The Real Deal (March 1, 2010)

By Michael Schuman

Asia achieved much prosperity, but the U.S. should not draw the wrong lessons from its economic rise.

“Americans often take the wrong lessons from Asia’s growth stories.” They think that China’s economic growth has been brought about by the government-led economic policy and that Japan has developed due to its state-led economic system, but the truth is Beijing’s leaders have liberalized its economy. Asian countries such as India, South Korea, Taiwan, and Japan are pushing back the power of state in economy. Their economic growth has derived from free trade and free flows of capital as in the U.S “If Americans want to learn the correct lessons from Asia, they can ironically find them right at home.” (100)