonesia is a republic, with an...
, Thailand
Thailand
Thailand , officially the Kingdom of Thailand , formerly known as Siam , is a country located at the centre of the Indochina peninsula and Southeast Asia. It is bordered to the north by Burma and Laos, to the east by Laos and Cambodia, to the south by the Gulf of Thailand and Malaysia, and to the...
and Malaysia. Finally the least developed major nations in the region: China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
, Vietnam
Vietnam
Vietnam – sometimes spelled Viet Nam , officially the Socialist Republic of Vietnam – is the easternmost country on the Indochina Peninsula in Southeast Asia. It is bordered by China to the north, Laos to the northwest, Cambodia to the southwest, and the South China Sea –...
etc. make up the rear guard in the formation.
The main driver in the model is the “leader’s imperative for internal restructuring” due to increasing labor costs. As the comparative advantages (on a global scale) of the ‘lead goose’ causes it to shift further and further away from labor-intensive production to more capital-intensive activities it sheds its low-productivity production to nations further down in the hierarchy in a pattern that then reproduces itself between the countries in the lower tiers. The impulse for development always comes from the top tier causing many to label the FGP a top-down model. The FGP has proved to be a useful tool when describing the regional production patterns in East Asia as industries such as the textile
Textile
A textile or cloth is a flexible woven material consisting of a network of natural or artificial fibres often referred to as thread or yarn. Yarn is produced by spinning raw fibres of wool, flax, cotton, or other material to produce long strands...
industry has left not only Japan – the most advanced East Asian nation – but also, at a later point, South Korea and, Taiwan etc. These second tier nations have now firmly established themselves in for instance the automotive industry and are now beginning to shift to the even more advanced production of microcomputers and the like.
The vehicle for technology transfer
Technology transfer
Technology Transfer, also called Transfer of Technology and Technology Commercialisation, is the process of skill transferring, knowledge, technologies, methods of manufacturing, samples of manufacturing and facilities among governments or universities and other institutions to ensure that...
is where Akamatsu’s framework is least developed. He does however suggest that the demonstration effect of international trade plays an important part as well as the “animal spirit of the entrepreneurs” in developing countries. More recently, modified versions of the FGP – such as the one presented in Ozawa (1995) – stress the importance of transnational firms in this area.
Regarding the internal order of nations within the model, Akamatsu did not consider the relative positions to be permanently fixed but could rather be seen as inherently unstable. This idea is most likely connected to the memories of the Japanese development in the late 19th century when it catapulted itself from a technological backwater to a mature industrial powerhouse. Other scholars however, have emphasized the stability and harmony of the clustered growth envisaged in the FGP implying it would be difficult for a nation to shift from one tier to another.