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Remaking Energy Policies for Global Sustainability: The Case of Flying Geese Model and Path Dependencies in East Asia

Author

Listed:
  • Venkatachalam Anbumozhi

    (Economic Research Institute for ASEAN and East Asia (ERIA))

  • Xianbin Yao
Abstract
In East Asia, the path of economic integration that started at the end of World War II, through catch-up industrialization, took a distinguished path. Started in Japan and supported by diffusion of technologies through learning and easier relocation of industries within the region, energy intensive industrialization expanded into countries with fewer development operations. Aided by official development assistance and foreign direct investment, the emergence of production networks across Southeast and East Asia permitted second- and third-tier economies to catch up with advanced economies in technology, technical skill development, and narrow the development gaps. The pattern of East Asia's catch-up has been extensively studied, with the 'Flying Geese' model being the well-known paradigm. This process of catch-up also leads to increased emissions and air, water, and soil pollutions, and to movement of emission intensity and pollutions to second- and third-tier economies. From the perspective of the energy-development nexus, does it mean that East Asia's growth pattern still could not break away from the historical path dependency in energy-intensive industrialization observed elsewhere? This and the following questions are pursued in the paper: What factors lead to the emergency and subsequent dispersal of the 'flying geese'? What were the main characteristics of integrated environmental and energy policy formulation during the dispersal, and what lessons could be learned from those experiences for sustainable future? To our knowledge, this paper is the first such direct attempt to understand the link between the Flying Geese model and energy policies in East Asian economic development. Using the historical data on trade and energy consumption, we demonstrate that East Asian governments have proactively addressed energy intensity concerns, and have further intensified the policy. We also draw lessons learned from the model for its potential application in solving global sustainability challenges.

Suggested Citation

  • Venkatachalam Anbumozhi & Xianbin Yao, 2017. "Remaking Energy Policies for Global Sustainability: The Case of Flying Geese Model and Path Dependencies in East Asia," Working Papers DP-2017-08, Economic Research Institute for ASEAN and East Asia (ERIA).
    • Handle: RePEc:era:wpaper:dp-2017-08
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    References listed on IDEAS

    as
    1. Justin Yifu Lin, 2013. "From Flying Geese to Leading Dragons: New Opportunities and Strategies for Structural Transformation in Developing Countries," International Economic Association Series, in: Joseph E. Stiglitz & Justin Lin Yifu & Ebrahim Patel (ed.), The Industrial Policy Revolution II, chapter 1, pages 50-70, Palgrave Macmillan.
    2. Hettige, Hemamala & Mani, Muthukumara & Wheeler, David, 1998. "Industrial pollution in economic development: Kuznets revisited," Policy Research Working Paper Series 1876, The World Bank.
    3. Shigehisa Kasahara, 2004. "The Flying Geese Paradigm: A Critical Study Of Its Application To East Asian Regional Development," UNCTAD Discussion Papers 169, United Nations Conference on Trade and Development.
    4. Kojima, Kiyoshi, 2000. "The "flying geese" model of Asian economic development: origin, theoretical extensions, and regional policy implications," Journal of Asian Economics, Elsevier, vol. 11(4), pages 375-401.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Economic history; energy policy; industrialization; production networks; sustainability;
    All these keywords.

    JEL classification:

    • F01 - International Economics - - General - - - Global Outlook
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • N10 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - General, International, or Comparative

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