The Asian Economic Potential

Abstract

Output in Asia will need to expand at a rate of al most 2 per cent each year if individual levels of living are not to fall. Unless output grows at least twice as fast, however, in comes in Asia will not improve relative to those elsewhere in the world. Experience in some Asian countries in very recent years, notably in India and mainland China, corroborates con clusions based on the general study of the growth process: the countries of Asia can look forward to a more favorable eco nomic future. This will follow not from the discovery of new resource frontiers, from further technological advances in sources of energy and methods of processing, or from new pro grams of foreign assistance. All these will play a role—but as adjuncts of purposeful domestic action for economic change un der conscious and skilful leadership. Development programs need to be formulated with realistic goals which do demand major efforts by the people. Only government can provide the inspiration for these efforts; this constitutes a priority task among the competing pursuits confronting national leadership in newly independent nations. With this type of action the na tions of Asia can avoid a return in the economic sphere to the stagnation that has characterized the past fifty years or so. To sustain political vigor and even national independence economic progress seems to be essential.