Since the end of the Second World War, Taiwan has transformed in around 60 years time from a farmland to a high tech industrial economy. This book examines entrepreneurship, innovative systems and government policies in Taiwan.

Within thirty years of its humble beginnings, Taiwan was listed by the Organization for Economic Cooperation and Development (OECD) as one of ten newly industrialized countries (NICs). This book charts how and why such growth took place, and discusses areas of Taiwan's experience that might be useful in helping other countries achieve economic growth and improve their living standards.The second edition includes additional chapters and updated information and statistics.The author, one of the chief architects of Taiwan's economic development, worked with the government for forty years. Here, he draws on his extensive experience. He has held important positions such as Economics Minister, Finance Minister, and Minister without Portfolio dealing with, among other inter-ministerial problems, the Science and Technology Program. Presently, he is the Senior Advisor to the President. He has been involved in the development of economic, fiscal, monetary, industrial, international trade, manpower, science and technology policies.

Why have East Asian countries grown so fast and the African countries so slowly for the last quarter century, even though many in the two groups at the beginning of the period had similar income levels? The authors provide an original, thoughtful and extremely insightful approach to this question by considering the experience of the two groups of countries in relation to the development of the information hardware industry. The results of this investigation are fascinating and thoroughly convincing. This volume makes a brilliant path breaking contribution to development economics and thoroughly deserves to be and will be widely read. Ajit Singh, University of Cambridge and University of Birmingham Business School, UK This book represents an important step forward towards understanding why some countries and regions are successful in catching-up with the rich part of the world while others tend to have great difficulties in doing so. It represents a very happy marriage between the literature on economic development and the literature on innovation and learning. At the end of the book a series of thoughtful recommendations for innovation policy are presented. This volume should be recommended to students and practitioners involved in understanding and promoting economic development. Bengt-Åke Lundvall, Aalborg University, Denmark and Tsinghua University, Beijing, China In recent years there has been a revolution in studies of economic development. The heart of successful development is seen as the growing mastery by firms of the technological, organizational, and managerial capabilities needed to be effective in a field of economic activity. In turn learning by firms is seen as strongly dependent upon the institutional structures that mold how they operate. And effective institutions are seen as often sectoral specific. The achievement of successful development thus requires that a nation put in place the appropriate institutions. This fine book is an important addition to this literature. Richard R. Nelson, Columbia University, US The authors demonstrate a good understanding of the theoretical scholarship which they have used competently in building up the intellectual foundations for analyzing the sources of uneven paths of development cross countries in Africa and Asia. Drawing on country data and experiences, the book offers evidence-based policy lessons relevant for learning to innovate and to catch-up in a complex process of industrial, technological and organizational changes at the firm- and sectoral-levels. This book deserves to be read by all those concerned with technology and development. Kande Yumkella, UNIDO This book focuses on what can be learned from the complex processes of industrial, technological and organizational change in the sectoral system of information hardware (IH). The IH innovation system is deliberately chosen to illustrate how sectors act as seeds of economic progress. Detailed firm-level studies were carried out in seven countries, three in Africa (Nigeria, Mauritius and South Africa) and four in Asia (China, Taiwan, Malaysia and Indonesia). Bringing together two important areas of research (the scholarship on technology, innovation and learning, and the development literature) this book creates a useful and novel framework for understanding development, and draws very strong policy lessons for latecomer countries. It will be of great interest to graduate students working on evolutionary economics, science and technology policy studies, as well as policymakers and research institutes.

For as long as one can remember, the edifice of the neoclassical economic syn thesis has been under attack. Critiques have focused on the extreme unreality of the assumptions that underpin the Arrow-Debreu theorems of welfare economics. They have queried the excessive formalism of the edifice, and the lack of practical significance of many of the results.They have castigated the neoclassical synthesis for its internal incoherence (lacking an independent theory of capital, for example, one of the favorite topics of the Cambridge school), its lack of a dynamic element, its non-evolutionary character, its lack of any conception of "market process" and so the list could be continued (Blaug, 1997). Through all this, the neoclassi cal synthesis remains as strong as ever, impervious it seems to these or any other attacks. In this paper a different tack is taken. The neoclassical edifice is left alone, standing as a representation of what goes on in a certain kind ofeconomy- namely the economy wheregoods and services are producedand exchanged. The paper then introduces another kind of economy, namely an economy of productive entities called "resources"- that are needed to produce the economyofgoods and services.

Until the 1990s, industrialization was the dominant development paradigm for the Asia-Pacific region. Since then, advanced services (finance, business or 'producer services', information and creative services) have become deeply embedded in the processes of economic growth and change in the region. This rapid tertiary expansion is fundamentally restructuring national and regional economies and urban form in line with the introduction of advanced production systems, national modernization programmes and the globalization strategies of governments. Services are being actively deployed as instruments of metropolitan reconfiguration and land use change. This book explores various aspects of the relationship between service industries and economic development in Japan, South Korea, China, Taiwan, Singapore, India, Australia and New Zealand. It provides new sector-oriented and regional and national perspectives on services and development.

New Perspectives on Structural Change is a comprehensive edited volume that outlines both the historical roots and state-of-the-art debates on the role of structural change in the process of economic development, including both orthodox and heterodox perspectives and contributions from prominent scholars in this field. The volume consists of four main sections. The first section covers the theoretical foundations of the structural change literature. The second section presents an empirical overview of the major trends of structural change, using up-to-date data sources and methods. The third section presents a broad ranging empirical analysis of the drivers of structural change. The fourth section examines how processes such as inclusive growth, poverty reduction, productive employment, the global income distribution, and environmental sustainability are affected by structural change, and how they can be influenced by policy.

This book offers an in-depth analysis of the roles and strategies of subsidiaries of American multinational companies (MNCs) in Taiwan’s IT industry. Based on semi-structured interviews with 16 managing directors of the different foreign-owned subsidiaries and 100 functional unit managers, the authors investigate (1) the roles of functional units in evaluating strategy formulation and change in foreign subsidiaries; (2) the factors that determine strategy formulation and change in foreign subsidiaries and their functional units; and (3) the linkages between cross-functional units. The research underscores the view that MNCs’ strategies are composed of assorted heterogeneous elements.

Taiwan's Development Experience: Lessons on Roles of Government and Market scrutinizes the main features of the Taiwanese development experience under five interrelated themes and domains: Outward-orientation vs. inward-orientation; Sources of growth; Dynamic balanced growth process: the interaction between agricultural and non-agricultural sectors; The role of government in the transition to a more market-oriented economy; and The potential transferability of the Taiwanese development experience to developing countries. In addition to highlighting the essential contributions of papers, the Editors also bring out the views and contributions, under each of the above headings, of two distinguished former Cornell University colleagues who are honored at the sponsoring conference - T.C. Liu and S.C. Tsiang.

This volume examines the role of institutions in early development and identifies generic institutional issues in low-income countries.

This book addresses the changing nature of high-tech industries in Asia, particularly in the electronics sector. Its up-to-date findings will be invaluable to those involved in management, production networks and corporate strategy.