The economies of East Asia are outpacing the world average in economic growth and are projected to continue their rise to prominence in the future. In a globalized world economy, what do business students need to know about the rise of the Asian economies? CSUF Economics Professor Robert Mead shares some insights about the economies of East Asia and what students can do to be active participants in the world economy.
East Asia, a region encompassing the economic giants Japan and China as well as the upstart economies of Southeast Asia, has a population of 2.2 billion people, over a quarter of the world’s total. It also has more than a third of the world’s total economic output.
CSUF Economics Professor Robert Mead tells students that the East Asian economies have been remarkable in their persistence toward economic vitality over the past half century. The region’s economic development started in Japan and spread to the “Asian Tiger” economies of Taiwan, South Korea, Hong Kong and Singapore in the mid-20th Century. China has made a transition from a Communist command economy to one of the world’s most dynamic economies, while Southeast Asian nations such as Malaysia, Indonesia and Thailand are rapidly becoming developed countries.
“China, India, Japan and Korea are the four major economies in Asia, though all of the Asian economies are growing faster than the rest of the world in the general,” Mead says. Particularly, China and India are notable because of their huge populations – more than one billion citizens each – which make them economic leaders by sheer size alone. Yet all of the Asian economies are notable for outpacing the world average in economic growth over the last 50 years. Read More